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I do not think too much emphasis can be placed upon creation of favorable climate for development of foreign mineral resources to feed the hungry maw of our industrialized nation. We have become dependent, not only upon the ten raw products indicated in Mr. Bancroft's article, but upon 71 mineral substances listed by DMPA as in short supply. Forty-four of these are metals, 9 are chemical minerals and 18 are nonmetallic minerals. Of this list only 8 are produced in any large quantity in the United States, and all are vital in peace-time industry. Even more, they are absolutely essential for defense. This represents our present needs. But if our consumption and requirements are projected over the next 25 years as is done by the President's Materials Policy Commission-The Paley Report-our future outlook becomes appalling. The divergence of consumption over production, even allowing for substitution and conservation, will widen in the future. This means our dependence upon foreign raw materials, mainly minerals, will grow. What are the chief foreign sources of minerals for our future needs? They are chiefly Latin America and the dominions and colonies of the Western European nations. The British Commonwealth countries contain in abundance those minerals which the U. S. lacks. Of 32 of the most critical minerals the Commonwealth is deficient in 7 and lacks only 1; whereas the U. S. is deficient in 18. Strikingly, our deficient minerals are abundant in the Commonwealth and several of their deficiencies are in excess in the U. S. Resources of the two nations complement each other. If Europe should be overrun by an unfriendly power that could control the destinies and resources of the European dominions and colonies, our industrial life would be placed in severe jeopardy. Therefore, I heartily endorse Mr. Bancroft's statements regarding the Point IV program, provided the program is wisely administered and implemented. It is from the underdeveloped countries, as pointed out by Mr. Bancroft, that most of our future mineral supplies will have to come. Many of the underdeveloped source countries are African colonies and dominions of Western European nations. Our present aid to Europe, therefore, is not, as many infer, a purely one-sided affair; it safeguards our future industrial development and security. Development aid directly to the underdeveloped countries through a well administered Point IV program, can do much, I believe, to safeguard our prosperity. I regard it as a wise investment for future U. S. mineral needs. Dr. Alan M. Bateman Department of Geological Sciences Yale University Mr. Howland Bancroft's article, The Broadening Road to Foreign Investment, appeared on page 666 of the July MINING ENGINEERING.

Jan 1, 1952

By John Griffen

OF the western European countries, only England has made any extensive use of equipment developed initially by the coal preparation industry of the United States. About 20 years ago, the Chance sand flotation process for cleaning coal was introduced in England, and it has had a fairly wide adoption, particularly in the South Wales coal fields. In recent years, particularly since 1946, a considerable number of Denver flotation cells have been installed throughout the English coal fields for the cleaning of slurry. Until the advent of the Denver cells, the flotation of coal slurries in Western Europe had been done largely with the Mineral Separations cell or its modifications. Kleinbentik of Dutch State Mines had developed a cylindrical cell used in Holland and occasionally in Belgium and France. In England, the establishment of the National Coal Board to control the planning and operation of all coal production has retarded somewhat modernization of properties. A considerable period of study was required before definite long-range plans could be formulated. It was soon recognized that stopgap measures were needed in many cases to bridge the period until final plans could be developed and consummated. One of the stopgap problems in coal preparation was providing plants of small and medium capacity that could be used for a few years at one site and yet could be moved economically to another site so as to reduce depreciation charges per year and per ton. Such plants are being installed but the most satisfactory answer probably has not yet been found. One such installation uses a Norton Baum jig to wash 6 in. to 0. The equipment is in a steel structure rather than in a reinforced concrete frame with brick curtain walls, which is the normal structure for permanent plants. Since England has between 700 and 800 preparation plants for an output of 200 million tons per year, one of the long-range objectives is a consolidation of mine output which will require fewer coal

