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By E. J. Whittenberger

OVER the past two decades, the Cr-Ni stainless steels, popularly termed 18-8 steels, have been used in ever increasing amounts in the aircraft, automotive, chemical, transportation, and building industries.' The contribution of nickel to these steels is associated with its strong austenite forming tendencies which assure good hot and cold forming characteristics, and with its beneficial influence upon corrosion resistance, especially in oxidizing acids. The adjustment of the chromium and nickel contents has been used advantageously in controlling the rollability and the response of the mechanical properties of these steels to cold reduction. With the advent of the jet age and the government stockpiling of nickel, considerable emphasis has been placed upon the development of satisfactory low nickel or nickel-free substitute austenitic stainless steels, especially for nonmilitary applications.2 Fer-ritic 17 pct Cr (AISI Type 430) stainless steel has been effectively substituted for the austenitic grades in applications with mildly corrosive exposure. However, the limited formability and ferromagnetic behavior of this grade do not permit its satisfactory use for many applications. To achieve better formability in a nenmagnetic steel and conserve nickel, a number of low nickel substitute austenitic grades of stainless steel have been developed in recent years. In most of these steels, manganese and nitrogen have been substituted for a portion of the nickel content, for example, 17 pct Cr-4 pct Ni-6 pct Mn (AISI Type 201), 18 pct Cr-5 pct Ni-8 pct Mn (AISI Type 202), and 16 pct Cr-1 pct Ni-17 pct Mn, all of which contain approximately 0.15 pct N.1 The precipitation of ferrite when large ingots of these Cr-Ni-Mn-N steels are heated to temperatures high enough for conversion to slabs on conventional universal slabbing mills has seriously affected the hot workability of these steels. This has been especially true in the case of the 16 pct Cr-1 pct Ni-17 pct Mn (sometimes referred to as 15 pct Cr-1 pct Ni-15 pct Mn) composition." Because it is possible that little, if any, nickel will be available for nonmilitary stainless steel applications in the event of a national emergency, a need has existed for a nickel-free austenitic stainless steel containing hot and cold forming characteristics similar to 18-8 steels and corrosion resistance at least comparable to the 17 pct Cr ferritic steel. The aforementioned deleterious effect of ferrite upon the hot working characteristics of the 16 pct Cr-1 pct Ni-17 pct Mn, steel indicates the importance of establishing the austenite-austenite plus ferrite phase boundaries as the first step in the development of nickel-free or low nickel substitute steels. This paper presents the data collected in an elevated temperature constitutional study of the Cr-Ni-Mn-N system at the South Works of the United States Steel Corp. Experimental Procedure The 300 compositions used in the investigation were melted in a 26 Ib induction furnace and cast in 3 14 in. diam by 18 in tall hot-tcpped ingot mo1ds.

Jan 1, 1958

By Randall L. Neal

This paper discusses the impact of taxes at the state and federal level on typical on-shore oil and gas exploration economics in the USA. Taxes considered are the windfall profits excise tax, state production (or severance) taxes, state income tax, and federal income tax. Also considered will be market prices for oil and gas in the USA. The effect of government take as a percent of revenue, on rate of return, discounted Payout, and discounted cumulative cash flow is shown on the attached tables. The conclusion drawn is that tax laws, while rarely the most important factor to be considered when drilling a well, can have significant impact on the profitability of oil and gas ventures, and should be considered when determining where to drill. Hypothetical exploration wells were analyzed for the impact of tax laws on project profitability. The results of this study show that when factors other than taxes are postulated to be the same (such as producing rate, capital, operating costs, and prices), cash flow can vary by as much as 68% due to the differences in the tax laws. Other significant findings for the cases studied include: (a) that discounted payout varied by as much as 1.8 years, (b) that rate of return differed by up to 67% and (c) the total tax rate as a percentage of revenue had a maximum variance of 33%.

