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By R. V. Higgins

A computer program is presented to calculate the shape factors and volumes of cells from a potentiometric model, using coordinates of the inter-sections of the stream lines and equal potentials and a few additional coordinates. Shape factors are used in flow computations when the geometry is complicated. The program also includes computer instructions to divide the channels into cells of equal volume and to obtain the shape factor for each of these equal volume cells. An illustrated example using the potentiometric model for the waterflood of a seven-spot well-spacing pattern is presented. The information contained in the report is of value not only to those allied to the subject but also to others, because many of the techniques can be conveniently used in formulating other computer programs.

Jan 1, 1966

By Robert A. Bosschart, Harold O. Seigel

"Most electromagnetic methods presently used in mining exploration are of the moving source type; i.e., the primary field source is moved simultaneously and in a fixed configuration with the receiver. Of the fixed-source methods, which employ a stationary primary field and a moving receiver, the Turam method is the most effective and has marked advantages over alternative electromagnetic methods. The results are little affected by topographic relief, and a high degree of resolution can be obtained because of the constant relation between source field and investigation area. Another inherent advantage of the Turam configuration is that it provides more favourable dimensional relations. Thus, the primary field attenuates at a much lower rate than in moving-source configurations and, secondly, the method is size sensitive; i.e., conductor size affects the strength of the response, which is not the case with moving-source methods. These factors result in a considerably better potential depth penetration."

Jan 1, 1966

By N. E. Hanna

Experience with the current version of gallery test 4, in use since 1913 to evaluate the incendivity of permissible explosives in the presence of coal dust, has shown the procedure to have inadequate discrimination. Consequently the Bureau of Mines used the up-and-down method of statistical design to investigate the incendivity of permissible explosives in the presence of coal dust and gas. A suitable device was developed to measure coal dust concentrations in the air-gas mixtures and to disperse the dust in the gallery atmosphere. A proposed testing method which uses suspended shots in a predispersed coal dust-gas-air mixture was evaluated. The new method can discriminate between different explosives with respect to their incendivity. Maximum ignitibility of the coal dust cloud by permissible explosives occurred in the vicinity of 0.3 oz/cu ft. About 10% sodium chloride in permissible explosive formulations had a very significant effect in reducing the probability of igniting coal dust. Bundled charges were more incendive than column charges.

Jan 1, 1966

By Henry C. Meeves

The nonpegmatitic sources of beryllium in Arizona, Colorado, New Mexico, Utah, and four adjacent states investigated by the Bureau of Mines are described. The investigations included 155 properties from which over 6,200 rock samples were collected; more than 5,500 samples were analyzed by the nuclear beryllium-detection technique. Twenty-four of the properties examined had rock containing more than 0.10 percent BeO. Many of the beryllium determinations were made in the field with portable detection instruments by direct scanning of outcrops and by testing samples of rock brought to the instrument. The large domestic resources of low-grade nonpegmatitic beryllium ore in Utah, which were discovered by private enterprise and which respond favorably to small-scale treatment processes, may come into commercial use and thus reduce the dependence of the United States on imported beryl.

Jan 1, 1966

By Paul Soros

Terminal facilities were recently completed at Conneaut, Ohio, on Lake Erie, for the Bessemer and Erie Railroad Co. (a wholly-owned subsidiary of U.S. Steel Corp.) which may become the blue- print for all future coal shipping terminals. Design and engineering of the new facility was by Soros Associates, New York, N. Y. Unlike terminals of conventional design, for example, those at Toledo and Newport News, which load coal directly from the railroad car to the vessel, the new installation passes the coal into temporary storage, loads the vessel from temporary storage and provides alternative reclaiming systems in case of major system failure.

Jan 1, 1966

By C. S. Simons, D. A. Dahlstrom

"Growing interest in the developing technique of improving the dewatering of filter cakes by the direct application of steam has been apparent during the past year. A number of applications to iron and base-metal concentrates are under study, and intensive work continues on applications to coal cleaning.This paper presents and discusses the data presently available. The effects of material characteristics and operating variables on final cake moisture are examined. Although it is not yet possible to answer all questions regarding the applicability of the technique to specific problems from general data correlations, it is found that the use of these in con-junction with empirical data derived from properly conducted laboratory tests does yield reliable conclusions.Emphasis is placed on the basic economics of the process, and on de-sign criteria for ""steam drying"" filter stations, as applied particularly to metallurgical concentrates. Examples of the use of laboratory tests to solve application problems are given."

