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FOREIGN WAR RELIEF COMMITTEE Chairman, MRS. JESSE SCOBEY The task of the committee since Oct. 17, 1918, has been to stimulate and foster interest in the work of the Dispensary in France, to aid and further the work, and to that end has centered on the inauguration of an "Engineers' " day, once a week, at the headquarters of the American Fund for French Wounded, where members of the Auxiliary might join in sewing for this "Dispensary of the New York Section of the Woman's Auxiliary to the A. I. M. E.," recently established at Briey, France. Letters and pledge forms asking for workers were sent to all members of the Auxiliary in New York City and vicinity, and a most gratifying response has assured the success of the undertaking. The meetings in December, pending the completion of better working facilities at Fund headquarters, were held at the home of Miss Madeline P. Stone, to whom the committee extends its grateful thanks for her hospitality large, well-equipped room at Fund headquarters has now been assigned to the committee for Tuesday of each week, from 10 a. m. to 5 p. m., with Mrs. Percy E. Barbour of the committee as director of work room. All members of the Auxiliary and others whose interests are with the mining profession will be welcome on "Engineers'" day-Tuesdays-at 73 Park Ave.

Jan 2, 1919

By Valentin R. Garfias, C. O. Isakson

The production of oil in Mexico during 1929 was approximately 45,000,000 bbl., or 5,000,000 bbl. less than in 1928. The production of the fields near Tampico showed a decline of over 10,000,000 bbl. for both the light and heavy crudes, which was partly offset by an increase of over 5,000,000 bbl. in the production of the fields in the Isthmus of Tehuantepec. During 1929 the retrenchment policy followed by practically all the companies was continued and no material improvement should be expected until the unsatisfactory conditions that brought about this situation are remedied. A new administration has just assumed control in Mexico; it should remain in power for 6 years, and the progress of the oil industry during that time will depend primarily on the policy pursued by the new government with respect to oil development. Development During 1929, there were drilled 214 wells as compared with 371 in 1928 and 583 in 1927. The percentage of producers in 1929 was 47.2 as against 34 per cent. in 1928. The new wells did not show water as quickly as in 1928, particularly in the Cacalilao field, where the greatest number of producers was brought in, their average initial daily production being 380 bbl. The flush daily production per well in the Southern fields was 1730 bbl., while the wells in the Isthmus of Tehuantepec came in with an average of 770 bbl. Development is summarized in Table 1. In the Southern fields 63 wells were drilled in 1929, of which 23 were producers, the best being drilled in Paso Real. This development tends to show that the southern extension of Dos Bocas-Alamo fault from Alamo to San Isidro terminates at San Isidro. The two wildcat wells completed in 1929, one in Magiscatzin and the other in Xicotencatl, were failures, and at the end of the year there were eight wildcat wells drilling and material was being hauled for two more.

Jan 1, 1930

US 4,152,143-Continuous precipitation of cement copper from an aqueous ore leach solution mixed with pieces of iron as the precipitant Copper depositing on the pieces of iron is loosened and removed therefrom by means of constant but regulated oscillating movement of the pieces of iron in a horizontal elongated chamber, and the loosened copper is separated and collected from the mixture E Kausel and R Nissen, assigned to Klockner-Humboldt-Deutz A G May 1, 1979 8 pp (75-100) Filed 1-12-78 (868,981) (Drawings below) [ ] US 4,156,711-Removal of metal impurities from an acidic zinc or cadmium solution prior to electrolysis. Impurities such as manganese, cobalt, nickel, and thallium are selectively precipitated by contacting the solution with persulfuric acid or an ammonium or alkali metal salt thereof while maintaining a pH value of from 1 5 to 4 5 This patent is a continuation-in-