Jan 1, 1982

By C. Richard Tinsley

INTRODUCTION Documentary complications arise from the risk apportionment in project financing which generally means that once the project is up and running and has satisfied the lender's completion test, the loan agreement specifically limits the lender's recourse to the project and its assets. It is the purpose of this paper to describe the special considerations which apply to industrial minerals projects and explore the reasons why so few project financings are negotiated in this industry. SIZE Small projects do not warrant the relatively high costs of negotiating and documenting project financing. The extent of the documentation is directly proportionate to either (a) the degree of risk apportionment, or (b) the amount of control given to lawyers to negotiate the documents. Although one would like to believe that project-finance documentation could be off-the-shelf, it is almost always necessary to tailor the documents to the mine development itself and the individual desires of the borrower. Accordingly, the documentation costs and initial expenses are seldom less than $40,000, and for complex projects can reach $400,000. In addition, banks often charge an up-front fee to partly compensate them for their staff time and partly to increase their yield on what is deemed to be a "riskier" loan asset. Another factor is the generally lower debt:equity ratio when bankers are uncertain of the accuracy of the cash flow projections. The ratio of the amount of cash flow left over after debt service to debt service itself is a key tool for project finance (debt service coverage). Bankers will require a higher coverage ratio for industrial minerals projects because of the relatively higher uncertainties in the following categories: Prices Markets Geology/Quality Transportation Environmental This, in turn, means that lower debt:equity ratios are the norm for new industrial minerals projects. INDUSTRY STRUCTURE It is hardly worthwhile to generalise about a field as diverse as industrial minerals, but there are four other structural reasons why project financing has not been widely applied. 1. The most obvious example is the predominance of small-sized operations, largely a function of transportation economics. Geological conditions also contribute to their dispersion. 2. Often, the product is only a small part of a company's business in contrast to many petroleum, metals, or coal companies whose sole business is the production of the raw material. The construction industry is a good example here for cement, gypsum, crushed stone, sand and gravel, and the drilling-mud services business for barite and bentonite. A company is unlikely to jeopardise its main business through the failure of a project financing on one of its key inputs. The corrollary is that the mined input is often regarded as a cost centre and not run on the sort of economic basis suitable for project financing. 3. There may be a reluctance to reveal key aspects of an industrial minerals venture to an outsider for purely competitive reasons. Unlike the other minerals industries which readily share technical information at plant visits and

Jan 1, 1985

By AIME AIME

T HOUGH Ira B. Joraletnon has not had an eastern address since 1907, he is a New Yorker by birth, having been born at Antwerp, in the northern part of the state, on July 27, 1884. He got his scholastic training at Harvard, which gave him his A.B. degree in 1905 and an A.M. two years later. For the next fifteen years except for the war period, he was with the Calumet & Arizona Mining Co., with headquarters at Warren, Ariz., being assistant man- ager when he left that company in 1922. During the first World War he spent a year and a half in France, where he achieved the rank of major in the signal corps, air division.

Jan 1, 1941

By B. G. Klugh

(New York Meeting, February, 1912). IN a paper before the Institute at Wilkes-Barre, Pa., June 1911,1 Mr. James Gayley discussed the application of this process to iron-bearing materials. The same author2 described the results of operations at the plant at Birdsboro, Pa. The purpose of the present paper is to present further discussion of some technical details involved in the operation of this plant, and of the theoretical and practical relations of this product to blast-furnace practice. Since Oct. 1, 1911, the Birdsboro plant has been in operation at the blast-furnace of the E. & G. Brooke Iron Co. The results have been highly satisfactory, although the material treated, being chiefly the flue-dust currently made by the furnace or taken from the accumulated stock-pile, was excessively high, and yet not uniform, in carbon, so that the desirable control or regularity of the amount of fuel in the mixture treated could not be maintained. Nothing could more forcibly demonstrate the flexibility of the process than the fact that, under these conditions, the sinter produced was, in all cases, of excellent quality. The Dwight & Lloyd process, as such, and its present highly-developed mechanical appliances were described by Mr. Gayley in the paper above mentioned. While the repetition of some particulars will be unavoidable in this paper, it will be confined to features bearing upon the metallurgical principles involved. According to the principle of the process, the finely-divided iron-bearing material to be sintered is intimately mixed with

May 1, 1912

By W. A. Hooker

This portion of Mexico is quite beyond the ordinary routes .of travel, and is seldom visited. Its mines have not the record of enormous wealth which has recently attracted foreign capital to other parts of the republic; but for many centuries it has been a mining country, and at some periods evidently a productive one. In 1881 the writer visited the State and spent some time in the inspection of the mines. The absence of published information regarding its mining industry is his apology for presenting to the Institute these notes on the subject. Oaxaca is, with one exception (Chiapas), the most southerly of the Mexican States. It extends from latitude 18o 20' to 15' 45' N.— about 180 miles, by some 300 miles, in an east and west direction, and embraces a large part of the Isthmus of Tehuantepec. The coast-line is wholly on the Pacific. The State has an area of 27,470 square miles, nearly that of the State of Maine, and a population estimated at one million, or thirty-six to the square mile. The great continental Cordillera which farther north and west expands into broad table-lands, is here converged into narrower limits and occupies the greater portion of the country; the main

