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Arizona ROBERT E TALLY, Chairman CARL F MILLS, Secretary-treasurer, P O Box 1462, Jerome, Ariz W. S. BOYD THOMAS H O. O'BRIEN F. W MACLENNAN Boston Meets first Monday each winter month GALEN H. CLEVENCER, Chairman HOLCOMB J BROWN, Vice-chairman F LEROY FOSTER, Secretary-treasurer, Room 8-219, Mass. Inst of Tech, Cambridge, Mass A. E WELLS H A WENTWORTH

Jan 1, 1923

By J. W. Ristori, V. R. Garfias

ONE of the most serious problems now confronting Gel- many-and one that will affect Italy even more seriously if she goes to war against England and France -is that of supplying her navy, mechanized army, and air force as well as her industrial and other needs with the necessary and related products. This problem, serious even now, will become vital should hostilities on a large scale develop.

Jan 1, 1939

By Raymond D. Sloan

Dropping from third position among the oil-producing states of the nation in 1942, Oklahoma ranked fourth in 1943 with a total output of 121,431,ooo bbl., a decline of 11.9 per cent from the previous year's total of 137,792,000 bbl. Production ranged from a maximum of 346,900 bbl. daily in February to a low of 322,800 bbl. daily in October, and at the close of the year was averaging 330,000 bbl. daily from 52,096 wells, or an average of 6.3 bbl. per well. The state's well, average at the close of 1942 amounted to 6.7 bbl. At the turn of the year, it appeared reasonable to assume that Oklahoma's producing rate would continue its downward trend during 1944 unless reversed by greater than normal discoveries. To Jan. I, 1944, Oklahoma has produced 5,188,466,-ooo bbl. of crude oil. Development and Exploration A total of 1287 wells was drilled in 1943, representing an increase of 77 wells, or 6.4 per cent over the preceding year's total of 1210. Of the wells completed, 587 (45.6 per cent) were oil wells with an average initial production of 319 bbl.; 127 (9.9 per cent) were gas wells with an average initial of 8,639,000 cu. ft.; and 573 (44.5 per cent) were dry. A total of 333 wildcats was drilled (25.9 per cent of all wells), an increase of 13 (4.1 per cent) over the 1942 total of 320. Of the*wildcats drilled, 46 (13.8 per cent) were oil wells with an average initial production of 235 bbl.; 27 (8.1 per cent) were gas wells with an average initial of 8,249,-ooo cu. ft.; and 260 (78.1 per cent) were recorded as failures. Reconditioning of wells throughout the state led to a total recompletion of 230 wells. Of these, 131 were oil wells with a combined initial production of 8360 bbl., 31 were gas wells with a total initial of 211,950,000 cu. ft., and 68 were abandoned. The 46 successful wildcats opened 33 new producing areas, one of which produced from three separate horizons, and led to the development of production in new horizons in 11 old pools. While none of the 1943 discoveries have as yet developed into what might be termed major pools, the West Moore pool, in Cleveland County, and the West Edmond pool, in Oklahoma County, are the two outstanding new areas opened to production. The West Moore pool, sec. 29, 10 N., 3 W., discovered in December 1943, was completed for an initial production of 248 bbl. of oil in 3 hr. through small tubing chokes in the second Wilcox sand from 8787 to 8800 ft. One well was drilling in this area at the close of the year. The West Edmond pool, an April discovery in sec. 32, 14 N 4 W., is producing from the Hunton lime at a depth of approximately 6950 ft., the world's deepest Hunton lime pool. To the end of the year, 15 oil wells had been completed, with no gas wells and no failures. Accumulated production to Jan. I, 1944, amounted to 474,300 bbl. of 41" gravity oil. There were 29 active operations in the field at the end of the year. The West Edmond and West Moore pool discoveries established the first commercial production west of the Granite Ridge,