Jan 1, 1980

By J. N. Butler, R. J. Morris

A series of organic collectors has been developed which successfully float synthetic secondary uranium minerals, such as autunite, carnotite, and torbernite. Recoveries up to 97 pct have been obtained. With cleaning of rougher concentrates, ratios of concentration as high as 15:1 are possible on head assays of 0.10 to 0.50 pct U 3 O 8. Additions of certain base metal salts aid in recovery and materially increase the rate of flotation and selectivity of the collectors for the synthetic minerals. Flotation tests on natural uranium minerals have not yet equaled results obtained on the synthetics, although these collectors do give better results than conventional collectors for nonsulfide minerals. RAPID increase in mining and milling uranium ores during the past seven years and the discovery of large tonnages of uranium-bearing material too low in grade to stand the cost of leaching have developed considerable interest in possible methods for beneficiating these marginal ores. Such ores are generally classed as those containing less than 0.10 pct U3O8. Development of a beneficiation method that would give both high recovery and high ratio of concentration would also make possible the beneficiation of higher grade ores and would provide higher grades of feed to existing leaching plants. Although considerable research and testing on physical or physico-chemical beneficiation of domestic uranium ores has been done in the past, to the best knowledge of the authors only a single application of physical beneficiation is now in operation on a commercial scale. Flotation has been attempted on the basis of mineral association rather than by direct concentration of the contained uranium minerals. Flotation studies conducted on this project on certain ores gave recoveries of 60 to 70 pct of the uranium by the use of conventional flotation agents such as oleic acid, but ratios of concentration were in the order of 1.5:1 to 2.5:1. Subsequent cleaning to upgrade the concentrates rapidly increased losses in the cleaner tailings, which were not later refloated in the rougher flotation. Selection of Collector: In selecting desirable organic collectors for these oxide systems, a thorough study was made of the relationship between structural characteristics and collector activity by an examination of the behavior of a number of different functional arrangements present in a variety of organic molecules, (see Fig. 1). It is generally accepted that a collector must have a relatively long-chain hydrocarbon radical and a chemically reactive elec-trophilic center. Such a requirement could be met by a large number of compounds, but steric effects at the uranium mineral surface, solubility, compat-ability with aqueous systems, air avidity, bond strength at the mineral surface, interfacial concentration of the collector, and diffusion rate of the formed complex from the air-water interface eliminated many as unsuitable for this purpose. Preliminary investigations were completed of possible collector designs consisting of aliphatic and aromatic hydrocarbon radicals attached to stable combinations of nitrogen, oxygen, sulfur, and halogen electrophilic centers, Fig. 1.Tests were made to determine melting point spans, solubility of mineral-collector combinations in various solvents, reactions with soluble uranium salts, contact angles, and floatability by semi-quantitative beaker methods.' Contact angle determinations were not too useful because of the fine particle sizes of available mineral samples. From the foregoing study it appeared that nitrogen-sulfur electrophilic centers coupled with straight-chain saturated alkyl hydrocarbon radicals would hold the most promise for floating secondary uranium minerals. As the dithiocarbamate compounds can be made to combine these attributes they were selected for further study. The dithiocarbamates form a parallel structure to the xanthates, with the fortuitous exchange of

Jan 1, 1957

The nickel suppliers are hard at work across the entire spectrum of the industry-from exploration and mining on the one hand to the development of new applications of this unique metal on the other. The reason-a surging demand for nickel by the free world. Evidence of interest and activity in nickel abounds. Companies such as Anaconda, American Metal Climax, Kaiser Aluminum & Chemical, Patino, Newmont-firms that have not been in the nickel industry before-are now involved in various exploration and development ventures around the world. International Nickel, Falconbridge, Le Nickel and Sherritt Gordon-the big names in the industry -have committed vast sums of money and talent in a variety of new developments designed to ensure their status as leading producers of this commodity. As a result, the world is now seeing a rapid build- up in nickel capacity, and in this issue of [ ], the editors have prepared a summary of these fast- moving major developments.

