What exactly is a texel?

A pixel from a texture.

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Texels are the little squares that make up texture images, similar to how pixels are the little squares (elements) which make up your screen images.

Try here for a bit more, or do some more web searching.

Texels are also a type of sheep

Helps?

An easy way to remember :

pixel = picture element
texel = texture element
voxel = volume element