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By Barnabas Bryan

During the boom period of 1928 and 1929, several oil companies took advantage of high security prices to sell stocks, thereby securing money for the company very cheaply. Few if any of those companies realized that the money received was not at all cheap in view of the fact that it was for investment in fixed assets at inflated prices. Suppose a company borrowed twenty millions of dollars to expand its marketing facilities during the boom. It diluted its capital and acquired fixed property which could not earn its interest requirements during the following deflation and therefore consumed income from other company activities. The company also had to stand the deflation in the capital value of all the property it bought. Since the mistaken expansion during the boom accelerated the decline in net income during deflation, the financial position of the company was harmed in proportion to the amount of that expansion. Thus the company was unable to get money to buy fixed assets in the depression when all property is cheap. The same condition holds for the company that sold common stock for the purpose of developing potential production in a newly discovered oil field. Regardless of what the ultimate value of the new field may be, potential production does not increase the net income of the company. The difficulty of meeting the enlarged dividend requirements due to the increased number of shares outstanding impairs the financial position of the company during deflation in some relation to the probability of decreased dividends. This company also is not in a position to expand during the depression when properties and companies can be bought for a fraction of their real value. Expansion of fixed assets during boom times has been the ruin of many otherwise good companies. Some of those which most extensively bought property during the post-war boom have not yet recovered. A number of cases could be cited in sugar, leather, fertilizer and wool. This does not seem to be governed by the quality of the property bought, for examination shows the assets to have been of individual high quality in many cases. When recovery is long deferred it is likely to be true, as in sugar or textiles, that the industry has a large "potential" capacity for overproduction.

Jan 1, 1931

The plans for the activities of the Petroleum Division for the coming year do not differ materially from those of the past several years. The fall meeting is scheduled for Oct. 12 and 13 and is to be held at Tulsa, Oklahoma. The Division, of course, will take part in the annual meeting of the Institute at New York. A fall meeting will also be held in California at approximately the same time as the meeting at Tulsa. A number of papers are to be presented at the two meetings simultaneously. The various committees are at work arranging the programs. The Division will continue to be active in its various fields of endeavor, such as stabilization, production reviews, and economics, but special stress is to be laid on the engineering and research fields. In the past the Division has served as a forum for open and frank discussion of problems confronting the engineers in the oil industry. It is hoped that it will continue to function in this capacity. Papers presenting original ideas and extending the boundaries of knowledge and understanding in the field of petroleum production will be welcomed. Members who have interesting information to contribute should not wait until called upon by one of the Committees, but should offer a paper at the earliest opportunity. The past year has seen a decided strengthening of the control over production, with prospects of even more rigid control in the future. It is essential that production programs under such control be carefully planned and it is highly desirable that petroleum engineers take an active part in the planning, to insure efficient production of oil and minimize the waste of this natural resource. At a time like this, when it is difficult to keep the production of oil within reasonable limits, it may seem unnecessary to improve the efficiency of production methods, but, as has been aptly said, the trouble is not that we have too great a reserve of oil but that we are producing tomorrow's oil today. Therefore it behooves those who are entrusted with the engineering and scientific phases of production to learn how to get the greatest yield economically possible from the present and future fields in order that we may enjoy the advantages of petroleum products for a long time to come.

Jan 1, 1934

By Lester A. Blackner

The Ray Consolidated Copper Co.'s mining property is located on Mineral Creek, 6 miles north of Kelvin, at Ray, Pinal County, Ariz. (Fig. 1). The mining claims now owned by the company consist of 126 lode claims, comprising 2,144.9 acres, containing at the beginning of operations 82,904,368 tons of 2.19 per cent. copper ore. General Characteristics of the Orebody The main orebody is a disseminated deposit in schist and porphyry formed by secondary enrichment. Its existence was proved by churn drilling, and it is at present one of the largest proved copper deposits in the world. The orebody itself covers 205 acres with an average thickness of 121 ft., and occupies a definite belt which has a northwest direction. Its length is approximately 5,000 ft. The width varies, being about 2,000 ft. at the west end and 2,500 ft. at the east, narrowing down irregularly from both ends to a few feet in the center. The thickness of the body varies greatly along the line of lode, ranging from a few feet up to 470 ft. thick. The ore horizon is not constant, but varies, following in a broad sense the topography. The body in general dips slightly to the northeast, and is broken up by numerous small faults and fractures. The ore-bearing formations, consisting of mineralized schist and mineralized granite porphyry, stand fairly well and offer no difficulty in mining operations. The bulk of the ore is chalcocite disseminated in schist. In places cupriferous pyrite is closely associated with the chalcocite. The mineralized gr'anite-porphyry forhations are contiguous to the ore-bearing schist. • Overlying the orebody is an oxidized zone of leached iron-stained schist, averaging 252 ft. in thickness, termed "capping." The Line of