Jan 1, 1944

By Raymond D. Sloan

Dropping from third position among the oil-producing states of the nation in 1942, Oklahoma ranked fourth in 1943 with a total output of 121,431,ooo bbl., a decline of 11.9 per cent from the previous year's total of 137,792,000 bbl. Production ranged from a maximum of 346,900 bbl. daily in February to a low of 322,800 bbl. daily in October, and at the close of the year was averaging 330,000 bbl. daily from 52,096 wells, or an average of 6.3 bbl. per well. The state's well, average at the close of 1942 amounted to 6.7 bbl. At the turn of the year, it appeared reasonable to assume that Oklahoma's producing rate would continue its downward trend during 1944 unless reversed by greater than normal discoveries. To Jan. I, 1944, Oklahoma has produced 5,188,466,-ooo bbl. of crude oil. Development and Exploration A total of 1287 wells was drilled in 1943, representing an increase of 77 wells, or 6.4 per cent over the preceding year's total of 1210. Of the wells completed, 587 (45.6 per cent) were oil wells with an average initial production of 319 bbl.; 127 (9.9 per cent) were gas wells with an average initial of 8,639,000 cu. ft.; and 573 (44.5 per cent) were dry. A total of 333 wildcats was drilled (25.9 per cent of all wells), an increase of 13 (4.1 per cent) over the 1942 total of 320. Of the*wildcats drilled, 46 (13.8 per cent) were oil wells with an average initial production of 235 bbl.; 27 (8.1 per cent) were gas wells with an average initial of 8,249,-ooo cu. ft.; and 260 (78.1 per cent) were recorded as failures. Reconditioning of wells throughout the state led to a total recompletion of 230 wells. Of these, 131 were oil wells with a combined initial production of 8360 bbl., 31 were gas wells with a total initial of 211,950,000 cu. ft., and 68 were abandoned. The 46 successful wildcats opened 33 new producing areas, one of which produced from three separate horizons, and led to the development of production in new horizons in 11 old pools. While none of the 1943 discoveries have as yet developed into what might be termed major pools, the West Moore pool, in Cleveland County, and the West Edmond pool, in Oklahoma County, are the two outstanding new areas opened to production. The West Moore pool, sec. 29, 10 N., 3 W., discovered in December 1943, was completed for an initial production of 248 bbl. of oil in 3 hr. through small tubing chokes in the second Wilcox sand from 8787 to 8800 ft. One well was drilling in this area at the close of the year. The West Edmond pool, an April discovery in sec. 32, 14 N 4 W., is producing from the Hunton lime at a depth of approximately 6950 ft., the world's deepest Hunton lime pool. To the end of the year, 15 oil wells had been completed, with no gas wells and no failures. Accumulated production to Jan. I, 1944, amounted to 474,300 bbl. of 41" gravity oil. There were 29 active operations in the field at the end of the year. The West Edmond and West Moore pool discoveries established the first commercial production west of the Granite Ridge,

Jan 1, 1944

By Jack C. Haptonstall

Abstract-Minas de San Luis, S.A. operates the old Tayoltita mine located in the Sierra Madre Occidental in Durango, Mexico. Yearly production is 55 000 kg (1.7 million troy ox) of silver and 1000 kg (31,000 troy ox) of gold from milling 165 000 t/y (181,900 stpy) obtained from fissure veins. A 4.4 km (2.75 miles) adit, to intersect the veins below existing workings, was completed in 1974. The adit and ancillary projects facilitated extensive mechanization of the mine, ramp development of it, integration of duplicate facilities and elimination of obsolete facilities. It provided a deep-level access for exploration and development of the veins, and resulted in a 25% increase in production with the same labor force. The cost of the in-house financed project was $3.4 million.