Jan 1, 1952

By R. B. Ladoo, C. A. Stokes, R. N. Secord, A. L. Hall

INDUSTRIAL mineral history shows that the entrance of new, nonmetallic minerals into commercial production can be expected to occur from time to time. Latest entrant into the field is wollastonite. Except for one short-lived period in Kern County, Calif., starting in 1933, wollastonite has never before been produced on a commercial scale. But the signs are up for its entrance as an economic factor in the mineral market. Small scale experimental production from a deposit near Willsboro, N. Y., started about 1943. A pilot plant was built in 1949-50 and irregular, small scale, production has continued. In early 1951 Godfrey L. Cabot, Inc. of Boston, world's largest producer of carbon black, took an operational lease on the property to study the deposits and make market surveys. This became Cabot's first venture in the mineral field, when they took over operations and began design of a new mill, expected in production in 1953. Properties The properties and major uses of wollastonite are comparable to New York fibrous talc. It has about the same specific gravity and index of refraction as talc, but is somewhat whiter and softer. The two most important fields of use, paint and ceramics, are the same as for talc. Ground wollastonite has a fiber length as much as 13 to 15 times the diameter. This particular property makes it applicable in the paint field and others. In addition, the length-diameter ratio may be controlled to rather narrow limits by choice of grinding method. Another important commercial property is brightness or whiteness. Wollastonite reads from 92 to 96 pct of MgO on the G.E. brightness meter for a 99 pct -325 mesh grind. Purity and uniformity of product are important. Chemically, the wollastonite now being mined analyzes SiO2 51.76, CaO 47.56, FeO 0.46, MnO 0.04, and H2O 0.09 pct. Theoretically pure wollastonite analyzes SiO2 51.75 and CaO 48.25 pct. This analysis indicates over 98 pct calcium silicate, with only small amounts of contaminating ingredients. That these ingredients are not detrimental to color or brightness is shown by the high brightness value of the fine ground material. [ ] By-product calcium silicate from electric furnace production of phosphoric acid has little physical re-semblance. to this wollastonite, being an off color white, and lacking in fibrous crystalline character. Minerology Wollastonite is a calcium metasilicate, CaSiO3, a white, medium hard, fibrous mineral. In this deposit wollastonite occurs as well crystallized aggregates of bladed crystals intergrown with garnet, and with a few percent of green diopside. The beneficiated product is about 75 pct wollastonite, 15 pct garnet, and 10 pct waste, largely middling. Wollastonite-garnet ore occurs in at least two beds. The main bed, varying in true thickness from 30 to 70 ft, dips into the hill at an average 30° and is enclosed in gneisses. Diamond drilling has proven the orebody to an average depth of 200 ft along 2000 ft of outcrop with adequate tonnage for many years of quarry operation. The wollastonite-garnet ratio varies locally, but average composition is uniform over long distances. A friable ore, it is easy to drill, shoot, and crush. Beneficiation Unlike talc this ore has to be beneficiated. Successful treatment depends upon the fact that it contains virtually nothing but wollastonite, garnet and a minor percentage of diopside. A very pure wollastonite product can be made by high intensity magnetic and/or gravity separation methods.

Jan 1, 1952

By Lawrence H. Van Vlack

DISCUSSION, H. L. Burghoff presiding C. S. Smith (University of Chicago, Chicago)—The author is to be congratulated on his valuable contribution to the extremely meager absolute data on interface energies in metallic systems. It is interesting to note that the ratio between a and r iron boundary energies is approximately the same in the quaternary alloy with silicon, carbon, and sulphur as in the binary Cu-Fe alloy. A value for the copper grain boundary energy can be obtained from the author's data, Tables IV and VI, by utilizing the energy ratios of the following pairs of interfaces: copper-sulphide/copper, copper y iron, y iron/y iron, y iron/ copper, and copper/copper. This gives a value of 595 erg per sq cm for the free energy of the copper grain boundary. Despite this circuitous route and the assumption that the y iron boundary is identical in alloys with and without sulphur and does not change between 1105" and 100O°C, this figure is in remarkably close agreement with other values of the copper boundary energy, obtained by equilibration against lead and against the free copper surface. It therefore appears either that impurities do not greatly affect the grain boundary energies or that boundaries in even nominally pure metals are already sufficiently contaminated so that further change has little effect.

Jan 1, 1952

By Robert Glass Cleland

IN gathering material for this book, I have made extensive use of the archives of Phelps Dodge, contemporary news- papers, and a wide range of secondary sources. Two manuscripts-one on the history of Phelps Dodge by Arthur Train, Jr., and John L. Lawler, the other a biography of William E. Dodge by Richard Lowitt-have been of the greatest value. I owe a particular debt to the authors whose names I have just mentioned. I have also gathered important information and obtained revealing points of view from conversations with many people. Personal visits to the company's mines and plants added knowledge and understanding that nothing else was able to supply. I am greatly obligated to the officers of the company, especially to Mr. Louis S. Cates, chairman of the board of directors, Mr. Robert G. Page, president, Mr. George R. Drysdale, vice-president of Phelps Dodge Corporation, and Mr. Walter C. Bennett, president of Phelps Dodge Refining Corporation, for their co-operation and assistance. Mr. Wylie Brown, former president of Phelps Dodge Copper Products Corporation, also supplied valuable data and deeply appreciated hospitality. In my visits to the Phelps Dodge properties, company representatives extended every hospitality and placed at

