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Edgar Archibald Collins was born at Truro, Cornwall, Nov. 16; 1877. He was the fifth (and youngest) son of J. H. Collins, a well known Cornish geologist and engineer, who died in 1916. Edgar Collins spent part of his childhood at Rio Tinto, in Spain, and after returning to England was educated at Alleyne's School at Dulwich, near London. His technical training was acquired by practical experience in Cornwall, supplemented by private study and by his father's teaching. This method of training for the work of a mining engineer was preferred by his father to that of the technical schools then available, and judging by its result, was not unsuccessful. It is,-however, noteworthy that all members of the Collins family who were products of this system later sent, or planned to send, their own sons to technical schools. Edgar Collins came to Gilpin County, Colorado, in 1894, and returned there in 1898, after several intermediate years spent in Cornwall. In Colorado he worked, under his brother Arthur, in the California and other mines of the Gilpin County district, and thereby gained a practical skill and experience as a working miner, and a habit of minute observation of vein phenomena, which proved of the greatest value in later years. In 1899 he went to the Smuggler-Union it Telluride, as general assistant to his brother Arthur, and stood the brunt of 3 years of struggle with the Western Federation, gaining a reputation, for quiet courage and sound work under the most difficult conditions. After Arthur Collins' assassination in the Smuggler-Union office, in November, 1902, Edgar left Telluride, and shortly thereafter entered the employment of a syndicate headed by Arthur Winslow, of Boston, to search for and develop new mines. While so engaged he spent several unsuccessful months near Parral, in Mexico, and later visited and sampled the- newly discovered district of Grandpa, afterward known as Goldfield, in Nevada. This led to the acquisition by the Winslow syndicate of the Combination mine, at first under lease and option; and Edgar Collins was placed in charge. The Combination was really the starting point of Goldfield. It was a profitable mine before the discoveries at the Jumbo were made; and while the Combination, being a "Company-account" mine, controlled by a few responsible men, never attracted the publicity that centered around the sensationally profitable leases on the Jumbo and Mohawk, which publicity was used to further the feverish stock-dealings that characterized the new district. The Combination was really the pioneer mine, made the first shipments of rich ore, constructed the first water-line, and built the first mill (designed by F. L. Bosqui, an old friend and associate); and while it pursued a quiet and unobtrusive. career up to the time of its sale to and incorporation with the Goldfield Consolidated, was probably, in ;proportion to the amount of money risked, the most profitable bonanza in the recent history of gold mining.

Jan 11, 1918

By AIME AIME

PRIZES totaling $450 were awarded at the Annual Meeting luncheon on Monday, Feb. 9, to the winners of the third national student prize paper contest. The undergraduate prizewinners, each of whom received a check for $100, were as follows: Mayo W. Lanning, Lafayette College, for his paper entitled ?Some Aspects of the Mining Methods Employed at the Scrub Oak Mines of the Alan Wood Steel Company,? (entered by the Lehigh Valley Section). Charles F. Parent, Montana School of Mines, for his paper entitled ?Relationships of Manganese Minerals in the Butte District,? (entered by the Montana Section). Harry Czyzewski, University of Illinois, for his paper entitled ?A Metallurgical Study of Cast Irons Used for Glass Molds,? (entered by the Chicago Section).

Jan 1, 1942

Edward A. UehlinG, New York City (communication to the Secretary*):—Mr. Baker's paper is one that brings up a subject of great importance, and if full statistics could be collectecl of the number of furnace-linings ruined by reason of bad distribution by skip-hoists, it would be found an astonishing array. Unfortunately a universal remedy has not yet been found. The fact that Mr. Baker has apparently succeeded in overcoming the trouble at Sydney, is no guarantee that the same remedy applied at another plant, where very different or even slightly different conditions prevail, mould cure the trouble. That it requires but a slight continuous difference of penetrability in the column of the descending stock of one section, over another, to produce channeling, is clearly demonstrated by Mr. Baker's experiments, by which he reversed the channeling from front to rear instead of remedying the trouble. Every change in the physical make-up of the charge necessarily requires a specific adjustment; even supposing this feasible, the regular working of the furnace is by no means assured, because with the high pressures now customary, the tendency of the ascending gases to plow their way through in a direct course, prevails, and having once opened up a passage, they will persist and cause trouble. Homogeneous filling-, hard driving and regularity of working are incompatible. The higher the furnace, the greater the