Jan 10, 1968

By Bunting S. Crocker

In the summer of 1961, the Anaconda Research staff and Kilborn Engineering Ltd. began a study to investigate the possibilities of using some form of autogenous grinding in the new concentrator which Anaconda was planning to erect at Butte, adjacent to their Berkeley pit. The following criteria applied to the project: 1) The Butte mill was to be able to handle 36,000 to 42,000 tpd of copper ore, taken from the Berkeley pit and adjacent underground mines. 2) The plant was to be built in six units. 3) It would be started up two units at a time. 4) Equipment from the Anaconda mill was available for use in the new location. 5) Tonnage would be maintained at Butte and Anaconda, with equipment being moved down as required. 6) The ore from the Berkeley pit was known to vary widely from place to place in the pit and to be generally soft and friable.

Jan 5, 1964

A novel method of reconditioning vertical rock openings which are on the verge of collapse has been developed, ant1 a world patent applied for, by LKAB, the Swedish iron ore mining company. Without anyone descending into the dangerous opening, workers can place concrete reinforcement in the unstable section using sand-filled canvas tubes which LKAR development engineers are calling "stockings." First application of the new technique was in several inclined ore pockets which form part of the underground crushing and loading station at LKAB's Kiirunavaara mine in Swedish Lapland. LKAB experience demonstrated that with other methods it took about three months to repair a pocket, and neighboring pockets had to be closed while repairs were underway. With the new stocking method, the work was completed in three weeks with no disruption of nearby activities. Production losses amounted to 10% over the three-week period, as opposed to 30% with other methods. The simplified technique could save millions of dollars in underground maintenance, according to LKAB.

Jan 11, 1978

By W. J. Travers

SEVERAL new procedures for completing oil wells have been developed in recent years. Each method when used where properly applicable promises to be a definite aid to operators in lowering development or operating costs, or in developing the full potentialities of the oil well. Multiple-zone completions are now frequently used, in contrast to the older practice of setting a solid water string over each zone to be produced. Gravel packing in unconsolidated formations often prevents sand troubles formerly experienced where a conventional perforated liner was used. Light-weight bentonitic clay muds and oil-base drilling fluids are definite steps toward eliminating mudding damage, which occurs when heavy rotary mud is used. Since in each case the new procedure developed is an alternate of older conventional methods, a problem of selection is presented. The purpose of this paper is to suggest methods of arriving at these choices and to present practical observations that may be of aid in their application.

Jan 1, 1942

By Maurice Rey, H. Brevers

THROUGH circumstances connected with the war, the senior author lost his records therefore it has been impossible to include numerical data in this paper. The arsenical quicksilver ore investigated had been roasted, with poor metallurgical results. The vapor-tension temperature curves of mercury and arsenious trioxide are similar, and the arsenical compound hampers the coalescence of mercury drops in the condenser and is the cause of large stack losses. The ore was a gray limestone carrying small amounts of carbon and mineralized with cinnabar and two arsenic minerals, realgar (As2S2) and arsenopyrite (FeAsS). The proportion of realgar often exceeded that of cinnabar; the proportion of arsenopyrite was smaller. The grade of the ore varied between 0.8 and 4 per cent Hg. The problem was to make a high-grade mercury concentrate, as free from arsenic as possible. The water used throughout the testing was hard, having a pH- of about 8. FLOTATION OF REALGAR Realgar showed a very strong tendency to float. It formed a film at the surface of the pulp and floated in abundance with only pine oil. Therefore an attempt was made to float the realgar before the cinnabar, but this was not very successful; the percentage of mercury in the realgar concentrate could never be brought below 2 or 3 per cent. Cinnabar slimed easily and floated with pine oil, so that some of it always accompanied the realgar. There was also the question of the cinnabar-arsenopyrite separation. On further investigation it was found that realgar can be floated not only with pine oil but even better with a combination of hydrocarbons and pine oil. Washing the ore with ether revealed that it contained hydrocarbons, which helped to float the realgar. In this connection it belongs to the same class as carbon, sulphur and talc. It can be floated also with a xanthate, when activated by a heavy-metal salt. The conditions favoring the two types of flotation are opposed, as activation by a copper salt facilitates xanthate flotation (in fact, is even necessary to it), whereas it hinders pine oil and petroleum flotation. One type of flotation can be termed nonpolar and the other polar, a distinction that has been stressed in a previous paper. DEPRESSION OF REALGAR AND FLOTATION OF CINNABAR Many chemicals were tested in an attempt to float the cinnabar and depress the realgar. Finally starch rendered soluble with caustic soda was tried, also several grades of commercial soluble starch, and dextrin was found to be the best and the most convenient reagent. Several of these starch preparations have a strong flocculating effect on the pulp, which is a distinct disadvantage. Dextrin, with its low flocculating power, is excellent. It is noteworthy that starch preparations are also depressants for carbon and talc, so that the fact apparently has a general