Jan 1, 1966

The purpose of the 3DOPT Program is to determine, starting from drill hole data, the optimum economic mining limits for an open pit. The economic limits are defined as those which maximize total profit, i. e. total mineral value mined less the total mining and milling costs, subject to the restriction imposed by the pit slopes. To accomplish this, the program employs the following: (1) A three dimensional matrix of equal sized blocks in order to file the engineering data and the cost/value data required to develop the profit figure for each block of ore/waste. (2) A graph algorithm developed specifically for optimizing these profits.1

Jan 1, 1966

By A. M. Rowe, I. H. Silberberg

A computer program was written to predict the phase behavior generated by the enriched-gas-drive process. This program is based, in part, on a new concept of convergence pressme, which is then used to select vapor - liquid equilibrium ratios (K-factors) for performing a series of flash calculations. The results of these calculations are the equilibrium vapor and liquid phase compositions which define the phase envelopes. The program was used to predict phase envelopes for 11 different hydrocarbon systems on which published experimental data were available. The predicted and experimental results compare favorably. INTRODUCTION The reservoir engineer is frequently faced with the problem of predicting what will happen if gas is injected into a reservoir. One aspect of this, general problem is predicting the phase changes that will occur when a non-equilibrium gas displaces a reservoir fluid. In particular, a "dry" gas, upon displacing a volatile oil, will pick up intermediate components from the oil. On the other hand, a "wet" gas, containing a high concentration of intermediates, will lose some of these components to a relatively low-gravity, non-eouilibrium1- crude. It is this latter Drocess. occurring in the enriched-gas displacement, which is treated in this paper. In the past, these phase changes have been determined experimentally and the results incorporated into various modifications of the Buckley-Leverett analysis.112 Such experimental work is time consuming, and the results are sensitive to numerous experimental errors. With the wide availability of high-speed digital computing equipment and numerous correlations pertaining to the vapor-liquid equilibria of hydrocarbon systems, it is now practical to calculate such phase behavior. This paper describes a computer program for performing these calculations. THE ENRICHED GAS DISPLACEMENT PROCESS Experimental results have shown that oil recovery can be significantly increased by enriching the displacing gas with intermediate hydrocarbon c0m~onents.3 The essential features of the phase behavior generated by this enriched-gas-drive process are commonly illustrated with ternary diagrams such as Fig. 1.4 In this figure, Gas D, which contains a high concentration of intermediate hydrocarbons with respect to the undersaturated Crude A, is injected into the reservoir. When D contacts A, gas goes into solution until the oil becomes saturated (Point. B). Further contacting of Gas D and saturated Oil B results in a Mixture C which separates into Vapor Y(c) and Liquid X(c). Liquid X(c) is contacted by additional Gas O, resulting in Mixture E which separates into Vapor Y(e) and Liquid X(e). Repeated contacts of the liquid by the injected gas will eventually result in Liquid X(4 of maximum enrichment existing in equilibrium with Gas Y(d). The equilibrium tie-line X(4 Y(4, when extended, passes through the Point D representing the enriched injection gas. For systems of more than three components, the predicted equilibrium states are dependent upon not only reservoir temperature and pressure, but also the compositions of the crude oil and injected gas. If the gas is sufficiently enriched, a miscible displacement is generated. Line If is tangent to the phas,e envelope at the critical point (Point Z) and represents the limiting slope of the tie-lines as the critical state is approached. Point 1 therefore represents the minimum enrichment of injection gas required to generate a miscible displacement. Point G represents the minimum enrichment required for initial miscibility of the injection gas with Crude A. Accra has presented a method to be used for prediction of oil recovery by the enriched gas displacement process.l To develop the phase behavior data needed, he designed the experimental procedure described in the following quotation from his paper: The original liquid was contacted by a volume of displacing gas and allowed to come to equi-

