Search Documents

By C. R. Austin

THE investigation described in this paper deals with the development of high-temperature alloys of the Konel series over a considerable period of time at the Research Laboratories of the Westinghouse Electric and Manufacturing Co. The word "Konel" has been coined to designate a class of alloys which are essentially nickel-cobalt-iron with other elements added, usually in small quantities. Most of these alloys contain titanium, usually about 2.5 percent. The main consideration related to strength at high temperatures but the thermionic characteristics of the alloys was also of considerable importance. It is, however, with the mechanical properties at elevated temperatures that we are herein concerned. Much attention has also been devoted to their age-hardening characteristics. There is little need to stress the utilitarian aspect of this subject, as it has been discussed frequently. Alloys exhibiting superior properties at normal or elevated temperatures rapidly find many suitable applications. There may be some question, however, as to what constitutes a "superior alloy, " or an alloy that may have good service possibilities at high temperatures. The problem is complex and various means have been employed to predict the useful life that may be expected of a material. In recent years the "creep limit" has been used as the best means of evaluation. Such tests necessarily are prolonged and hence collection of data is very slow. In a general survey of many alloys therefore the creep test is not desirable and recourse must be had to much shorter time tests in order more rapidly to select alloys which appear to show promise. For this reason the present survey has been made using the high-temperature tensile test and a bend' test developed by Howard Scott.1 In the tensile test the conditions have been standardized for all tests, so that values obtained are at least comparable, one alloy with another, although the absolute values recorded merely indicate the mechanical properties at the given temperature under a definite rate of loading.

Jan 1, 1931

By Will Mitchell

The classical definition of a beneficiation engineer as one who treats an ore in order to separate and discard worthless fractions by essentially physical means is obsolete. Technology in the profession has advanced so rapidly during the last two or three years that educators have not been able to coin definitions to keep up with the pace. In the past some people have hesitated to include leaching or even agglomeration as minerals beneficiation, because of the major chemical changes involved. This view has fallen by the wayside, especially because a majority in the profession have become actively involved in extraction and pyro processes that go far beyond the original definition of mineral dressing. To say that there is a great revival of interest in leaching is putting it mildly, for the uranium business, like the gold business, now depends almost entirely on leaching. This revival of leaching, long overdue in mineral engineering, has been stimulated this year, especially as a result of the relaxation of security restrictions surrounding the recovery of uranium from its ores. It has brought new unit operations to minerals beneficiation, namely ion exchange and solvent extraction. These operations have appeared as resin-in-pulp, solvent-in-pulp, and liquid-liquid systems. In many cases these leaching and separation procedures, now reaching the production stage, have been engineered by minerals beneficiators. The trend toward leaching has also had impact on the technology of beneficiating other nonferrous minerals, especially copper, manganese, columbium, tantalum, nickel, cobalt, titanium, and the rare earths.

Feb 1, 1956

By Edward H. Robie

THE registration badges gave out, there were not enough programs, the Pioneer Hotel's rooms were insufficient, and some hundred applicants for banquet tickets had to be turned down at the Institute's Regional Meeting in Tucson, Nov. 1-5. Minor inconveniences these, however, occasioned by the fact that, optimistic as they are in Arizona, about half again as many partook of the week's activities as were expected. For this, the local program committee can be blamed-both the technical and social features were too attractive in quantity and quality. Seriously speaking, though, the Institute has probably never had a more successful Regional Meeting than this one. It being the first that has been held in Arizona in 22 years, no effort was spared to make it the distinctive gathering that it was.

Jan 1, 1938

[†Aaronson, Alfred E., Oil Producer, Pres., Tuloma Oil Cc Tulsa, Okla. '18 ¦Abad, Leopoldo F., College of Min., Univ. of California Berkeley, Cal. '23 ¦Abadilla, Quirico A., Geol. Dept., Cia. Mexicans de Petroleo "EI Aguila," S. A., Edifico "El Aguila," Esq., Calles Aurora y Comercio, Tampico, Tamps., Mexico. '20 ¦Abbey, Robert Graham, Student, Case School of Applied Science Cleveland, 0. '21 Abbott, Clarence E., Gen'l Supt., Iron Mines Div., Tenn. Coal, Iron & R. R. Co., 1405 Minnesota Ave., Bessemer, Ala. '04] [ ]