Jan 1, 1952

By F. L. Robertson, C. H. Bacon, J. W. Till

A description is given of the development of a process for making low sulphur steel on furnaces fired with 2 1/2 pet sulphur oil. Slag and metal are analyzed at melt. Slag weight is estimated. A simple method for calculating necessary lime additions for making 0.025 and 0.035 pct sulphur steel is given. DURING the last 15 years John Summers & Sons have been confronted increasingly by the problem of producing a low sulphur steel from high sulphur materials. The principles adopted, the processes used, the data collected on a furnace specially set aside to study this problem, and speculation on future developments are dealt with in this paper. This study is limited to two melting shops which make sheet steel only, of the following analysis: C, 0.06 pct; Mn, 0.33; S, 0.04, 0.035, 0.03, and 0.025; and P, 0.02 and 0.015. All the processes described have reference to the manufacturing of this steel and are not necessarily applicable, without modification, to other steels. The raw materials used are given in Table I. Development of Process About 1934, Schenck's work on phosphorus was applied to frame quantitative rules for the removal of phosphorus, with great success. We could however, neither in our own work nor in the voluminous literature, find any assistance to frame quantitative furnace rules to remove sulphur. Perhaps, we should have persevered with Schenck's outstanding chapter on sulphur in The Physical Chemistry of Steelmaking, but we missed the importance of one (Ss) sentence on p. 478. "Evidently this ratio -------- is [S] the important quantity to be considered from the point of view of chemical reaction; it is clear that the sulphur content of the steel alone, as frequently given in the literature cannot suffice for judging the success of the reaction unless special details are given regarding the sulphur charge and the amount of slag."' We were not however very successful in getting values for Schenck's "n" that agreed with (S) arrived at by our direct analysis. [S] In addition to Schenck's work much attention was given to V value. The formula selected for V was: (SCaO) — 1.57 (2 P2O5) (S SiO2) After plotting many charges a curve was obtained, based upon the relationship between the percentage sulphur in the finished steel and V value, Fig. 1. For a long time this was used as standard with about a 60 to 70 pct success on producer-gas fired furnaces, if all uprising scrap was used and no bought scrap used. An inspection of this curve shows clearly that it is not a quantitative manufacturing process, and that it was not sure enough to go to the trouble and expense of doing stage analysis for P,O,,

Jan 1, 1952

By Edward H. Robie

Engineers' Centennial THIS summer, in Chicago, will be celebrated the "Centennial of Engineering" and half a hundred engineering societies will have meetings of one kind or another in the two weeks following Labor Day. It is really the 100th anniversary of the founding of the American Society of Civil Engineers. Centennial of Engineering is merely a convenient label to put on the celebration of 100 years of engineering progress in this country since the ASCE was founded. Engineering, of course, is much older than is thus indicated-thousands of years older. But Americans have a penchant for dramatizing progress by celebrating assumed anniversaries. Four years ago a special 30 stamp was issued on which a Brahma chicken was prominently displayed, with the legend, "1848-1948. Centennial of the American Poultry Industry." We feel reasonably sure that the first dozen eggs was sold considerably earlier than that. Until a hundred or so years ago engineers were generally classified as either military or civil. Apparently a group of civil engineers met for the first time in Augusta, Ga. but no records were kept and the first meeting of which we have definite knowledge was at Barnum's Hotel in Baltimore, Feb. 11, 1839. Forty engineers were present and they decided to form a society. Among the aims of these engineers was "the greatest amount of useful effect at the smallest cost," which is as good a slogan for the engineer of today as it was 113 years ago. It was mentioned that the existence and prosperity of the society depended in no small degree on "the personal conduct and exertions" of the members. "Talents and respectability are preferable to numbers ... from too easy and promiscuous ad mission, unavoidable, and not infrequently incurable, inconveniences perplex most societies."

Jan 1, 1952

By E. F. Raffo

THE design of the Chuquicamata concentrator offered an unusual combination of problems, all of which had, in one way or another, a definite effect upon the final arrangement of all the equipment and necessary facilities. First of all, a remotely located project of this magnitude required careful selection of equipment with an adequate supply of replacement parts and in some cases necessitated stand-by spare equipment ready for immediate use. Fortunately, in the course of determining the proper flowsheet, in itself a prime factor in the concentrator design, it was possible to conduct numerous grinding and flotation tests at the Anaconda and Andes concentrators. As a result of these tests made under actual operating conditions, most of the major equipment best suited for treating the Chuquicamata ore efficiently was decided upon while preliminary design layouts were still being made. The design has been based primarily on the treatment of sulphide ore crushed to about 3/4 or 1 in. However, until the new sulphide crushing plant is completed it will be necessary to handle ore crushed to 3/8 in. in the existing oxide crushing plants and to some extent a mixed ore which has had its oxide copper content removed by leaching. This mixed ore, known as leached residue, will contain a certain amount of sulphuric acid from the leaching process which necessarily requires special protective measures. Several factors influenced the final location of the Concentrator. The only established fact known during preliminary design layout was the elevation of the dumping floor over the fine ore bin. This was predetermined by the desired level railroad grade across part of the existing tailing and leached residue dumps from the oxide plant to the bin. Next it was necessary that a site be chosen that would not require an excessively long haul from either the present oxide plant or the mine and in addition provide a fairly constant natural ground slope sufficiently wide to accommodate the length of the ultimate concentrator. The site as finally chosen to meet the foregoing restrictions provided a natural ground slope of 6 to 7 pct. This was excellent, especially in a region subject to earthquakes, as it assured that foundations of heavy equipment and footings for building and crane columns would rest on cut or undisturbed ground. However, this shallow slope, although having some definite advantages in the overall consideration of plant layout, resulted in the need for extensive studies in the general arrangement of equipment. Wasteful and excessive vertical drops had to be eliminated in the

