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By AIME AIME

IN accordance with the provisions of Art. XII, See. 3, of the By-laws of the American Institute of Mining and Metallurgical Engineers, the Board of Directors hereby give notice of their intention to amend the By-laws as follows : Art. V, Sec. 2. Amend by substituting the word "senior" for ('first" before the words "Vice-president" in line two of the third paragraph of said section which relates to the calling of special meetings of the Board in the absence or disability of the President.

Jan 1, 1930

By M. H. Loveman

THE orebody described below has been rediscovered and developed within the last 3 years. It has, however, been known and worked by the Chinese for hundreds of years. When assay values and size are considered, it contains what is probably one of the largest single bodies of zinc and lead sulphides yet found. The tonnages developed at other places, as at Broken Hill, are much greater but the average zinc and lead sulphide contents are considerably lower than at Bawdwin. Bawdwin is situated in the semi-independent State of Tawng Peng, one of the numerous units which make up the Northern Shan States. These States are under British rule and are generally considered as a portion of Burma. They are governed as a separate administrative unit, however, under the Lieutenant Governor of Burma. Each State is under its own chief, or Sawbwa, who has considerable power over his own subjects. Bawdwin is approximately in latitude N 23°6', longitude E 97°20', about 50 miles south of the nearest point on the Chinese border and 450 miles north of Rangoon (Fig. 1). The period at which mining was first begun at Bawdwin is unknown. The most reliable records have been obtained by deciphering local Chinese inscriptions and from these it is concluded that the work dates back to at least the beginning of the 15th century. The first undoubted reference to the mines by a European is by Symes in 1795. Crawford in 1827 estimated the output of silver from the mines at $600,000 annually. At about the middle of the 19th century the rebellion of the Chinese Mohammedans in the neighboring Chinese province of Yunnan so weakened the power of the Chinese that the incursions of hostile tribes (Kachins) made work extremely dangerous. The mines were finally abandoned by the Chinese about 1868. The closing down of the mines was probably not entirely due to outside causes but may have been influenced somewhat by the increasing difficulty of handling the water, as the workings gradually descended below the water level of the district. Several attempts were made by the Burmese kings, Mindon Min and Thebaw, to resume operations, but because of a

Jan 12, 1916

POSITIONS VACANT (Under this heading will he published notes sent to the Secretary of the Institute by members or other persons.) In the course of the next few months, a mechanical engineer, who has specialized in the design and erection of copper-smelting plants, including steel work, power equipment, etc., may be required by a company operating abroad. Man speaking German preferred. No. 23. ENGINEERS AVAILABLE (Under this heading will he published notes sent to the Secretary of the Institute by members or other persons introduced by members.) Member, 31 years of age, married, graduate of Massachusetts Institute of Technology, desires position with malleable iron or steel firm. Nine years' experience as chemist and metallurgist in malleable, gray iron, and steel. No. 123. Member, metallurgist, desires position with company making steel, castings, or tool steel. Has had six years' experience with the electric furnace, making steel castings and tool steel, also heat treatment of same. No. 124.

Jan 9, 1914

By P. Barnes

It may he of interest, and perhaps of inzportance, to the members of the Institute that specific mention should be made in detail of the great value of this method of copying or photographing all kinds of tracings." Several samples are laid upon the table which may serve as illustrations of the results obtained. Some of these show slight imperfections, depending upon the character of the tracing, and upon the length of the exposure to the light, but it may be clearly seen that even a faint copy would be quite available for actual use. The process is believed to be of French origin, and has been used for many years. Special attention seems to have been directed to it recently, and its great value to engineers appears likely to be fully recognized. The manipulations required are of the simplest possible kind, and are entirely within the skill and comprehension of any office boy who can be trusted to copy a letter in an ordinary press. These particulars may be summarized somewhat thus: 1. Provide a flat board as large as the tracing which is to be copied. 2. Lay on this hoard two or three thicknesses of common blanket, or its equivalent, to give a slightly yielding backing for the paper. 3. Lay on the blanket the prepared paper with the sensitive side uppermost. 4. Lay on this paper the tracing, smoothing it out as perfectly as possible so as to insure a perfect contact with the paper. 5. Lay on the tracing a plate of clear glass, which should be heavy enough to press the tracing close down upon the paper. Ordinary plate-glass of 3/8" thickness is quite sufficient. 6. Expose the whole to a clear sunlight, by pushing it out on a shelf from an ordinary window, or in any other convenient way, for six to ten minutes. If a clear skylight only can be had, the exposure must be continued for thirty or forty-five minutes, and under a cloudy sky, sixty to ninety minutes may be needed.