Jan 1, 1925

By E. von Maltitz

IN his highly interesting paper on "Piping and Segregation in Steel Ingots,"1 Prof. Howe emphasizes the effect of successive phases of internal pressure in the ingot in the evolution of gas, and the consequent formation of blow-holes. From his statements in other places, it may be inferred that he does not here intend to ignore the other variable factor, temperature, but rather to discuss this one more particularly. At all events, it is my purpose not to engage in controversy with Prof. Howe, but rather to contribute, towards the complete elucidation of this important subject which we all desire, my own views and experience. If, in doing so, I specially emphasize other factors than pressure, I need not be understood as denying what I do not think it necessary to discuss fully. Nor, in presenting my own original conclusions, need I be understood as claiming to be the first who ever reached or announced them. Many things are asserted or suggested upon inconclusive evidence; and to confirm such tentative propositions may be as valuable a service as to overthrow them. In the following passage, Prof. Howe adduces analogies, based upon the behavior of charcoal and of water, respectively, which seem to me questionable "In general, the. solvent power falls as the pressure falls ; and in general it rises as the temperature falls. Thus, to heat a solid, for instance charcoal, may expel part of its dissolved gas ; and a tumbler of water drawn cold from the faucet gradually evolves gas, as it stands and warms up on the sideboard." (p. 238.) Charcoal is a solid body, which has the property not only of absorbing gases in large quantities, but also of expelling the thus absorbed gases upon heating. A comparison between charcoal and iron as to the absorption of gases is scientifically not possible ; the gas-content of charcoal is partly due to the

Sep 1, 1907

By David J. Mack

A SURVEY and critical appraisal of published information about Young's modulus was originally made by the writer because of a complete lack of information about this very important quantity in works on mechanics, physical metallurgy, physics, and other sciences. It was felt that a comprehensive summary of such information about Young's modulus might be of general interest and may suggest new problems or lines of attack on other problems that involve E. Hence this paper has been prepared even though it is only a review, with no new ideas or experimental data. The references are only those used in assembling the paper. No attempt was made to compile a complete bibliography on the subject of Young's modulus. CALCULATION OF YOUNG'S MODULUS FROM THEORETICAL OR EMPIRICAL CONSIDERATIONS Many attempts have been made to compute E from theoretical considerations. The earliest calculations were probably those of Tomlenson (1883) and Southerland (1891), but Fessenden 41,42 made extensive calculations a few years later and arrived at the relationship: [2E = 78. 101 (_L V] where V is the atomic volume. In 1923, Peczalski,43 working from the same stand-point but with more information available on atomic structure, arrived at an identical relationship, which he expressed as: [E=B(m) 2] where B is a constant of value about 8 • 10 7, p is density and m is atomic weight; the atomic volume, of course, being m/p. Portevin44 immediately pointed out that while the equations of Fessenden and Peczalski were true of the common metals, they gave low values for the refractory metals with high moduli (Fig. I). He showed (Fig. 2) that much better concordance was obtained by means of an empirical equation of the form: [E _ KT'Vb] where K is a constant; T the absolute melting point; V, atomic volume, and a and b constants of value approximately I and 2 respectively. This constant K in the Portevin equation is not necessarily the same for all elements, as shown by Thompson.45 Other equations for E based upon theoretical considerations have been derived by Honda and Yamada49 and Lasareff. 50 The most recent calculations of elastic moduli based upon quantum mechanics are probably those of Fuchs.46-48 He extended the method of Wigner and Seitz for calculating the lattice energy and compressibility of monovalent metals and computed the elastic constants of lithium,

Jan 1, 1945

By G. Caetani

I. INTRODUCTION. WE owe to the courtesy of Mr. R. M. Raymond, Manager of the El Oro Mining & Railway Co., Ltd., the permission of publishing in this paper the results of a series of experiments and tests made in view of determining the economical limit to which the fine grinding of the ore by tube-mills could be carried on. For the sake of clearness, the following definitions are given of certain terms used in this paper, as well as of the units and screens in the experiments. Slime : In a general way " slime" is that mill-product, of which from 90 to 95 per cent, will pass a 200-mesh screen (0.067 mm. aperture), and which is treated as one class of material in the El Oro cyanide-plants. As a screen-product, slime constitutes all material that *ill pass a 200-mesh, screen. In sizing, the following products are distinguished:- Coarse Sand : That material remaining on a 100-mesh (0.111 mm. aperture) screen. Fine Sand : That passing through. 100-mesh and remaining on a 200-mesh (0.067 mm. aperture) screen. Slime: That passing through 200-mesh. Fines, which pass through 200-mesh and settle in 30 seconds, and silt, which does not settle in 1 minute. Sand-index : The number proportional to its total fineness considered from the economical point of view, as explained on page 93. Absolute extraction : The percentage of values actually brought into solution. Actual extraction: The percentage of values actually brought to the ziuc-boxes. Units : Dollars, U. S. Currency; pounds; and short tons (2,000 lb.). Gold is valued at $20.67, and silver at $0.50 per ounce. Screens : In the sizing-tests the screens used were:¬ Mesh (per 1 in.), . 24 30 40 60 80 100 150 200 250 Aperture (mm.), . 0.740 0.515 0.424 0.250 0.159 0.111 0.090 0.067 0.058 Strengths of solution : Strengths are expressed in the percent- . age of KCN contained, though the sodium cyanide, which is

