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By L. E. Krys, K. D. Harrison, C. G. Anderson

Since 1984, nitrogen-species catalyzed pressure leaching has been utilized at Sunshine Mining and Refining Company for the recovery of precious metals from a refractory sulfide concentrate. The process operates without the use of cyanide. The plant is now the only industrial-scale commercial application of this technology. Since the inception of the process, changes have been implemented to improve efficiencies and throughputs. Two of these changes, the replacement of nitric acid by sodium nitrite and a concentrate regrind, have recently been implemented. This paper discusses the development and potential mechanisms involved in these recently patented plant-process changes. A companion publication (Anderson et al., 1996) covers the plant integration and potential applicability of the technology.

Jan 1, 1997

By Paul J. A. Lever, Robert H. King

Human operators, geological conditions, equipment changes, mining sequences, and roof conditions are some of the continually changing operating conditions that drive a dynamic mining environment. These dynamic characteristics make it difficult to automatically analyze mining data because attributes change as the mining environment changes. Mine monitoring systems could provide mine managers with much more useful information than they do presently, if automatic analysis were possible. Automatic analysis of sensor data is also key to autonomous mining systems. This paper describes artificial intelligence (AI) and sensor fusion based sensor data analysis techniques developed over the past four years. These techniques were used to classify machine operating events by continuously monitoring machine power usage in a continuous miner section at an under- ground coal mine. The result is a report similar to an industrial engineering time study. First, numerical pattern classification techniques broadly identify operating events. However, domain knowledge about inter-machine and intra-machine interactions is necessary to identify and refine dynamic event boundaries. By implementing AI and sensor fusion based techniques we are able to classify machine events more accurately and recognize more specific events. These techniques could easily be applied to many different mining sensor data applications

Jan 1, 1993

By Morgan M. Sears

In recent years, one large mine collapse and numerous smaller bump events have resulted in a renewed interest in coal bump research. With numerical modeling, the Energy Release Rate (ERR) calculation quantifies the ?release? of the gravitational potential energy of the rock mass into the environment as mining progresses. This release of energy can occur passively in the form of heat and sound or dynamically in the form of pillar bumps or rock bursts. From the initial application of a calculated energy release rate in the deep hard-rock mines of South Africa, the ERR was found to have a significant correlation with the risk or potential of damaging coal bumps or rock bursts. In this research, an ERR calculation is incorporated into the modern LaModel program to facilitate the analysis for potential coal bumps. Initially the ERR calculations in LaModel are verified using a case study of cut sequences originally modeled using the MULSIM/NL program. Then, the ERR calculations are applied to a bump-prone mine in Southern Appalachia were a number of different pillar recovery cut sequences were used in order to minimize the risk of bumps.

Jan 1, 2009

By W. C. Smith

Even with conservative mine planning, rib instability can progress from a nuisance to a major safety hazard. This Bureau of Mines paper examines the mechanisms of progressive rib failure in high mine openings and discusses techniques to control rib slabbing. A field test site in a longwall mine was instrumented to investigate rib behavior during mining. While data analysis showed minor pillar dilation. sporadic zones of progressive rib instability were detected that culminated in eventual rib failure. The failure occurred despite conservative pillar dimensions and shallow depth. Models were used to demonstrate the mechanisms of rib failure and then evaluate the influence of support and other mine-related parameters on rib behavior.