Jan 1, 1966

By T. D. Mueller, H. Dykstra

This paper describes a method for obtaining compositions of gas and oil phases in equilibrium with each other at a given reservoir temperature and pressure as lean or enriched gas is injected into a reservoir oil not in equilibrium with the gas. The method is based on calculation of equilibrium constants, K, from the equation log Kp = A + B F, where p is pressure and F is component characterization factor. A and B are constants that vary with a composition parameter. The paper explains how A and B could be determined with a minimum amount of data. The method consists of calculating equilibrium constants as a function of liquid composition and using the K's to calculate changes in compositiort of injection gas as it successively contacts original resetvoir oil at the gas-oil front and the change in composition of reservoir oil as it is successively contacted by the injection gas in the vicinity of an injection well. An iterative process is required. Two examples of the method are given which show how oil and gas compositions and properties are calculated with the aid of a computer. INTRODUCTION The calculation of recovery from lean-gas or enriched-gas injection into a saturated or under-saturated reservoir oil requires a knowledge of how phase properties change in a reservoir between injection well and producing well. To determine the phase compositions or properties experimentally would be difficult and time consuming, especially if one wanted to look at the effect of various injection gas compositions. For some fields an engineer would want to make preliminary calculations on the economics of gas injection before he makes the decision to spend a corrsiderable sum of money for laboratory work to obtain the necessary fluid properties. A method for calculatine compositions and properties based on a minimum of laboratory data is described. The minimum amount of data required is injection gas and reservoir oil composition and injection gas solubility as a function of pressure for an undersaturated oil, or the compositions of mixtures of reservoir fluid with two or more enriched gases, which mixtures have a bubble-point pressure that is the same as the expected average displacement pressure. On the other hand, if the economics appear to be attractive, more laboratory data can be obtained in the form of equilibrium constants for three or more mixtures of the reservoir fluid and injection gases. The method is based on the calculation of K's from the equation, log Kp = A + B F, where K is equilibrium constant, p is pressure and F is component characterization factor. This method of plotting K data by means of the above equation is described by Hoffman, Crump and Hocott.1 A and B are constants that vary with a composition parameter. It is shown how experimental data are used to determine how A and B vary with composition. BASIS OF METHOD EQUILIBRIUM CONSTANTS Equilibrium constant (K) data are required for this method. The K of each component is obtained from an equation that gives the product of K and pressure as a function of component characterization factor. The characterization factor F = b(l/Tb — l/T), where b is a constant characteristic of a given component, Tb is the boiling point in OR at atmospheric pressure of the given component, and T is the temperature of the system in OR. This method of plotting K data is described by Hoffman, Crump and Hocott.l The straight-line equation of the log Kp - F plot is log hp = log Kop +BFi, where Kop is at F =0, i designates the component, and B is the slope of the line. The factor F can be

Jan 1, 1966

By R. Kingman

At Tahawus, New York, National Lead Company operates the MacIntyre Development, This operation produces 10,600 long tons of ore per day for crushing, 8,000 tons for grinding and processing, of which 2,000 tons per day reports as tailing for disposal in an impounded tailing storage area. With the change in location of mining operations at the mine of National Lead Company, a change in the area for tailing disposal by gravity became necessary, This called for the diversion of tailing from near the proposed mining area to areas more favorable for long term storage by gravity. In order to avail the operation of maximum storage for the future, a uniform minimum grade launder was proposed with a minimum velocity and maximum outfall at the discharge. Disposal of the gravity and flotation tailing was formerly accomplished in open ditch from the concentrator at a grade of 1.5 percent. It was desirable to design the new launder at grades less than this for the greater storage elevation.

Jan 1, 1966

By R. L. Crosby

Microscopical and X-ray diffraction techniques were used to identify two intermediate phases in that part of the solid region of the magnesium-cerium system between and Mg3Ce. Previous literature had reported only one intermediate phase for this region, 1)12t chemical analysis determined the approximate composition of the two compounds to be Mg23Ce2 and Mg17Ce2. The range in composition of the two intermediate phases was found to be limited to less than 0.3 atomic percent cerium. The study did not determine the crystal structure of Mg17Ce2, but that of Mg23Ce2 is tetragonal with a = 10.33 A and c = 19.51 A.

Jan 1, 1966

By Frank A. Jerabek

Pneumatic stowing was first introduced in longwall mining in the middle twenties. Since that time it has advanced through many stages of development, particularly abroad, which have greatly improved its efficiency and contributed to its growing use. Pneumatic stowing originated in coal mining but has also been adopted in metal mining. This paper discusses the techniques of pneumatic conveying of. stowing material and equipment and applications of pneumatic stowing.