Jan 1, 1879

By AIME AIME

THE steel industry has always been noted for producing men of forceful and versatile personality, many of whom combine the practicality that results from wide experience with an excellent theoretical background that comes from a college training plus years of wide and constant study of metallurgical literature. One of the best known examples of this type is Earle C. Smith, present Chairman of the Iron and Steel Division. After graduating from Ohio State and from Columbia, where he studied under Campbell, Earle started his career at that grand old prewar training school for steel men the Illinois Steel Co., where in the days of the twelve-hour shift he worked on the open-hearth floor. Following World War I, when he was in charge of government inspection at the Central Steel Co., Massillon, Earle held successively jobs of increasing responsibility with Central Alloy Steel, and when this company was taken over by Republic in 1930 he was made assistant district manager and a few years later was appointed chief metallurgist of the whole corporation.

Jan 1, 1942

By Harry M. Bendler, W. A. Wood

Electron metallography has been applied to the study of the torsional fatigue of polycrystalline OFHC* copper. The development of slip bands, fis- sures, and microcracks has been followed as a function of strain amplitude and number of cycles. Those factors that have been found to be relevant to a geometrical theory of the fatigue process are described. From the point of view of this theory it is important to distinguish between the effects of cycling at large amplitudes and at small amplitudes (true fatigue deformation). EARLY investigations showed metal fatigue cracking is caused by continued reversal of a small plastic strain. Fundamental study of fatigue, therefore, has been largely concerned with the cumulative effects of these plastic reversals on the metal structure. In particular, recent work has shown that the plastic reversals produce slip movements that are finer than the slip movements produced by unidirectional increments of plastic strain; individual slip movements in fatigue, for instance, are too fine to see by optical microscopy.2 It has also been shown that the fine slip movements of fatigue tend to concentrate in bands and that in this way they can build up, after enough cycles, a progressive surface disturbance. It is this disturbance which, in effect, makes the slip movement visible. It is also in this disturbance that the first cracks appear to form. From this point of view, therefore, the problem of fatigue becomes one of finding why the fine slip movements should concentrate in bands and why the. bands should finally open into cracks. Thus far, study of the slip bands has been limited to the changes they produce at the surface only. These studies have given interesting results. Ewing and Humfrey3 many years ago showed that the bands in iron could extrude debris. Forsyth found that bands in aluminum alloys could extrude thin tongues of material. Thompson showed that, after lightly dissolving away the surface of copper specimens, some bands persisted as superficial cracks might, and that the life of a specimen under fatigue deformation might be prolonged by dissolving away the surface at intervals. Thus these and related results have suggested that the metal structure in fatigue bands may disintegrate and that this may happen long before obvious cracking. These surface studies, however, have not shown definitely how cracking may begin, for they do not show sufficiently what is happening in depth. However, some advance in this direction has been made recently by a new approach, summarized later, which reveals slip bands and their surface disturbances in section. In the work done thus far, the sections have been studied by optical microscopy only. In the present work they have also been studied by electron microscopy with extended results. This paper also describes some observations on the surface disturbances prior to sectioning. These observations are relevant to a suggested theory of fatigue cracking. REVERSED SLIP MOVEMENTS Slip movements in fatigue deformation must reverse direction in each cycle. The question arises: DO the "backward" and "forward" movements take

