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By Andrew Franklin

The eightieth regular meeting and convention was called to order by the President, John T. Atkins, at 9:15 a.m. Monday, June 25, 1984 in the Colorado Ballroom of the Marriott's Mark Resort in Vail, Colorado. President Atkins welcomed the members and their guests to the convention and noted that the annual business meeting would be held Tuesday afternoon at 2:00 p.m. in the same room. A convention update was made by the Conven¬tion Liaison Officer, Loren V. Linville. This was followed with a program report by the Program Chairman, Doug Ingram. The chair then called on Clifford Barrett, Upper Colorado Regional Director of the Bureau of Rec¬lamation of the United States Department of the Interior. He presented the Bureau's Citizen Award to RMCMI former president Ira E. McKeever for his outstanding contributions to the joint private/ Federal effort and the open planning process for AQUATRAIN. According to Barrett, "from 1981 to early 1984, McKeever led private industry work in the AQUATRAIN project, a proposal for a 1,400 mile long pipeline system. AQUATRAIN was conceived as a possible alternative to solve the government's problem of rising salinity levels in the Colorado river, as well as the private sector's need for a more economical coal transport method. The Citizen Award cites McKeever's efforts in developing a model for future cooperative ventures between government and industry that can benefit the nation." Following this presentation, the formal program of the 80th meeting and convention began with the president, John Atkins, introducing the convention kickoff speaker, Andrew Franklin, President of Nerco Mining Co., Inc., followed by the convention keynote speaker, Dr. Margaret N. Maxey of the University of Texas. These speeches are printed in this Proceedings together with those of all other convention speakers. I'm Andrew Franklin, President of Nerco Min¬ing Company, and I'm delighted to be here to kick off the annual convention of the Rocky Mountain Coal Mining Institute. This has always been a very special convention in my eyes and I'm sure this year's will be no exception. I am also here to share my thoughts on the western coal industry and how we're all affected - for good and bad - by public policy decisions. Although the title of my talk is "Western Coal: An Industry Under Siege," I believe a more accurate title might be "Western Coal: The Pit and The Pendulum," because of the wide swings in public policy and coal development in the past 15 years which have cut a zigzag path for growth over this period. As one of the nation's largest coal producers, Nerco is well aware of the problems facing western coal production. Nerco Mining Company is the western coal mining subsidiary of Nerco Inc. We have been "in coal" for more than 25 years through our parent company, Pacific Power & Light. To state my conclusion at the outset, I feel it's extremely important that consistency and common sense should guide our national policy for the development of valuable energy resources. In particu¬lar, we must reduce the wide swings in government policy and activities which have affected energy development. In short, we must decide what kind of game we're playing so that the "players" and the "referees" can keep their eyes on the "ball." Business today faces two main types of uncertainty market uncertainty and public policy uncertainty. As businessmen, we expect and are used to facing the familiar challenges and uncertainties of the market in which we operate. Over the past 10 years, the market has appeared to be bullish on coal. But the facts make our future less rosy. Last year, western coal producers faced over 50 million

Jan 1, 1984

The Sixty-First Regular Meeting of the Rocky Mountain Coal Mining Institute convening at the Stanley Hotel in Estes Park, Colorado, was declared in session at 10:00 a.m. by Past President Claude P. Heiner, President, Minerals Development Corporation, Salt Lake City, Utah. Claude introduced Oren F. Bridwell, Secretary, Northern Colorado Coals, Inc., Denver, Colorado. His introduction of President Bridwell follows: Ladies and gentlemen, it is my privilege and pleasure to open this session of the Sixty-first Regular Meeting of the Rocky Mountain Coal Mining Institute. My particular assignment is to introduce to you (those of you at least who do not know him) our Acting President, who for now we will call "Brid."