Jan 1, 1905

By A. L. Holley

THIS process is performed in the Pernot puddling furnace; it removes from 75 to 80 per cent. of the phosphorus, most of the sulphur, and practically all the silicon, from crude iron, in from five to eight minutes. It has been in regular use since March, 1877, and has prod uced over seventeen thousand tons of washed metal for the open-hearth furnace. During two years, nearly all, and lately, all the open-hearth steel produced in these works has been made from about 5 tons of washed pig and 2 tons of scrap per open-hearth furnace heat. There are 12 open-hearth furnaces, of which 4 to 9 are running, according to the state of orders. A large amount of highly phosphoric iron from France and Belgium has been also washed and then puddled for parties who have taken, or are expected to take, licenses. The washing of pig for puddling, however, is not a practice at Krupp's works, because pure pigs are nearly as cheap as impure ones. The author and his assistant, Mr. Laureau, spent, during the last month, three days at Krupp's works, examining this process. They copied out of the office books characteristic analyses and physical tests, some of which are given herewith. They also brought hone many samples of pig, cleaned metal, puddle bar, and steel, which they saw treated. Analyses of some of these samples appear in Table IV. As there are no blast furnaces at Essen, the iron is melted in two Bessemer cupolas with fore-hearths; they melt 12g pounds of iron with 1 pound of coke. The metal is run by a spout from the fore-hearth into an opening at the side of the main door of the washing-furnace. The Washing furnace.-This is a regenerative gas furnace. It has a Pernot revolving-hearth of 12 feet external diameter and 3 feet depth. (See Plate.) The four regenerator chambers have 780 cubic feet capacity, which is about the same as the average regenerator capacity of open-hearth steel furnaces of equal tonnage. The lining is 13 inches thick on the sides and 9 inches on the bottom, thus giving a hearth 9 feet 10 inches by 2 feet 3 inches deep. The lining is composed of lumps of highly refractory ores

Jan 1, 1880

By Arvid E. Nissen, Knox Taylor, John H. Hall

Some months ago one of the authors was asked to write a paper on the heat treatment of steel castings that would be more comprehensive than other matter he had published; this is an attempt to present in condensed form the results of experimental work and actual practice carried out for the most part in 1907, 1908, and 1909. It is not a laboratory research and the work done was carried out for the express purpose of putting in practice the processes discovered as fast as possible. Most of the tests are the result of commercial practice and not of bars annealed in our laboratory; most of the micrographs were made for our own records and not for publication. Certain of the micrographs, therefore, are not as clear as we may wish but they were good enough for our purpose at the time they were made. The tests and micrographs are selected from several thousands in our files. All of these micrographs are magnified 60 diameters. These experiments were conducted almost entirely on steel made in a 3-ton bottom-blown converter, and most of the steel illustrated analyzes about 0.05 in phosphorus and sulfur. Unfortunately, a certain number of specimens are shown of which we do not have the complete analysis, but in most cases in which the phosphorus and sulfur vary much from the figure just given that fact is noted. For purposes of comparison, we have included a certain number of micrographs and tests of steel made in the electric furnace, some of which were from specimens made in other shops and some in our own shop, and some tests of acid open-hearth and tropenas steel. A brief examination of the tests in Table 1 shows that certain treatments of, for instance, 0.30 per cent, carbon steel are not represented by any test data. Had this been a laboratory research, this information would undoubtedly have been furnished, but as this work was done for commercial purposes the omissions are due to the fact that, at the time the work was done, we saw no advantage in trying every composition of steel with each treatment discussed in the paper.