Jan 1, 1991

By Steve Tadolini

Underground roof falls can have devastating effects on the safety of operations personnel, and equipment, and seriously impact production. Immediate steps are usually taken to danger off and secure the area while clean-up efforts are designed and implemented. A critical step, often overlooked due to production demand, is the determination of - why the roof fall occurred so that additional occurrences can be avoided in future developments or what measures can be taken to identify areas that have similar ?symptoms?? Forensic engineering includes the investigation of materials, products, structures or components that fail or do not operate/function as intended. The authors define forensics in ground control engineering as the study of evidence discovered while examining underground roof falls by applying expert observational techniques and established mining engineering principles to determine the probable cause, hypothesize solutions, and design engineering safeguards to prevent reoccurrences. Simply stated, the primary steps in the forensics of underground roof fall techniques are: ?Assess regional and local conditions prior to the event. ? Assess post-event conditions. ? Hypothesize plausible ways in which the pre-event conditions became the post-event conditions. ?Search for evidence that either denies or supports the various hypotheses. ?Apply engineering skill to relate the various facts and evidence into a cohesive scenario of how the event may have occurred. This paper details the proposed technique by utilizing a roof fall case study that required the examination of five primary factors: mine design parameters, excavation geology, method of excavation, method of support, and mining cycle times.

Jan 1, 2009

By H. Sis, S. Chander

The beneficial effect of a series nonylphenol polyethylene glycol ether surfactants were tested in the flotation of phosphate ores in which the mixture of sodium oleate and dodecane was used as collector. The performance of nonionic surfactants was first tested in the microflotation of pure apatite mineral. Microflotation experiments showed that the recovery of apatite depends on the number of ethoxylation of the nonylphenol surfactants and decreased with higher ethoxylation. The nonionic surfactant with the smallest ethoxylation group used in this research (NP-4) was then tested in batch flotation of phosphate ores. The flotation of three different size phosphate ores was carried out in the absence and presence of NP-4 surfactant. The beneficial effect of nonionic surfactant was obtained for fine size (-35+150 mesh) and very fine size (-150+400 mesh) phosphate ores at different collector dosages studied. But, in the flotation of coarse size (-16+ 35 mesh) phosphate ore the beneficial effect of nonionic surfactant was obtained only at high collector dosages.

Jan 1, 2002

By A. D. Paul, Yoon R. H., C. I. Basilio

Considerable amounts of Fe3+ ions are released into solution when coal is exposed to 1-3 M acid solutions. These ions superficially oxidize the coal surface, and are reduced to Fe2+ ions. When provisions are made to generate the Fe3+ ions in solution, e.g., by inserting an anode whose potential is above the reversible potential for the Fe3+/Fe2+ couple, considerable amounts of mineral matter are liberated from the coal matrix. With many eastern U.S. bituminous coals, this mineral liberation is achieved selectively without significant breakage of the coal. It is believed that this process is induced by the osmotic pressure set-up in the crevices between the mineral matter and coal that are exposed to the solution. A theoretical model predicting the osmotic pressure is presented in this work, along with some results obtained with different coal samples.

Jan 1, 1992

By James E. Lonergan

Linear goal programming is a multi-objective optimization technique where the constraints of a linear programming formulation of a problem are considered as additional objectives. The optimal solution is the one that comes closest to satisfying all the objectives. An interactive computer program was written to utilize this technique in solving the feed blending problem faced by power plants de- pendent on multiple sources of coal supply. This program determines the amount of coal from each supplier to utilize in the blend. Examples of the use of the program in both long and short term coal procurement planning scenarios are given.