Jan 2, 1978

The Library of the above-named Societies is open from 9 A.M. to 10 P.M. on all week-days, except holidays, from September 1 to June 30, and from 9 A.M. to 6 P.M. during July and August. The-Library contains about 55,000 volumes, including sets of technical periodicals and the publications of scientific and technical societies. Members of the Institute, with few exceptions, are forced to spend .a portion of their time in localities isolated from sources of information. To these the Library can render valuable service through correspondence; letters requesting information will receive special attention. The Library is prepared to furnish references and copies of articles on mining and metallurgical subjects; to determine the existence of mining maps, and to furnish general information as to the geology and mineral resources of all countries. All communications should be made as definite as possible so that the information received may be what is desired and not include collateral matter which may not be of interest. The time spent in searching for such collateral matter will be saved, and the information will be sent more promptly and in more usable shape. The members of the Institute can be of service to the Library by forwarding copies of mining reports maps privately issued, and similar material, which will he classified, indexed, and made available to other members. Suggestions for additions to the Library, either by purchase or personal solicitation as gifts, will be welcomed. It is hoped that members while in the city will use the Library freely, and. assurance is given that most careful service will be rendered to them.

Jan 6, 1915

By Dix, E. H.

THE percentage of manganese used in commercial aluminum alloys is small, and yet this element is an important addition to some very valuable alloys. When used alone with commercial aluminum containing iron and silicon as impurities, the usual percentage in wrought materials is from 1 to 1.5 per cent., whereas castings may contain as much as 2 per cent. An aluminum-manganese alloy containing nominally 1.25 per cent. manganese is much used in sheet form for the manufacture of cooking utensils and other articles requiring a little greater strength and hardness than could be obtained with commercially pure aluminum. It is also used for various purposes in the form of rods, tubes and pipes. The aluminum-manganese alloys, both wrought 'and cast, offer excellent resistance to many kinds of corrosion attack. The U. S. Naval Gun Factory uses an aluminum alloy containing from 1 to 2 per cent. each of copper and manganese, for both castings and forgings. Manganese is also used, up to about 1 per cent., as a minor alloying .element in several of the strong aluminum alloys of the duralumin type. It is felt that the role of this element when thus used has not been fully understood, but it is believed that the results obtained in this investigation will throw additional light on the subject. The earlier work on the system aluminum-manganese was general in nature, and no detailed investigations of the relations existent in the useful aluminum-rich alloys have been reported. Guilletl1in 1902 surveyed the system, and Hendrichs2 in 1908 published an equilibrium diagram which, although based on .few data, is often used in the literature. Fragmentary work has also been done by other investigators."

Jan 1, 1927

By George S. Barnett

The Equis and El Roble projects are located in the Cordillera Occidental of Colombia. The Equis vein deposits have sulfide ore reserves of 95,955 mt (105,770 st) grading 8.51 g/mt (0.248 oz/st) gold and 12.4 g/mt (0.36 oz/st) silver with 0.94 % copper, 1.10 % lead and 11.06 % zinc. Ore reserves at El Roble are estimated as 1.1 Mmt (1.21 million st) grading 4.89 % copper and 3.39 g/mt (0.099 oz/st) gold. Geologically possible reserves at Equis may total 1.6 Mmt (1.76 million st). El Roble has the potential to contain several tens of millions of metric tons. Exploration included diamond drilling, trenching, channel sampling, rock and soil geochemistry, geophysics and tunneling. Erratic high grade samples affect the weighting of channel and drill core samples. Secondary reconcentration of gold is also a factor. Sample maps and graphs show the distribution of values to be highly variable. Geostatistical treatment of some of these data gave important guidelines for parameters such as sampling densities, drill hole spacing and confidence limits.

Jan 1, 1985

By E. W. Johnson, M. L. Hill

The dijfusiuity D was determined at 25° to 780°C- from hyd?-ogen evolution rates. Anomalous evolution from air-melted iron was att~zbztted to residual hydrogen, which is interpreted as a hydrogen compound that decomposes at a strongly temperature-(Ieperzdent rate above 500°C. Above 200°C, D = 0.0014 cm2sec-1 exp (-3200 cal per g atom/RT). Below, 200°C the diffusivity is anomalously low and represented by D = 0.12 cm2sec-l exp (-7820 cal per g atom/RT). It is postulated that at low temperatures the hydrogen in the metal is "trapped" with an energy 4.8 kcaL per g atom below- that of the interstitial hydrogen. 1 HE purpose of the present experimental study was to determine the diffusivity of hydrogen in a-Fe over an extended temperature range. As certain anomalies were encountered, attempts were made to understand the anomalies themselves. This research was in progress both before and after a determination of the diffusivity of hydrogen in nicke1.l The latter system was found to exhibit none of the anomalies of hydrogen in iron, and its description was far simpler. The experiments on nickel also