Jan 1, 1916

By A. K. Knickerbocker

PRACTICALLY all underground work on the Minnesota iron ranges is done by miners working on a so-called contract wage system. This system, while it has certain advantages over the straight day's pay or company-account method of wage payment, has serious and vital defects. In view of the scarcity and demands of labor, it is important that employers of labor scrutinize their systems of wage payments carefully, not only to save losses and trouble, due to labor disturbances, but also to secure the greatest efficiency of their workmen and reduce their operating costs. It is admitted that an adequate, just, and equitable wage is the prime factor in bringing about these benefits. The wage of labor and its method of application and payment have been, and always will be, the main factors in the unrest and dissatisfaction of labor. Not only does labor want and need an adequate wage, assuming that work is adequately performed, but it wants and is entitled to a just and equitable wage. Labor must have respect for the fairness of the wage and for the fairness of the management in the application of the wage. It is conceded that the Minnesota iron miners are now, and have been, in the main paid adequately, but the inherent defects of the so-called contract system prevent any just or equitable application of this wage to the various units of the labor body. The defects of the contract system, with its obvious inequalities, favoritisms, and injustices, are cancers in the brain of labor. Every thinking miner realizes these defects and knows just what they are; the unthinking do not realize the details of the subject, but each month they are forcibly reminded of these defects through the pay envelope. As practiced on the iron ranges, however, the so-called." contract" system is not a contract and the name is a misnomer. No true contractual obligation exists.

Jan 2, 1920

SIDNEY ROLLE, Chrome, N. J.-I should like to ask if Mr. Bach does not think it rather harmful to let the amen depend entirely on the company, whether it would not be a good plan to let the men aid a little in the support of these organizations? Also whether he has had any experience with utilizing the Y. M. C. A. in this connection. E. E. BACH, Ellsworth, Pa.-That question is always raised whenever there is discussion upon this subject. So far as we are concerned that would not help a bit; our people do not have that feeling, because .we have a company which these men recognize has a corps of very sympathetic officials in every way. I remember the assistant general manager lived out in one of these mining towns for a while. His difficulty was that every man, no matter what, who or where he was, if he had, or thought lie had, a, complaint, had the right of way to his office, and didn't have to stop at all. That is the spirit that predominates all through it. This is also the spirit of the mine foremen, two of whom were trained in our own night school, and it is the spirit of the fire boss and the general spirit of the people. They do not feel that we are trying to feed them with a spoon. As to the Y. M. C. A., we feel that it would be impracticable for us. R H. VAIL, New York, N. Y.-It would be very interesting if Mr. Bach would tell a little more about the control of the dispensing of intoxicants. There are many communities where the state intends to do that but does not succeed very well, and as Mr. Bach has spoken of the speakeasies on the environment of these towns, it would he well to know more about the problem of eliminating those.

Jan 4, 1918

Masjid-i-Su1aiman.—There have been no new developments in the Masjid-i-Sulaiman field during the year. Drilling, deepcning and acidizing operations for maintenance of production havc continued normally. Reservoir conditions have been unchanged, the rate of fall of dome prcssure remaining very low—at about 0.4 lb. per sq. in. per million tons net production. Drilling on the Lali structure northwest of Masjid-i-Sulaiman has continued but oil has not been encountered in commercial quantities. Haft Kel.—The progressive drilling program extending the production capacity of the Haft Kel field was completed carly in the year and the field is now on a routine maintenance basis. Drilling has continued on the white-oil springs structurc northwest of Haft Kel. Naft-i-Shah.—No developments of interest have occurred in Naft-i-Shah field. Offtake is for local markets only. A further large produeer was completed during the year. Gach Saran.—By the end of 1939, work on plant and pipe lines to put, the field on a production basis was approaching completion. Two substantial producers were also drilled in the initial production area. Pazanun and Agha Jari.—No further drilling was carried out on the Pazanun structure during the year, gas only having been obtained to depths exceeding 8000 ft. On the adjacent Agha Jari structure, however, a second satisfactory oil producer was completed.

