Mesabi Trust (MSB) 10-Q 8 Sep 20 2021 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jul. 31, 2020	Sep. 04, 2020
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jul. 31, 2020
Entity File Number	1-4488
Entity Registrant Name	MESABI TRUST
Entity Incorporation, State or Country Code	NY
Entity Tax Identification Number	13-6022277
Entity Address, Address Line One	60 Wall Street
Entity Address, Address Line Two	24th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10005
City Area Code	904
Local Phone Number	271-2520
Title of 12(b) Security	Units of Beneficial Interest, no par value
Trading Symbol	MSB
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		13,120,010
Current Fiscal Year End Date	--01-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q2
Entity Central Index Key	0000065172
Amendment Flag	false

Statements of Income

Statements of Income - USD ($)	3 Months Ended		6 Months Ended
	Jul. 31, 2020	Jul. 31, 2019	Jul. 31, 2020	Jul. 31, 2019
REVENUES
Royalty income	$ 7,218,361	$ 14,301,838	$ 9,353,855	$ 19,663,627
Interest	24	42,386	33,293	147,469
Total revenues	7,218,385	14,344,224	9,387,148	19,811,096
EXPENSES
Expenses	542,382	432,537	1,099,524	989,121
Net income	$ 6,676,003	$ 13,911,687	$ 8,287,624	$ 18,821,975
WEIGHTED AVERAGE NUMBER OF UNITS OUTSTANDING	13,120,010	13,120,010	13,120,010	13,120,010
Net income per unit (Note 2) (in dollars per unit)	$ 0.5088	$ 1.0603	$ 0.6317	$ 1.4346
Distribution declared per unit (Note 3) (in dollars per unit)	$ 0.0500	$ 0.2100	$ 0.6100	$ 1.1000

Balance Sheets

Balance Sheets - USD ($)	Jul. 31, 2020	Jan. 31, 2020
ASSETS
Cash and cash equivalents	$ 458,957	$ 10,177,655
U.S. Government securities, at amortized cost (which approximates fair value)	10,141,648	13,332,474
Accrued income receivable	1,048,727	69,588
Net contract asset	1,059,624
Prepaid expenses	229,187	67,654
Current assets	12,938,143	23,647,371
Assignments of leased property
Amended assignment of Peters Lease	1	1
Assignment of Cloquet Leases	1	1
Certificate of beneficial interest for 13,120,010 units of Land Trust	1	1
Total fixed property	3	3
Total assets	12,938,146	23,647,374
LIABILITIES, UNALLOCATED RESERVE AND TRUST CORPUS
Distribution payable	656,001	9,184,007
Accrued expenses	166,711	120,630
Net contract liability		2,511,720
Total liabilities	822,712	11,816,357
Unallocated reserve	12,115,431	11,831,014
Trust corpus	3	3
Total liabilities, unallocated reserve and trust corpus	$ 12,938,146	$ 23,647,374

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - shares	Jul. 31, 2020	Jan. 31, 2020
Balance Sheets
Certificate of beneficial interest of Land Trust, units	13,120,010	13,120,010

Statements of Cash Flows

Statements of Cash Flows - USD ($)	6 Months Ended
	Jul. 31, 2020	Jul. 31, 2019
Operating activities
Royalties received	$ 4,799,327	$ 15,025,100
Interest received	37,338	137,704
Expenses paid	(1,214,976)	(1,315,916)
Net cash from operating activities	3,621,689	13,846,888
Investing activities
Maturities of U.S. Government securities	26,899,691	32,122,312
Purchases of U.S. Government securities	(23,708,865)	(16,484,759)
Net cash from investing activities	3,190,826	15,637,553
Financing activity
Distributions to unitholders	(16,531,213)	(29,913,623)
Net change in cash and cash equivalents	(9,718,698)	(429,182)
Cash and cash equivalents, beginning of period	10,177,655	881,810
Cash and cash equivalents, end of period	458,957	452,628
Reconciliation of net income to net cash from operating activities
Net income	8,287,624	18,821,975
Increase in accrued income receivable	(979,139)	(1,481,571)
Increase in contract asset	(1,059,624)	(3,166,721)
Increase in prepaid expense	(161,533)	(116,226)
Increase (decrease) in accrued expenses	46,081	(210,569)
Decrease in contract liability	(2,511,720)
Net cash from operating activities	3,621,689	13,846,888
Non cash financing activity
Distributions declared and payable	$ 656,001	$ 2,755,202