Jan 1, 1920

By J. J. Beeson

For the past fifty years or more, the structural features of the Cordil-leran mountain system of western United States have presented some most interesting problems. Any geologist or engineer living in this region, or even making occasional examinations of the mines, will lose much of interest and importance if he is not familiar with the literature. Some of the greatest works on geology have been the result of studies carried on in sections of this region. Among the more important of the earlier works are those of Dutton,l King,2 Gilbert3 and Powell;4 of the more recent Lindgren,5 Ransome,6 Spurr,7 Butler8 and others have contributed much. Many of the papers are largely of scientific interest but even these lay the foundation for the commercial application of the broader features of the geology. I have read many of these works with the keenest interest and pleasure; in fact, some have been read until some of the more important findings seem to be my own. In this paper, however, it is my aim to accept credit for little more than the labor of assembling some of the ideas of others. This is done with the hope that an interesting and valuable discussion will be the result. If some of the ideas presented should

Jan 1, 1927

By E. D. Gardner

AGAIN in 1945, the fourth year of World War 11, the American mining industry met the necessary demand made upon it for metals. Lack of labor prevented full production in some districts; maximum output, however, was maintained with the man power available. Development work and maintenance of mechanical equipment were neglected in favor of immediate production. Drafting of the younger men continued throughout the year, and the loss of personnel to war industries with higher wage rates continued up to "V-J" Day, Aug. 14. Labor shortages were more critical in 1945 than in 1944 though the man-power situation eased for some districts in the last quarter of the year. The trend in mining for the most part was to increase tons per man-shift by continued increased mechanization and refinements in methods and practices; larger equipment was installed where practicable. Labor shortages, together with the current higher wage rates, have advanced mechanization several years ahead of normal progress. The manpower shortage and the employment of inexperienced men had the effect of decreasing the average efficiency of the individual workman, but this condition was largely balanced by improved organization, greater efforts to improve labor relationship, and increased use of incentive pay systems. Safety instruction was emphasized, personnel contacts were increased, and more frequent foremen meetings were held to clarify contract agreements. Many of the large companies maintained schools to train green workmen.

Jan 1, 1946

By A. L. Holley

This process is performed in the Pernot puddling furnace; it removes from 75 to 80 pel. cent. of the phosphorus, most of the sulphur, and practically all the silicon, from crude iron, in from five to eight minutes. It has been in regular use since March, 1877, and has produced over seventeen thousand tons of mashed metal for the openhearth furnace. During two years, nearly all, and lately, all the open-hearth steel produced in these works has been made from about 5 tons of washed pig and 2 tons of scrap per open-hearth furnace heat. There arc 12 open-hearth furnaces, of which 4 to 9 are running, according to the state of orders. A large amount of highly phosphoric iron from France and Belgium has been also washed and then puddled for parties who have taken, or are expected to take, licenses. The mashing of pig for puddling, however, is not a practice at Krupp's works, because pore pigs are nearly as cheap as impure ones. The author and his assistant, Mr. Laureau, spent, during the last month, three days at Krupp's works, examining this process. They copied out of the office books characteristic analyses and physical tests, some of which are given berewith. They also brought home many samples of pig, cleaned metal, puddle bar, and steel, which they saw treated. Analyses of some of these samples appear in Table IV. As there are no blast furnaces at Essen, the iron is melted in two Bessemer cupolas with fore-hearths; they melt 124 pounds of iron with 1 pound of coke. The metal is run by a spout from the forehearth into an opening at the side of the main door of the washingfurnace. The The washing-furnace.—This is a regenerative gas furnace. It has a Pernot revolving-hearth of 12 feet external diameter and 3 feet depth. (See Plate.) The four regenerator chambers hare 780 cubic feet capacity, which is about the same as the average regenerator capacity of open-hearth steel furnaces of equal tonnage. The lining is 13 inches thick on the sides and 9 inches on the bottom, thus giving a hearth 9 feet 10 inches by 2 feet 3 inches deep. The lining is composed of lumps of highly refractory ores