Jan 1, 1962

By Hugh P. Tiemann

The desirability of employing the centigrade scale for the measurement of temperatures is becoming more and more recognized in this country, particularly in view of the fact that this scale is used almost exclusively in technical papers and publications—exclusively in those published in French or German. There are, however, a large number of factories and laboratories which still employ the Fahrenheit scale. It therefore frequently becomes necessary to convert one into the other and the accompanying chart (Fig. I) has been found very convenient for this purpose. The formulas for conversion follow: (1) °F. = 9o /5+ 32 (2) oC = 5 (oF - 32 ) (1) 100° C X 9 900/5 =180 .'. 180 + 32 = 212° F. 5 (2) 5 (212° F - 32) = 5 X 180 =100o C 9 9

Jan 1, 1916

By Monte J. Pool, Rudolph Speiser, George R. St. Pierre, William T. Ebihara

Standard free energies of formation of WO,, W O W20058 and WO3from oxygen and the lower oxide or tungsten have been determined in the tempel-ature range of 700° to 1220°C. A tentative W-O phase diagmm is presented based on the evidence that the oxide phases, "W18O49" and "W20058", are unstable at l~atm total pressure, below 585° and 485°C:, respectively. A HE need for a complete quantitative treatment of the phase equilibria of the W-O system has been establishedby metallurgists during the past few years. In an attempt to improve the endurance of tungsten exposed to oxidizing atmospheres at high temperatures, many research groups have studied the kinetics of tungsten oxidation. The reverse process, the reduction of the tungsten oxides to metal, has also been investigated to some extent. Regardless of the particular interest, metal to oxide or oxide to metal, a knowledge of the phase equilibria of the W-O system is required to properly interpret all of the kinetic observations. It should be possible to state the stable phases of the W-O system at any given values of the chemical potential of oxygen and the temperature.

Jan 1, 1962

By E. W. Engle

Fox several years the Fansteel Products Co. has been engaged in the production and development of various of the rarer metals. It is at present engaged in the commercial production of tantalum, tungsten, and molybdenum in a very high state of purity. The information contained in this paper is partly a general compilation from various sources and partly information obtained as a result of recent years of work in the laboratory of this company. Tantalum, tungsten, and molybdenum form a group peculiar to themselves among the commercially available metals. Their very high melting points (tantalum 2770° C., tungsten 3350° C., and molybdenum 2550° C.) set them apart so far as the metallurgical processes for their production are concerned. Further, when properly prepared and treated they will stand a somewhat unusual degree of cold work, that is work below the temperature at which marked crystal growth takes place. Such cold-worked metal may show a high tensile strength; tantalum to 130,000 lb. per sq. in., tungsten to 490,000 lb., and molybdenum to 260,000 lb., in the form of fine wire. In physical appearance, these metals are not unlike some steels; they may be better described by saying that polished tantalum some¬what resembles lead; polished tungsten, iron; and polished molybdenum, nickel. The polished surfaces of all three remain untarnished in ordinary air. Air containing corrosion-producing impurities will, in general, show molybdenum the least resistant to corrosion and tantalum the most resistant. Molybdenum has, however, a high degree of resistance to corrosion by hydrochloric acid, a property that should render it of commercial interest. On the other hand, it is markedly attacked by some of the weaker organic acids.