Jan 1, 1952

The Howe Memorial Lecture, in memory of Henry Marion Howe, Past President of the Institute, was authorized in April, 1923, as an annual address to be delivered by invitation under the auspices of the Institute by an individual of recognized and outstanding attainment in the science and practice of iron and steel metallurgy or metallography, chosen by the Board of Directors upon recommendation of the Iron and Steel Division. The following were the Howe lectures and lecturers for the years indicated 1924 What is Steel? By Albert Sauveur

Jan 1, 1952

[ ] John M. Davis has left Western Machinery Co. to take a job as project engineer with Baroid Sales Div., National Lead Co., and is now located at Houston, Texas. C. W. Allen, general manager of the mining dept. of the Cleveland Cliffs Iron Co., visited the firm's iron mines on the Mesabi iron range of Minnesota recently. Thomas P. Anderson, mining engineer and geologist, has resigned from the Raw Materials Div. of the U. S. Atomic Energy Commission where he was assistant chief of the Denver Exploration Branch. He will enter private practice in Golden, Colo. James E. Atkinson, consulting mining engineer and geologist, left New York for Colombia, S. A., as general manager for Cia Minera Choco-Pacifico, S. A., operating five dredges in gold and platinum on the Pacific coast of Colombia. Russell H. Bennett has been elected a director of Placer Development, Ltd. with head office in Vancouver, B. C., and is also a director of its subsidiary, Canadian Exploration, Ltd., which mines and mills lead, zinc, and tungsten ores at a property near Salmo, B. C.

Jan 1, 1952

By Nicholas J. Grant, Italo S. Servi

SPECIAL polishing and etching techniques were developed during an investigation of the high temperature mechanical properties of high purity aluminum (99.995 pct Al).* Electrolytic polishing was done successfully in the following electrolyte: 5 ml perchloric acid (72 pct), and 95 ml glacial acetic acid. No special precautions need be taken during the preparation of the electrolyte since no appreciable heat of mixing is evolved. Although the electrolyte is not an explosive, it is recommended that Jacquet's safety rules' be followed during the polishing operation. A voltage of 25 to 60 v gives a good polish in about 2 min at room temperature after preparation on 3/0 metallographic paper. Most of the grain boundaries are visible under the microscope after polishing. Since the current is controlled essentially by the resistance of the bath, it is necessary to keep the anode-to-cathode distance as constant as possible. Accordingly, polishing of irregularly shaped pieces will be difficult. A cooling bath and a stirring system are advisable in order to keep the temperature of the bath uniform and constant. Coarse-grained samples can be macroetched in a few seconds by lowering the voltage below 10 v. This is done after electrolytic polishing, without removing the sample from the bath, Fig. 1. The specimen can be repolished in less than 1 min by raising the voltage above 25 v. The "galvanic etching" technique, which has been described elsewhere,' was found to be helpful not only for macroetching, but also for microetching coarse-grained specimens. In fact, the different orientations of adjacent grains provide good contrast at the grain boundaries, when the sample is observed under polarized light. If the specimen is only partially etched, Fig. 2a, the grain boundaries can be located without completely destroying the appearance of the surface of the specimen. The unetched surface appears black under polarized light. Excellent color contrast is obtained by using a "sensitive tint" plate in the optical system of the microscope. In this case, the unetched surface has a magenta color, while the etched part of the sample assumes different colors varying from green to brown, according to the orientation of the grains. Etch pits were produced on high purity aluminum by using the technique suggested by Lacombe and Beaujard." Good results also were obtained by substituting 70 pct nitric acid for the fuming nitric acid recommended. This gave an etching reagent of the following composition: 70 ml nitric acid (70 pct), 50 ml hydrochloric acid (37.5 pct), and 3 ml hydrofluoric acid (48 pct). An example of the results is shown in Fig- 2b. The outline of the etch pits is revealed sharply if the specimen is observed under polarized light, as shown in Fig. 2c. These metallographic techniques are not suitable for the examination of commercially pure (2s) aluminum. References 'P. A. Jacquet: Metal Finishing (Nov. 1949) 47, p. 62. 21. S. Servi: Metal Progress (1950) 58, p. 732. 3 P. Lacombe and L. Beaujard: Journal Inst. of Metals (1947) 74, p. 1._________________________