Jan 1, 1965

At 10 a. m. registration was commenced and completed. At 11:30 a. m. the meeting was called to order by the President, William Littlejohn. There was no unfinished business, new business nor reports of committees. The minutes of the previous meeting, as published in the proceedings, were approved. The report of the Treasurer was referred to the Auditing Committee who were auditing the report of the previous year. At 2 p. m., President William Little- john called the meeting to order for study session. Mr. J. Samuel Pyeatt, the new president of The Denver & Rio Grande Western Railroad, ad- dressed the Institute at length, expressing his pleasure at the opportunity of meeting the coal operators, pledging his cooperation toward the solution of the mutual problems that are arising. He reviewed the change in the Western Industrial situation; explained how the revenue of The Denver & Rio Grande Western Rail- road was being received from freight rates, only twenty-four per cent above the rates of 1914, yet laborers receive 97 per cent more, supplies cost 58 per cent more, showing that no reduction in rates can be expected unless other conditions are adjusted. He gave figures to show the immense sums, aggregating ten million dollars, that have been spent on improvements in the last ten years. The railroad is improving and will continue to improve. Mr. Pyeatt feels that the serious troubles of the railroad are over and that with the cooperation of the shippers, better service and more profits are ahead. He showed the increase in rates on farm products to be only 48 per cent, as against an average in- crease in price of farm products, them- selves, of DG per cent. The position of the farmer is not as serious, nor un- fair, as has been claimed. More equitable legislation is promised, and this is needed to offset the efforts of demagogues to deceive the people as to the actual facts. Much equipment has been put into the railroad, much new and powerful equipment, and ten of the largest narrow gauge locomotives ever built have just been ordered, engines that will do the work of three of the present locomotives. This ratio of improvement will be maintained throughout the narrow guage system, and the Rio Grande will not lag behind the shippers and the operators in co- operation. The President answered Mr. Pyeatt's remarks, and then called the meeting to order for discussion. The study sessions were held; papers were read by .J. H. Emrick, "Cutter Bits"; D. A. Stout, "Experiments in Mining Methods," and Harry Petersen, "Permissible Powder and Cushion Shooting." Tuesday, February 17, 1925 The meeting was called to order Tuesday morning at 10 a.m., and papers read by: F. C. Miller, "Safety Methods With The Colorado Fuel & Iron Company"; this was supplemented by a talk by 0. C. Irwin on "Automatic Mine Fan Control," illustrated by models of the apparatus used; Samuel Tescher, "The Operation of a Gaseous Mine."

Jan 1, 1925

By R. A. McAllister

The haulage system employed to convey coal from the face to the outside, dates back to 300 B. C., when slaves carried the mineral from the face to the consumer. The British discovered coal on their island about 800 A. D. and they were the first people to make practical use of coal and make coal mining a successful operation. The Britons carried cargoes of coal in their trading expeditions long before Columbus discovered America. The early history of mine haulage in the British mines relates to women with baskets, a practice still in use in Korean mines. Coal was discovered in America in 1679. The first mine worked in the United States was opened at Richmond, Va., in 1770. The haulage inside consisted of a crude sled loaded with, sacked coal ready for the market and drawn by a mule. The tipple consisted of the very simple operation of loading the sacked coal to the back of a lame mule, which represented the transportation system between mine and boat. The capacity of the boat was one ton and this large production of coal was intrusted to a small boy, who delivered to any place in town his bushel basket filled' with winter fuel. One daring coal operator shipped fifteen tons of coal by boat to Philadelphia and the man in charge had to seek employment to pay his board while finding customers for his fuel. A production of five tons per day would hardly attract attention to any system of haulage, add three ciphers and the importance of mine haulage is made very plain to the management. I will consider a production between 3000 and 5000 tons in eight hours and endeavor to bring out the essential features necessary to make the haulage system a regulated precise factor. There are two phases to mine haulage, the mule trip from the room to the motor or gathering party and the main haul to the outside. The motive power, whether done by mule, wire-rope or electric motor cannot be effective if left to the power alone. Conditions must offer no obstacle and it is the removal of obstacles that make the haulage system. This paper will consider a flat seam with the usual jump ups and downs or natural obstacles to be met and mastered by the successful tail-rope or electric system. The pit car is no longer a screening system scattering the fine coal from the room to the outside, adding to the costs by giving employment to road cleaners and polluting the ventilating system with a fog of coal dust. It is not a contrivance with four flat wheels and a labor killer in the room or on the tipple The large producing mine has a pit car with a tight body, roller-bearing wheels, with a self-oiling system that offers the least possible draw-bar pull to overcome the friction resistance, a hand brake conveniently placed and positive in action, a wheel base short enough to make room necks and long enough to