NATURE OF BUSINESS AND ORGANIZA

NATURE OF BUSINESS AND ORGANIZATION	6 Months Ended
	Jul. 31, 2020
NATURE OF BUSINESS AND ORGANIZATION
NATURE OF BUSINESS AND ORGANIZATION	​ Note 1. The financial statements and notes to financial statements included herein have been prepared without audit (except for the balance sheet at January 31, 2020) in accordance with the instructions to Form 10-Q pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations. In the opinion of the Trustees, all adjustments, consisting only of normal recurring adjustments, necessary for a fair statement of (a) the results of operations for the three and six months ended July 31, 2020 and 2019, (b) the financial position at July 31, 2020 and (c) the cash flows for the six months ended July 31, 2020 and 2019, have been made. For further information, refer to the financial statements and footnotes included in Mesabi Trust’s Annual Report on Form 10-K for the year ended January 31, 2020. ​ The Trust’s royalties have been and may continue to be adversely affected by the coronavirus (COVID-19) pandemic. During the second quarter of 2020, the spread of COVID-19 led to the disruption of the business operations of Cleveland-Cliffs Inc. (“Cliffs”) and its wholly-owned subsidiary, Northshore Mining Company (“Northshore”), upon which we are dependent for our royalties. Although steel and iron ore production have been considered “essential” by the states in which Cliffs operates, certain of its facilities and construction activities were temporarily idled during the second quarter of 2020. Nearly all of these temporarily idled facilities were restarted as of June 30, 2020, with the exception of the Dearborn hot-end operations and Mansfield operations, which were restarted in July 2020, and the Northshore mine, which was restarted in August 2020. In its most recent quarterly report on Form 10-Q, Cliffs also indicated that it cannot predict whether its operations will experience additional disruptions in the future, and that it may also continue to experience supply chain disruptions or operational issues with its vendors, suppliers and contractors who are facing similar COVID-19 pandemic challenges. Further, Cliffs indicated that because the impact of the COVID-19 pandemic continues to evolve, it could not predict the extent to which its business, results of operations, financial condition or liquidity will ultimately be impacted. ​ On December 9, 2019, the Trustees of Mesabi Trust announced that the Trust initiated arbitration against Northshore, the lessee/operator of the leased lands, and its parent, Cliffs. The arbitration proceeding was commenced with the American Arbitration Association. The Trust asserts claims concerning the calculation of royalties related to the production, shipment and sale of iron ore, including DR-grade pellets. Based on information currently available to the Trust, the Trust seeks an award of damages, along with specific performance and declaratory relief. The arbitration is in its early stages. ​ gg