Jan 1, 1984

By M. O. Woodburne

The Mojave Desert province is comprised of a diverse group of mountains that range in elevation from about 2,000' (600 m) to 3,000' (900 m), separated by tracts of alluvial cover. The province is bounded on the southwest by the San Andreas fault, on the north by the Garlock fault, on the east by the Death Valley- Granite Mountains fault. Rocks preserved in the Mojave Desert Province collectively record a rich assemblage of Precambrian crystalline basement' ranging in age from ca. 1.8 to 1.35 Ga, upper Precambrian and Paleozoic Cordilleran miogeoclinal sediments and platform rocks, Mesozoic backarc and interarc shallow marine and continental sequences, locally emplaced Permian- Triassic syenitic plutons, extruded hypabyssal volcanic rocks of the ?Jurassic "Sidewinder Volcanic Series," and regionally intruded late Mesozoic granitoid batholithic rocks (Dokka et al., 1988). The Mojave block apparently was a high-standing element for much of the early Tertiary, with strata of Late Cretaceous or early Tertiary age preserved only on its margins. Beginning about in the late Oligocene an intense episode of regional north-south extension was developed in a roughly east- west trending belt that traversed the central part of the province. This extensional belt has been termed the Mojave Extensional Belt. The extensional regime lasted from about 22-17 Ma, and is generally divided into two phases. The first, from about 22-20 Ma records intense extension via the activity of crustal-scale, simple shear, low- angle normal faults, high-angle normal faults, and extensional fracturing, along with intrusion of intermediate to silicic volcanic rocks, including episodes of explosive volcanic activity. The Peach Springs Tuff, a major regional marker unit that extends across the Mojave from Arizona to about Barstow, forms an effective stratigraphic lid on the extensional interval, (i.e., is not rotated) and is dated isotopically at about 18.5 Ma. The extensional episode was followed by an interval of high- angle normal faulting and dike emplacement from about 19 to 17 Ma, and was accompanied by at least local uplift and volcanism. Most volcaniclastic and epiclastic sedimentary units of the central Mojave block post-date the interval of extension and normal faulting, and occur as a complex of marginal alluvial and more interior lacustrine facies that formed as recently as late Miocene (ca 13 Ma). Local sequences (e.g., Lava Mountains) record deposition up to about 8 Ma, but there appears to be a regional "gap" from then until at least local successions record Pleistocene deposition. Magnetic and isotopic age studies indicate a complex history of crustal rotations, distributed across a number of discrete domains, during the past 10 Ma. Some of the youngest volcanic and geomorphic features apparently developed at "holes" formed at the edges of rotated blocks.

Jan 1, 1995

By T. R. Raponi, D. Barnes

The Williams Mine mines and mills 6000 t/d (6600 stp’d) of gold ore using SAG/ball milling, leaching and CIP, electrowinning and refining. Electrowinning, high-pressure cathode washing, filtering, retorting and refining are based around the use of knitted stainless steel mesh cathodes. Their primary advantage over conventional steel wool cathodes is that electrowon gold can be washed off and the cathode can then be reused. Typically, the knitted cathodes have a useful life of up to 15 months. Gold production of up to15 t/month (50,000 oz/month) is easily processed with this system. Presented is a description of this operation, including a review of the equipment and performance data.

Jan 1, 1992

By B. Mishra, A. Staley, D. Kirkpatrick

The major waste product of the alkaline extraction of alumina from bauxite (Bayer Process) is known as red mud. Approximately one ton of red mud is produced for every two tons of bauxite mined. The red mud produced from Jamaican bauxite is rich in hematite, alumina and titanium oxide. It has been shown that more than 90% (by weight) alumina can be recovered from red mud by soda ash sintering and caustic leaching. Hematite can be carbothermically reduced with a degree of metallization of more than 94%, resulting in attempts, for magnetic separation. These separations are desirable because there are no waste products generated. Consequently, there is an opportunity for complete utilization of the waste material. Conversely, the preseparated material could be charged through the tuyeres in an iron blast furnace, or it could be smelted to produce pig iron. If smelted, the concentration of titanium oxide in the slag would be high enough to justify its recovery by an established acid-leach process. This paper describes the results of alumina recovery and the plans for titanium oxide recovery from red-mud. In addition, the situation of ongoing efforts in iron extraction, particularly, the method of magnetic separation of the reduced material. The problems associated with the use of reduced red mud as an alternative to direct-reduced iron (DRI) is also discussed. A critical assessment of the recovery sequence chosen for the products is described based on economics. Key words: Red mud, Waste product utilization, Alumina recovery, Titanium oxide, Iron