Jan 1, 1921

Outline ? Overview ? Existing Operations ? Mine Planning ? Future Trends ? Market Impacts ? Conclusions

Jan 1, 2006

The 65th Regular Meeting of the Rocky Mountain Coal Mining Institute convened at the Stanley Hotel, Estes Park, Colorado, and was in session at 10:00 a.m. The first session was called to order by Past President Joe T. Taylor, Kaiser Steel Corporation, Palo Alto, California. Manager of the Stanley Hotel, who welcomed the guests to the Stanley. After a few remarks, he introduced Bob Dean, for- mer Manager of the Stanley Hotel and again associated with the Stanley, who also made a welcoming talk as Mr. Dean has hosted the Institute at the Colorado Hotel in Glenwood Springs and in Estes Park. Mr. Taylor introduced President Stanley C. Shubart, Secretary-Treasurer, Schloss & Shubart, Inc., Denver, Colorado. Stan was raised in the machinery end of the coal industry following the footsteps of his Dad who was one of the founders of the RMCMI in 1912. And following his Dad's years of service to the Institute, 12 of them as Secretary, Stan has been active as Chairman of the Hotel & Registration Committee for 16 years, and, prior to his election as President, was General Chair- man for two years He is a graduate of the University of Colorado with a degree in mechanical engineering. He served our country in World War II and retired as a Colonel, Army Ordnance, after 43 years in the Reserve. He is a Trustee of National Jewish Hospital and was their President for 3 years. He has been active in many Military and professional societies, and in civic projects. I give you our President, Stan Shubart, for his remarks.

Jan 1, 1969

The morning session opened at 9:00 a.m. and was presided over by Mr. George A. Nugent, Manager Mining Division, Peter Kiewit Sons' Company, Sheridan, Wyoming. The first speaker was Mr. Jack Huebler, Vice President Research, Institute of Gas Technology, Chicago, Illinois. Mr. Huebler joined IGT in 1961 as Director of IGT's contract research program, a major part of which is IGT's extensive coal gasification work. He is also an adjunct associate professor at Illinois Institute of Technology, teaching gas utilization. Before joining IGT, Mr. Huebler spent 20 years with Surface Combustion Corporation where he was chief research engineer. He developed, designed, and constructed a wide variety of heat processing equipment and the associated chemical processes and was involved in applied research in heat treating, gas chemistry, and gas-solids reactions. He has carried out extensive research on the heat treating of ferrous metals, oil gasification and gas combustion, and has made major contributions to the development, construction, and operation of large-scale industrial furnace equipment. He received B.S. degrees in 10th chemical engineering and mathematics from the University of Michigan in 1941. He has 60 publications including 15 patents. He is also a world traveler in the field of engineering. Mr. Huebler's subject "Gasification of Western Coals." (See Index for printed text of Mr. Huebler's paper.)