Jan 1, 1906

By Pierre de P. E. M. Ricketts

HAVING had occasion while in Europe during the past summer to visit some of the foreign mints and assay offices connected with the same, I thought a brief description of the general process of coining employed, and such items connected with assaying as were new, might prove interesting to the Institute. The principal foreign mints are: the Royal Mint, London; and the mints in Paris, Brussels, Utrecht, Berlin, Vienna, Copenhagen, St. Petersburg, Stockholm, Madrid, Milan, Rome, and Constantinople. My time only permitted my visiting a few of the principal and largest given in the list, and for a description of the remainder I am indebted to the kindness of Mr. James M. Napier, who in company with the deputy master, and chemist of the Royal Mint, made a complete inspection of all the European Mints in 1870.

Jan 1, 1876

By J. R. Campbell

The need for standardizing methods of arriving at definite conclusions regarding the cleanability of a given coal, and for measuring the performance of coal-cleaning equipment, is constantly increasing. Earlier notes by the author on this subject are amplified in this paper, because he believes that better preparation of bituminous coal is a partial solution of the coal operators' troubles. Washability Studies The term "washability" of coal was coined when washing was the universal method of separating coal from its impurities by utilizing their difference in specific gravity. This and analogous terms are still used in their broad sense although pneumatic or air separation is now used to clean coal. These terms are so used in this paper. Too much time or money can hardly be spent on "feed surveys') to get a "picture" of the coal that is to be cleaned. There have been too many "rule of thumb" methods used. Screen analyses and "sink-and-float" tests on the raw coal enable the coal operator and washery man to predict within reasonable limits the results that may be expected from any efficient cleaning apparatus. The sizes to be examined to get the picture are optional to the investigator. In modern wet washing, the range is from 4 to 0 in. Hand-picking on properly constructed belts is perhaps the standard for cleaning above these sizes. A good picture of the coal may be obtained by the following screen analysis: 3½ to 1¼ in. 1¼ to 3½ in. ½ to 5/16 in. 5/16 in. to 14 mesh 14 to 28 mesh 28 to 48 mesh and for very complete data on the fines: 48 to 100 mesh 100 to 200 mesh and through 200 mesh

Jan 1, 1930

By H. O. HOPMAN

(Canal Zone Meeting, November, 1910.) I. INTRODUCTION. THE substance of this paper was prepared for the Seventh International Congress of Applied Chemistry, held in London, May, 1909, under the title, Some Developments in Blast-Roasting. In the absence of the author, a -short abstract of the paper was read, and the abstract only will appear in the proceedings of the congress. The present paper has been partly rewritten and considerably enlarged by information gained since the original was prepared ; also some illustrations have been added. Blast-roasting' is a generic term for the process of forcing air through finely-divided. metallic sulphide with the object of roasting and agglomerating in a single operation. At first the process was confined to a galena-concentrate ; lime, limestone, or gypsum was added, to serve both as a diluent to keep separate the particles of galena that they might be thoroughly oxidized, and as a flux that the partly-roasted ore might be agglomerated by the formation of some slag. Later it was extended to treat other metallic sulphides. The leading processes were the Huntington-Heberlein and the Savelsberg of Europe, and the Carmichael-Bradford of Australia. In the United States and Canada, the Huntington-Heberlein process has found application in some instances with galena-concentrates, for which it was originally intended; but this class of ore is not often treated alone, hence the process has had to be modified to suit conditions. The Savelsberg process has been transplanted to this country in about its original form. The Carmichael-Bradford is not used at present. The changes called for in the Huntington-Heberlein process to adapt it to the class of lead-bearing ores usually smelted have been the 1 A. S. Dwight, Engineering and Mining Journal, vol. lxxxv., No. 13, p. 649 (Mar. 28, 1908).