Jan 1, 1887

The Delegation of American Engineers constituted by the American Institute of Mining and Metallurgical Engineers, the American Society of Civil Engineers, the American Society of Mechanical Engineers, and the American Institute of Electrical Engineers, that visited France in December, 1918, in acceptance of the invitation extended by the Congrés General du Genie Civil consisted of the following: Representing the American Society of Civil Engineers, Major James F. Case, past president, Geo. F. Swain, vice-president, Nelson P. Lewis, treasurer, Geo. W. Tillson, past director, Geo. W. Fuller, director, A. M. Hunt. Representing the American Society of Mechanical Engineers, president, Chas. T. Main. Representing the American Institute of Electrical Engineers, past president, L. B. Stillwell. Representing the American Institute of Mining and Metallurgical Engineers past-president, E. C. Spilsbury. The delegation organized on the way over by the choice of Major James F. Case as chairman, and Geo F. Swain as secretary. On arriving at Bordeaux, the Delegation was met by Mr. S. D. Brown, associate member of the American Society of Civil Engineers; and on its arrival in Paris it was joined permanently by the following attaches: Captain P. Charton, of the French Engineers, Delegate of the Commissariat-General to accompany the Delegation and serve as liaison officer; Captain Carpenter of the American Army; and Mr. Geo. Herdt, representing the Society of Civil Engineers of France. The object of the visit was to discuss with the French engineers the large engineering, problems now facing France. Engineering problems in their restricted technical sense came up for discussion practically not at all, for the French do not need advice nor assistance along strictly scientific lines. It was in the -larger and economic aspects of engineering, to aid in building up the industries and commerce of France, that our French associates desired to learn from the experience of the American Delegation.

Jan 9, 1919

By A. Eilers

A MARKED peculiarity of most of the smelting-works of the Far West is the looseness with which accounts of the operations are kept. Indeed, probably over half of the works do not keep any detailed accounts at all, the yearly gross statement of profit or loss being considered sufficient for all purposes. The reasons for this must apparently be sought in the as yet unsettled state of all business relations, and in the deplorable fact that only in isolated cases educated metallurgists are in charge of the smelting-works. Continual and regular assays of the ores, by-products, and slags, are almost unknown, so that it is impracticable to ascertain, even approximately, the losses in the smelting processes. Of cases where regular accounts are kept of the quantities of ore smelted, of the composition of charges, and of the fuel consumed, I know only two or three. Under these circumstances it is extremely difficult to collect figures which cover the operations for a considerable length of time, and which are so valuable for the metallurgist, who wishes to get an insight into the economy of smelting operations, as shown by practice. Figures obtained by personal observation, which can of course cover only the brief space of the visit of the travelling metallurgist, must, therefore, be made to replace the more valuable data. The writer has had occasion, during the last and the preceding summer, to visit the larger number of the Western lead-smelting works, and offers, in the following pages, such data relating to the economy of lead-smelting in the blast furnace at various works, as he has been able to obtain. The only object in doing so is to place these figures on record, so that they may be from time to time supplemented with other data, which are now wanting. I. EUREKA CONSOLIDATED COMPANY'S SMELTING-WORKS. These works smelt the ores from the mines of the same company on Ruby Hill, Eureka, Nevada. The supply is almost unlimited,

Discussion of the paper of GEORGE S. RICE and H. H. CLARK, presented at the Pittsburgh meeting, October, 1914, and printed in Bulletin No. 94, October, 1914, pp. 2563 to 2571. NORMAN V. BRETH,* Pittsburgh, Pa.-It was my privilege to visit in the last two months on behalf of the U. S. Bureau of Mines 10 mines where electric shot-firing systems controlled from outside the mine are installed. I will describe briefly what I saw in some of these mines, which are located in Utah, New. Mexico, Oklahoma, Alabama, and Kansas. At a mine in Utah, 230-volt alternating current is used to fire the shots, which is taken from a small transformer in the substation. The shot-iring circuit is independent of all other wires and is tested for grounds every day. There are no lightning arresters on the firing circuit. Porcelain insulators are used inside of the mine, and glass outside. The switches are situated as follows: One in the substation, one in, the shot-firer's cabin, two at each cross entry; where the shot-firing circuit crosses the trolley wire a switch is placed on either side of the entry in series with the shot-firing circuit. The miners are checked in and out of the mine. The coal is undercut and is shot down with permissible explosive, the shots being connected in multiple. There are 75 to 110 shots fired each day. A great many times there are no missed shots. If not more than two or three are missed they are left until next day. The fan is kept running at full speed when the shots are fired. The shot-firing switch is closed only once and the whole mine is shot at once. At another mine in Utah, power wires are used for shot-firing circuits; 500-volt, direct current is used to fire the shots. The only sizes of wire used outside of the power wires are Nos. 8 and 14 B. & S. gauge. The return is connected to the pipe lines and track. Porcelain insulators are. used inside of the mine.