Jan 1, 1880

THE Institute of Metals Division of the A. I. M. E. has joined with the American Society for Steel Treating and the American Welding Society in support of National Metal Week in Philadelphia, Oct. 8 to 12. Individual and joint technical sessions, plant inspection trips, and a general exposition to be held in Commercial Museum have all been arranged. With the coming of the Institute of Metals Division into the circle, the scope of the exposition has been broadened to cover non-ferrous metals, and exhibits of much interest are promised. Headquarters for the Institute of Metals and the American Society for Steel Treating will be at the Benjamin Franklin Hotel, and for the American Welding Society at the Bellevue-Stratford. The American Society for Steel Treating and the Welding Society will hold technical sessions each forenoon at their hotel headquarters. The Institute of Metals Division will hold sessions Tuesday morning and Wednesday and Thursday afternoons; that for Wednesday being a joint session with the American Society for Steel Treating. The latter society will hold independent afternoon sessions on Thursday and Friday. Registration and information desks will be open at the hotels throughout the week, and an attractive program of entertainments has been arranged.

Jan 1, 1928

By Thomas R. Stauffer

The principle that conventional schemes for taxing petroleum or mineral resources are "inefficient" is illustrated using simulation calculations tested against an "ideal" system. Inefficiency is defined as the relative success in maximizing expected government revenues from the resources. Most systems fail because: 1) they leave oil in limbo, i.e. unproduced because of excessive fiscal burden; or 2) they unnecessarily increase the variance in the explorationist'c, rate of return by undertaxing large fields and overtaxing smaller but infra-marginal fields. This increases his discount rate and reduces taxable surplus. An "ideal" tax system is specified which maximizes government revenues while minimizing risk to the operator. Two criteria are developed: 1) the tax falls to zero on fields which yield only the minimum necessary rate of return ("marginal" fields); and 2) the after-tax present value of all fields is the same for all fields above a threshhold size. In particular, marginal fields, while contrib- uting little to expected values, do contribute to reducing variance and hence risk praemia by distributing the exploration costs over a higher probability of successful outcomes.

Jan 1, 1982

By W. A. Ver Wiebe

The year 1940 was singularly unmarked by sensational developments in Kansas. Routine operations were carried on in a systematic, orderly fashion and the efforts of oil producers were concentrated on extending known fields. In Kansas an arbitrary yardstick for wildcats has been set up. A well drilled mile or more from a known pool or well is now considered a wildcat. A "rank wildcat" is one that is drilled at least 2 miles from any known producer. During 1940, rank wildcats resulted in the completion of 116 test wells, among which 16 were successful in finding new oil pools and the remaining I00 were dry holes. The ratio of successful wells to dry holes, therefore, was approximately I:6. During the year, 1890 wells were completed in eastern and western Kansas. This figure is somewhat lower than that given in several trade journals, because it does not include wells that were deepened or wells that were recompleted in a different geological horizon. About three fourths of these (1423) were completed as commercial oil wells (I220 in western and 203 in eastern Kansas). The commercial gas wells completed number 58 of which 10 are in eastern Kansas and 48 in western Kansas. Of the remzining completions 147 are dry holes in eastern and 262 are dry holes in western Kansas. Based on daily potential capacity, the new discoveries of the year account for a cumulative initial production of 46,000 bbl. in eastern and 2,128,000 bbl. in western Kansas. The state of Kansas attained a new peak in production, with the total of 66,245,000 bbl. for the year 1940, the number of contributing wells being 20,779. Thus the increase over 1939, when about 58 million barrels was produced, is considerable. The previous peak occurred in 1937, when 70,761,000 bbl. was marketed. In another still earlier peak, in 1917, slightly more than 45,000,000 bbl. was produced and sold. The production of gas probably reached a new peak also during 1940, with its total of 85 1/2 billion cubic feet. Between the peak of the year 1908, when over 80 billion cubic feet was produced, and that of 1940, the production dropped to a low point of 16 billion cubic feet in the year 1921. The number of test wells drilled was larger than in 1939; that is, 1890 compared with 1458. The first peak was reached in 1904, when 2782 wells were drilled. The number dropped off rapidly, to 368 three years later, but rose to the second and highest peak in 1918, when 4671 test wells were completed. In the period between 1904 and 1912 more gas wells were completed than oil wells. Between the high peak of completions in 1918 and somewhat lower peak of 1937, the low point was reached during 1931, with the completion of only 470 test wells. In the number of new pools discovered, Kansas again ranks high among the states. The exact number depends somewhat upon the interpretation of a "new" area— whether it should be called a new pool or a long extension of an old pool. Unfortunately, the matter of securing the right kind of production allowable also enters into this question. Often the decision regarding a new pool cannot be made until other wells