Jun 1, 1910

This discussion was prepared by members of the Phelps Dodge Corpn. staff who were designated to review the minutes. It is confidential but permission has been granted to distribute copies among those who attended the Conference. The minutes of the above conference contain numerous references to the plants and practices of Phelps Dodge Corporation. As many of these references are inaccurate, the following notes are made covering such points: Construction Magnesite Brick in Reverb. Arch (1) An.18" arch, 20 feet long, was built on one furnace with 5 feet on each side of magnesite brick, the center portion .being of silica brick. The furnace was put in operation February 13, 1930 and on April 23rd after 68.8 days' operation it was replaced due to failure of the silica brick forming the center of the arch. At this time, while the silica brick had completely gone, there was 14" of magnesite left. Bridgewall Tapping (2) Tapping matte through the burner wall was first tried at the Copper Queen Smelter in April, 1925. At that time, a copper casting with 1 ½ extra heavy pipes for water cooling cast in it, and having one taphole block was used. Later, on the other (old) furnaces, similar castings, but equipped with two tapholes, were used. We found with these furnaces that we could tap through the burner wall at the beginning of a campaign, but would subsequently have to go back to side wall tapping. This was the case until sometime in 1926. The new furnaces, that went in operation at the beginning of 1927, each had water. cooled castings with two tapholes. These have been used entirely and have been quite successful. Sometime after the furnaces were put into operation sidewall tapholes were put in, simply for the removal of any accumulation of matte that might be temporarily retained at the front end by bridges or dams in the furnace formed by overcharging locally.

Jan 1, 1930

Jan 1, 1959

By C. E. Corson

THE experiments of which the results and significance are set forth in this paper do not by any means cover the whole subject of the heat-treatment of the material referred to, yet they constitute a contribution to that general subject, rather than to the special department of annealing. The material here considered is acid open-hearth steel, containing from 0.50 to 0.80 per cent of carbon, with a nearly uniform percentage of other elements. This class of steel is rapidly increasing in commercial importance. It is even rumored that the rail-specifications of some railroads will hereafter require open-hearth steel. Yet this particular grade seems to have received less study and description from the standpoint of the metallographist than many others. The investigation here described was directed to the following points:-Steel containing about 0.50 per cent, of carbon : 1. The structure as related to the temperature, at the same rate of cooling; 3. The structure and physical properties as related to temperature at different rates of cooling; 3. The structure and physical properties as related to different finishing-temperatures and different rates of cooling; 4. The bearing of these observations upon the statement of Prof. Albert Sauveur.1

Sep 1, 1906

By T. F. Witherbee

It is proposed to give, first, a description of the works; second, a report of the first six months of the present blast; and third, such improvements as have been suggested by the practical working. The site selected for this furnace was, at the time of commencing work, October, 1872, entirely covered by the navigable waters of Lake Champlain. A coffer-dam was first built of cribs of round timber filled with stone, forming three sides, while the shore answered for the fourth. Considerable excavating was done with a steam-dredge, a hole being left for it to pass out. The opening was then built up, and the cribbing banked up with blue clay from the bottom of the lake, to render it water-tight and the dam pumped out; the remainder of the excavating being done by hand. All of the foundations, with the exception of the elevator-tower, and fifteen feet of the east side of hot blast, rest on the Potsdam sandstone, which forms the shore line, dipping into the lake at an angle of fifteen degrees. Owing to jogs in the formation, a much greater depth was found necessary than was at first anticipated, the foundation under the stack

By T. F. Witherbee

IT is proposed to give, first, a description of the works ; second, a report of the first six months of the present blast; and third, such improvements as have been suggested by the practical working. The site selected for this furnace was, at the time of commencing work, October, 1872, entirely covered by the navigable waters of Lake Champlain. A coffer-dam was first built of cribs of round timber filled with stone, forming three sides, while the shore answered for the fourth. Considerable excavating was done with a steam-dredge, a hole being left for it to pass out. The opening was then built up, and the cribbing banked up with blue clay from the bottom of the lake, to render it water-tight and the dam pumped out; the remainder of the excavating being done by hand. All of the foundations, with the exception of the elevator-tower, and fifteen feet of the east side of hot blast, rest on the Potsdam sandstone, which forms the shore line, dipping into the lake at an angle of fifteen degrees. Owing to jogs in the formation, a much greater depth was found necessary than was at first anticipated, the foundation under the stack