Jan 1, 1940

Masjid-i-Su1aiman.—There have been no new developments in the Masjid-i-Sulaiman field during the year. Drilling, deepcning and acidizing operations for maintenance of production havc continued normally. Reservoir conditions have been unchanged, the rate of fall of dome prcssure remaining very low—at about 0.4 lb. per sq. in. per million tons net production. Drilling on the Lali structure northwest of Masjid-i-Sulaiman has continued but oil has not been encountered in commercial quantities. Haft Kel.—The progressive drilling program extending the production capacity of the Haft Kel field was completed carly in the year and the field is now on a routine maintenance basis. Drilling has continued on the white-oil springs structurc northwest of Haft Kel. Naft-i-Shah.—No developments of interest have occurred in Naft-i-Shah field. Offtake is for local markets only. A further large produeer was completed during the year. Gach Saran.—By the end of 1939, work on plant and pipe lines to put, the field on a production basis was approaching completion. Two substantial producers were also drilled in the initial production area. Pazanun and Agha Jari.—No further drilling was carried out on the Pazanun structure during the year, gas only having been obtained to depths exceeding 8000 ft. On the adjacent Agha Jari structure, however, a second satisfactory oil producer was completed.

Jan 1, 1940

I HAVE now traversed for you in the small and fragile bark of my writing all the shores of the deep and spacious sea embracing the uses of material fires, drawn on by my own desire to enrich you with more learning and with the procedures of these things, as much as to satisfy your demands. Having through the grace of God arrived at the appointed end of my voyage and neither knowing nor perceiving a way of going farther, I had decided to furl the [167] sails and cast die heavy anchors into the water in order to enjoy in tranquillity respite from my sailing, when I was warned by my pilot that before I could disembark I should turn my glance backward and reexamine my work in detail to see if there were any part that had by chance remained undescribed in the obscurity of silence. When I did this there immediately appeared in my mind's eye the many sublimates and smoky tinctures that had been made by the burning and most powerful fire of love. I need not say that I knew of it in far-off countries or from the knowledge of others, but I knew it in my own breast and as my very own and can therefore surely esteem it as hotter than all the other fires that the world calls by that name. Although today its sparks and living flames are spent because of my cold and hoary season, nevertheless it is true that the memory of acts of love of long ago still remains with some smoke and warmth. Therefore, since in this work of mine I wish to describe for you the effects and powers of fires, I should logically have spoken of this before any of the others, because of its actual nearness and the great acquaintance I had with it. But since I have had the glance of my intentions directed at distant things, I have behaved as one does who does not see where he places his feet because he is looking at the sky, or as one who thinks about the affairs of others and forgets his own. But now I do not wish to pass over this thing and I wish to correct my error, particularly in order to provide a happier ending to my written work than by remaining among the horrible uproar of guns, powder, and saltpeter, which would be a harsher ending than speaking of love. Never-

Jan 1, 1942

By A. L. Baxley

An Untapped Energy Resource As much as 20 billion cubic feet of natural gas per day are flared from remote oil fields for lack of a commercially viable means of capturing, transporting, and marketing such gas. The magnitude of these gas flares can be put into perspective from an early satellite photograph (Fig. 1) which shows lights from the major cities of Russia and Eastern Europe dwarfed by the natural gas being flared in the Persian Gulf. Together, these wasted resources contain the energy equivalent of about one-half of the gasoline consumption in the United States today (Fig. 2). Additional trillions of cubic feet of natural gas are "shut-in" because of no economically viable means of commercial recovery. Methanol and liquified natural gas (LNG) are the only two practical fuel products which can be produced economically from these gas supplies. Many of these gas supplies are less than 500 million cubic feet of gas per day, making an LNG facility uneconomic. In contrast, barge-mounted methanol plants can economically convert billions of cubic feet of gas per day into safe, clean-burning methanol. The methanol approach offers the only economical route to transform vast, known reserves of natural gas into a highly versatile primary liquid fuel. Methanol Barges: An Innovative Solution The barges will be towed to suitable offshore and upriver locations such as Alaska, South America, Africa, Southeast Asia, Australia, New Zealand, and the South Pacific Islands, as well as fields in the Persian Gulf and Mediterranean Sea. At the offshore production site, a barge will be anchored by a single point mooring buoy that will also serve as an entry point for natural gas feedstock and an offloading point for methanol (Fig. 3). At some sites the barge would be beached. Each barge will produce methanol and store it in internal tanks with a capacity of 18 million gallons. The methanol will be offloaded into conventional tankers and safely transported directly to market. Unlike LNG, methanol requires neither specially built carriers nor specially built receiving terminals. Once a particular gas field has been exhausted, the barge will be towed to another location to continue production. Each barge will measure 320 by 500 ft, approximately the size of four football fields, and will have the capacity to produce 1 million gallons or 2800 metric tons of methanol per day, from approximately 100 million cubic feet of natural gas per day (Fig. 4). The barges will use the highly successful "low- pressure" design developed by the Lurgi Company of Germany, a process proven in land-based methanol plants throughout the world during the last ten years. The decision to use Lurgi technology for "sea-trans- portable" methanol plants was based on the higher efficiency and greater operability of the technology compared to other commercially proven processes. The conversion plant will be designed to accept a wide variety of feed gas compositions, and will produce chemical-grade methanol for the broadest market base (Fig. 5). To minimize costs and construction time, the barge-mounted plants will be built in the high technology environment of a domestic or foreign shipyard. Selection of the construction site for each barge will be dictated by the location of the production site and by the relative construction costs. A number of shipyards have the capacity to build several barges per year. The detailed marine engineering to integrate the design of the processing plant with the floating platform can be performed by numerous major engineering companies around the world. Production Economics The barge-mounted plant concept not only assures large volumes of methanol, but it also keeps the overall production cost low by minimizing construction cost and providing access to low cost natural gas feedstock with no alternative or a negative value. Together, these advantages make the barge-mounted methanol plants economical today. The cost structure of a new barge-mounted methanol plant differs from that of existing methanol producers around the world (Fig. 6). For example, if a U.S. Gulf Coast producer is paying $4.70/MMBtu in 1985 for natural gas, the barge plant could afford to pay about $1.6O/MMBtu for gas and be able to deliver methanol to the Gulf Coast at the same price. At some future date such as 1990, a gas cost of $6.70/MMBtu for a domestic producer would have cost parity with about $3.60/MMBtu gas cost for the barge plant. In many foreign markets, feedstocks other than natural gas are used for methanol production (Fig. 7). For example, most of Japan's capacity is based on LNG while Western Europe uses residual oil or naptha. Because these feedstocks are substantially more ex- pensive than natural gas used by U.S. producers, the barge plants will compete even more favorably in these foreign markets. As crude oil prices rise, the value of methanol in each of these markets will increase. However, the hierarchy of methanol values in these markets should remain unchanged. Furthermore, the cost advantage for using methanol in these markets will improve as world energy costs increase since the value of remote gas should not escalate significantly.