Jan 1, 1972

By Steve Griles

Mr. Griles did not make his speech available for reprint. Looking Down the Road: The Environmental Side of the 1990s and Beyond Environmental Social Responsibility Love Canal, Buffalo Creek, Widow Combs, Bohpal and Three Mile Island are familiar names to all of us-names which evoke memories of environmental tragedies. These memories, as well as memories of other environmental disasters, lead us to pose this question: What is the nature of the environmental social contact between industry and society? The manner in which one answers this question will. in large measure, answer the question of where one thinks environmental issues will go, or should go, in the 1990s and beyond. The history of the evolution of the environmental movement will be helpful in defining and under- standing just what society's environmental responsibility is and, perhaps, what it will be. To Define the Future Start With the Past The common law, which most of the United States adopted from the English system of jurisprudence, traditionally considered pollution control and other environmental issues to be a matter of determining the relative rights of private property owners and of individuals. Legal and equitable theories, such as nuisance, negligence, trespass and the law of riparian rights, were utilized to allocate responsibilities between parties under the common law. The discharge of pollutants into streams and into the air was by and large considered acceptable, at least up to the point that another's "reasonable" use of the same air or waterway was significantly impeded. Further, the judicial decisions interpreting the applicability of the common law to the protection of the environment generally reflected the social and economic pressures of the age. During the Industrial Revolution, the decisions and policies had a marked tendency to favor industrial development. Jobs and industrial growth are deemed as important, and in some cases more important, than the protection of people and property. Additionally, the idea of a social responsibility, beyond that owed to a competing land or water user, was nearly alien to the early common law.' One could even go so far as to say that, had there been a social environmental contract under early common law (which, of course, there was not); but if there were, it would have been to promote actions which facilitated industrial development, even at the expense of the environment. Post-World War LI industrial expansion brought with it a growing awareness of limits on the environment's ability to absorb increasing levels of pollution. Thus evolved an era of social and political adjustment, as society began to shift away from supporting big business and industrial development and toward supporting domestic government programs and limits on industry. States gradually stepped in with efforts to address environmental issues. The Pennsylvania Clean Streams Law and the West Virginia Surface Mining Act of 1939, while lax in comparison to today's standards, nevertheless marked definitive efforts toward altering the balance between industrial development and environmental protection Pollution control continued to be viewed as a state responsibility through the 1950s, until Congress began, for the first time, to allocate funds for federal research on air and water pollution and to implement

Jan 1, 1988

MR. MARGOLF: Thank you very, very much Harris. There's sure a lot there to think about in terms, of our image, particularly. I think we should keep' in mind what Harris said about our history not being monolithic. Therefore our image can only be that, which is reflecting the weakest link in our industry and I think that's a burden on all of us. Perhaps to do some policing amongst ourselves to try to improve whatever might be our weakest link and thereby elevate our entire industry. Our third speaker this afternoon is another good friend of mine of long standing and I am very pleased to be able to introduce to the Rocky Mountain Coal Mining Institute Bob Golten. Bob is a graduate of the University of Michigan with a degree in Economics and Harvard Law School. His professional experience encompasses private practice in Chicago where he was born and in the federal government as a public defender in Washington, D.C. and in the Department of Justice as a tax , attorney. Some of us have come to know Bob more in his present role as the senior counsel for the I National Wildlife Federation. He's also Adjoint Professor of Law and Director of the National Wildlife Federation Resource Clinic, University of Colorado. Boulder campus. In addition, Bob has served with the Rocky Mountain Center on Environment as one of its directors for a number of years. He's very active in a number of areas that are not only civic but he does reflect what I would present by way of introduction as a perspective

Jan 1, 1982

The 77th Regular Meeting of The Rocky Mountain Coal Mining Institute convened at the Marriott's Mark Conference Center, Lionshead Village, Vail, Colorado, and was in session at 10:00 a.m. Past President, Loren V. Linville, District Sales Manager. Industrial Products Division. Uniroyal. Inc., Denver. Colorado, called the meeting to order. He introduced President, Edward F. Ziolkowski, Senior Vice President and General Manager, Energy Development Company, Hanna. Wyoming. A biographical sketch follows: Ed Ziolkowski is a 1953 graduate from the Colorado School of Mines with a degree in Engineer of Mines. His mining career began with Pickands Mathers Company in Gogibic Iron Range in Northern Wisconsin and Michigan. In 1961 he joined Texas Gulf Sulphur Company as Shaft Mining Engineer for their Cane Creek Potash Project near Moab, Utah. After serving as General Mine Foreman. Mine Superintendent and General Superintendent at Cane Creek, he was transferred in 1969 to Green River. Wyoming as Project Manager of Texas Gulf Black's Fork Trona Development. In 1971 he joined Allied Chemical Green River Works, as Resident Manager. In 1972 he joined Energy Development Company, an Iowa Public Service Company Subsidiary, as General Manager of their Coal Development. He currently is Senior Vice President and General Manager of Energy Development Company, and serves on their Board of Directors as well as the Boards of several other subsidiaries. This past April he was elected to Iowa Public Service Company's Board of Directors. Ed, his lovely wife Pat and children live in Hanna, Wyoming. He has been a member of the RMCMI since 1973. Is a staunch supporter of his community and the mining industry.