Jan 1, 1876

By A. D. LeClaire

This paper claims to provide a description of diffusion processes in solids which is said to be a reformulation of Fick's Laws and therefore, presumably, is supposed to be as general as those laws. In fact, it appears to provide no more than an atomic model of a rather restricted type leading even to results in conflict with experiment. The restriction lies in the assumption, carried throughout the paper, that even in a chemical gradient the jump frequency i of an atom of species i is a function only of the composition on the plane from which it jumps, i.e., ?i = ?i(cl, c2 ...). This means that atom jumps in opposite directions from a site would occur with equal probability. There would then be no tendency for atoms to migrate preferentially in one direction along the gradient, so the model is incapable of accommodating the well established phenomenon of atom drift in a chemical gradient.10-" A more general model that does not suffer this difficulty was discussed in a paper13 I wrote in 1958, and the results therein already contain as a special case those given by Dr. DeHoff. The simplest sufficiently general assumption is to suppose that ?i is a function ?i(a1 a2,...; wl, w2, ..-) of the concentration aj and ? ?j at the site from which and to which, respectively, a jump is made. Any such function can always be expressed as a function of the sum and difference of its arguments. Thus d is the jump distance and g a geometrical constant. Obviously this is zero, i.e., no drift, if ??ri/??j = 0. X is written in this form, revealing two components of the total drift, because it can be shown that only the second component, depending on ??'i/???(?j -aj), actually contributes to the net diffusion flux Ji. This component can be shown,13 by a straightforward ther-modynamic transcription, to be responsible for the so called "thermodynamic factor" in the Darken approximation for a chemical diffusion coefficient is the activity coefficient of i. Because the jump rate ?i in DeHoff's approximation has no dependence on the concentration gradient it does not seem possible to derive the Darken equation from his Eq. [6] without the further rather arbitrary assumption that ?i = const ri. It is to be noted too that the author's derivation of Eq. [12] is only valid when ?i is in fact a function only of the cj at the plane from which the atom jumps—for only then is ci?i a unique function of position and therefore of A. Author's Reply R. T. DeHoff I am indebted to Dr. LeClaire for his penetrating discussion of my paper, "A Reformulation of Fick's First Law". I concede that it does appear initially that the relationship presented in my paper could be derived from the detail atomic model of random walk and atom drift presented in Dr. LeClaire's approach. However, there are some important differences in concept and viewpoint which deserve further amplification. Dr. LeClaire's description is penetrating, detailed, and fundamental. His approach describes an extremely complex phenomenon, the displacement of atoms in a multicomponent gradient, at a sophisticated level. For precisely these reasons, his analysis has not proved to be useful for experimental studies that have practical objectives. For example, in order to obtain the information required to complete the analysis of the jump frequency distribution in a ternary system, the following series of experiments would, I believe, be required: 1) chemical (gradient) experiments, covering the composition range;

Jan 1, 1970

By Anthony Anable

HOOVER DAM, rapidly nearing completion in the Black Canyon of the Colorado River at Boulder City, Nev., taxes the superlatives of the vocabulary to describe. For by all odds, it is the largest construction project of its type ever essayed by man and the plants providing the essential materials of construction are also in a class by themselves not only in size but in advanced design, mechanization, and accurate control. Picture, if you will, the great aggregate plant, as it is called, situated about 4 mi. upstream from the site of

Jan 1, 1934

By Alfred H. Bell

Drilling activity increased in Illinois in 1935. There were 34 com-pletions as compared with 26 in 1934 and 18 wells were drilling at the end of 1935. Some large blocks of acreage were leased in Marion and Clay counties near the central part of the Illinois structural basin. Production of oil in the state totaled 4,305,000 bbl., a decrease of 4 per cent from that of 1934 There was some curtailment of production in the early part of 1935 but none after April 30 as shown in the following table. Percentage Pro-duced of Potential ProductioN (USING September 1934 Period as BaSis) Jan. .l-Feb. 20............................................ 79 Feb. 21-Feb. 25............................................ 85 Feb. 26-Feb. 38............................................ 79 Mar. 1-Mar. 11............................................ 85 Mar. 12-Mar. 31............................................ 100 Apr. 1-Apr. 9.......................................... 80 Apr. 10-Apr. 30............................................ 86 May 1-Dec. 31........................................... 100 This is equivalent to an average curtailment throughout the year of 5 per cent. The price of Illinois crude oil at the wells remained constant during 1935 at $1.13 per barrel. A small amount of oil was sold at a 1ower price, notably from the Dupo field, but to arrive at a value for the state's production there would be little error in assuming an average price of 81.13, giving a total value of $4,864,465. The following table shows production in Illinois by moths in 1935, according to the U.S. Bureau of Mines. Jan............. 332,000 May.......... 382,000 Sept ,............. 370,000 Feb............. 295,000 June. ........... 858,000 Oct.............. 391,000 Mar............ 370,000 July............ 377,000 Nov............. 369,000 April............ 338,000 Aug............. 379,000 Dec............ 344,000

