Texas Mineral Resources Corp.

What they do

The company holds an 18.271% membership interest in Round Top Mountain Development, LLC (RTMD), which is developing the Round Top project in Hudspeth County, Texas. It is an exploration-stage company with no metal production, and it is pursuing a merger with USA Rare Earth, Inc. (USAR). The company also holds surface rights and other property interests related to Round Top, and has potential joint ventures with Santa Fe and Steeple Rock.

Revenue drivers

• No current revenue — The company is an exploration-stage entity with no mining or metal sales; it has not generated revenue from operations.
• Round Top Project (via RTMD) — Its primary asset is an 18.271% membership interest in RTMD, which is developing the Round Top rare earth project; any future revenue would depend on project development and eventual production.
• Potential joint ventures — The company has plans to enter into a joint venture with Santa Fe and a potential mining venture with Steeple Rock, but these are not yet generating revenue.

Recent performance

For the fiscal year ended August 31, 2025, the company reported a net loss of $1.9 million and diluted EPS of -$0.03. Operating cash flow was negative $897,081. In the prior fiscal year (2024), net loss was $833,009 and operating cash flow was negative $662,110. As of May 31, 2026, the company had total assets of $3.2 million, cash and equivalents of $2.6 million, and shareholder equity of $3.0 million.

Strategy

Management's stated direction is to complete the merger with USA Rare Earth, Inc. under the Agreement and Plan of Merger dated March 4, 2026. The company continues to support RTMD's development of the Round Top project and plans to fund its proportionate expenditures if capital is available. It also intends to pursue a joint venture with Santa Fe and a mining venture with Steeple Rock, but these are subject to funding. The company is seeking to raise capital to fund cash call obligations and development costs.

Risks

• Going concern risk — The company has a history of losses and needs additional financing to continue operations and fund its Round Top cash calls.
• Dilution of Round Top interest — If the company cannot fund its cash call obligations, its membership interest in Round Top (currently 18.271%) may be significantly diluted.
• Exploration-stage uncertainty — There is no assurance that the Round Top project will be commercially successful, as it has no history of producing metals.
• Merger and regulatory risks — The proposed merger with USA Rare Earth may not close, and the company faces risks related to permitting and being classified as an exploration-stage company.

Outlook

Management expects the merger with USA Rare Earth to close, but it is subject to conditions and approvals. Near-term priorities include completing a feasibility study for Round Top, obtaining necessary permits for future drilling and development, and raising capital to fund its share of RTMD expenditures. The company also plans to advance potential joint ventures with Santa Fe and Steeple Rock.