Jan 1, 2003

By Nelson R. Shaffer

Glamorous, burgeoning biotechnology and mundane industrial minerals would at first glance seem to share little in common, but in truth, modern biotechnology depends on many minerals. Biotechnical processes also can be used in industrial mineral extraction and processing. Biotechnology is broadly defined as the application of biological organisms, systems, or processes to manufacturing and service industries. Genetic engineering has reinvigorated one of mankind's oldest sciences, biotechnology, into a booming business. Many modern processes depend on microorganisms cultivated under very stringent conditions in bioreactors. Minerals from carbonate, sulfate, chloride, nitrate, phosphate, and silicate families are used to provide essential nutrients and to regulate growth conditions (such as pH) in order to assure optimal growth of organisms. Certain cells or enzymes perform better when immobilized upon or within solids, and minerals are often used to immobilize cells, especially in continuous process. Minerals are also used extensively in separating and purifying products of biotechnology. Diatomite, zeolites, and silica are especially useful in purification processes. Industrial minerals also are commonly used to clean up large volumes of process water that must be treated. Biotechnology can be employed in exploration, extraction, and processing of geologic materials and in reducing mining or other environmental problems through bioremediation. Microbes have been shown to solubilize certain elements and so promote extraction of heavy metals, phosphate, aluminum, potassium, and even rare earth elements. In a related technique, unwanted materials such as pyrite impurities can be leached microbially to produce cleaner products in sand and clay industries. Microbial actions can modify surface characteristics and so enhance certain ceramic properties. Certain organisms can accumulate useful elements from dilute sources; others can transform unusable chemical species to more useful forms. Deterioration of stone, concrete, and even glass or brick, can be accelerated by microorganisms. Control of such biodeterioration could improve long-term performance of industrial mineral products. Microbial processes have shown promise in improving several mine-related problems. Certain bacteria help remove clays from phosphate slimes and other suspensions. Others are used to degrade cyanide or other organic chemicals such as floatation aids. Cells immobilized on clays have been especially efficacious in bioremediation. Biotechnology industries, like the industrial minerals industries, encompass huge ranges of materials and processes. Costs of products from these industries range from pennies to thousands of dollars per unit, and their products are vital for maintaining modern life styles. Many biotechnical processes depend upon industrial minerals and certain biological processes can be harnessed to do useful tasks in the minerals field. The interplay of industrial minerals and biotechnology is important today, and as biotechnology advances, its interaction with the industrial minerals industry can only increase.

Jan 1, 1995

By L. Adler

When systematically compared to other engineering fields, mining engineering is distinctive in 1) having a total systems concern. 2) dealing with encumbered space and 3) requiring full spectrum practice. The total systems concern results from having to design and then co-ordinate in space and time several major systems: excavating and bulk handling, ground control, life support and normal support. This requirement favors a generalist rather than a specialist approach. In coping with encumbered space especially in underground coal mining, the uncertainties of geologic conditions are compounded by tightness, roughness, remoteness and hazards. Into this difficult setting the total systems * complex is "stuffed," adding congestion and interference. Because of significant ground deterioration a flexible "rapid in-out" approach is usually vital to mining. Full spectrum practice arises from the need to manage, as well as to plan and design, a labor intensive operation. Since market conditions can also fluctuate most aspects of administration are needed in many respects, mining engineering functions relative to civil engineering in a way similar to industrial to mechanical engineering, with encumbered space being crucial. On this basis stress is placed on: 1) personal relations, 2) field work and 3) entrepreneurship, viewing time as money. Specific recommendations for improving engineering, safety and management and leadership are made. Since most new deposits are marginal, by applying these recommendations with high technology they could possibly now be mined on a widespread basis.