Jan 1, 1941

By Boris J. Kochanowsky

In a mobile crushing unit system trucks are replaced by a conveyor, which results in a continuous, almost fully automated operation with all its attendant advantages. Because of new designs for large mobile crushing units that have been placed on the market, the use of these plants has increased significantly during the last three years. Gains in productivity and reductions in costs are vital to every mine operator, and the shovel-crusher-conveyor system is a powerful tool with which to achieve this goal. New Designs Increase Throughput While Reducing Size The basic concept of the shovel-crusher-conveyor scheme of operations is simple and sound, with the result that domestic operators are showing a growing interest in its application. A number of operators have been using small mobile crushing plants for several years, but large operators, in spite of considerable interest, have not been able to use this system because no mobile crusher capable of crushing 1000-2000 tph of rock loaded by a large shovel (6-12 cu yd) has been available. A suitable crusher must accept rock of the size handled by these large shovels, be simple in design, easily maneuverable, remotely controllable, and have price and maintenance costs not much higher than those for stationary crusher installations.

Jan 9, 1968

By Philip McKenna

WHEN a new material becomes available to industry, it is useful to describe its properties as a guide to its most effective application; and when the new material may be produced in compositions having a series of graded properties, tests to select the combination of properties best adapted for various uses are helpful. The class of materials to be con-sidered in this paper are hard tool materials produced by processes of powder metallurgy from hard carbide constituents and various matrices of iron, nickel or cobalt, or alloys of them with tungsten, or tungsten and carbon. The customary use of carbide hard alloys is for metal-cutting tools; although wire-drawing dies, lathe centers, follow rests, grinding rests, burnishers, rolls, extrusion dies, measuring gauges and micrometers, and a number of other tools are also made with these hard alloys as the essen-tial wear-resisting parts. The properties and tests to be considered are those affecting these uses. In the development of tool, materials since the industrial revolution we have had carbon tool steels, Mushet steel, high-speed steels, stellites, and now cemented carbide compositions. For an understanding of the latter category of materials their properties and uses relative to the older and more familiar tool materials will be considered.

Jan 1, 1938

By T. L. Joseph

IN connection with its investigations of the blast'-furnace process, the Bureau of Mines, in coöperation with the Minnesota School of Mines Experiment Station, developed a 6-ton experimental furnace. Such a furnace was needed to determine the feasibility of producing ferromanganese from Minnesota manganiferous iron ores, a problem of national importance because of the present need for manganese in the steel industry and our small reserves of ferro-grade ores. Furnace operators are reluctant to use new or untried raw materials or to make decided innovations in practice on account of the financial hazard of experimenting with full-scale equipment. A small furnace which can be operated at a relatively low cost is particularly adapted for testing new, raw materials and for determining the feasibility of decided innovations in practice. Laboratory experiments, plus whatever information may be available, are valuable but often do not indicate the net result of changes in an operation involving a large number of interrelated variables. From time to time the coöperation of the Bureau of Mines is solicited in connection with problems involving departures from normal procedure. Under these circumstances some sort of a practical demonstration is a desirable forerunner to full-scale operations which appear feasible after small-scale tests.