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jul. 31, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Note 2. Net income per unit is based on 13,120,010 units outstanding during the period. ​ The Trust accounts for revenue in accordance with ASC 606, Revenue from Contracts with Customers . All revenue is recognized as the performance obligations are satisfied. ​ Disaggregation of Revenues ​ The following tables represent a disaggregation of revenue for the three and six months ended July 31, 2020 and July 31, 2019. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended July 31, ​ ​ 2020 ​ 2019 Base overriding royalties ​ $ 4,174,785 $ 8,326,504 Bonus royalties ​ 3,043,576 ​ 5,818,223 Fee royalties ​ — ​ 157,111 Total royalty income ​ $ 7,218,361 $ 14,301,838 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Six Months Ended July 31, ​ ​ 2020 ​ 2019 Base overriding royalties ​ $ 5,356,796 $ 11,394,522 Bonus royalties ​ 3,823,288 ​ 7,925,180 Fee royalties ​ 173,771 ​ 343,925 Total royalty income ​ $ 9,353,855 $ 19,663,627 ​ ​ Base overriding royalties ​ The performance obligation for the base overriding royalty consists of providing Northshore access to the Peters Lands, Cloquet Lands, and Mesabi Lands and the right to mine on these lands. The consideration to be received from this access relates to the volume of iron ore shipped by Northshore. Mesabi Trust receives royalties at the greater of (i) the aggregate quantity of iron ore products shipped that were mined from Mesabi Trust Lands, and (ii) a portion of the aggregate quantity of all iron ore products shipped from Silver Bay, Minnesota that were mined from any lands, such portion being 90% of the first four million tons shipped from Silver Bay during such year, 85% of the next two million tons shipped during such year, and 25% of all tonnage shipped during such year in excess of six million tons. The royalty percentage paid to the Trust increases as the aggregate tonnage of iron ore products shipped, attributable to the Trust, in any calendar year increases past each of the first four one -million ton volume thresholds. The base overriding royalties contain variable consideration, as the transaction price is based on a percentage that varies based on the total cumulative tons of iron ore shipped for the calendar year. The Trust estimates the variable consideration it expects to be entitled to receive over the contractual period associated with the royalty agreement. Under the royalty agreement, measuring the total cumulative volumes of iron ore shipped, and the applicable royalty percentages, are reset at the beginning of each calendar year. The Trust evaluates the estimate of the variable consideration to determine whether the estimate needs to be constrained; therefore, the Trust includes the variable consideration in the transaction price only to the extent that it is probable that a significant reversal of the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. For the base overriding royalties, the Trust estimates the base overriding royalty percentage using the expected value method, which calculates the estimate based off the historical, current, and forecasted shipments. The Trust recognizes base overriding royalties on a quarterly basis based on the actual shipments for the fiscal quarter at the estimated royalty percentage as described above and based on the estimated prices for iron ore products sold under the Cliffs Pellet Agreements. ​ Bonus royalties ​ The performance obligation for the bonus royalties consists of providing Northshore access to the Peters Lands, Cloquet Lands, and Mesabi Lands and the right to mine on these lands and the consideration to be received from this access relates to the volume of iron ore shipped by Northshore. The Trust recognizes bonus royalties on a quarterly basis based on the actual shipments of the fiscal quarter at the actual royalty percentage for those shipments and based on the anticipated prices for iron ore products sold under the Cliffs Pellet Agreements. ​ Fee royalties ​ The performance obligation for the fee royalties consists of the volume of crude ore mined on a quarterly basis. The Trust recognizes fee royalties on a quarterly basis based on the actual crude ore mined during the fiscal quarter. ​ Accrued income receivable ​ The accrued income receivable is included in net income per unit. The Trust recorded 2020 (unaudited). As of January 31, 2020, the Trust recorded accrued income receivable of . ​ Contract asset and contract liability ​ The contract asset and contract liability are presented net in the accompanying condensed balance sheets as both the contract asset and contract liability are derived from one customer contract. A net contract asset in the amount of is reflected on the Condensed Balance Sheet as of July 31, 2020 (unaudited). The net contract asset is made up of a contract asset in the amount of . As of January 31, 2020 the Trust recorded a net contract liability of . The contract asset is based on the revenue recognized on the base overriding royalties, at the estimated prices for iron ore products sold under the Cliffs Pellet Agreements, that will be collected in subsequent quarters as the uncertainty associated with the variable consideration is resolved. The contract asset is not available for distribution to the Unitholders until the applicable royalties are actually received by the Trust. The Trust includes estimated future royalty rates on current contracted volumes within contract asset. The contract liability represents iron ore that has not been shipped by Northshore, but for which the Trust has received a royalty payment during the quarter ended July 31, 2020 based on an initial estimated price, or in certain instances, quarterly payment of minimum advance royalties. Revenue will be recognized in accordance with the Trust’s revenue recognition policy at the estimated prices for iron ore products sold under the Cliffs Pellet Agreements as shipments of these products are made.