Jan 1, 1936

By Alfred H. Bell

Drilling activity increased in Illinois in 1935. There were 34 com-pletions as compared with 26 in 1934 and 18 wells were drilling at the end of 1935. Some large blocks of acreage were leased in Marion and Clay counties near the central part of the Illinois structural basin. Production of oil in the state totaled 4,305,000 bbl., a decrease of 4 per cent from that of 1934 There was some curtailment of production in the early part of 1935 but none after April 30 as shown in the following table. Percentage Pro-duced of Potential ProductioN (USING September 1934 Period as BaSis) Jan. .l-Feb. 20............................................ 79 Feb. 21-Feb. 25............................................ 85 Feb. 26-Feb. 38............................................ 79 Mar. 1-Mar. 11............................................ 85 Mar. 12-Mar. 31............................................ 100 Apr. 1-Apr. 9.......................................... 80 Apr. 10-Apr. 30............................................ 86 May 1-Dec. 31........................................... 100 This is equivalent to an average curtailment throughout the year of 5 per cent. The price of Illinois crude oil at the wells remained constant during 1935 at $1.13 per barrel. A small amount of oil was sold at a 1ower price, notably from the Dupo field, but to arrive at a value for the state's production there would be little error in assuming an average price of 81.13, giving a total value of $4,864,465. The following table shows production in Illinois by moths in 1935, according to the U.S. Bureau of Mines. Jan............. 332,000 May.......... 382,000 Sept ,............. 370,000 Feb............. 295,000 June. ........... 858,000 Oct.............. 391,000 Mar............ 370,000 July............ 377,000 Nov............. 369,000 April............ 338,000 Aug............. 379,000 Dec............ 344,000

Jan 1, 1936

By Walter J. Mead

By American tradition, if not by rational decision, publicly owned natural resources have been transferred to private industry for processing. The process of transfer requires specific determination of the price which the patentee, buyer, or lessee must pay to the government in exchange for the right to develop a resource, and selection of the patentee, buyer, or lessee from among several possible contestants. Pricing of natural resources owned by the government presents a set of problems quite different from ordinary commodity pricing. Natural resources in situ are not homogeneous commodities. Within any class of natural resources, specific leasable parcels will differ in value by reason of location and accessibility, as well as quality and quantity. Thus, there is no "going price;" every lease within a specific resource class will have a different value. To complicate further the pricing and buyer selection problems, competition may not be reliable. Natural-resource markets are characterized by oligopsony conditions. In a significant number of cases, as will be shown later, there has been only one bidder for a given lease, and in most lease sales the number of bidders is equal to or less than three. As a further complication, there is great uncertainty regarding the value of specific resources, even among the best-informed buyers, as well as within the leasing agency. In some instances, particularly with regard to oil and gas resources, there may be uncertainty about the presence of resources, as well as the quantity and quality of any resources contained in the tract offered for lease. In other cases, such as oil shale and some deep ocean minerals where new technologies are involved, the presence of the resource is clearly established. There may be a relatively high degree of knowledge about the quantity and quality of the resource, but there is great uncertainty concerning the cost of production. These problems in total make it difficult for the leasing agency to appraise accurately the resource to be leased, as well as for the potential bidder to calculate a bid price that will yield him a normal profit. The pricing goal of the federal government as the seller or lessee may be to capture the economic rent; that is, the price of a resource might equal its discounted present value. A required price substantially above this amount would either generate no bids, or, in the long run, would bankrupt the buyer. A price below this amount is a disguised subsidy to the lessee. A subsidy to mineral lessees, as to any other economic interest group, as a minimum should be justified by a clear showing of net external benefits from the economic activity. In the case of timber sales by the U.S. Forest Service, the Forest Service Handbook asserts that "the aim in national forest stumpage appraisal is to determine market value,"8 and "market value" is equated to "fair market value." Regarding minerals, there is no reference in legislation or regula-

Jan 1, 1976