Jan 1, 1985

By F. G. Miller

It is generally accepted that sulfur exists in coal in three forms: (1) pyritic, (2) organic, and (3) sulfate sulfur. Sulfate sulfur usually makes up less than 1% of the total sulfur content. Pyritic and organic sulfur, make up almost all of the total sulfur and occur in varying amounts in different coals and can vary greatly in coal of the same seam Pyritic sulfurs of 20% to 80% of the total sulfur have been reported Other authors have shown that it is not possible to remove the organic sulfur without chemically altering the coal. Chapman and Jones (1) state: "Organic sulfur, unlike pyritic sulfur does not exist as discrete particles, but is intimately associated with the coal structure, and as such it is not possible to remove it or reduce its concentration by physical means." Any success in removing sulfur has come about by removing pyritic sulfur by physical means; therefore, removal of sulfur in the pyritic form is the subject of this investigation. The extent to which any impurities can be removed from a particular coal can be determined by a washability study. Outside of crushing coal, to finer sizes or chemically altering the coal, there are no known methods of changing this inherent washability characteristic. The efficiency of various methods used to remove impurities can be determined by comparison of results produced at a yield to the results as shown by a washability study. In recent years heavy media processes have proven their ability to wash plus 28 mesh coal and nearly produce results shown to be theoretically possible by the washability study. Therefore, it is the objective of this paper to show various methods of treating the finer fractions of the coal, in the hope of developing a process, which can effectively produce in the fine fractions the efficiency of heavy media devices in the coarse.

Jan 1, 1963

By C. A. Moseley, M. B. Kahle

The Gulf Coast Region has been the center of extensive lignite exploration and development activity in the past 10 years. Currently, 27.2 Mt (30 million st) of lignite are mined annually, the majority of which is uncovered by large walking draglines. Projections indicate that production could reach 125 Mt (138 million st) by 1990. As mining moves to deeper depths, removal of overburden becomes the decisive factor in mine planning and cost. The geology of a region plays a key role in the selection of an overburden removal system. While alternate stripping methods must be analyzed to determine the most economical and operationally sound method, so far bucketwheel excavator systems seem to be the best method for removing large volumes of soft, unconsolidated material that is found at projected mining depths in the Gulf Coast region. Geology of Gulf Coast Lignites Extent Distribution of the principal tertiary lignite-bearing deposits in the Gulf Coast Lignite province extend from the Texas-Mexico border to the Alabama-Georgia state line (Fig. 1). The lignite-bearing strata includes portions of eight states: Texas, Louisiana, Arkansas, Missouri, Kentucky, Tennessee, Mississippi, and Alabama. Lignites occur primarily in the Wilcox, Claiborne, and Jackson groups in the Gulf Coast. The uppermost strata of the Midway group in Mississippi and Alabama also contain significant lignite resources. Reserves Commercial lignite seams in the Gulf Coast Lignite province range from 0.6-3 m (2-10 ft) in thickness. The estimated lignite resources throughout the Gulf Coast in seams greater than 0.9 m (3 ft) in thickness and up to 61 m (200 ft) in depth currently are estimated at 32 Gt (35 billion st). Table 1 shows these resources by state. Quality Lignite quality can vary within individual mining areas and seams. However, trends in quality occur because of the depositional environment, age, and west-to-east geographical location. Better quality lignites occur in the Wilcox group in Texas and Louisiana. Poorer quality lignites occur in the northern regions of the Wilcox group and those of the geologically younger Claiborne and Jackson groups. Environmental Conditions Gulf Coast province environmental conditions are ideal for successful mine reclamation. The lignite occurs in flat to moderately rolling terrain, a topography easily reproduced from the spoil dumps or spoil rows developed during the mining operation. High to moderate rainfall facilitates rapid revegetation. Evidence from current mine reclamation programs and ongoing test plot studies indicate that mined lands can be reclaimed to reach premining productivities. Sometimes productivities are even greater than that of premining conditions. Existing Mining Methods Present Mines & Production There are seven active mines in the Gulf Coast province, all located in Texas (Fig. 2). Lignite