DIVIDEND AND DISTRIBUTION

DIVIDEND AND DISTRIBUTION	6 Months Ended
	Jul. 31, 2020
DIVIDEND AND DISTRIBUTION
DIVIDEND AND DISTRIBUTION	Note 3. The Trustees determine whether to declare a distribution each year in April, July, October and January. The Trust’s financial statements are prepared on an accrual basis and present the Trust’s results of operations based on each of the Trust’s fiscal quarters, which end one month after the close of each calendar quarter. Because (i) distributions, if any, are declared by the Trustees based on, among other considerations, the amount of royalties actually paid to the Trust through the end of each calendar quarter prior to April, July, October and January of each year, the Trustees’ evaluation of known and projected Trust expenses in the current and future quarters, the then-current level of Unallocated Reserve and general economic conditions, and (ii) the Trust’s Net Income is calculated as of the end of each fiscal quarter, the distributions declared by the Trust are not equivalent to the Trust’s Net Income during the periods reported in this quarterly report on Form 10-Q. ​ ​

ROYALTY AGREEMENT, UNALLOCATED

ROYALTY AGREEMENT, UNALLOCATED RESERVE AND DISTRIBUTIONS	6 Months Ended
	Jul. 31, 2020
UNALLOCATED RESERVE AND DISTRIBUTIONS
ROYALTY AGREEMENT, UNALLOCATED RESERVE AND DISTRIBUTIONS	Note 4. On July 13, 2020, the Trustees declared a distribution of $0.05 per Unit of Beneficial Interest payable on August 20, 2020 to Mesabi Trust Unitholders of record at the close of business on July 30, 2020. ​ On July 30, 2020, the Trustees received the quarterly royalty report of iron ore product shipments from Silver Bay, Minnesota during the calendar quarter ended June 30, 2020 from Cliffs, the parent company of Northshore. ​ Each quarter, as authorized by the Agreement of Trust dated July 18, 1961 (the “Agreement of Trust”), the Trustees evaluate all relevant factors including all costs, expenses, obligations, and present and future liabilities of the Trust (whether fixed or contingent) in determining the prudent level of unallocated reserve in light of the unpredictable nature of the iron ore industry and current economic conditions. ​ Pursuant to the Agreement of Trust, the Trustees make decisions about cash distributions to Unitholders based on the royalty payments it receives from Northshore when received, rather than as royalty income is recorded in accordance with the Trust’s revenue recognition policy. Refer to Note 3 for further information. ​ As of July 31, 2020 and January 31, 2020, the unallocated cash and U.S. Government securities portion of the Trust’s Unallocated Reserve was comprised of the following components: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ July 31, 2020 (unaudited) ​ January 31, 2020 ​ Cash and U.S. Government securities ​ $ 10,600,605 ​ $ 23,510,129 ​ Distribution payable ​ (656,001) ​ (9,184,007) ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated cash and U.S. Government securities ​ $ 9,944,604 ​ $ 14,326,122 ​ ​ A reconciliation of the Trust’s Unallocated Reserve and Trust Corpus for the six and three months ended July 31, 2020 and 2019 is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated ​ ​ Trust ​ ​ ​ ​ ​ ​ ​ Reserve ​ ​ Corpus ​ ​ Total ​ Balances at January 31, 2020 $ 11,831,014 ​ $ 3 ​ $ 11,831,017 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ 8,287,624 ​ — ​ 8,287,624 ​ Distributions declared - $0.6100 per share ​ (8,003,207) ​ — ​ (8,003,207) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balances at July 31, 2020 ​ $ 12,115,431 ​ $ 3 ​ $ 12,115,434 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated ​ ​ Trust ​ ​ ​ ​ ​ ​ Reserve ​ ​ Corpus ​ ​ Total Balances at April 30, 2020 $ 6,095,429 ​ $ 3 ​ $ 6,095,432 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ 6,676,003 ​ — ​ 6,676,003 Distributions declared - $0.0500 per share ​ (656,001) ​ — ​ (656,001) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balances at July 31, 2020 ​ $ 12,115,431 ​ $ 3 ​ $ 12,115,434 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated ​ ​ Trust ​ ​ ​ ​ ​ ​ Reserve ​ ​ Corpus ​ ​ Total Balances at January 31, 2019 $ 16,805,689 ​ $ 3 ​ $ 16,805,692 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ 18,821,975 ​ — ​ 18,821,975 Distributions declared - $1.1000 per share ​ (14,432,011) ​ — ​ (14,432,011) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balances at July 31, 2019 ​ $ 21,195,653 ​ $ 3 ​ $ 21,195,656 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated ​ ​ Trust ​ ​ ​ ​ ​ ​ Reserve ​ ​ Corpus ​ ​ Total Balances at April 30, 2019 $ 10,039,168 ​ $ 3 ​ $ 10,039,171 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ 13,911,687 ​ — ​ 13,911,687 Distributions declared - $0.2100 per share ​ (2,755,202) ​ — ​ (2,755,202) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balances at July 31, 2019 ​ $ 21,195,653 ​ $ 3 ​ $ 21,195,656 ​