Jan 4, 1915

By Robert McKay

THE practical study of corrosion requires consideration off its economic aspects. It must be based on sound scientific principles, but it should be borne in mind that probably the most important object of a corrosion test is to determine what metal in corrosion-resisting construction will produce the greatest operating profit. Thus the corrosion test must be directly connected with money values or it is not a practical corrosion test. This, perhaps unusual, connection between corrosion and economics is partially due to the fact that corrosion deals only with the time factor or duration of equipment, and it is almost the only test which deals with this feature. In these statements a departure is made from the academic definition of the word corrosion and it is done deliberately. The use of the term corrosion is unusual. It is as though we spoke of a tensile test as. a "breaking" test. We are not interested primarily in the break but in the strength of the metal. There is no English word which expresses our main interest in corrosion-testing, but let us have clearly in mind that we make corrosion tests to prevent corrosion. Our real interest is in this corrosion-prevention, not in the corrosion. Previous to 1922, it was common comment that "it is impossible to determine the course of corrosion by laboratory testing." This statement was true at that time in that the technique of laboratory testing for corrosion resistance was so vague that tests in the laboratory gave untrue results almost as often as true ones. This was so, even in the simple case of determining which one of two metals better resists a given solution. While this is no longer true the number of misleading "corrosion tests" still being ground out by laboratories is too large in the light of our present knowledge. There are two important features of corrosion testing whose neglect is a large contributing factor to misleading results: (1) The economic relations of the corrosion tests to other tests; (2) testing technique.

Jan 1, 1929

By Davis Baker

The direct-metal cars or ladles of the Maryland Steel Company have a capacity of 18 tons when filled within 12 inches of the top. On account of this large capacity, the formation of skulls in these ladles is by no means as rapid as in smaller ladles; but a skull once formed is a very unwieldy piece of metal to handle, and especially to remove from the ladle. We have found it cheaper to clean ladles often rather than make very heavy skulls. We aim to keep the ring of chilled metal that forms on the surface of the iron chipped off, so that the skull shall form principally at the bottom until it becomes so thick as to render the ladle unfit for service. Sometimes it happens that a ladle may be held for several hours filled with molten metal. This invariably leaves a large amount of chilled metal in the ladle. Frequently the skull will weigh several tons, and will be of the full size of the ladle inside, with a top crust, having perhaps a hole 12 inches square, through which the molten metal was poured. In order to remove skulls that cannot be easily chipped out with a bar, we use what may be called a skull-extractor, consisting of a hydraulic cylinder mounted in the center of a heavy cast-iron plate, standing vertically on a suitable foundation. Figs. 1 and 2 show the construction and operation of this apparatus, Fig. 1 being a view of the extractor with pistons extended to full stroke, and Fig. 2 a view with ladle in position and pistons about to commence the stroke. in both figures, A is the hydraulic cylinder, B the vertical cast-iron plate, and C the foundation. The water-pressure, admitted through the pipe, P, is 750 pounds per square inch, and the inside diameter of A is 14 inches. There are two pistons: D, fitting the bore of the cylinder, and E, 84 inches in diameter, moving inside of D. Both pistons move together when

Jan 1, 1893

By Russell A. Carter

Alaska is a land of immense proportions and resources. Its very name, derived from an Aleut term, means "The Great Land." Yet, in a state slightly larger than Texas, California, and Montana combined, there are presently only two-large scale mines in production, excluding dredge operations. Once referred to by its territorial governor as "a storehouse of minerals," Alaska is, in the opinion of many industry observers, at least 20 years away from a healthy, productive mining industry. The mineral potential of the state is tremendous: coal deposits on the North Slope alone have been hypothetically pegged at 1.5 trillion tons. Copper-zinc deposits on the south flank of the Brooks Range are conservatively estimated to be worth $4 billion to $6 billion. However, the problems facing mineral development are of equal magnitude, and include:

Jan 11, 1976

By Frank Robertson Van Horn

In June, 1911, the writer spent a few days in studying the economic geology of the vicinity of Park City. During this rather hurried visit a number of specimens of ore were collected, which have since been examind. The results of these investigations show that bournonite (PbCu-SbSa) is present in the ores in greater or less quantity. This fact has never before been reported, as far as can be learned. The failure to recognize this mineral is due to its similarity to tetrahedrite, with which it has probably been confused during a long period of years. Jamesonite (Pb2sb2s6) has been reported from the region in a rather doubtful manner, but the writer has seen it in notable amounts from several mines, and can offer the first analysis of this mineral from the district. Calamine (HzZn2SiO5) was found at one mine and has never been ecognized and reported from the district. Geogbaphy and Geology Park City, Utah, is located at an elevation of about 7,000 ft. above sea level on the eastern slope of the Wasatch mountains. It is situated approximately 25 miles southeast of Salt Lake City. ' The geology and ore deposits have been described in detail by Bout well and Woolsey.' The mines visited are situated south-southeast from the town. The Silver King Coalition mine is located in Woodside gulch about 1 mile southeast of Park City, at an altitude of about 8,100 ft. The other mines visited were the Daly West and Quincy, which are in Empire canyon about 2 miles sontheast of the town, at elevations of 8,300 to 8,500 ft. respectively. The Daly Judge tunnel goes into the mountain from Empire canyon about 1 mile south of the city, at an altitude of 7,700ft.

Jan 1, 1915

Discussion of the paper of E. G. Woodruff, presented at the Butte meeting, August, 1913, and printed in Bulletin No. 78, June, 1913, pp. 1001 to 1010. F. A. LINFORTH, Butte, Mont.:-I have not had an opportunity of reading this paper thoroughly, but I would like to call attention to the possible use of the contours on fault planes. It is obvious that if the contours of fault surfaces call be determined, we will be able to determine the axes of the hollows in the fault surface. It seems probable, and there are examples to point to the accuracy of, the assumption, that the axes of these hollows may be the direction of movements on the faults, and if that is true it will aid materially in locating faulted ore bodies or the shoots of ore on the opposite sides of faults. A few such contour maps of faults have been attempted on some of the faults of the Butte district, and those faults which are believed to have the nearly normal movement exhibit for the axes of these hollows a line nearly up and down in the plane of the fault, but in those cases where the throw is believed to bee nearly horizontal we find that the axes of the hollows are almost horizontal lines. In other words, the movements on faults, I believe, would be more nearly indicated by the larger grooves in the fault surfaces than by the small slickensides and minor hollows that are seen, so that contour maps might be valuable in geology in that way. C. W. GOODALE, Butte, Mont.:-I received a letter from Mr. Woodruff asking me to take part in the discussion of his paper, but I have not had time to give the paper any study. I can certainly add my opinion to that of all the engineers here that the topographic maps of the government are of great aid to the engineer. When I visit a new district, the first thing I do is to see if that district has been covered by the U. S. Geological Survey avid if topographic map has been issued. And I find that some of the younger engineers frequently come into my office to see if I have such maps. I know in some cases the reports made out by engineers contain copies of these topographic maps, or clippings from them. I am sure that. the topographic maps furnished by the government are of very great value to our engineers.

Jan 11, 1913

By H. E. Criner, M. G. Driessen

Maurice Rey—The influence of cyclone diameter upon the fineness of separation is an important point which, however, cannot be discussed adequately if the injection pressure or the rate of flow are not specified. Perhaps some light can be thrown on the matter by using the formulas derived by Dahlstrom. Let us consider several geometrically similar cyclones where the apertures e and b are equal and proportional to the diameter D and which are operated with the same pressure drop. Eq 8 of Dahlstrom's paper can be written: Q Q = K D'. " or. if F is constant: Q = K D18 K is a constant of proportionality. Introducing this value of Q in eq 13 gives elimination efficiency = K D ,41 Elimination efficiency, in the terminology of Dahl-strom, means the diameter of particles, in microns, which divide equally between the underflow and the overflow. This denomination is regrettable and it would be preferable to call it diameter of separation or characteristic size or any other name connoting a size rather than an efficiency. Whatever the name used, the above equation shows a slow increase in the fineness of separation when the diameter of the cyclone decreases. For example, if a 14-in. cyclone gives a 400-mesh separation (37 microns), geometrically similar cyclones, having the same pressure drop will give separations at the sizes shown below.