Jan 1, 1941

By W. A. Ver Wiebe

The year 1940 was singularly unmarked by sensational developments in Kansas. Routine operations were carried on in a systematic, orderly fashion and the efforts of oil producers were concentrated on extending known fields. In Kansas an arbitrary yardstick for wildcats has been set up. A well drilled mile or more from a known pool or well is now considered a wildcat. A "rank wildcat" is one that is drilled at least 2 miles from any known producer. During 1940, rank wildcats resulted in the completion of 116 test wells, among which 16 were successful in finding new oil pools and the remaining I00 were dry holes. The ratio of successful wells to dry holes, therefore, was approximately I:6. During the year, 1890 wells were completed in eastern and western Kansas. This figure is somewhat lower than that given in several trade journals, because it does not include wells that were deepened or wells that were recompleted in a different geological horizon. About three fourths of these (1423) were completed as commercial oil wells (I220 in western and 203 in eastern Kansas). The commercial gas wells completed number 58 of which 10 are in eastern Kansas and 48 in western Kansas. Of the remzining completions 147 are dry holes in eastern and 262 are dry holes in western Kansas. Based on daily potential capacity, the new discoveries of the year account for a cumulative initial production of 46,000 bbl. in eastern and 2,128,000 bbl. in western Kansas. The state of Kansas attained a new peak in production, with the total of 66,245,000 bbl. for the year 1940, the number of contributing wells being 20,779. Thus the increase over 1939, when about 58 million barrels was produced, is considerable. The previous peak occurred in 1937, when 70,761,000 bbl. was marketed. In another still earlier peak, in 1917, slightly more than 45,000,000 bbl. was produced and sold. The production of gas probably reached a new peak also during 1940, with its total of 85 1/2 billion cubic feet. Between the peak of the year 1908, when over 80 billion cubic feet was produced, and that of 1940, the production dropped to a low point of 16 billion cubic feet in the year 1921. The number of test wells drilled was larger than in 1939; that is, 1890 compared with 1458. The first peak was reached in 1904, when 2782 wells were drilled. The number dropped off rapidly, to 368 three years later, but rose to the second and highest peak in 1918, when 4671 test wells were completed. In the period between 1904 and 1912 more gas wells were completed than oil wells. Between the high peak of completions in 1918 and somewhat lower peak of 1937, the low point was reached during 1931, with the completion of only 470 test wells. In the number of new pools discovered, Kansas again ranks high among the states. The exact number depends somewhat upon the interpretation of a "new" area— whether it should be called a new pool or a long extension of an old pool. Unfortunately, the matter of securing the right kind of production allowable also enters into this question. Often the decision regarding a new pool cannot be made until other wells

Jan 1, 1941

By Joseph E. Pogue

FOR a number of years the petroleum department of The Chase National Bank has been making a continuing study of the financial aspects of thirty oil companies. (See Pogue and Coqueron, "Financial Analysis of Thirty Oil Companies," pamphlet, The Chase National Bank, November 1945, for data covering eleven years, 1934-1944, and the list of the companies making up the group. See also "Capital Employed in the Petroleum Industry," by the same authors, M&M, November 1944.1 This group represents a large sample of theAmerican petroleum industry, covering about two thirds of the business. Certain aspects of this study concern the capital employed in crude oil production, the main features of which arc presented in this paper.

Jan 1, 1946

By AIME AIME

NO FEATURE of the annual meeting is considered more important at Institute headquarters than the assembly of delegates from the various local sections and divisions. There the president of the Institute and other officials may learn at first hand what the members are thinking and doing in every part of the country, and the delegates, in turn, may find that head- quarters is not a group of more or less cold-blooded New Yorkers whose primary function is to send out annual bills for $15. This year, the section and division delegates required three sessions to thresh out the matters of common interest: Monday morning and afternoon and Thursday afternoon. They were also guests of the Institute at the Directors' dinner on Tuesday night, and at the Directors' meeting afterward.