Jan 1, 1982

By Floyd E. Bliven

A century ago, Thomas Carlyle sketched the Emblem of the Wasting Candle in one of his papers. "Terar Dum Prosim" he wrote under the candle-" May I be wasted so that I be of use." The application of his reasoning is an excellent guide for a discussion of the scrap problems of today. The General Electric Co. has addressed itself to the need of proper and careful preparation of scrap metals for many years. A supervisor of salvage directs this work in each of the works. Generally he is an engineer and has had broad factory training. He gives general direction to the collection, preparation and disposition of scrap materials. He operates the extensive facilities which each works has provided for the centralization and control of scrap accumulations, and also initiates studies leading to the reduction of scrap accruing from machining and assembly operations. r We recognize that each industry, each factory, each locality faces a different set of conditions. Irrespective of size, in a plant employing 20 men or a large works with 15,00 employees-certain fundamental principles can be applied for organization and the collection of scrap. The manufacture of electrical apparatus is a highly complicated intricate business. In one area we make electronic tube and adjacent buildings house the manufacture of steam turbines. Both are instruments for power-different in size and in many cases serving different fields of application. Unlike the great industries that build automobiles, trucks, or engines where repetitive operations, once solved, set the stage, electrical manufacturers' plants are large jobbing shops. Therefore, we must carefully plan every step in handling the scrap that "in so wasting to produce the finished motor or locomotive-we can return this product to reprocessing and ultimate use." ESSENTIALS FOR SALVAGE EFFICIENCY The essential steps for an efficient salvage department are: I. Selection of Personnel.-An able foreman would be a man of broad experience and understanding-one who commands the respect of the entire foreman group as well as that of his own men. In the interest of clean scrap, it is necessary to acquaint the foremen in the separate manufacturing units with the need of careful segregation in the shop and the best methods of obtaining it. At least 40 per cent contact time should be devoted for this purpose. 2. The physical equipment of the salvage department should be devised and selected to handle complete, at one point, all scrap operations. Bulky materials as produced by some large shops can be economically placed in salable shape at the divisional point. Because salvage