Jan 1, 1928

By T. A. Read, S. W. Kitchen, H. I. Fusfeld

At the present time most artillery cartridge cases are used only a single time. Since the process of reshaping a fired cartridge case so that it may be used again is much simpler and cheaper than the original manufacture of the case, it is clear that important savings could be effected if such re-formed cases were used in place of new cases. Extensive use of reconditioned cases has been hindered in the past, however, by the deterioration of the brass which may occur in the period of time between the first firing and the reconditioning of the cartridge cases. This deterioration sometimes results in a dangerously high incidence of firing splits in groups of reconditioned cartridge cases. It appears that the mechanism of the deterioration is the season cracking of the brass, for season cracks, of varying degrees of severity, may frequently be found in the cartridge cases after their return from the field. There are, of course, severe practical limitations to the extent to which fired cartridge cases can be protected from corrosion under battle conditions, particularly since the powder residue in the case is itself corrosive. The present paper describes a rapid method of testing the sidewalls of artillery cartridge cases for the presence of season cracks. This method has been developed specifically for use in connection with the reconditioning of fired cases, and makes it possible to carry out 100 per cent inspection. This new method of inspecting cartridge

Jan 1, 1945

By K. J. Brondyke, P. D. Hess

Two processes have been developed for improving the quality of molten-aluminum alloys before casting. The Filtration Process. which involves passing molten metal through a packed bed of granular filter material, is a rapid means of removing finely divided particles. It has the most potential in those instances where removal of inclusions is of primary importance. The Combination Fillration-Inert Gas Fluxing Process inuolzles introduction of an inert gas so that it will diffuse countercurrent to metal flow through the filter bed of granular material. Dissolved hydrogen is removed from the metal in addition to removal of finely divided particles. The Combination Process is most useful where both inclusion removal and attainment of conistently low-hydrogen-content metal are important. Metal treated by the Combination Process is of higher and more uniform quality than heretofore attainable with prolonged chlorine fluxing. Costs of the Combination Process can, for the most part, be offset by savings derived from high recoveries and increased production of superior-quality products. IMPROVEMENT in the quality of molten-aluminum alloys is secured generally through the use of some fluxing practice in a crucible, holding furnace, or ladle involving either gaseous or solid fluxing media. Typical fluxing agents may include the gases nitrogen, argon, or chlorine used either singly or as mixtures and the solids aluminum chloride or hexachloroethane. Regardless of the fluxing means used, the primary objectives are the adequate removal of both metallic and nonmetallic inclusions and reduction of hydrogen content to an acceptably low level. The ultimate goal is to produce ingots and cast products of high quality free from inclusions and porosity. The development of ultrasonics for measurement of internal quality, tightening of quality controls, and the application of the aluminum alloys to new or different commercial fields have been responsible for an ever increasing demand for improvement of quality of both cast and fabricated products. This demand for high quality has not been restricted to any single type of product. On the contrary, the demand encompasses about the entire variety of products including those for fabrication, those to be machined, buffed, or finished for decorative purposes, and those for critical applications where both surface and internal quality is of utmost importance. In many instances products acceptable in the 40's would now be scrapped as unacceptable by these higher present-day standards. With this ever increasing demand for higher quality, it became apparent at Alcoa that conventional means of melt treatment were inadequate in many instances and new approaches were necessary. Consequently the research program was intensified with attention focused on metal treatment during transfer in order to reduce the furnace processing time to a minimum in an effort to attain the desired results at a minimum of additional expense. As a result of this intensive research program which covered numerous variations and adaptations of conventional methods in addition to new methods of melt treatment, several new processes were developed, two of which will be described here. The first of these, a method of melt filtration, was patented in February, 1959.l The second process involving combination filtration—inert gas fluxing was patented in June, 1962. 2 Other melt-treatment processes developed during this period of investigation were patented as listed.3 FILTRATION PROCESS General Description. The Filtration Process, which involves passing molten metal through a packed bed of granular filter material, is a rapid method of effectively removing finely divided particles. It is an impingement-type filter; hence the size of the particles removed from the metal are considerably smaller than the interstices of the