Jan 1, 1932

By Clinton M. Young

(Pittsburg Meeting, March, 1910.) I. INTRODUCTION. THE experiments herein. described were carried on in 1908-9 . by the State Geological Survey of Kansas. Some months before taking up work on black powder the Survey had resumed work on an interrupted investigation of explosions in coal-mines, a subject which is engaging the attention. of numerous investigators. An unusual number of serious disasters has directed to. the subject a study which discloses the disquieting fact that, in the. United States, the ratio of lives lost per ton of coal mined has been on the increase. Methods of coal-mining have changed to some extent with the great increase of output, attained in, comparatively recent years. These changes involve the working of very extensive mines, with increased difficulty of ventilation, increased accumulation of coal-dust, and. a very great increase in the amount of explosive used.. . This last point assumes truly startling proportions when it is carefully observed. In the fields of the Middle. West it is not now uncommon for a miner to use six ,kegs (150 lb.) of black powder in a "pay" of two weeks, while within the memory. of men still active, one keg (25 .lb.) would last two men for a " pay." So. great has . the use of explosives become in some fields that the skilled coal-miner is hard to find, and the coal is not mined, but blasted. A preliminary study of the subject. of explosions in coal-mines has. led to the belief . that the use of, large -quantities of explosives, in some cases by slightly-trained men, had not been * Associate Professor- of Mining Engineering, University of Kansas, Lawrence, Ran.

Aug 1, 1910

By J. H. Westbrook, R. W. Guard

The influence of a number of alloying additions on the structure and hardness of Ni3Al (?') has been studied. Three general effects have been observed.. solid-solution hardening, strain aging, and defect hardening arising from deviations from stoichiometry. The solid-solution hardening phenomena are complicated relative to binary terminal solid solutions due to the possibility of virtually independent substitution for the component elements and to the concomitant effects of strain aging. In many superior nickel-base high-temperature alloys the elevated temperature strength is attributable to the presence of a dispersion of Ni3A1 (?') in a solid-solution matrix. Examples of such alloys are Inconel X-550, Inco 713, Waspalloy, and Nimonic 80. It is, therefore, appropriate to seek a further understanding of the properties and alloying behavior of this compound. Ni3Al, the compound most rich in nickel in the nickel-aluminum binary system, was first detected by litakal but not established with certainty until the much later studies of Bradley and Taylor' and Alexander and Vaughan.3 More recently the mechanism of formation was clarified by Floyd4 who showed that Ni3Al is the product of a peritectic reaction at 1395°C between the melt and the compound NiAl in agreement with the original suggestion of Alexander and Vaughan.3 Ni3Al has the ordered face-centered-cubic or Cu3Au structure in which the nickel atoms occupy the face centers and the aluminum atoms the cube corners, a0 = 3.570A. Despite earlier reports to the contrary. the compound apparently remains ordered at least to 1000oC.5 It exists over a narrow range of compositions (-3 pct wide) whose limits and temperature dependencies thereof have been reviewed recently by Taylor and Floyd.' Most previous workers have found Ni3Al to be both hard and brittle7,8 although Maxwell and Grala8 obtained 2.5 to 6 pct tensile elongation at room temperature and Alexander and vaughan3 described the material as "hard and tough" on the basis of observations made while preparing metallographic specimens. In a recent study one of the present authors found that although considerable intergranu-lar brittleness was evident: individual grains of a coarse-grained inert atmosphere arc-melted specimen were readily deformable.l0 The same study also showed Ni3Al to have an anomalous temperature dependence of hardness in that such a curve exhibits a number of peaks between room temperature and 800°C which could not be associated with any microscopically observable precipitation reactions or polymorphic transformations. It was, therefore, proposed in the present study to elucidate the anomalous high-temperature strength behavior and to examine the solid-solution alloying of this compound and the effects of such alloying on hardness. Sample Preparation and Experimental Procedure-Samples, both of pure Ni,Al and of various alloyed solid solutions based on Ni3Al, were prepared by arc melting 100-g buttons in an inert atmosphere arc furnace. All buttons were heat treated for 4 hr at 1275oC and examined metallographically for homogeneity. Microstructures were typically homogeneous and single phase with ASTM grain size about 1 and unusually clean grain boundaries. Chemical analyses showed good correspondence (within a few tenths of a percent) with intended compositions. Microindentation hardness data were obtained from room temperature to 800°C in vacuo using a balanced-beam type loading system in an instrument to be described in detail elsewhere." In general a 100-g load, a loading rate of 1 mm per min and an indentation time of 15 sec were used. Various indenter materials were used according to the materials bein tested because of specimen-indenter interaction. Fl Measurements of the Vickers-type indentations were made at room temperature. Hardness-temperature curves were run at least twice on each sample to ensure that surface work-hardening effects had been eliminated." Precision lattice-parameter measurements were made on powder samples using a back-reflection