Jan 1, 1952

By J. S. Kennedy, A. A. Lerew, C. M. Judson, G. L. Simard

DITHIOPHOSPHATE collectors are commonly used in the flotation of sulphide minerals. Studies of the interaction of a typical dithiophosphate collector with galena surfaces have been previously reported from. these laboratories." These fundamental studies were carried out by employing phosphorus labeled radioactive dithiophosphate. Radioactivity determinations then could be used to measure readily and accurately the small concentrations of dithiophosphate that, are present under conditions of flotation processes. Measurements were made on ground mineral, determining the amount sorbed indirectly from the concentrations in solution; and studies were also made with single crystals, determining the amount sorbed directly by counting the crystal surface. The rates, isotherms and reversibility characteristics of dithiophosphate sorption, the competition between phosphate and dithiophosphate for the mineral surface, and the exchange of sorbed dithiophosphate with dissolved dithiophosphate were studied. These studies have now been extended by sorption measurements in flotations with a Fagergren, machine. For this work, the selective flotation of galena and sphalerite from quartz was chosen, using ammonium di-(sec-butyl) dithiophosphate as. the collector, sodium cyanide as depressant for sphalerite, and copper sulphate as an activator for sphalerite. While the selective flotation of galena and sphalerite using a single dithiophosphate collector is not typical of flotation practice (two different collectors are generally used), it was found that a reasonably good separation could be obtained by using zinc sulphate with the sodium cyanide in the galena flotation and by cleaning the sphalerite concentrate or by carrying out the sphalerite. flotation in an alkaline medium. Data of practical importance on the distribution of collector between the concentrates, tailings, and solutions were obtained, particularly with regard to the effect of copper sulphate and sodium cyanide. In addition to the. selective flotation of galena and sphalerite from quartz, single flotations of galena-quartz and sphalerite-quartz mixtures were carried out, along with blank flotations on quartz alone. The present paper describes the results of these experiments. As in previous papers, the term sorption is used to designate uptake of collector by the mineral, without implication as to the nature of the processes involved. Experimental Materials: The mineral system was a ground synthetic mixture of galena, sphalerite, and quartz. The galena was from Galena, Kans., and contained 75 pct lead (theoretical 85.6 pct Pb for PbS); the sphalerite, from Ottowa County, Okla., contained 63 pct zinc (theoretical 67.2 pet Zn for ZnS) ; and the quartz from Klondike, Mo., analyzed as 99.97 pet SiO2. Sulphur labeled radioactive di-(sec-butyl) dithiophosphate was prepared from S82 supplied by the Oak Ridge National Laboratory on allocation from the U. S. Atomic Energy Commission. The synthesis consisted of precipitating barium sulphate, reducing the barium sulphate to barium sulphide, acidifying to form hydrogen sulphide, and oxidizing the hydrogen sulphide with iodine to elemental sulphur.

Jan 1, 1952

WE vote this month without knowledge of either major presidential candidates' position on mineral problems. Too long have we kept our own counsel, turned our backs on the public. Certainly we must formulate policies upon which we may unite in industry council, but implementation of these by legislative bodies requires popular understanding, if not support. The earth and its resources are the province of the miner and the farmer but beyond this, and the basic need of the economy for both, the similarity ends. In this election year the disparity between the poll strength of these two fundamental callings is apparent. While both candidates have found it essential to incorporate a farm plank in their platforms, mining has been neglected as not being a basic issue. If this gives the mining fraternity the advantage of voting objectively, it also leaves the general public in the dark as to the attitude of the candidate on a basic issue. It is an issue on which depends the future of the nation, but, unfortunately, the public is not aware of its own vital stake in mining. Thus election time brings with it a fresh example of the evils of automatic lawn sprinkling-a long standing peeve of ours. Back in the days of the hand-held sprinkling hose in the intimacy of the twilight the mining man had the opportunity to unburden himself on the problems of mining to his neighbor who might be a doctor, lawyer, or accountant. With the encroachment of mechanized sprinkling, yet another forum for the indoctrination of the layman into the significance of mining has disappeared. Familiarizing your neighbors with mining in the lawn sprinkling societies of yesteryear was the individual's contribution to public relations for mining. The corporations can use educational advertising in popular magazines as is practiced by such companies as Kennecott. The AIME can play an important part by providing career guidance information on the mineral industries. We offer the suggestion to the American Min¬ing Congress, that the splendid exhibitions of mining machinery featured in alternate years for metal and coal mining, respectively, might be opened to the general public one night during the week of the show. Newspaper publicity would add greatly to the public's interest in such an opportunity. Power for the public is considered a vote-getter and no candidate has neglected to make his stand on this subject. Is the price of the kilowatt in the home of greater importance to the voter than the price of the metal durable goods which he purchases every year? Not really, but the voter thinks so. Mining has as much sales appeal as 'potatoes or kilowatts if presented in the proper way. We suggest that a little hand lawn sprinkling by the right people in the right places would produce an abundance of publicity which would give Mr. and Mrs. American something new to expect from their representatives-a vigilance over the flowering of their mining industry.