Jan 1, 1961

By Joseph C. Buchen

IN principle, production of salt from sea water is a simple operation. Sea water is trapped in ponds, the sun and wind cause evaporation of the water, and what is left is principally salt. Commercial production of solar salt, however, requires a careful consideration of many factors. Obviously, sufficient evaporation must take place throughout the making season to produce an economically adequate crop. Other factors are density of soil, contour of ground, height of ground above sea level, minimum dilution from fresh-water streams, and distance from market. Unfortunately, in the United States the localities of greatest evaporation, allowing for the other factors, are not the most suitable for the manufacture of sea salt by solar evaporation. The south end of San Francisco Bay most

Jan 1, 1937

Discussions of the paper of Mr. Gayley read by title at the Lake Superior hieeting, but first presented at the New York meeting of the Iron and Steel Institute, October, 1904 (see p. 746). With the exception of Mr. Pourcel's discussion (p. 1038), these papers are here published under a mutual agreement between the Councils of the two Institutes, and will also be found, with others, in the Journal of the Iron and Steel In-slitute for the pear 1904, Mr. E. Windsor Richards, Past-President,' said that in 1799 Mr. Dawson, of Low Moor, read a paper before a scientific society in York pointing out the great diff'erence in the moisture of the air going into the blast-furnace in the hot months of the year and in the winter months. A cold blast-furnace was a very sensitive instrument, and showed this very clearly, for in June, July and August the furnace did not drive so well; it did not make the quality of iron and required more fuel; so that Mr. Gayley was on the right road to effect an enormous improvement in this direction. He considered that Mr. Gayley was on the way to great success, and hoped that the apparatus would not be a very expensive one. He supposed it mas too early for Mr. Gayley to let them know what the saviug was

Jan 1, 1905

By Clyde E. Williams, JAMES L. GREGG

THIS review of the past year's progress in iron and steel metallurgy presents examples of only a few of the interesting or important accomplishments made in the United States. In the field of iron ore concentration increased attention was given to the study of the more difficultly separated wash ores and some progress was made in tabling. One difficulty with the table, in concentrating iron ore where the percentage of concentrate in the feed is large, has been the removal of fine silica from the thick layer .of concentrates in the cleaning zone. One company has -Made an important contribution toward the solution of this problem by an extension of the well-known plateau principle. By a special riffling of the plateau section of the table, the concentrates are crowded together. This action forces the fine silica to the top of the bed in the cleaning zone, whence the cross-flowing currents of water -can wash it into the middling product. Some work has been done on the application of froth flotation to the concentration of iron ores. Laboratory experiments were made at the Colorado School of Mines in which hematite was, successfully floated. Using oleic acid as a frothing and collecting agent and sodium carbonate as the conditioning agent, a high recovery of rich ,concentrate was obtained. A laboratory flotation unit is in use at Taconite, on the Mesabi range, and a commer-