Jan 1, 1943

Abadilla, Quirico A., Geol.. Lago Pet. Corp Box 172 Maracaiho, Venezuela. IIAbbw. Robert Graham. The W. W. Sly Mfg. Co.Train Ave.. Cleveland. Ohio. Abbotf A. N., Mines Supt., Maznpil Copper Co.. Ltd..Conception del Oro, Zac., Mexico. Abbotf Clarence E, Mgr.. Mines & Quarries, Tenn. Coal. Iron & R. R. Co., 1242 Brown Marx Bldg., Birmingham, Ala. Abbott. Louis Benjamin. Chief Engr.. Consolidation Coal Co. ... .Elkhorn Div., Jenkins, Ky. Abeel, George 8.. Jr., Cons. Min. Engr...4612 West 17th St., Los Angeles, Cal. Abel. Albert E.. Asst. to Pres.. Valley Mould & Iron Corp..Hubbard, Ohio. Abel. Raymond L Asst. Prof., Dept. of Pet. Refin.. Univ. of Pittsburgh. .. .Pittsburgh. Pa. Abernathy. George Elmer. Prof. of Geol. & Min.. Kansas State Teachers College. Pittahurg. Kans. Abernethy, D. Carl, Jr. Min. Engr., Hudson Coal Co. .Scranton, Pa. Abw, Hirouhi. Min. & Met. Engr., Min. & Met. Dept., The Higher Technical School, Osaka, Japan. Aborn. Robert H.. Research Assoc.. Mass. Inst. of Tech..Cambridge, Mass. Abouchar. Bylvain Sley. Min. Engr. & Geol., c/o S. H. Sekaly, 13 Rue El Nimr, Cairo, Egypt. tAbozeid. Mahmood. Pet. Min. Engr., Marland Oil Co. of California, Subway Terminal Bldg., Los Angeles, Cal. Abraham. Arthur W.A. pt. 40, Barcelona. Anzoatmui, Venezuela. Abrahams. Alexander I.. Gen'l Mgr., Racon Electrical Co.. ..... .Slough, London, England. tAbrahamuon, C. W., Min. Engr.. The Mond Nickel Co., Ltd.. ..... .Levack. Ont., Canada. Abstein, Henry T.. Engr. & Mgr.. Profile-Tamarack Mines Co.. ...... .Yellow Pine, Idaho. tAcker, E. WC.. Met.. ........ .I28 East Washington Lane. Germantuwn. Philadelphia, Pa. IlAckerman, D. E.. Research Engr.. Research Lab., International Nickel Co., Bayonne, N. J. tAckerman. Ernest R., Pres., Lawrence Portland Cement Co.. . .Plainfield, Union Co., N. J. Adachi. Jinzoo.A..d dress Wanted Adachi, Yuichi, Chief Engr.. Anzan Steel Works, South Manchuria RY. Co., Anzan, South Manchuria. China. (Via Dairen). Adair, Arthur C, Valuation Engr., Internal Revenue. Treasury Dept.. . .Washington, D. C. Adami. Arthur E., Prof. of Min. Engrg., Montana State School of Mines. Butte, Mont. Adami. Charles J.. Min. Engr., Gen'l Mnr., St. Jos~ph Lead Co.. ....... .Bonne Terre, Mo. Adama, C. W., Pres. Adams Pacific Corp .I66 Montgomery St., San Francisco. Cal. Adams. Cuyler .Dee rwood, Minn. Adams, David T, 514 Wrigley Bldg.. Chicago, Ill. ADAMS, FRANK DAWSON, Logan Prof. of Geology and Dean, Faculty of Applied Science. McGiU Univ., Montreal. Que.. Canada. Adams. Gale L, Research Engr.. General Pet. Corp...Los Angeles. Cal. Adams. George I.. Prof. of Geol. & Mineralogy. Univ. of Alabama. .Tuscalmsa, Ala. Adams. H. H.. Cons. Gml..Room 415, W. T. Waggoner Bldg., Fort Worth. Tex. Adams, Henry, Cons. Min. Engr. . 934 Park Ave., Plainfield, N. J. Adame, Henry H. 285 Madison Ave., New York. N. Y. Adams. Henry Farnum. Engr.. Charge Experimental Work, Inspiration Concentrator. Inspiration Cons. Copper Co.. Box 364, Inspiration. Ariz. Adams, Huntington, Min. Engr, 149 Broadway, New York, N. Y. Adams. Leland D, V.P.. Leslie-California Salt Co., 166 Montgomery St.. San Francisco. Cal. Adams. Louie W.. Illinois Steel Co Gary, Ind. Adama, XL L. Min. Engr.. Old Ben Coal Corp., Mine 12.. Christopher. IU. Adams, Robert M. Robert M. Adam Co. .I201 Fidelity Bldg., Duluth, Minn. Adams. Sidney F.. Geol., Empire Zinc Co .Gilman, Colo. tAdams, Waldo Peck..P ittsfield, Pike Co.. Ill. Addams. Charles 1. Min. Engr.. Bo x 663. Phoenix, Ariz. Addicka, Lawrence. Cons. Enar..... .61 Maiden Lane. New York. N. Y. Addison, Herbert, V.P.. Big Horn Collieries Co ,412 Colorado Bldg., Denver, Colo. Adkemn. J. Carson. Min. Engr.. HY Grade Manganese Co., Inc..Woodstock, Va. Ady. Joseph Wesley. Jr.. Min. Enar., 314 Mining Exchange Blda., Colorado Springs, Colo. Affelder. William Lewis. Asst. to Pres., Hillman Coal & Coke Co. & Allied Companies. 2006 First National Bank Bldg.. Pittshurgh, Pa. Ameck, B. F.. Pres.. Universal Portland Cement Co. .. .210 South La Salle St., Chicago. Ill. Agabeg, Edgar C.. Cons. Min. Engr.. ..... .Evelyn Lodae. Asansol, E. I. R. Bengal, India. tAsar. William M.. Aest. Prof. of Geol.. Kirtland Hall, Yale Univ.. ... .New Haven, Conn. Agaeniz. Rodolphe L, Pres.. Calumet & Hecla Consolidated Copper Co. ...... .Boston, Mass. tAgens, William Holmes. District Mgr.. Traylor Engrg. & Mfg. Co., 362 I. W. Hellman Blda.. Los Aneeles. Cal.