Jan 1, 1960

By Grover R. Castle

INTRODUCTION "Project Financing" or "Project Loans" have become increasingly popular in recent years, and commercial banks are being asked to consider more and more of such financing. However, the analysis of this type of loan is quite different from the analysis of a loan to a financially sound corporation based on the company's balance sheet. For this reason Chemical Bank did a study of project loans in an attempt to be more sophisticated in our approach to them. As part of this study, we examined 29 project financings for which information was available. In this article I shall describe project loans and set forth the guidelines we developed, as an aid to credit officers who might have occasion to analyse this type of financing. DEFINITION OF "PROJECT FINANCING" OR "PROJECT LOAN" The terms "project financing" and "project loan" commonly describe the various methods that banks and institutional lenders use to finance the construction of new projects on a basis whereby payout is anticipated from the revenue stream generated by the project. A project financing often involves a loan to a new entity formed specifically to own the project. The analysis of a project loan proposal is quite different from the analysis of other term-loan proposals since it involves a credit decision based on the review of a projection or forecast rather than of historical earnings and/or it involves the reliance on contractual obligations of third parties. Lenders are asked to assume the added risks associated with project loans because: 1. Project financing may permit a company to obtain additional leverage. It is possible for companies to arrange financing on a project basis that could not be arranged as a direct borrowing. For example, a company may not be permitted to borrow more money directly, due to a limitation in a bond indenture. However, a project financing can sometimes be negotiated on a basis not prohibited by the indenture. 2. Often the sponsors of, or the stockholders in, the project are seeking an off-balance-sheet financing. For example, 11 of the 29 projects in our study were arranged on an off-balance-sheet basis and one showed on the balance sheet as a deferred income item. An off-balance-sheet financing, for the purpose of this article, is a financing which does not show as a direct liability on the balance sheet of the sponsors of or stockholders in a project. 3. Projects are often located in a foreign country. The financing is arranged so that the lenders assume the political risk on the loan because many companies rightly believe that this arrangement affords a degree of insulation from political risk not otherwise obtainable. 4. Many projects are jointly owned by several sponsors. This form of financing lends itself well to a situation where a new entity is formed to own a project and do the borrowing. Project loans can be used to finance a variety of activities including development of iron-ore deposits and associated pelletizing plants; development of coal reserves; construction of pipelines, alumina plants, fertilizer plants and refineries; etc. The specific areas of analysis can be quite different, depending upon the type of project being financed. It is important, therefore, to classify the proposal according to the type of project, and also by the nature of the financing - nonrecourse financing, financing covered by a guarantee of completion and financing supported by an undertaking lasting for the life of the financing. I will discuss each of these types in more detail later, but first, I should like to make some

Jan 1, 1985

By AIME AIME

Council.* PRESIDENT OF THE COUNCIL. JOHN HAYS HAMMOND NEW YORK, N. Y. (Term expires February, 1908.) VICE-PRESIDENTS OF THE COUNCIL. HENRY M. HOWE NEW YORK, N. Y. J. B. GRANT DENVER, COLO. JAMES D. HAGUE NEW YORK, N. Y. (Term expires February, 1908.) SAMUEL B. CHRISTY BERKELEY, CAL. JOHN A. CHURCH NEW YORK; N. Y. New PERSIFOR FRAZER PHILADELPHIA, PA. (Term expires February, 1909.)