Jan 1, 1932

By HOWARND N. EAVENSON

THE year 1930 resembled the preceding one in the coal industry in continuing the era of falling prices and 'of the abandonment of unprofitable mines. Practically all coal prices fell, and in the steam sizes during the last half of the year this was particularly true, due to the small industrial demand. No new mines of any size were opened in the bituminous coal industry, but there was a steady increase in the number of cleaning plants of all kinds built in all fields. It is estimated that at least nine million tons per year were added to the previous total of washed coal. The largest washing plant started during the year was that of the Buckeye Coal Co., at Nemacolin, Pa., with a capacity of 650 tons per hour. Fig. 1 shows - the mixing-bin, conveyor galleries, washing-plant and skip hoist, and Fig. 2 the 120-ft. Dorr thickener for collecting the 48-mesh material from the wash water. Dryers are used for drying the steam coal product. The following statement by J. R. Campbell shows the effect of cleaning on Pittsburgh coal in Greene County: "With the advent of the 650-t.p.h. efficient washing plant in Greene County at the Nemacolin mine of the Buckeye Coal Co., it has undoubtedly been demonstrated that the potential coking-metallurgical coals of the county can be brought within the pale of the highest grade high-volatile coals for steel manufacture. A few months' operation indicates that 9% per cent ash in the raw coal can be easily reduced to under 7 per cent ash in the washed coal and the sulfur from 1.60 per cent in the run of mine to 1.20 per cent sulfur in the washed coal.

Jan 1, 1931

By J. F. Mitchell, R. Bainbridge, E. A. Melvin

IN the fall of 1953, The Consolidated Mining and Smelting Co. of Canada Ltd. put into operation a completely new and modern plant for sintering the rather complex assortment of materials which comprise the feed to the Lead Smelter at Trail, British Columbia. This Lead Smelter is one section of an integrated metallurgical plant producing lead, zinc, silver, gold, cadmium and other metals. Since most of the incoming lead concentrate contains appreci- able zinc values, and most of the zinc concentrate similarly contains appreciable lead values, the cross-routing of residues or tails from the respective lead and zinc plants offers obvious advantages in recovery of metals, and has been practiced for many years. A disparity has existed, however, between the output of zinc plant residue and the capacity of the Lead Smelter to treat it, with the result that over the years a stock-pile of residue had been accumulating, and by the end of World War II had reached the formidable total of half a million tons. To treat this stock-pile, in addition to all current zinc plant residues and, of course, the regular quota of lead concentrates, became a prime objective of the Lead Smelter following World War 11. As zinc plant residue plays an important part in the operations to be discussed in this paper, some consideration of its

Jan 1, 1958

By Strathmore R. B. Cooke, Marcus Digre

That calcium will activate quartz for flotation with anionic collectors such as soaps has been known for a number of years,12'3 and the method has been applied to the concentration of various iron ores4 5 6 as well as to other materials. Clemmer gives the permissible pH range for the activation of quartz by calcium as between 9.5 and 12.5 with an optimum value of 11.0, and Hertzog7 has determined the calcium abstraction of iron ores and of Ottawa sand, but otherwise little quantitative data are available. The purpose of the present investigation was to determine those conditions under which dilute solutions of calcium chloride will activate quartz for anionic flotation and to determine the amount of calcium ion adsorbed by quartz. Those variables, the influence of which was primary, such as calcium, sodium, and hydrogen ion concentrations, were studied. Other factors which influenced the results are discussed in the description of the experiments. Three different experimental methods were used to determine the activation of the quartz. The first method was to treat a sample of ground, deslimed quartz with solutions of calcium chloride and sodium hydroxide, and to determine the calcium adsorbed by chemical analysis of the solution. Advantages are that a direct value for the amount of calcium adsorbed is obtained, and introduction of a collector which may affect the adsorption is avoided. The difficulty is to determine the extremely small differences in the calcium concentrations before and after the abstraction. The second method was to determine the activation of the quartz by observing the contact angle obtained on pressing an air bubble against the polished surface of a piece of quartz immersed in a solution of calcium chloride, sodium hydroxide, and sodium oleate. This is the well-known "contact angle" method. The third method was to determine those conditions under which an air bubble will pick up quartz particles immersed in a solution of the desired reagents. Disadvantages common to the sec- ond and third methods are that introduction of a collector is necessary to obtain bubble contact with the mineral; very small quantities of contaminant can give erroneous results; and no information is obtainable concerning the amount of calcium adsorbed. Advantages are that tedious analyses, which at best give approximate results, are avoided, and the conditions, especially for the third method, closely simulate those of actual flotation. Although the most consistent results were obtained with the third method, this paper describes the techniques used and the results obtained from each of the three methods. Distilled water and analytical grade reagents were used throughout except where otherwise stated. Between tests all glass articles were cleaned with a chromic-sulphuric acid mixture and sodium hydroxide. Abstraction Method The raw material for the tests was Ottawa sand sized between 14 and 28 mesh. Batches of 500 g of this sand were dry ground for 1 hr in an Abbe porcelain mill with 2700 g of quartz pebbles. The batches were split down to samples weighing approximately 30 g, and the weight of each sample was adjusted to exactly this value.