Jan 1, 1951

By M. G. Driessen, H. E. Criner

Maurice Rey—The influence of cyclone diameter upon the fineness of separation is an important point which, however, cannot be discussed adequately if the injection pressure or the rate of flow are not specified. Perhaps some light can be thrown on the matter by using the formulas derived by Dahlstrom. Let us consider several geometrically similar cyclones where the apertures e and b are equal and proportional to the diameter D and which are operated with the same pressure drop. Eq 8 of Dahlstrom's paper can be written: Q Q = K D'. " or. if F is constant: Q = K D18 K is a constant of proportionality. Introducing this value of Q in eq 13 gives elimination efficiency = K D ,41 Elimination efficiency, in the terminology of Dahl-strom, means the diameter of particles, in microns, which divide equally between the underflow and the overflow. This denomination is regrettable and it would be preferable to call it diameter of separation or characteristic size or any other name connoting a size rather than an efficiency. Whatever the name used, the above equation shows a slow increase in the fineness of separation when the diameter of the cyclone decreases. For example, if a 14-in. cyclone gives a 400-mesh separation (37 microns), geometrically similar cyclones, having the same pressure drop will give separations at the sizes shown below.

Jan 1, 1951

By Thomas F. McLoughlin, David K. Hylbert

A new method of satellite imagery analysis has been developed during underground mine roof research. Landsat positive film transparencies were projected onto topographic base maps to scale and lineaments enhanced with a Ronchi grating (method A). Thirty-five millimeter slides of video-enhanced scenes were also projected onto base maps (method B). Both methods permit direct plotting of lineaments to scale and direct correlation with surface and subsurface data wing transparent overlays.

Jan 1, 1981

By Henry Rawdon

THE RELATION between the course, or path, of the fracture of metals and alloys, produced in service or as a result of certain laboratory tests, and the crystalline units of which such materials are composed is of utmost importance. The fracture of normal material is, in general, intracrystalline, i.e., it consists of a break across the grains rather than of a separation between them. An intercrystalline fracture indicates either that the metal is of very inferior quality or that the break occurred under very unusual conditions, e.g., at a very high temperature. The usual mechanical tests, when applied to metals of the type that breaks with an intercrystalline fracture, merely measure the coherence of adjacent grains for one another and reveal little as to the real properties of the metal itself. Even such a soft plastic substance as lead, under suitable conditions, may be rendered so weak and brittle that the metal can be easily crumbled into powder by the fingers although the constituent grains have lost none of the intrinsic properties of lead. Various erroneous explanations of this behavior of lead have appeared in the scientific literature, the change being described usually as an allotropic one. The importance, in an industrial sense, of a proper explanation of this type of the corrosion of lead justifies the description of the type of metal deterioration that follows.

Jan 2, 1920

By John Lohrenz

Consider an investor who, knowing future costs and revenues, can choose how rapidly to produce from a given mineral source. If the investor elects to make that choice to maximize present value of future profits, how do policies affect the choice? Various alternative policies are examined. Some, such as higher royalty rates, lead to slower production rates than would otherwise obtain. Clearly, the chosen rates of production are policy-dependent. One is wisely counseled to consider how mineral policies affect the rate of production from given sources when analyzing current and alternative policies.

Jan 1, 1982

By Lyon F. Terry

SPEED-UP of production of crude oil and its products, accompanied by rising prices and the organization of the industry on a war basis, featured the economic aspects of petroleum in 1941. Early in the year American tankers were urgently requested by the British to replace losses and offset slower transit under convoy. Some forty American owned tankers were first assigned to Britain and an additional forty-odd ships were transferred during the summer. This threatened to reduce our transportation facilities from Gulf ports to the Eastern seaboard below requirements, especially should sinkings have increased and the British needed more ships. Co-ordinator Ickes began preparations for restricting gasoline consumption in the Eastern district and plans were formulated for the construction of an emergency trunk pipe line from Texas to New York and Philadelphia refining centers, and for a gigantic tanker-building program. Sales of new oil-heating units in the East practically ceased. The companies were urged to transport as much oil as possible by tank car and by October 140,000 barrels of oil per day were reaching the East Coast district by rail, sufficient to meet 8 per cent of total requirements. But British sinkings from July through October decreased 63 per cent compared with the four months ended June 30, Britain began the return of tankers, the construction plans were dropped, and the threatened shortage was thus averted.

Jan 1, 1942