Mar 1, 1907

F. G. SMITH, Waterbury, Conn.-I would like to ask whether small amounts of iron give the maximum resistance at a low temperature, and if the large amounts of iron raise the temperature at which the maximum resistance occurs? That is, with a small amount of iron, will a maximum be at, say, 10°? F. E. BASH.-With the small amount of iron, the maximum is at a lower temperature, and with the increase of iron, the maximum increases; it seems to come to a maximum and then decrease; that is, increasing the iron up to a certain value increases the temperature at which there is a maximum of resistance, and any increase of iron beyond that value will start decreasing this temperature. With 2 per cent. of iron, the maximum is lower than for 1.5 per cent. which was the value that we found to be satisfactory. F. L. DRIVER,* Jr., Harrison, N. J.-I would like to ask what chance there is of the instrument companies getting together and deciding on standards for both manganin and constantan? We make both of these alloys in this country and we find that each one of the instrument com-panies who buy these materials require different standards of specific electrical resistance and thermal e.m.f. For instance, some of our cus-tomers require an electrical resistance in manganin or therlo of 240 ohms per circular mil foot and others require it with a specific electrical resist-ance of 270 ohms per circular mil foot. They buy these alloys in relatively small quantities so that it means much extra melting and supervision when making up small quantities for each consumer. If something could be. clone to eliminate this, it would be a benefit to the instrument com-panies, who could secure their material more cheaply, and to the manu-facturers, who would not have to spend so much time and effort in special manufacturing.

Jan 12, 1919

By Michael Tenenbaum

Selected characteristics of nonmetallic phases were determined in low-carbon sheet steels which had been produced by various refining; deoxidizing, and casting procedures. The results showed little influence of the refining process on the quantity, distribution, size, and character of the nonmetallic phases. The quantity of inclusions was governed by the deoxidation procedures. While the mode of casting influenced the internal structure and the pattern of inclusion distribution, it had little effect on the quantity of nonmetallics. The vast majority of inclusions were under 30 µ in diam, and there was little change in size distribution during hot and cold rolling. The composition and structure of the inclusions were expained an the basis of known equilibrium phase diagrams for the appropriate systems. Additional work is needed to explain some of the observations of this paper. HENRY Marion Howe's contributions to the metallurgical profession include his many writings, the wisdom that he imparted to his students, and the inspiration that he gave to the many scholars, teachers, and industrialists who knew him personally. It was Professor Howe's intimate colleague, Albert Sauveur,1 who, in the first Howe Memorial Lecture, could have been speaking for the metallurgist of our generation as well as his own when he wrote, "...how many of us on the point of going astray were called back to the right path by Howe's guiding torch?" More than a quarter of a century later, Francis Foley,2 one of the last in the Howe Lecture series who worked directly with the great man, delivered the ultimate tribute, "...truth, in its time is so hard to identify." While Professor Howe strove to be right, "he was content if he provoked the reader to take the next step along the path to greater knowledge." Like so many of my predecessors, I sought guidance for this lecture by referring to Professor Howe's two classic texts, Metallurgy of steel,3 and Metallography of Steel and Cast Iron: the former book interpreting the facts as he saw them near the start of his career, and the latter—published 26 years later—pointing to many fertile fields for metallurgical investigation. Those of us who harvest the fruits of Henry Marion Howe's contributions to the metallurgical profession now look with wonder at the tremendous legacy he has provided. It is rewarding to study his writings and to recognize the anticipation of such aspects of modern ferrous metallurgy as: 1) Direct reduction 2) Steelmaking reactions 3) The approaches and benefits of degassing 4) Solidification mechanisms 5) Habits and behavior of nonmetallic inclusions 6) Recrystallization phenomena 7) Slip and slip propagation 8) Dislocations 9) Discontinuous deformation 10) Microscopic and macroscopic segregation

Jan 1, 1970