Jan 1, 1928

By Joseph Jensen

No outstanding example of an important producing unit operation exists in California today where the competitive drilling drainage feature is or was entirely eliminated We need not feel, however, that the thought of unit operation had its birth in 1924, when Henry L. Doherty named and sponsored it so strongly before the American Petroleum Institute and our own organization. No man or company in California ever drilled a wildcat well without exerting every possible effort to get all of the structure, so as to control drilling and avoid competition. Overproduction did not begin in 1923, so there has always been the wish to avoid it. In this state the practice of selling acreage around a wildcat has not been followed, except possibly in rare instances. The operator drilling the wildcat knew he must pay the bill alone, so he endeavored to get the benefit of his effort by tying up all of the land around his well and by so planning his different lease obligations as to avoid as much offsetting as possible. If he failed to get all of the land, it was because someone's price was too high, some other oil man also had the same idea and already held some lands, a competitor took leases away from him while his work was still incomplete, or (as was so often the case) the hidden structure when developed did not prove to be where the wildcatter thought it would be. The last named condition often led to a forced drilling campaign by the last leases secured and thus to serious drilling drainage problems. Ownership of the Land The land situation differs a great deal in various parts of the state. In the San Joaquin Valley, all the land is surveyed into sections and townships. Railroad land grants embraced a part of the land. In the areas that were developed at an early date, as at Kern River, Coalinga, McKittrick and the Sunset-Midway field, such land as the railroad company's diligent land department had been unable to sell for a song as grazing land still remained in its ownership. Operation and ownership

Jan 1, 1930

By Arthur Clark, Terrill

THE Tri-State field is now believed to be the largest zinc district in the world. It has a potential production sufficient to supply the entire zinc demands of the country. It is estimated that a train 70 miles long would be required to haul the district's 1919 output of 60 per cent. zinc concentrates. For many years,, including 1917, Missouri surpassed Oklahoma in zinc production. In 1918, however, Oklahoma led by a wide margin and, in 1919, Missouri produced less than one-sixth of the total for the three states, when Kansas replaced Missouri in second place in the production. The district is now producing one-third of the zinc of the world and twice as much as ever before at the present price.

Jan 1, 1920

By Sherwin F. Kelly

NEW trend in geophysics has been uncovered in these depression years, made evident through the thinning cloak of commercial activity, which, in better times, would have completely obscured it. I refer to the increasing use of these methods for geological investigations by federal and state geological surveys. This is a trend that has been gathering momentum not alone in the United States, but abroad as well. Thus, in Poland, the Geological Survey has been playing an increasing role in geophysical work since 1927, and now has- its own geophysical department. The government petroleum producing organization of Argentina has its Geophysical Commission; Brasil boasts a completely equipped geophysical department in its Mineral Production Service; the government of Chile has contracted with commercial companies for geophysical surveys; Peru is planning an intensive program of geophysical prospecting in its petroliferous regions; and Canada has, for several years, cooperated with