Jan 1, 1981

MR. LITTLEJOHN: Have you any maximum length that you make your dust barriers? What I mean by that is, your entries are 10 feet wide, and I believe if I remember right, in your single track entries you had only one dust barrier to cover the full width of the. entry in your double track entries, I believe you had two-I would like to know, have you any maximum length you make these barriers? MR. CHAS. LEGER, ROYAL FUEL CO., UTAH: It is stated that they shouldn't be over 8 feet long to obtain sensitiveness. If they make them over 8 feet they are not as sensitive as they should be. They should be made short for two reasons in order to keep the sagging out and to make them as sensitive as possible. MR. DAN HARRINGTON, U. S. BUREAU OF MINES: I didn't come here to enter into any extended discussion on rock dusting or to discuss in particular the situation at Dawson. At the February meeting at Denver, we made a complete study of this matter. Since that time a report was completed and reported to the Phelps-Dodge Corporation and Mr. Moorhead probably has a copy of it, which can give you more complete information as to what we found. We found that with the adobe dusting that they have done, they had six miles of entry pretty thoroughly dusted and of all the samples we took, at least 95 percent of them showed that not only the floor but the ribs and roof were in such a condition that an explosion could not originate in any part of this entry. In other words, this entry as it was dusted was absolutely protected from ignition and propagation. The adobe they used was of material that was non-combustible. In most instances there was not more than 3 per cent of moisture in it.

Jan 1, 1924

D. HARRINGTON: Owing to lack of funds, the United States Bureau of Mines have made no experiments in the Bruceton mines in the use of mudite. MR. McAULIFFE: I doubt that mudite cam be delivered at fifty cents a ton and that a mile of heading can be treated with mudite for ten dollars. You could not dig a ton of sand out of a sand hank for that money. L. C. CLARE: The tram road leading to Wattis mine crosses a shale bed and it is easy to screen the shale through a %-inch sieve and load it into a mine car. W. J. REID: A slow trip passing through a mudited entry will dislodge practically no dust, a rapid trip will make air disturbance enough to coat the cars with fine dust. MR. PRYDE: We have used mudite on stoppings around a fire in Reliance and for two months thought they were getting good results, but the fire was found to be drawing air and to be spreading. This mudite was smeared over the stoppings with a trowel. After this apparently failed we used dry adobe.

Jan 1, 1925

The morning session opened at 9:00 a.m. and was presided over by Harold Levent., Manager Coal Activities, Cameron Engineers, Denver, Colorado. The first speaker was Dr. Joseph J. Yancik, Assistant Director-Mining, Bureau of Mines, U.S. Department of the Interior, Washington. D.C. Subject-"Coal Mining R&D Programs of the Bureau of Mines." (See index for printed text of Dr. Yancik's paper.) Joseph J. Yancik is Assistant Director - Mining for the Bureau of Mines, U.S. Department of the Interior, Washington, D.C. He is responsible for the Bureau's research programs in mining. Principal programs are the coal and metal mining health and safety research, mining extraction and excavation, tunnelling, explosives, mined land reclamation, mine fires and mine waste disposal. He administers these programs through four research centers and through outside contracts and grants.