Jan 1, 1964

By Rossiter W. Raymond

The term " pipe-vein " has recently been applied in this country to certain deposits of lead ore in magnesian limestone. The use of the term has been twofold. It has been revived as a term found in textbooks on mineral veins, with the implied or declared assertion that the ore-deposits thus named in this country are similar to those which have borne the title abroad. It has also been advanced as an appropriate name for a new class of deposits, even if such a class had not previously been recognized. In either case, the assumption is that pipe-veins form a group or class by themselves, and are not merely interior and subordinate features in larger deposits. The peculiar mining law of the United States, which regards " the vein," whatever that may be, as the basis of title, lends a special interest to these claims. But the object of this paper is rather to discuss the subject from the standpoint of geology and technical literature. I shall briefly answer two questions: (1) What are pipe-veins as described in technical literature? and (2) Is the name appropriate or necessary for a new class of deposits ? The term " pipe-ore," as applied, for instance, to irregular, cylin-

Jan 1, 1879

By Georges Fleming

The new burden preparation plant of ARBED Luxembourg, Belval- Works, which comprises 2 large sinter strands, is equipped with a process computer connected to a comprehensive process control system. The main jobs done by the computer are the control of the raw mix composition, and thus the monitoring of the stacking of the piles at the bed-blending plant, and the optimization of the sintering process. Among the optimization criteria, quality is considered as the most important. The sinter quality, characterized by the mechanical strength and the state of oxidation, is controlled automatically. The control system which we have dev loped is highly reliable; as a result, the standard deviation of Fe++, for the control of bivalent iron, has been narrowed to 0,5 % and the standard deviation of the IS0 + 6, 3 mm index, for the control of the mechanical strength, has been kept within 1 %. Thanks to these results, the combined savings in fuel consumption at the sinter plant and at the blast furnaces have covered the total costs of the optimization project in 2 years. By applying automatic control, the optimum driving range of the sinter plant has been defined and these new guidelines are used for monitoring the sinter production.

Jan 1, 1977

By W. A. Ver Wiebe

The year 1939 in Kansas, with a production of 57,944,300 bbl. from 19,669 wells, shows a slight recession from the peak of oil production reached the previous year, when slightly over 59,000,000 bbl. of oil was marketed. The previous peak had been reached in 1917 with 45,451,000 bbl. marketed. Another still earlier peak had been reached in 1904, when slightly less than 5,000,000 bbl. was produced and sold. The production of gas probably reached a new peak during 1939 with a total of over 69 billion cubic feet. Between the peak of the year 1908, when over 80 billion cu. ft. was produced, and that of 1939 the production dropped to 16 billion cu. ft., in the year 1921. During the year 1458 wells were drilled. This figure is somewhat lower than that given in several trade journals, because it does not include wells that were deepened or recompleted in a different geological horizon. Nearly 75 per cent (1029) of the total number of wells were completed as commercial oil wells (824 in western and 205 in eastern Kansas). The commercial gas wells completed number 71, of which 24 are in eastern Kansas and 47 in western Kansas. The remaining completions include 154 dry holes in eastern and 204 dry holes in western Kansas. Based on daily potential capacity the new discoveries of the year accounted for a cumulative initial production of 264,000 bbl. in eastern and 1,158,827 bbl. in western Kansas. It is interesting in this connection to note that the number of wells completed in the state rose gradually to a first peak in 1904, when 2782 were drilled. The number dropped off rapidly to 368 three years later, but rose to the second and highest peak in 1918, when 4671 wells were completed. In the period between 1904 and 1912 more gas wells than oil wells were completed. Between the high peak of 1918 and the somewhat lower peak of 1937, the low point was reached during 1931 with the completion of only 470 wells. In the matter of new pools discovered, Kansas again ranks high. The exact number depends somewhat upon the interpretation of a "new" area—whether it should be called a new pool or a long extension of an older pool. In some places this determination cannot be made until more wells are drilled within the area. Therefore, the figures given