Jan 8, 1983

By C. T. Holland

Coal mining has been an important industry in the Appalachian area for many years. This is particularly true in the northern part of the area, namely, in Pennsylvania, West Virginia, and Ohio. Also, in the south a great deal of mining activity has been carried on in Alabama, Kentucky, and southwest Virginia. Some of the by-products of this activity has been the production of mineralized water from the mines in copious quantitites. The southern Appalachians have been somewhat more fortunate in that the water there has had a considerable amount of alkalinity in it, which has to a large extent eliminated some of the more undesirable aspects of mine drainage. Northern Appalachia, including central and western Pennsylvania, the Monongahela basin in West Virginia, and the Appalachian area in eastern Ohio have not been so fortunate in that coals in those areas and the top and bottom rock have, in many cases, shown considerable quantities of pyrite, and the water does not carry the carbonates found farther south.

Jan 1, 1969

By P. K. Gbor

Over 2 million tonnes of smelter slags containing Co, Ni and Cu are produced and stockpiled in Canada each year. Smelters also produce SO2 an air pollutant. Recycling these materials will maximize the value of natural resources and minimize possible environmental impacts of industrial operations. The objectives of this research were to understand the characteristics of slag, the reaction of slag with SO2(aq) and to develop a novel method for extracting Co, Ni and Cu from slag using SO2. The properties of slags from different smelters were studied, with emphases on the form of Co, Ni, Cu and Fe. Leaching experiments were carried out in a batch reactor. The parameters investigated included concentration of SO2(aq), stirring speed, particle size, temperature and pH. O2 was introduced into the reactor to study its effect on the system. The amount of each of Co, Ni and Cu in all the slags was less than 1%, while Fe was between 30% and 45%. The form of Co and Fe was primarily oxide, however, significant portions of Ni and Cu were present as sulphides. SO2(aq) alone, was effective in leaching Co and Fe. Cu dissolution was negligible due to precipitation. The presence of O2 improved Cu and Ni extraction. SO2(aq) was found to be more effective in leaching slag than H2SO4 at the same pH. The leaching process was modelled using the shrinking core model. A scheme was proposed for the extraction of Co, Ni and Cu from slag using SO2(aq). The process makes efficient use of SO2, separates Co and Cu at an early stage, and minimizes the consumption of base during Fe separation.

Jan 1, 2003

The 2014 George A. Fox Conference at the Graduate Center, City University of New York in New York City was presented under the theme, ?21st Century Challenges for the Tunneling Industry. Bruce Grewcock, chief executive officer and president of Peter Kiewit Sons? Inc., opened the conference with a keynote address in which he set the tone for the rest of the day by touching on the many challenges the industry is facing, which are plentiful and complex. Covering the breadth of the industry, he spoke about everything from the technical challenges that come from working beneath the streets of some of the most densely populated regions in the world to the challenges that come from working with the people who live in those areas. ?My observation is that we, as an industry, are being asked to put structures in places where they are needed, but are complex environments to work in,? said Grewcock. ?We work in an industry that relies on some of the most technically challenging engineering in the world, and when we are done with a project, we cover it up and no one ever sees it.? Despite these issues, Grewcock said that, in his opinion, the biggest challenge the industry is facing is that of people; more precisely, where to find the next batch of people. Looking out at the conference-record crowd of more than 400 registered attendees, Grewcock quipped that he saw plenty of gray beards and asked aloud, ?Where will we find, educate and train the people to tackle the issues that this industry will face in the future??

Mar 1, 2014

By Giuseppe Gaspari, Xiangrong Wang

The pandemic emergency is forcing transit agencies to define strategies allowing social distancing, which are more challenging in underground interchange stations in crowded downtown cores. Toronto Transit Commission’s (TTC’s) Bloor-Yonge Station Capacity Improvement Project in Toronto was approved to meet increasing demand and represents an opportunity to fight COVID-19. This paper discusses cost-effective solutions in expanding the cut-and-cover station box over the existing Toronto Subway Line 2 and connecting it through ventilation openings in the cast-iron tunnel liner. Potential uplift risks and structural damage due to minimal vertical clearance were analyzed via three-dimensional finite element analyses with advanced constitutive laws to simulate the multi-stage construction process. Based on the simulation results, a series of countermeasures, including excavation support systems, king posts, ground-consolidations, and liner reinforcements were integrated into comprehensive design options to ensure the serviceability and structural integrity of the subway tunnels.