Jan 1, 1974

Mr. Pickett's remarks were primarily concerned with the legislative aspects of the coal industry. Mr. Pickett stated that as a result of the 1952 election, only two senators and eleven representatives are now in the legislature who have ever served under a republican administration. He said there are 425 legislative issues now on the floor of Congress concerning the coal industry, but the coal industry has difficulty in legislation, because, although there are 31 coal states, only 11 states produce more than 5,000,000 tons per year, and 11 states produce between 500,000 and 5,000,000 tons of coal a year. In these states there are 44 senators and 195 representatives, less than a majority in either house, if all could be counted on to support the coal industry. An important committee to the coal industry is tile House Ways and Means Committee, composed of 25 members, 15 Republicans and 10 Democrats. Even with the support of the senators and representatives from these 22 states, legislative action is difficult.

Jan 1, 1954

By I. M. Charles

Mr. Chairman and Gentlemen: At the request of our Secretary, Mr. Shubart, I am pleased to present the following brief discussion of the Alamo Washery. In order to insure an excellent and uniform preparation of nut coal, the Alamo Coal Company erected last year a modern washery at a cost of about $50,000, in which, since the completion last December, all of the nut coal shipped from the Alamo Mine, has been washed. In part of the workings of the Alamo Mine, the coal is overlaid by a lenticular strata of slate, which invariably falls when the coal is shot down and breaks for the most part into fragments of such size as pass through three-inch round perforations, and are retained on plates having one and a fourth inch round holes with the nut coal. This "draw slate" comprises the principal impurity in the Alamo coal, and to remove it, some bone and a few small fragments of sandstone from the roof and floor, the washery was designed and erected. The few impurities contained in the lamp are readily re-

Jan 1, 1926

President Robert Wilson opened the meeting at 9:00 a.m. He introduced William A. Bear, General Manager Bear Coal Company, Inc., Somerset, Colorado, who presided over the session. George Nugent, Peter Kiewit Sons' Company, Sheridan, Wyoming, presented a most interesting film "Montana Mine Reclamation." His biography follows: George Nugent first entered the coal business in 1943 when he developed Peter Kiewit Sons' Co.'s first coal mine-Big Horn Coal Company at Sheridan, Wyoming. Since that time he managed an expansion program for P.K.S. in mining that resulted in the development of two other producing mines - Rosebud Coal Sales Company at Hanna, Wyoming and Decker Coal Company at Decker, Montana, in which Pacific Power and Light is a partner. Applications are now pending for a third mine. Black Butte, a joint venture of P.K.S. and Rocky Mountain Energy Company, near Point of Rocks, Wyoming. Nugent is a Past President of the Wyoming Chapter, Association of General Con- tractors, Wyoming Mining Association and Rocky Mountain Coal Mining Institute. He was President of Big Horn Coal Company and Rosebud Coal Sales Company as well as Manager of the Mining Division of Peter Kiewit Sons' Co. and Decker Coal Company when he retired Jan. 1, 1975.

Jan 1, 1976

Salt Lake City will hold the Winter Meeting the last week in February or the first week in March. An unusually good program, both technical and social, is being arranged.

Jan 1, 1928

A great many questions were asked Mr. Bright, and Mr. Bright's opinion was given on a number of subjects. He spoke at length on spring suspension of locomotives, bringing out the necessity for better spring suspension due to heavier weights and higher speeds now developed. The subject of dynamic braking was brought up, and the opinion of the engineers present was that dynamic braking was not a desirable feature except where heavy, long, adverse grade is encountered. Mr. Goddard and Mr. Bright had a spirited discussion regarding ball bearings, bringing out the opinion of the meeting that ball bearings in motors are preferable to sleeve bearings, and the few failures so far encountered are due to improper application or insufficient size of bearing. Mr. Shubart brought up the question of locomotive speed, mentioning some high speed work on main haulage, also an interesting experiment in a large Eastern mine where very slow speed, 3 1/2 miles per hour, gathering locomotives were substituted for the high speed gathering locomotives with an increase in cars gathered and a material decrease in derailment and accident. Mr. Bright mentioned the improvement in gathering reels, and Mr. Shubart mentioned the safety in the use of the concentric cable in direct current, using the outer wire as the ground wire, so that in case of accident to the cable, the ground wire acted as a protector to the live wire, materially decreasing the danger of sparking. Mr. H. I. Smith of the Bureau of Mines brought up the question of explosion proof construction, and Mr.. Bright and. Mr. Shubart explained the construction adopted by two of the larger manufacturers. Experiment has shown that the force of explosion in motors due to gas does not exceed 150 pounds per square inch. All forms of screen or baffles have proven an actual source of danger, due to the collection of dust, usually soaked in oil, forming an active means of propagating flame, together with the fact that all these appendages are frequently left off when the motors are repaired. Modern construction eliminates all openings, screens, devices for stopping or extinguishing flame. The motor is made entirely enclosed, practically air tight, all joints are ground and all openings necessary for access and attention are closed by bolted plates. The case is made stout enough to withstand any interior explosions, and ample ribbing is provided for heat dissipation. Mr. Bright was asked regarding the use of contactor control. He replied that his company is now recommending contactor controls for series and parallel starting on all locomotives of 13 tons and over, and particularly on the tandem units that are now becoming popular in coal mining work. The question of dynamic braking and reversing was brought up and Mr. Bright explained that this made a very complicated contactor installation but they had

