Fluorspar-The Domestic Supply Situation

Consumption of fluorspar in the United States in the last ten years has doubled to 1.34 million tons. One main, reason for the increase has been the use of the basic oxygen furnace to produce steel which requires considerably more fluorspar than the open hearth. The increasing consumption of aluminum and fluorocarbon chemicals will require more fluorspar, Since 1964 domestic fluorspar prices have advanced over 70%. Maximum prices were attained in 1971 and remain stable. These higher prices have brought about the expansion of production capacity at many of the present mines and mills. Exploration has been intensified, resulting in new discoveries, which are being brought into production. Many deposits, heretofore considered uneconomical, are being reappraised for possible development. Companies who have not previously mined fluorspar are actively seeking and acquiring new properties. The outlook for the continued health of the domestic fluorspar industries is favorable at present prices; however, it is doubtful that production will be greatly increased. New production will have to come from presently inaccessible areas of much greater distance from consuming centers. Prices will have to be higher to support this production. Domestic fluorspar production meets only 20% of domestic consumption. Thus, reliance on imports on fluorspar in the future will become increasingly more critical.