Jan 1, 1935

By Nicasio del Castillo

INTRODUCTION The tax structure of foreign mining investment into the United States has a significant impact on the financing and the profitability of the operation. For these reasons, it is critical for the foreign investor to develop and implement a well planned tax strategy that will enable its venture to: (1) reduce its U.S. income tax liability (2) lower U.S. withholding taxes when funds are transferred from the United States, and (3) decrease or defer home country taxation on its U.S. earnings ALTERNATIVE FORMS OF INVESTMENT A threshold business and tax consideration is the form in which the investment is to be made. The most common alternatives include: forming or acquiring a U.S. mining corporation, directly establishing a branch mining operation, or entering into a joint venture or partnership with a U.S. mining company. U.S. Corporations The most common structure through which foreign mining companies engage in business in the United States is to form a U.S. mining corporation. Forming a U.S. Corporation. If the investor decides to establish a new U.S. corporation the organization is relatively simple. No distinctions are made in the United States between "public" and "private" forms of incorporation. Minimum share capital is not usually required and share capital may consist of shares with no par value. Since corporate law is the responsibility of the individual states, the foreign investor must choose a state in which to incorporate. If appreciated mining property is transferred to a corporation solely in exchange for stock or securities in that corporation, and the transferors have control of the corporation (defined as at least 80 percent of all voting shares and at least 80 percent of all other shares) immediately after the exchange, no gain or loss will be recognized. However, if the transferors receive cash or other mining properties in addition to stock, any resulting gain may, in certain situations, be taxed to the extent of the cash and the fair market value of other property received. Acquiring an Existing U.S. Corporation. Acquiring an existing U.S. mining corporation is not as straight-forward as forming a corporation. This alternative may be accomplished through either a stock or an asset acquisition. Generally, with a stock acquisition the purchaser inherits all of the business and tax attributes of the former mining corporation. If the investor is able to acquire mining assets, however, the purchaser will usually be able to avoid any unknown or hidden liabilities that could be attached to an existing corporation. Another principal advantage in acquiring assets is that the purchase price may be directly allocated to the acquired mines or other mineral-related assets with the result that the assets' depreciable base may be increased. Assuming the domestic seller and the foreign purchaser can agree, it is generally advisable to allocate the purchase price in the sales agreement to specific individual assets. From the foreign investor's standpoint, it is preferable to allocate the purchase price to depreciable assets such as buildings and equipment versus an allocation to mineral land holdings or intangibles such as goodwill, which are generally not depreciable. It is not uncommon, however, for a seller mining company being acquired to insist for tax reasons that the investor purchase shares rather than assets. If the foreign

Jan 1, 1985

By Asheim, Harald A.

Parameter estimates affect both the optimum field development decisions and the economic result. A general methodology for assessment of the effects of parameter uncertainty in offshore development decision situations is proposed, and used to analyze aspects of the initial development situation for the Statfjord field.

Jan 1, 1982

By Eugene P. Pfleider

Research indicates that the cube diamond is a superior stone for drill bits. It can be oriented to combine a long cutting edge with structural strength and high resistance to wear. Test bits set with preferred orientation give double the bit life at astoundingly low diamond loss in comparison to oriented octahedral diamonds. A PROGRAM of research on the orientation of diamonds in drill bits has been under way for several years at both the United States Bureau of Mines Experimental Mine at Mount Weather, Va., and the School of Mines and Metallurgy of the University of Minnesota. Reports on past work done both in the laboratory and the field are available in the technical press.1,3,4 The results of such drilling, done under comparable conditions, show that bits having diamonds oriented in a direction that combines structural strength and greatest hardness not only can advance somewhat faster than random set bits but can do this with a unit diamond loss of 50 pct or less. Several bit manufacturers have initiated the training of diamond setters in the principles of orientation on the basis of the above-mentioned research results. The basic information on the crystallography and hardness variation of the diamond was presented in an earlier paper,' which pointed out that the diamond is several hundred times harder along certain directions and certain faces than on others. The same article discussed the drilling results obtained with a group of nine bits having octahedron diamonds set with on-point, positive (gouge) rake, and negative (drag) rake orientations. The testing of oriented cube diamonds is an extension of this research program, employing the same procedures and equipment (Hy Mac hydraulic drill unit, EXT diamond core bits, St. Cloud Pink granite) as previously described. This current work covers the test experience of seven bits set with cube diamonds running approximately 10 stones per carat. The individual stones were near perfect cubic form; hence it was simple to orient them in any desired direction. The cube is a comparatively rare crystal form of the diamond, although considerable numbers are produced from the Congo. It is understood that most of the cube diamonds are retained in Africa, where they are either used locally for diamond bit manufacture or ground up to make powder. They have been considered to be an inferior stone for drilling purposes.