Jan 3, 1925

By L. E. Lynd

Ilmenite concentrates prepared from beach and dune sands of Florida, India, Australia, and other localities deviate to varying degrees from the theoretical composition of pure ilmenite, and generally contain more TiO2 than the formula FeTi03 would indicate, and some Fe2O3. This variation in composition is due to different amounts of altered ilmenite in the concentrates. (') The alteration has been shown to take place by oxidation and leaching of the iron in ilmenite, to yield residual products consisting of amaphous or very finely crystalline titanium dioxide and ferric oxide. Other studies(2) have stressed that ilmenite may alter first to an amorphous titanium-iron oxide, or to an amorphous mixture of titanium and iron oxides, with later alteration to crystalline titanium dioxide. There has been some speculation as to whether alteration of ilmenite is usually caused by weathering or by hydrothermal pr0cesses.(3,4,5 Three main methods of approach were used to study the mechanism and rate of ilmenite weathering. (1) Etch tests were used to learn the relationship between crystallographic orientation and the rate of chemical attack on ilmenite. (2) Altered ilmenites in New Jersey sands were compared with ilmenite in rocks of the area from which the sands were probably derived. (3) Experiments were carried out to determine at what rate, and by what agents, originally fresh ilmenite could be altered in the laboratory under simulated weathering conditions. ETCH FIGURES ON ILMENITE CRYSTAL PLANES A rather large ilmenite crystal from Sannidal, Norway, about 11/2 x 11/2 x 2 inches, bearing a few natural faces with imperfect surfaces, was prepared for etching by grinding and polishing crystal planes whose Bravais-Miller indices (referred to hexagonal axes) had been determined by X-ray methods to be 00.1, 10.0, and 10.2. Metallographic examination showed that the crystal was homogeneous, and uniform in orientation, except for the presence of twin lamellae which were oriented with their broadest surfaces parallel to the 00.1 planes of the large crystal. Since ilmenite is rather inert to standard etch reagents, strong solutions of hot sulfuric acid and cold hydrofluoric acid were used. Preliminary tests established that better etch figures were obtained using HF than with H2So4 solutions. The etch figures produced on 00.1 and 01.0 planes of ilmenite by etching 3 to 5 minutes in cold concentrated HF solution are shown in Figures 1, 2, and 3. The figures on 00.1 are "etch hillocks", rather than pits, and according to Honess(6), this phenomenon

Jan 1, 1961

By Sandip K. Mukherjee, Anthony W. Laurito, Madan M. Singh, Jon C. Volkwein

In the past, little attention has been paid to the costs of ventilation, since it seldom represented a significant portion of the total mining cost. However, in recent years adverse mining conditions and increases in power charges have caused ventilation costs to rise. The federal regulations have set minimum standards for volumetric airflow rates in underground coal mines. As a mine develops, the air volume and pressure requirements increase. There are several methods by which the quantity of airflow to the mine and working faces can be increased. Some of the methods include (1) increasing main fan output or replacing the main fan by a new higher capacity fan, (2) reducing leakage across stoppings and overcasts, (3) adding a new ventilation shaft or borehole, (4) reducing resistance to airflow by reducing the resistance factor of the individual airways, increasing the number of airways (especially the parallel airways), or re- arranging the air courses by using the available entries, and (5) using auxiliary ventilation systems. This paper addresses the cost-benefit analysis of several of these alternatives as applied to a large operating coal mine located in southern Illinois. Pressure and quantity surveys were conducted under-ground, and measurements were taken at the main exhaust fans on the surface. The existing ventilation network was modeled by using the Penn State ventilation simulator. The input data included the configuration of branches, resistance of each branch (including a component for shock losses), and changes in pressure and volume. The results of the simulation were compared with the survey data to check the merits and accuracy of the model network. The net- work was designed to take into account shafts, major entries, overcasts, regulators, gob areas, working faces, and major leakage paths. The model network served as the basis for the cost analyses of networks designed for increased airflow. The applicable alternatives for increasing airflow were simulated. Performance data obtained from these simulation runs were utilized to conduct the cost-effectiveness analysis. The costs for each f the alternatives included capital, operating and maintenance costs. These costs were expressed as annual costs in terms of dollars per cfm of circulating air, taking into account the economic life associated with each of the alternatives. The benefits were expressed as increased airflow quantity in the critical sections. The result of these analyses show that for the short-range plans evaluated, the most cost-effective way of increasing airflow at this mine would be to reduce leakage through stoppings and overcasts.

Jan 1, 1982

If world oil prices stabilize at $ll/bbl, if the US decides on the "accelerated supply" case for domestic fuel resources, if investment capital is available, if environmentalists' demand become reasonable, if land withdrawals are halted, if government grants generous depletion allowances and fast depreciation write-offs, and if many other "iffy" conditions are met-then shale oil production may reach the 1-million-bpd level by 1985, according to the Project Independence Report. In the "base case" scenario, oil shale production would be, at best, about 250,000 bpd at $11 prices, and "much lower if expectations for $7 oil prices prevail." In this regard, the FEA study reflects the conclusion reached by companies engaged in oil shale development work. Thus, except for some new technological breakthrough in mining, the birth and growth of the US oil shale industry will occur only if oil prices stabilize at about $ll/bbl.