Jan 1, 1940

By W. A. Ver Wiebe

The year 1939 in Kansas, with a production of 57,944,300 bbl. from 19,669 wells, shows a slight recession from the peak of oil production reached the previous year, when slightly over 59,000,000 bbl. of oil was marketed. The previous peak had been reached in 1917 with 45,451,000 bbl. marketed. Another still earlier peak had been reached in 1904, when slightly less than 5,000,000 bbl. was produced and sold. The production of gas probably reached a new peak during 1939 with a total of over 69 billion cubic feet. Between the peak of the year 1908, when over 80 billion cu. ft. was produced, and that of 1939 the production dropped to 16 billion cu. ft., in the year 1921. During the year 1458 wells were drilled. This figure is somewhat lower than that given in several trade journals, because it does not include wells that were deepened or recompleted in a different geological horizon. Nearly 75 per cent (1029) of the total number of wells were completed as commercial oil wells (824 in western and 205 in eastern Kansas). The commercial gas wells completed number 71, of which 24 are in eastern Kansas and 47 in western Kansas. The remaining completions include 154 dry holes in eastern and 204 dry holes in western Kansas. Based on daily potential capacity the new discoveries of the year accounted for a cumulative initial production of 264,000 bbl. in eastern and 1,158,827 bbl. in western Kansas. It is interesting in this connection to note that the number of wells completed in the state rose gradually to a first peak in 1904, when 2782 were drilled. The number dropped off rapidly to 368 three years later, but rose to the second and highest peak in 1918, when 4671 wells were completed. In the period between 1904 and 1912 more gas wells than oil wells were completed. Between the high peak of 1918 and the somewhat lower peak of 1937, the low point was reached during 1931 with the completion of only 470 wells. In the matter of new pools discovered, Kansas again ranks high. The exact number depends somewhat upon the interpretation of a "new" area—whether it should be called a new pool or a long extension of an older pool. In some places this determination cannot be made until more wells are drilled within the area. Therefore, the figures given

Jan 1, 1940

By B. Bryan

The tank car price of gasoline today is controlled by oil in the ground, rather than by stocks of gasoline or methods of refining. Previous to the commercial cracking of fuel oil, there was a normal and continuous relation between gasoline stocks, consumption and prices. From the beginning of the new cracking era in 1923 to the summer of 1926 there was a changing relationship, growing toward a correlation between the potential gasoline in storage and the price of gasoline. Since the development of large reserves of shutin production in Wyoming, California, Seminole, West Texas and Venezuela, the relationship between stocks of gasoline and gasoline prices has disappeared. The extreme depression of the Group 3 price can only be accounted for by oil which is not being produced but which we fear may be produced at any time. In Fig. 1, the curve of gasoline stocks is simply stocks of finished gasoline. The curve of potential gasoline is made by taking 40 per cent. of all stocks except gasoline, kerosene and lubricants, adding to that stocks of finished gasoline and dividing the sum by total gasoline con-sumption to get the months' supply of gasoline at the current rate of consumption. The price curve is the lower figure given by the National Petroleum News for the first quoted date of each month, with the price scale reversed. Stocks of potential gasoline have decrrased from 17 months' supply at the peak of 1924 to a low of 7 months' supply during the past summer, yet the low immediately precedes the lowest price for gasoline since it was a waste product. The tendency of the price curve to parallel the curve of potential supply is quite pronounced until the summer of 1926, since which time they have abruptly separated. The curve of gasolinct stocks is equally remarkable in relation to price when it is considered that total consumption for the year 1927 is almost exactly twice that of 1924. Clearly a new factor has been introduced. There is no possible factor to account for this distortion except known reserves of oil in ground storage, and therefore, until such time as the Bureau of Mines or the

Jan 1, 1928

By AIME AIME

COUNCIL. PRESIDENT OF THE COUNCIL. CHARLES KIRCHHOFF NEW YORK, N. Y. (Term expires February, 1912.) VICE-PRESIDENTS OF THE COUNCIL. BENJAMIN B. LAWRENCE NEW YORK, N. Y. JOSEPH W. RICHARDS SOUTH BETHLEHEM, PA. ALBERT SAUVEUR CAMBRIDGE, MASS. (Term expires February, 1912.) B. CHRISTY BERKELEY, CAL. W. A. LATHROP PHILADELPHIA, PA. GARDNER F. WILLIAMS WASHINGTON, D. C. (Term expires February, 1913.)

Sep 1, 1911