Jun 13, 2021

By E. C. Ekedahl, R. J. Heath

Introduction Potassium, together with nitrogen and phosphorous, is an essential nutrient required for growth. Since all living things need potash, the major demand for potash - about 95% of the total - is as a fertilizer. Agricultural productivity has increased dramatically in recent times. This increase in crop yields requires substantial amounts of added nutrients to keep the soil fertile. It follows then that potash will always be in demand. There is no substitute. Other fertilizers that contain phosphorous (P) and nitrogen (N) are complementary and not competing products. Fireplace ashes (pot-ashes) have a relatively high potassium content. Their value as a fertilizer had been recognized for centuries. But today's potash industry did not begin until deposits of potassium-rich ore were discovered and exploited in Europe during the 19th century. Canadian potash development Potash in Saskatchewan was first recognized in 1943. It was discovered as a byproduct of an oil exploration program. But it was several years later before the existence of a major commercial deposit was acknowledged, and not until 1951 that the first attempt at development occurred. That attempt was unsuccessful. The shaft flooded and was abandoned. It did, however, demonstrate the need for new technology to penetrate the waterlogged Blairmore layer. This was eventually developed and the first mines were brought into production in the early 1960s. Once the technology was available, and the extent and quality of the potash beds became known, a number of companies proceeded to develop mines. By 1970, seven mines were in operation and three more were nearing completion. Combined, total capacity then was 7.6 Mt/a (8.4 mil¬lion stpy) K20. At that time, world potash consumption was about 15 Mt/a (16.5 million stpy). This increase in supply from Canada produced a large potential surplus that shattered the prevailing balance between supply and demand. Although world demand increased steadily throughout the 1960s and early 1970s, it was several years before world supply and demand were again in balance. Saskatchewan capacity has been expanded a number of times. It now stands at 10.7 Mt/a (11.7 million stpy) K20. Actual production has not approached this figure, however. Two new mines in New Brunswick have recently been built with a combined annual capacity of 1.2 Mt (1.3 million st) K20. Total Canadian capacity of about 12 Mt/a (13 million stpy) now amounts to 30% of world capacity. Central offshore marketing organization Canadian Potash Exports Ltd. (Canpotex) was created in 1970 as the offshore marketing organization for Canadian producers. Canpotex is owned by Saskatchewan producers and is their exclusive marketing organization for offshore business. Each company handles its own sales in Canada and the US, but all sales to other markets are handled through and by Canpotex. The Saskatchewan industry has an ore body of a size and consistency unmatched anywhere in the world. Large efficient mines have production costs that compare favorably with other producing countries. On the minus side, Saskatchewan is remote from most major markets. It therefore needs the ef¬ficiencies that stem from one organization that coordinates all offshore shipments and minimizes distribution costs. Agriculture guides potash market In the period following World War II, potash was a classic growth industry. World demand increased each year from 1945 to early 1970s. Since then, demand has been more erratic. Some years show substantial increases, but are followed by significant declines. For about the last decade, the pattern has been unclear and future demand has become correspondingly difficult to predict. North America and Europe together account for about 40% of the world potash consumption. In both areas, farming is characterized by surplus production, declining crop prices, and expensive government support programs. Under those circumstances, farmers respond by minimizing input costs. Fertilizer is one of the items they reduce. Potash is retained in the soil. It is possible to reduce potash application with no immediate deterioration in crop yield. The lower yields occur only when potash levels are depleted. So, farmers can econo-

Jan 12, 1987