Jan 5, 1975

By A. A. Stripling

The Cretaceous limestone wells of the Mara/Maru-caibo Dist. of Venezuela are extremely prolific producers. To maintain production on cessation of natural flow, large scale gas-lift operations were commenced involving high production rates on caring Flow. For the design of these gas-lift installations it was essential to have some knowledge of the pressure gradients involved in casing flow, so that the required injection pressures, optimum gas injection raws, etc., could be forecast. This paper presents a method of calculating these annular pressure gradients. Basically the method makes use of an energy balance equation coupled with an empirical energy loss factor derived from field data. The calculations have been put in a form suitable for "punch card-type" calculating machines. A set of gradient curves for Mara/Maracaibo conditions covering flow rates up to 12,000 B/D, and GOR's of 500 to 2,000 cu fd/bbl is presented. From these curves the flowing BHP can be predicted from surface data and the vertical pow performance under varying conditions of gas injection can be estimated. The method has been applied to La Paz and Mam gas-lift operations for over three years and has given consistently accurate results. INTRODUCTION The Cretaceous limestone fields of the Mara/Maracaibo area in Venezuela are characterized by the presence of widely distributed fissure systems. Under these conditions individual wells frequently have extremely high potentials and such wells are generally flowed on the casing-tubing annulus in order to reduce the pressure loss in vertical flow. To maintain production on cessation of natural flow, an extensive gas-lift system was planned. As a first approach to this gas-lift design problem, an attempt was made to construct a set of empirical flowing gradient curves from the available subsurface pressure data. Such a method has been used successfully for tubing-flow conditions in California by Gilbert'. Unfortunately, the empirical construction of casing-flow gradient curves presents additional difficulties, as pres- sure bombs cannot bc run in the casing-tubing annulus against high rates of flow. Thus, the Full flowing gradients cannot be defined by actual measurement and the best that can be done is to obtain spot pressures at the tubing shoe. Under these conditions a vast accumulation of BHP data is required to construct a set of gradients. To the La Paz and Mara fields the majority of the available flowing pressure measurements fall into a relatively narrow GOR range, in the neighborhood of the solution ratio. While there appeared to be reasonable prospects of constructing gradient curves for this limited range, measurements at higher GOR's, which were of major interest for gas-lift operations, were relatively few and the prospects of constructing empirical curves cor~spondingly remote. As an alternative approach, the possibilities of a mathematical analysis of vertical flow conditions were investigated. May and Laird2fV n 1934 presented an excellent analysis of the vertical-flow conditions in the Anglo-Iranian Oil Co.'s fields. Their analysis was based on an energy-balance equation and calculated the losses due to kinetic energy, friction and slippage separately. By combining these losses with the total calculated available energy, the required depth-pressure traverse could be deduced. On applying the method to La Paz conditions, good results were obtained for tubing flow at high tubing-head pressures. However, for lower wellhead pressures (300 psi and under) the discrepancy between calculated and measured values increased appreciably. It was considered that this was probably due to energy losses caused by slippage or liquid hang-up in a continuous gas phase, for which it was difficult to visualize any analytical approach. In 1952 Poettmann and Carpenter4 presented a method of pressure gradient calculation which, while based on an energy-balance equation similar to that employed by May and Laird, made no attempt to evaluate the various components making up the total energy loss resulting from irreversibilities of flowing fluids. Instead, they proposed a method of analysis which assumed that all significant losses for multiphase flow could be correlated in a form similar to that of the Fanning equation for frictional losses in single-phase flow. They then derived an empirical relationship linking measurable field data with a factor which, when applied to the standard form of the Fanning equation, would enable the energy losses to be determined. The total available