Jan 1, 1950

By Betty J. Laswell, Gerald W. Laswell

Rotary drilling in modern open-pit mining is usually considered the lead phase which not only establishes the production rates but frequently limits them. From this viewpoint alone, the drilling phase must be maximized. The drill phase is the step that permits all the other operational phases to function within their design limits. This means that, in most cases, the drill is literally run to destruction to ensure that the shovel will be able to smoothly and consistently load a manageably size muck, the haul trucks can carry a balanced load without having a boulder dropped through the bed, and the crusher can devour constant rock size.

Jan 8, 1978

By Games Slayter

NO reasonably well-informed person believes that the role of minerals, both metallic and nonmetallic, will be any less important in the future than it has been in the past. The contrary is true. Industrialization is based on mineral resources and man's ability to make use of them. A nation's standard of living, its political and military power, will continue to depend largely upon the extent to which it is industrialized-and minerals are the raw materials both of the machine and the power to run the machine. Minerals are also the raw materials of human health and stamina. The world's healthiest, most vigorous, and most long-lived peoples have always been those that have lived in regions of the globe where the earth is rich, and kept rich, in the phosphates and other minerals required for the production of the so-called growth foods. Only a small proportion of the land surface of the globe is suitable under any circumstances for large-scale production of these and other essential foods. As things stand, only a part of this land is capable of such production either because the soil minerals have been exhausted by cultivation, or because they never existed in the soil in sufficient quantities.

Jan 1, 1943

By Williams, J. A.

THE Alaska Juneau mine has been developed through an adit driven at the elevation of the top of the mill and all mining is done above this main haulage level. As a result of wholesa1e"mining operations about 11,000 tons rock containing one dollar' per ton in gold is, hauled to the. concentrator during every 24 hr. Due to the method of mining, whereby a system of oreways delivers-the.ore direct from the stope to the bottom level of the mine, no tramming of ore is done on any of the upper levels. However, ;in doing exploratory drifting and crosscutting on the upper levels, the broken material is trammed by hand in 1-ton 18-in. gage cars to a nearby raise connecting with one of the several oreways. This constitutes the only tramming operation except that on the main level.

Jan 1, 1931

By F. N. Flynn

- Introductory IN 1882, The Arizona Copper Co. Ltd., acquired producing copper mines at Metcalf and Morenci (locally called Longfellow). Metcalf is situated a distance of 7 miles, and Morenci a distance of 6 miles from the general office of the company at Clifton, Ariz. A reduction works with five blast furnaces was built in the center of the town of Clifton in 1884 and operated until January, 1914. Concentration of oxidized ores was begun in 1890-1891, in a mill built adjoining the smelter, and in October, 1893, a leaching process was started for treating tailings from the oxide mill. A sulphide concentrator with 300 tons capacity was built at Clifton and started treating chalcocite ores in July, 1896. This was the first mill to treat low-grade copper-sulphide ores successfully. Another concentration mill for sulphide ores was erected at Morenci in 1900. The, sulphide mills are now being remodeled to treat ores by concentration and flotation, with a capacity of 4,000 tons at Morenci and 500 tons at Clifton. The leaching plant has not been running since September, 1914. The average yearly production from this company's mines and reduction works from 1885 to date has been: Pounds 10 years ended 1894 6,864,902 10 years ended 1904 20,439,614 10 years ended 1914 : 32,665,905 Part of year 1915, to Sept. 12 30,206,106 4 months of 1916, to June 15,964,840 June, 1916...: ? 4,900,000 Construction on a new smelting plant was started in February, 1912, and finished in February, 1914. In the Transactions, vol. 49, E. Horton Jones published "Unit Construction Costs from the New Smelter of the Arizona Copper Co., Ltd:," which fully describes the construction of this plant, with details of costs.

