Washington Survey - Mining Economy Strong

A joint statistical report released by the U.S. Department of Commerce and U.S. Securities and Exchange Commission indicates that business investment in new plants and equipment is expected to total $81.8 billion during 1971. This figure is based on the findings of a survey conducted in late April and May and reflects about a 1 ½ % decrease in investments from the $83.1 billion projected in February. Mining, on the other hand, is still in a bullish mood and is expected to spend $1.99 billion in 1971 compared to $1.89 billion in 1970 and $1.86 billion in 1969. Based on figures quoted above, mining investment in 1971 should show a 5.2% increase over 1970. Carl E. Bagge, president of the National Coal Association, was the dedicatory speaker at the new Milton R. Young Station of the Minnkota Power Cooperative in North Dakota. This new power plant incorporates many innovations which have overcome the problems of using the low-cost lignite abundant in the area. According to Bagge, this development and President Nixon's recent request for an extra $10 million for coal gasification plants is helping the region lead the way in providing for the power needs of the future. He also maintains that gasification of coal can reconcile coal consumption with the demand for cleaner air, and also assure the nation of adequate pipeline gas.