Jan 1, 1922

By F. M. Van Tuyl

The oil industry had its inception in the United States in 1859 when the first oil well was drilled by Col. Drake at Titusville, Pennsylvania. From, a production of 2000 barrels for that year there was a slow but steady increase, with some fluctuations, up to 1901 for which year the output was approximately 69,389,194 barrels. Since that time the production has increased with leaps and bounds due to the rapid rise of the automotive industry, the widening use of oil as a fuel under boilers and the development of the. Diesel engine. The production for 1921 is estimated to have been 469,639,000 barrels. During the same year more than 125 millions of barrels were imported from Mexico. The oil industry, including the production, transportation, refining and distribution of petroleum and its products, is now the third largest in the country. Present Condition of the Industry During and immediately after the war the demand for petroleum exceeded the domestic production plus the imports from Mexico with the result that our storage oil was heavily drawn upon. Prices for crude exceeded all previous levels in the history of the industry. Pennsylvania crude sold for $6.10 per barrel and Mid-Continent crude for $3.50. Such prices stimulated wildcatting greatly with the result that several important new oil pools were discovered. Then as production increased the depression came which caused a large falling off in consumption. Pennsylvania crude fell to $2.25 per barrel and Mid-Continent to $1.00. Large oil companies such as the Standard, Sinclair and Empire took advantage of the situation, erected additional storage tanks and bought up millions of barrels to hold until better prices returned. Prices have already improved owing to a better market, but the domestic production coupled with the Mexican importations is still in excess of the demand with the result that the surplus is being stored. At the close of the year 1921, the U. S. Geological Survey estimates that there were 183,890,000 barrels of crude in storage in this country, the largest stocks in the history of the industry, yet an amount sufficient to supply the country for only 119 days at the present rate of consumption. Price reductions are again anticipated in some quarters but in view of the probable falling off in the Mexican output in the near, future due to the rapid rate of exhaustion of several of the most important pools and in view of the expected increase in consumption of gasoline and kerosene during the spring and summer months it is more likely that the present price level will be maintained. Present Sources of Domestic Supply Seven major oil fields are recognized by the U. S. Geological Survey in the United States. These are the Appalachian, Lima-Indiana, Illinois, Mid-Continent, Gulf Coast, Rocky Mountain and California. Two of these, Mid-Continent and California, supply about seventy-five per cent of the present total domestic output

Jan 1, 1922

Chairman: Mr. R. C. Heers, Project Manager, Kaiser Company, Inc. CHAIRMAN HEERS: Fellows, I can't say it gives me a lot of pleasure to call this meeting together because I would rather somebody else had the job. I haven't anything to say this morning and I think the sooner we get started with the fellows that have something to say, the better pleased everybody will be. The first speaker this morning is Mr. John Griffen of the McNally Pittsburgh Company. He has a talk on coal preparation and I am pleased to present Mr. Griffen.

Jan 1, 1947