In the spring of 2002, the Department of Energy provided an initial 1-year grant to the Bureau of Economic Geology (BEG) at The University of Texas at Austin (UT). The grant covered the one-year operational expenses of a worldclass core and cuttings facility located in Houston, Texas, that BP America donated to the BEG. The DOE investment of $300,000, matched by a $75,000 UT contribution, provided critical first-year funds that were heavily leveraged by the BP gift of $7.0 million in facilities and cash. DOE also provided a one-month extension and grant of $30,000 for the month of May 2003. A 5-year plan to grow a permanent endowment in order to manage the facility in perpetuity is well under way and on schedule. The facility, named the Houston Research Center, represents an ideal model for a strong Federal, university, and private partnership to accomplish a national good. This report summarizes the activities supported by the initial DOE grant during the first 13 months of operation and provides insight into the activities and needs of the facility in the second year of operation.