Jan 9, 1916

By J. D. Anthony

The Australian continent possesses significant reserves of a wide range of minerals, including bauxite, coal, copper, diamonds, gold, iron ore, lead, manganese, mineral sands, nickel, phosphate, silver, tin, uranium, and zinc. Australia's identified economic resources of many minerals are very large as indicated in Table 1. A sophisticated and highly experienced mineral industry is now an established feature of the Australian economy and Australia is the world's largest exporter of iron ore, alumina, mineral sands and refined lead and amongst the leading suppliers of many other commodities such as coal, lead and zinc ores/concentrates, nickel, refined zinc, tungsten concentrates and bauxite. The industry exports 70% of its production. This is reflected in the value of Australian mineral exports which have grown from about $200m in 1960/61, comprising 10% of total export receipts, to about $1265m or 29% of export income in 1970/71 to around $7061 representing 37% of Australia's total export income in 1980/81. Details of the more significant minerals are as follows: Japan (42.1%) USA (11.3%) ASEAN (6.3%) UK (5.9%) F.R. Germany (3.8%) Republic of Korea (3.4%) New Zealand (2.6%) Also see Table 2. AUSTRALIA'S MINERAL RESOURCES POLICIES Federal and State Governments' Responsibilities Australia has a federal system of government comprising six States, a self-governing Territory and a Federal Government. Under the Australian federal system the Constitution sets down the powers of the Federal Government. All powers not assigned to the Federal Government in the Australian Constitution reside automatically with the States. Certain of these broad powers result in the Federal Government having a significant influence on resources development. For example, in being responsible for economic management, the Federal Government's fiscal and monetary policies have an important effect on industry as well as on State finances. In particular, the taxation regime employed by the Federal Government is of direct importance to decision-makers in the resources industry. The Federal Government is responsible also under the Constitution for external trade matters; and international trade and commodity matters are increasingly important in Australia's international relationships. Foreign investment is another area where the Federal Government has a role to ensure that national interests are protected. This foreign investment power flows from the Federal Government's control of foreign exchange movements into and out of Australia. However, before enlarging on these and others of the Federal Government's powers and policies, it should be emphasized that the State governments, by virtue of their wide powers to regulate matters within their own boundaries, are more directly involved in the day-to-day administration and regulation of mining operations. For instance, the powers of the State governments include the responsibility-for the granting of exploration rights and mining leases, the approval of mining operations and the levying of royalties and other like charges. Administrative arrangements covering the granting of minerals and petroleum exploration and development titles vary from State to State. Before development rights are granted, State governments consider environment protection and rehabilitation aspects of development proposals. The provision of infrastructure within State borders is a matter primarily of State government responsibility. It is usual practice in Australia for State governments to construct and operate infrastructure services such. as railways, ports and electricity generation and transmission. The States may also provide certain public services such as electricity. and water, port and loading facilities, communications, health and education services which form part of the infrastructure of mining operations. In remote areas the mining companies themselves usually are expected to provide much of this infrastructure. However, the Federal Government is primarily responsible in some fields, such as telecommunications and parts of the railways network. State governments carry out preliminary exploration and geological mapping and some are directly involved in the mining of coal for power generation. The Federal Government's responsibilities in addition to economic management, taxation, international relations, foreign capital and investment, include regulation of exports, environmental matters and matters affecting the Aboriginals of the Northern Territory. FEDERAL GOVERNMENT POLICIES The continued sound development of the minerals and energy resources sector is regarded by the Federal Government as being of very great importance. However, the Government does not seek to participate directly in resource developments. It sees its role rather as that of establishing a sound economic and policy climate in which private companies can identify opportunities, seek out customers and marshall the necessary capital for the development of resource projects.

Jan 1, 1982