Jan 1, 1952

By K. S. Benson

DEPLETION is a subject of vital importance to the mining industry. Yet, in spite of its importance, its significance is not generally understood. The purpose of this discussion is to clarify the main aspects of the subject from the viewpoint of a metal mine taxpayer. To define the term depletion, it is necessary to distinguish among its various uses. In the economic or geological sense, depletion means the exhaustion of a natural resource. A mineral deposit is a wasting asset and once exhausted is nonrenewable. Millions of years were needed to produce an ore deposit, which may be consumed in a few years and which cannot be replaced except by the discovery of new sources of supply. The wasting asset feature of the mining industry has a vital bearing on the impact of the Federal Income Tax Law on this industry. This is recognized in the law by the various provisions dealing with the depletion allowance, and in this sense the term depletion has an income tax meaning. Depletion from the tax viewpoint means the statutory deduction from gross income designed to permit the return to the taxpayer of the capital consumed in the production and sale of a natural resource. The mining enterprise realizes income on the extraction and sale of minerals and a portion of the income realized represents capital consumed. As the resource is exhausted, the mining enterprise approaches the end of its existence unless new sources of supply can be acquired. Depletion from the tax viewpoint is a creature of statute with limited meaning and application and, in essence, is a method for amortizing the value of the primary asset of a mining enterprise. An example can best illustrate the significance of depletion from the tax viewpoint. Compare a manufacturing concern with a mining company. In computing taxable income of a manufacturing concern, consideraion is given to the cost of producing such income, the principal costs being capital investment for plant and equipment, labor, and raw materials going into the products produced. A mining enterprise, on the other hand, is faced with a different problem because its principal asset is the natural resource which it is producing. In computing its taxable income, consideration is given also to its capital investment for plant and equipment and the cost of labor; but in addition, recognition must be given to the fact that a portion of the proceeds realized on the sale of mineral represents capital. Without such recognition, the mining company would be taxed not on income but on capital and income, and Congress has never intended that capital be taxed as income. Thus, when depletion allowable is referred to in the mining industry, it means the statutory deduction allowable in computing taxable income of a mining enterprise. For guidance the appropriate provisions of the Internal Revenue Code, Income Tax Regulations, and the judicial decisions interpreting and construing them must be examined. It is important to identify and distinguish three methods of determining the allowance for depletion: 1—Cost depletion, 2—Discovery depletion, and 3—Percentage depletion. The basic method is cost depletion and in addition some taxpayers may be entitled to use discovery depletion and other taxpayers may be entitled to use percentage depletion. Discovery depletion and percentage depletion, however, are mutually exclusive and if a taxpayer is entitled to percentage depletion, he is not entitled to discovery depletion. By statute, a metal mine taxpayer is entitled to use cost depletion or percentage depletion, whichever produces the highest deduction. Thus, discovery depletion is merely of academic interest to such taxpayers and to most others. Briefly and broadly speaking, these methods of determining depletion may be described as follows: 1—Cost Depletion: Under this method, the allowable deduction for depletion is based upon the cost of the particular deposit to the taxpayer, unless the deposit was owned prior to Mar. 1, 1913, in which case the taxpayer may use the fair market value of the deposit on that date or actual cost, whichever is higher. This method is sometimes described as basis depletion or adjusted basis depletion, but in this discussion it will be referred to as cost depletion. 2—Discovery Depletion: Under this method, the allowable deduction for depletion is based on the fair market value of the deposit at the date of discovery or within 30 days thereafter and was originally designed to take into account deposits discovered subsequent to Feb. 28, 1913. 3—Percentage Depletion: Under this method, the allowable deduction for depletion is based on a specified percentage of the income realized during the taxable year from a particular property. As stated, the concept of depletion is based upon the exhaustion of a natural resource as distinguished, for example, from the concept of depreciation based on the exhaustion of property used in trade or business. From the tax viewpoint, depletion first became important in the administration of the Corporation Tax Act of 1909, which provided for an excise tax on net income. As soon as this act went into effect, mining taxpayers attempted to claim a deduction for depletion in computing net income although there was no specific mention of a deduction for depletion in the statute. The courts in these cases uniformly held that the statute did not permit an allowance for depletion in computing net income and also held that the provision permitting a reasonable allowance for depreciation did not include depletion. These early cases are quite significant because they establish the principle that the

Jan 1, 1952

By Robert Glass Cleland

[PHELPS DODGE COPPER PRODUCTS CORPORATION OFFICE, 40 WALL STREET, NEW YORK 5, N. Y. OFFICERS Whipple Jacobs President Howard T. Brinton Vice-President Edgar P. Dunlaevy Vice-President Weightman Edwards Vice-President S. Allan Jacobs Vice-President]