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jul. 31, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Revenue recognition	The Trust accounts for revenue in accordance with ASC 606, Revenue from Contracts with Customers . All revenue is recognized as the performance obligations are satisfied.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	6 Months Ended
	Jul. 31, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Schedule of disaggregation of revenue	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended July 31, ​ ​ 2020 ​ 2019 Base overriding royalties ​ $ 4,174,785 $ 8,326,504 Bonus royalties ​ 3,043,576 ​ 5,818,223 Fee royalties ​ — ​ 157,111 Total royalty income ​ $ 7,218,361 $ 14,301,838 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Six Months Ended July 31, ​ ​ 2020 ​ 2019 Base overriding royalties ​ $ 5,356,796 $ 11,394,522 Bonus royalties ​ 3,823,288 ​ 7,925,180 Fee royalties ​ 173,771 ​ 343,925 Total royalty income ​ $ 9,353,855 $ 19,663,627

UNALLOCATED RESERVE AND DISTRIB

UNALLOCATED RESERVE AND DISTRIBUTIONS (Tables)	6 Months Ended
	Jul. 31, 2020
UNALLOCATED RESERVE AND DISTRIBUTIONS
Schedule of unallocated cash and U.S. Government securities portion of the Trust's Unallocated Reserve	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ July 31, 2020 (unaudited) ​ January 31, 2020 ​ Cash and U.S. Government securities ​ $ 10,600,605 ​ $ 23,510,129 ​ Distribution payable ​ (656,001) ​ (9,184,007) ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated cash and U.S. Government securities ​ $ 9,944,604 ​ $ 14,326,122 ​
Schedule of reconciliation of Trust's Unallocated Reserve	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated ​ ​ Trust ​ ​ ​ ​ ​ ​ ​ Reserve ​ ​ Corpus ​ ​ Total ​ Balances at January 31, 2020 $ 11,831,014 ​ $ 3 ​ $ 11,831,017 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ 8,287,624 ​ — ​ 8,287,624 ​ Distributions declared - $0.6100 per share ​ (8,003,207) ​ — ​ (8,003,207) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balances at July 31, 2020 ​ $ 12,115,431 ​ $ 3 ​ $ 12,115,434 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated ​ ​ Trust ​ ​ ​ ​ ​ ​ Reserve ​ ​ Corpus ​ ​ Total Balances at April 30, 2020 $ 6,095,429 ​ $ 3 ​ $ 6,095,432 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ 6,676,003 ​ — ​ 6,676,003 Distributions declared - $0.0500 per share ​ (656,001) ​ — ​ (656,001) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balances at July 31, 2020 ​ $ 12,115,431 ​ $ 3 ​ $ 12,115,434 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated ​ ​ Trust ​ ​ ​ ​ ​ ​ Reserve ​ ​ Corpus ​ ​ Total Balances at January 31, 2019 $ 16,805,689 ​ $ 3 ​ $ 16,805,692 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ 18,821,975 ​ — ​ 18,821,975 Distributions declared - $1.1000 per share ​ (14,432,011) ​ — ​ (14,432,011) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balances at July 31, 2019 ​ $ 21,195,653 ​ $ 3 ​ $ 21,195,656 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Unallocated ​ ​ Trust ​ ​ ​ ​ ​ ​ Reserve ​ ​ Corpus ​ ​ Total Balances at April 30, 2019 $ 10,039,168 ​ $ 3 ​ $ 10,039,171 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Net income ​ 13,911,687 ​ — ​ 13,911,687 Distributions declared - $0.2100 per share ​ (2,755,202) ​ — ​ (2,755,202) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Balances at July 31, 2019 ​ $ 21,195,653 ​ $ 3 ​ $ 21,195,656 ​