Jan 1, 1954

Theo. B. ComstocK, Los Angeles, Cal. (communication to the Secretary*):—Mr. Blake's recent paper upon this topic undoubtedly partly explains the rationale of a part of the known facts bearing upon discolorat'ion and encrustation of rocks. His quotation from Humboldt, with reference to certain South American examples, may be questioned in the light of further facts, which do not appear to bear out the great traveler's theory of causation. There is no available evidence that the waters of the tropical rivers referred to by Professor Blake contain dissolved organic matter in the varying proportions required to demonstrate Humboldt's guess, nor do the concomitant facts in any manner bear out the hypothesis that the blackening in one case and its absence in the other may, perhaps, be traced to differences in the chemical reactions of the respective waters. Careful consideration of Professor Blake's illustrations, in connection with numerous personal observations extending over widely-scattered areas, convinces me that elements of

Jan 1, 1905

By W. E. Hale, G. J. S. Govett

An orientation survey was conducted over a known disseminated copper deposit and a Au-Cu vein deposit and employed geological, geophysical, and geochemical methods. Geochemical techniques proved the most effective and economical means of locating and defining areas underlain by these types of mineralization. Six additional, widely separated occurrences were also investigated and mineralization was confirmed by determination of cold-extractable copper in stream sediments. The length of anomalous drainage varies from several to 16 km and depends on the type and tenor of mineralization. Despite generally marked relief and extreme physical and chemical weathering, cold-extractable copper anomalies in soils appear to reflect closely variations in the ore mineral content of immediately underlying rocks. Threshold values vary with local geological conditions and type and grade of mineralization. Significant thresholds in stream sediments are about 65 ppm and 10 ppm for cold-extractable copper in disseminated and vein copper occurrences respectively. Similar differences are encountered in soils. This necessitates the use of a scale of threshold values at progressive stages in each exploration program. Dis-seminated copper occurrences are presently the major source of mineral production m the Philippines. Much potentially productive ground remains to be investigated and applied geochemistry appears to offer the best available approach. The Institute of Applied Geology (I.A.G.), a joint project sponsored by the University of the Philippines, the Philippine Bureau of Mines and the United Nations Development Program (Special Fund) undertook during 1965-66 a number of field projects in Northern Luzon Island (Fig. 1). These field operations were of a two-fold nature and involved both orientation and exploration. During approximately six weeks, an orientation survey, involving geological mapping, geophysical surveying and geochemical prospecting, was conducted over a partly developed, disseminated copper deposit at Santo Nino (Fig. 1). This study demonstrated the economic and technical feasibility of geochemical ptospecting, relative to the other methods tested, for the location and delineation of a typical disseminated copper occurrence characteristic of those that represent the major source of metal in the Philippines.' Geochemical techniques, similar to those tested at Santo Nino, were then applied in a second orientation study of a vein occurrence at Suyoc (Fig. 1). The results of these two orientation studies suggest that, in reconnaissance work in this region, stream sediment analyses, combined with the determination of pH in the same streams, can be used to indicate areas underlain by rock containing anomalous concentrations of copper, whether it occurs in the large tonnage, low grade, disseminated deposits or in the comparatively small tonnage, higher grade, gold vein occurrences. Furthermore, the orientation surveys demonstrate that soil sampling and analysis serve effectively to outline more closely the mineralized zones within the generally anomalous areas identified from the stream reconnaissance. To further test the methods selected from the two earlier trials, six additional, widely separated prospects were investigated. The geological and geochem-

Jan 1, 1970

By A. L. Field

This general subject has been so thoroughly discussed by Dr. Herty and his associates, especially with regard to the degree of oxidation of the metal at the time that the silicon pig or spiegel is added, that I am not going to spend much time on that today. I should like to propound a question, which is based on my own observations made some years ago while with a large alloy-steel company which had two open-hearth furnace plants. It is true that one of these plants was not engaged particularly in making alloy steels, but there were certain relations between slag and metal composition which appeared to me to be entirely different in the two plants. I have an explanation for it that is more or less incomplete, but possibly Dr. Herty or Mr. Reinartz or some of the others may be able to complete it. Suppose we take our three layers; the metal on the bottom, on top of that the slag, and on top of the slag, the gas. We cannot overlook the gaseous phase. Regardless of the effect of the iron oxide in the slag on the rate of carbon elimination—and that, of course, is rather important in alloy practice since it is not desirable to have the carbon dropping too rapidly at the time the deoxidizing is had in the furnace—it will probably be admitted that it depends on the iron oxide in the metal for a given carbon oxide. I have seen cases where with approximately identical metal and slag compositions one furnace would work twice as rapidly as another in removing carbon. Of course, there is some explanation of this in what others have already said, that the question of the exact lime and silica content of the slag determines the activity and viscosity of the slag; but I am convinced, without having reviewed the actual records since I was asked to make this talk, because they were not available at the time, that the slags in these two furnaces were not materially different. Putting it another way, one furnace would have

Jan 1, 1935