Jan 1, 1952

By J. S. Aronofsky

The results of polentiometric model studies and numerical computations are described. The purpose of these studies was to determine the influence of the mobility ratio on flooding efficiencies during water encroachment in petroleum reservoirs, in systems of regular well geometry. The direct line drive well pattern having relative spacing distances of one and one-half to one was investigated for water to oil mobility ratios of 10. 1. and 0.1. The results of these studies indicate that the pattern Sweep efficiency i.; very dependent upon the mobility ratio. INTRODUCTION The almost universal occurrence of water in the immediate neighborhood of oil-hearing sands lends considerable emphasis to the desirability of having a rational analysis of water encroachment into petroleum reservoirs. This problem has 1)become increasingly important with the accelerated use of water injection for secondary recovery operations. The water encroachment problem has been studied from both the theoretical and experimental viewpoints by Muskat.' He has formulated, in a precise manner, differential equations to express flow in a water encroachment system, and rigorous analytical solutions have been developed for the linear, radial, and spherical cases.' However, it becomes exceedingly difficult to solve the encroachment problem rigorously for any general two-dimensional system in which the shape of the two-fluid interface is not immediately evident from the geometry of the system. The difficulty lies in the fart that a rigorous analytical solution requires that the shape of the two-fluid interface be known simultaneously with its instantaneous posititon and with the pressure distribution on both sides of the interface. Although this paper concerns the study of the two-fluid system of oil and water. the methods described in the paper are generally applicable to other systems of incompressible and immiscible fluids in which the displacing fluid sweep-the displaced fluid down to a residual value. In each region it is assumed there is only one mobile fluid and its mobility is constant throughout the region. The Same procedure. with minor alteration, is applicable for gas injection systems provided the assumption can be made that both the displaced and displacing gases can be described by steady state formulas. For the particular two-fluid problem considered in this paper, there is a relative permeability. K, and a viscosity. p. associated with the water zone, and a different permeability and viscosity associated with the oil zone. The K/p (mobility value associated with a particular volume element of the porous medium. at any instant of time. will depend upon whether the element is ahead of. or behind the advancing interface. It is assumed that all volume elements ahead of the interface are characterized by the K/p value for oil, while all the elements behind the interface are characterized by the K/p value for water. That is. the K/p value in the oil zone is constant throughout the oil zone. and the K/p value in the water zone is also constant but different from the value in the oil zone. The symbols are defined at the end of the paper. The well pattern chosen for initial study is the direct line drive; the swept-out area at breakthrough was determined by two different methods which are described in the section on theory. These are: 1. Potentiometric analyzer 2. Numerical computation The use of the potentiometric analyzer for studying water flooding problems is adequately described in the literature, particularly for cases where the mobility in the water zone is assumed equal to the mobility in the oil zone." ' 5

Jan 1, 1952

By Paul L. Russell

THIS is a progress report of an experiment being undertaken in cooperation with the Bethlehem Steel Corp., the Crucible Steel Co., and the Rock Bit Sales and Service Co., involving heat treatment of the shank ends of drill steel. This experiment is being conducted by the U. S. Bureau of Mines in its experimental mine, Mining Research Branch, Bluemont, Va. The purpose of the experiment is to determine the effect of an increase in the time the steel soaks in the furnace during the hardening heat. It has been thought that increasing this time produces a soft zone below the lugs resulting in a metallurgical notch that causes early failure. Each of the steel companies furnished enough 11/4 - in. straight carbon, hollow, round steel to make up 10 sets of drill steel, in each instance the steel bars were from the same heat. These sets of drill steel, consisting of 2-ft, 4-ft, 6-ft, and 8-ft lengths were fabricated by the Rock Bit Sales and Service Co. Special attention was given to the forging of the steel to produce the best rods possible. The heat treatment of all thread ends was identical and followed the best practice. The heat treatment of the shank ends of five sets of steel from each company produced a soft zone 2 to 4 in. in front of the lugs. It was decided that possibly the best way to obtain this effect was not to overlap the hardening heat but to let the steel soak for an additional 30 min before quenching. Therefore the only variable in the test steels is the length of time the shank ends were in the furnace. The remaining drill steel shanks were treated as follows: Heat treatment in pyrometer-controlled furnace at 1550°F. Quenching oil at 105°F to 125°F temperature. Areas for heat treatment were; shanks, 11 in.; threads, 9 in. Time at heat, standard practice, 20 min for 11/4-in. steel. Actual drilling tests were made in greenstone, (a metamorphosed basaltic rock), and in epidosite. Greenstone has a specific gravity of 2.96 and a compressive strength of 44,200 psi. Epidosite has a specific gravity of 3.26 and a compressive strength of 63,100 psi. All drilling tests were made using a 31/2-in. column-mounted, automatic feed drifter, with a controlled air pressure of 90 psi at the throttle. Tungsten-carbide bits of 2 in. diameter were used for all drilling. Contrary to expectations the drill steels that were allowed to soak for the additional 30 min before quenching performed better than the steels that were heat treated according to standard practice. This performance, as shown in Table I, was especially noticeable in the drilling of epidosite. The "longheat" drill steels furnished by Company "A" drilled 154 pct more minutes than the "standard-heat" steel. Expressed in feet, the "long-heat" steel drilled 114.60 ft more before failure than the "standard-heat" steel. The "long-heat" steel furnished by Company "B" drilled 37 pet more minutes or 60.39 ft more before failure than the "standard-heat" drill steel. The effect of the long heat treatment was not as evident when the steels were drilling in greenstone (Table II). In greenstone, the increase in minutes drilled by the "long-heat" steel over the "standard-heat" steel was 47 pet and 1 pet, respectively, for Companies "A" and "B."