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - shares	3 Months Ended		6 Months Ended
	Jul. 31, 2020	Jul. 31, 2019	Jul. 31, 2020	Jul. 31, 2019
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Number of units outstanding	13,120,010	13,120,010	13,120,010	13,120,010

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue (Details)	3 Months Ended		6 Months Ended
	Jul. 31, 2020USD ($)	Jul. 31, 2019USD ($)	Jul. 31, 2020USD ($)contractitemMT	Jul. 31, 2019USD ($)	Jan. 31, 2020USD ($)
Revenue from Contract with Customer [Abstract]
Royalty Revenue	$ 7,218,361	$ 14,301,838	$ 9,353,855	$ 19,663,627
Base overriding royalties, first tier portion percentage			90.00%
Base overriding royalties, first tier shipment ceiling (in million tons) | MT			4
Base overriding royalties, second tier portion percentage			85.00%
Base overriding royalties, second tier shipment ceiling (in million tons) | MT			2
Base overriding royalties, third tier portion percentage			25.00%
Base overriding royalties, third tier shipment threshold (in million tons) | MT			6
Base overriding royalties, number of volume thresholds for transaction price | item			4
Base overriding royalties, volume threshold for transaction price | MT			1
Accrued income receivable	1,048,727		$ 1,048,727		$ 69,588
Number of customer contracts | contract			1
Net contract asset	1,059,624		$ 1,059,624
Net contract liability					2,511,720
Contract asset	1,964,472		1,964,472		192,059
Contract liability	904,848		904,848		$ 2,703,779
Base Overriding Royalties
Revenue from Contract with Customer [Abstract]
Royalty Revenue	4,174,785	8,326,504	5,356,796	11,394,522
Bonus Royalties
Revenue from Contract with Customer [Abstract]
Royalty Revenue	$ 3,043,576	5,818,223	3,823,288	7,925,180
Fee Royalties
Revenue from Contract with Customer [Abstract]
Royalty Revenue		$ 157,111	$ 173,771	$ 343,925

DIVIDEND AND DISTRIBUTION (Deta

DIVIDEND AND DISTRIBUTION (Details)	6 Months Ended
	Jul. 31, 2020
DIVIDEND AND DISTRIBUTION
Period after the close of each calendar quarter when the fiscal quarter ends	1 month

UNALLOCATED RESERVE AND DISTR_2

UNALLOCATED RESERVE AND DISTRIBUTIONS (Details) - USD ($)	Jul. 13, 2020	Jul. 31, 2020	Jul. 31, 2019	Jul. 31, 2020	Jul. 31, 2019	Jan. 31, 2020
Unallocated Cash and Securities portion of Unallocated Reserve
Cash and U.S. Government securities		$ 10,600,605		$ 10,600,605		$ 23,510,129
Distribution payable		(656,001)		(656,001)		(9,184,007)
Unallocated cash and U.S. Government securities		9,944,604		9,944,604		$ 14,326,122
Reconciliation of Trust's Unallocated Reserve
Beginning Balance		6,095,432	$ 10,039,171	11,831,017	$ 16,805,692
Net income		6,676,003	13,911,687	8,287,624	18,821,975
Distributions declared		(656,001)	(2,755,202)	(8,003,207)	(14,432,011)
Ending Balance		$ 12,115,434	$ 21,195,656	$ 12,115,434	$ 21,195,656
Distributions declared per unit (in dollars per unit)	$ 0.05	$ 0.0500	$ 0.2100	$ 0.6100	$ 1.1000
Unallocated Reserve
Reconciliation of Trust's Unallocated Reserve
Beginning Balance		$ 6,095,429	$ 10,039,168	$ 11,831,014	$ 16,805,689
Net income		6,676,003	13,911,687	8,287,624	18,821,975
Distributions declared		(656,001)	(2,755,202)	(8,003,207)	(14,432,011)
Ending Balance		12,115,431	21,195,653	12,115,431	21,195,653
Trust Corpus
Reconciliation of Trust's Unallocated Reserve
Beginning Balance		3	3	3	3
Ending Balance		$ 3	$ 3	$ 3	$ 3