By W. P. Sykes

In connection with a study of tungsten steels, Honda and Murakamil reported an investigation of the system iron-tungsten. This report included a tentative equilibrium diagram, photomicrographs of various alloys in the series, and qualitative measurements of hardness and magnetic properties. The present investigation originally had as its object the study of the hardness and tensile properties of a series of carbon-free iron-tungsten alloys. But, as the work progressed it became evident that the system possessed other features of interest, so the scope of the investigation was enlarged. Materials The iron powder used in preparing the alloys was obtained as follows : Iron oxalate was precipitated from a ferrous-sulfate solution by the addition of a solution of oxalic acid. This oxalate, after thorough washing, was ignited to iron oxide, which after reduction in hydrogen at about 1000" C. yielded iron powder containing but about 0.2 per cent. iron oxide and about 0.005 per cent. carbon. Tungsten metal in the form of powder, such as is used in the manufacture of filaments for incandescent lamps, was the other constituent. This material analyzed 99.8 per cent. tungsten and contained no carbon. The metal powders, in the desired proportions, were mixed by tumbling and formed, under pressure of 20 tons per sq. in., into rods 3/8 by 3/8 by 10 in. To form the alloys without contamination, sections of the pressed rods were placed on alundum slabs and heated in an alundum tube wound with a tungsten resistor and packed in heat-insulating material. While the resistor was heated, a stream of hydrogen was continually passed through both the tube and the case containing it. The tungsten winding on the tube, as well as the material heated within the tube, was thus protected from oxidation. Such a furnace will operate constantly for several days at temperatures up to 1500' C. and for shorter periods

Jan 1, 1926

By H. Landsberg

MANY of the sedimentary rocks contain small amounts of radioactive constituents. These vary in quantity in different layers. Some recent deposits show rather high activity as; for example, the deep sea oozes and some lake deposits.1,2. Measurements made in boreholes have also shown considerable changes in activity from horizon to horizon. The first to publish data on this fact was Ambronn,3 and recently Russian geophysicists have shown remarkable variations of activity from one layer to the next in various wells. Spak4 felt even that he was able to line up horizons from data measured in two neighboring wells. ? The measuring of radioactive radiation is fairly difficult. Large errors are possible by the circulation of gaseous emanations in the well and porous strata. It is, therefore, never certain whether the activity of the layer where the instrumental device or collector is located will be measured, or that of some adjacent layer, For this reason it seemed to be advantageous to take samples of rocks into the laboratory and test them therefor their contents of radioactive material, Such a method has been followed in the past to distinguish radioactive ore from other rocks. Radioactivity of rocks, especially of the igneous type, was also deter-mined in the laboratory by numerous authors for absolute age investi-gations.6 Corresponding data from studies of sedimentary formations are scarce. Specimens taken from a core of the Bradford oil sandstone were tested by Landsberg and Ingham,7 with the results illustrated in Fig. 1, which shows that within relatively small vertical distances the differences of relative activity were considerable. If one assumes that the distribution of radioactive material is fairly uniform throughout a layer, measurements of radioactive radiation in various horizons would offer additional information for stratigraphic

Jan 1, 1939

By R. M. Stewart, C. W. MacQueen

Anaconda's Berkeley pit at Butte produces 34,000 tpd of ore averaging 0.8 pct copper. Two-and-one-half tons of waste is stripped per ton of ore, approximately 40,000 tpd by the company and an added 45,000 tons by the F&S Contracting Co. The company truck fleet consists of 24 Euclid and 18 Mack 34-ton, rear-dump diesel trucks.

Jan 7, 1961

By Philip D. Shelton

INTRODUCTION Traditional design of support for permanent underground mine excavations place great emphasis on the magnitude of the maximum radial load which a specific support or lining must sustain. However, this depends upon so many factors that reliable prediction in advance of excavation is very difficult except in strong-self supporting ground. Some of the factors affecting the loads acting on a support are illustrated in Table 1. [ ]

Jan 1, 1984

By T. Price, H. A. Holl, A. P. Greenough, A

UdIN, Shaler, and ulff' first used wires for the determination of the surface energy of a solid metal. A gage length was marked by tying knots in the wires, which were then suspended in a cylinder of the same metal, heated in an inert atmosphere for the appropriate time, cooled to room temperature, and finally removed from the furnace so that the lengths of the wires could be measured. With iron wires, difficulties associated with deformation during the phase changeszp3 made it necessary to measure the gage lengths at the tem-