Jan 1, 1952

By Edward M. Weiss

THE emphasis in some political quarters on hemispheric unity and defense indicates Latin American mineral resources should be more extensively developed. However, United States mining companies have, in many instances, been discouraged by the laws of southern neighbors. At the same time, some of the countries have liberalized their mining laws in an effort to attract investments from the United States. The resultant confusion has been detrimental to all concerned. Ownership of Mineral Deposits Examination of the mining codes of Latin American countries shows that, without exception, governments reserve the right of direct ownership of all mineral resources. Ownership can be divided between the Feredal Government and the states or among the Federal Government, the states, and private individuals. However, in the majority of the nations constitutional authority vests all mineral rights solely in the Federal Government. Mexico is the only country that has expressed Federal ownership as imprescriptible; the other republics have not defined the exact significance of government ownership. The implication derived from the general economic and political climate is that all mineral resources are ultimately to be regarded as a national heritage. Whether a concession granted to an individual or corporation carries any right of private property is shaded with a variety of meanings. The exceptions at one extreme are Argentina and Bolivia, whose laws state explicitly that a concession granted to a juridical person is an act of the state, and the land becomes the private property of the individual, and the concessions constitute real property. However, in Mexico mining concessions or grants do not create rights of fee-simple ownership. The concession only conveys the exclusive right to explore, develop, and work the deposits. The mining property remains the property of the state. In some instances exploitation concessions represent a compromise between private and government ownership. In Honduras the period granted to a mining enterprise is fixed at 90 years. At the end of that time, the enterprise and all installations revert to the state without compensation.

Jan 1, 1952

By R. H. Jacoby, M. J. Rzasa

Experimental equilibrium vaporization ratios (K values) were obtained for nitrogen, methane, carbon dioxide, ethane and hydrogen sulfide in two natural gas-absorber oil mixtures and in two natural gas-Elk Basin crude oil mixtures. For each mixture of constant over-all composition, data were obtained at 100°, 150° and 200°F and at various pressures in the range 200 to 5,000 psia. Some effects of composition on the K values were obtained to serve as a guide in choosing K's for engineering calculations on other mixtures. The pressure cell used to obtain the data is a new type and is described here for the first time. INTRODUCTION The phase equilibria of complex hydrocarbon mixtures such as natural gases, crude oils and their mixtures have been studied previously for the purpose of finding equilibrium vaporization ratios for the hydrocarbon constitutents. In a few cases, such non-hydrocarbon.: as nitrogen, carbon dioxide, and hydrogen sulfide were included in the mixture. studied because they occur. in the fluids obtained from petroleum reservoirs. The increasing occurrerce. of these non-liydrocarbon.; antl their growing economic importance. make it necessary to account for them more accurately in engineering calculation.: than is now possible using the meager published data. The available data for non-hydrocarbons may he classified into two groups: namely, binary mixtures of a hydrocarbon and a non-hydrocarbon. and mixtures containing three or more components, only one of which is a non-hydrocarbon. Amon: the former. phase analyses are available for two nitrogen-HC mixtures, tve carbon dioxide-HC mixtures and three hydrogen sulfide-HC mixtures. Data for more complex mixtures are available as follows: Nitrogen-Methane-Pentane'; Nitrogen-Methane-Hexane,'; Nitrogen-Methane-Heptane'; Carbon dioxide-Natural Gas-Natural Gasorline": Carbon dioxide-Natural Gas-Crude Oil". These data have been used generally lor engineering calculations, often with little regard for their precise applicability because data for the non-hydrocarbons in the complex mixtures being dealt with were not available. The use of K values from binary data for calculation:; involving complex mixtures is open to criticism because such K's are not a function of composition and very often show large differences from the K's for the same components in a complex mixture. Thus the effects of composition must be evaluated when obtaining K's for components in complex mixtures. Poettmann and Katz " varied the carbon dioxide content of their mixture.; from about five to ten mol per cent and found substantially no effect on the K values due to this change. This was not surprising since one might expect that changing a minor com-ponent by * three mol per cent would have little effect. It is more important to find the composition change which have the largest effect on the K values. For example. varying the methane or heptanes — plus compositions over a wide rangr may have a large effect on the K'. of all components in the mixture. Interesting data to this effect were obtained by Eilerts and Smith." It was toward these problems that the experimental data presented here were directed. EQUIPMENT The pressure cell used to obtain the data i:. somewhat dif-ferent from those which have been described in the past. Photographs of the equipment are shown in Figs. 1 and 2. Fig. 1 Shows. the front panel: from a .rated position at the right the

Jan 1, 1952

COAL DIVISION Established as a Division September 20, 1929 A. Lee Barrett, Chairman Ralph E. Kirk, Chairman-elect David R. Mitchell, Secretary-Treasurer Professor of Mining The Pennsylvania State College State College, Pa.

Jan 1, 1952