Jan 1, 1964

H. M. BOYLSTON, Cambridge, Mass.-I would first like to ask what machine Capt. Bellis used to make his tests on impact strength. I have made some tests with the Charpy impact machine, the specimen being supported at both ends and nicked in the middle, and, find that the results do not always agree with those obtained by the Izod and other machines. I would also like to ask what effect the composition and heat treatment of the tool steel had on the drilling of his rifle barrels, as compared, with the heat treatment of the steel itself? I notice that the analysis of the composition of steel used shows sulphur 0.050 and phosphorus 0.065; I should like to ask how those high limits of sulphur and phosphorus came to be allowed? I have some data which lead me to feel pretty certain that those high limits make for very unsafe steel in rifle barrels. It has never been explained to the satisfaction of all of us, why the manganese is so high: 1.22 per cent. I believe several reasons have been stated; among them, that it is high in order to compensate for the high sulphur, and also to increase the elastic limit and improve other physical properties of steel. Lastly, I wish to ask whether Capt. Bellis has tried any different methods of heat-treating his steel rifle barrels? Apparently these were all heat-treated before machining; has he had any experience with heat-treatment after machining, especially after drilling? Those questions may seem somewhat outside of the range of this -paper, but they are important, and if Captain Bellis can give us any information, it will be very helpful. Dr. J. A. MATHEWS,* Syracuse, N. Y.-The same subject was discussed here last year, and the earlier papers by Dr. Carle Hayward seem to indicate that nothing was gained by the length of time of 'tempering. (It should be borne in mind that his results were based upon electrical and magnetic measurements and not upon tensile tests.) That idea has been accepted as gospel by steel workers, until late years, and particu-larly in connection with alloy steels, on which there is no question that the effect of time of tempering is very marked.

Jan 4, 1918

By Hans W. Schreiber

INTRODUCTION At the end of the day, the decision by the sponsor to proceed with a project and to seek financing, or the decision by the financier to grant financing are made on a judgmental basis. Cash flow projections, sensitivity and risk analysis, the innumerable ratios applied by the financier, the so-called feasibility study, etc. are all only tools, and the degree to which they affect decisions is as highly varied as are the personality differences and business conduct and outlooks of the persons who render the decision of "go or no-go". The independent consultant, then, is expected to provide an additional increment of credulity and/or reliability to the "tools" which others will use in reaching a decision; the consultant is really not in a position to directly recommend a "go or no-go". PROJECT FINANCE INGREDIENTS The project finance situation has basically three ingredients: - The project; - The inherent risks attendant with project failure; - The parties. The project, to be viable for financing, will have certain essential characteristics, namely: 1. Clear title or rights to the mineral; 2. Proven definition/establishment of mineral quantity; 3. Financial viability; 4. Physical access consistent with financial viability; 5. A market for the product at a price and for the quantity consistent with financial viability; 6. Transportation/shipping from the project facility to the market at a cost consistent with financial viability; 7. Availability and demonstrated expertise of the developer of the facility; 8. Demonstrated expertise of the operator of the facility; 9. Production processes do not involve unproven new technology; 10. Availability of management personnel; 11. The property and the facilities have value (and thus can be used as collateral); 12. Government approvals/support, as required, will have been obtained; 13. The political environment is essentially friendly and stable; 14. The owner(s) of the project have the financial, strength to make equity contributions consistent with total required investment capital and project risk; 15. Backing by credit support other than that of the financier (i.e. guarantees); The inherent risks of failure are (Nevitt, 2nd Edition); 1. Completion delays with consequent delays in the generation of revenue 2. Cost overruns 3. Technical failure 4. Financial failure of contractors 5. Government interference 6. Uninsured losses 7. Increased price or shortages of raw materials, supplies 8. Technical obsolescence 9. Loss of competitive position in the market place 10. Expropriation 11. Inadequate/poor management The parties directly or indirectly integral to the project financing are: - The mineral rights owner - The developer - The operator - The equity investor

Jan 1, 1985