Jan 1, 1966

By K. T. Koone, R. J. Blackwell

One of the more important problems to be solved in designing a miscible flood is related to the size of the solvent bank used. Size of the bank may be critical to economic success. Too large a bank loses money; too small a bank may deteriorate and fail to maintain the miscibility needed for high recovery. An important factor in deterioration of a small bank is permeability channeling. In a highly stratified reservoir, solvent speeds ahead in the more permeable zones and mixes laterally with fluids bypassed in adjacent, low-permeability strata. Numerical solutions have been obtained .for the differential equations that describe the movement of a slug through a two-layer system in which mixing occurs both in the direction of flow and transversely. The solvent slug is assumed to have the same density and viscosity as the resident fluid and the pushing fluid. These solutions have been verified by comparing them with similar concentration profiles obtained in the laboratory in a 36-ft stratified model packed with glass beads. The theoretical study revealed that when the dominant mechanism causing a bank to fail is lateral mixing the bank size needed for a given recovery may increase with length rather than decreasing as the square root of reservoir length, as suggested by one-dimensional mixing theory. From a comprehensive examination of the variables, a generalized correlation is developed that relates strata thicknesses, bank size, fluid velocity, mixing coefficients, system length and simple solvent-resident fluid phase behavior to the area miscibly swept. INTRODUCTION Miscible displacement, or solvent flooding, continues to receive widespread attention as a method for increasing oil recovery over that possible in conventional gas-drive or waterdrive projects. A basic economic requirement in the application of such processes is the use of as little solvent as possible. A basic physical requirement is that enough solvent be used to maintain miscibility. Economics places an upper limit on the size of a solvent slug, and physical considerations establish a lower limit. Consequently, the practicality of any given miscible process requires that the economic limit be greater than the lower limit imposed by physical requirements. Procedures exist for determining the economic limit; however, procedures for determining realistic minimum bank sizes exist for only special reservoir situations. In the past, bank size has usually been selected on the assumption of a piston-like displacement for which only longitudinal mixing is important. This assumption leads to the favorable conclusion that bank size, expressed as per cent of pore volume, is inversely proportional to the square root of length. Collins considered the problem of transverse mixing of solvent with fluids in bypassed zones with the assumptions that no forward mixing occurs and that the concentration is uniform in the permeable stratum of interest. 1 Lauwerier considered a mathematically similar problem in thermal recovery operations.2 Their work suggests the much less favorable conclusion that bank size could be directly proportional to the length or even higher powers of the length. This paper considers the physical behavior of a small solvent bank as it moves through a real reservoir, without imposing many of the restrictive assumptions of past treatments. To facilitate mathematical description, an idealized, two-layer model that permits mixing both laterally and in the direction of flow will be considered. A calculation procedure for solving the descriptive equations will be developed for a displacement involving fluids of equal density and viscosity. In addition, laboratory experiments designed to check the computational results will be described, and the coincidence of calculated and observed results will be discussed. The use of many solutions for a variety of bank sizes, strata thicknesses and characteristic system lengths to develop a usable correlation between

Jan 1, 1966

By H. B. Charmbury

In Pennsylvania there are two distinct coal regions, bituminous and anthracite, in which the mining conditions and production trends are different. Bituminous mining is more mechanized, and production is increasing. This report is concerned specifically with the bituminous area. The bituminous coal industry apparently is facing a shortage of miners and mine officials which may become acute by 1970. Since 1949, when Pennsylvania had more than 100,000 bituminous coal miners, the number has steadily decreased. There are two principal reasons for the decrease of certified miners and mine officials. These reasons are the fact that apprentices are almost a thing of the past and the fact that the image of the coal miner is a poor one to people in general and to parents in particular. This has contributed greatly to the high average age of our miners today. The average age of all those employed in the mines is 50. Yet it is known that the progress in mine mechanization requires younger and more alert men to operate the newer type equipment.

Jan 1, 1966

By F. L. Wideman

Output of ore and waste from metal and nonmetal mines in the United States continued an upward trend and established a new high. The tonnage of ore handled increased 6 percent over that moved in 1964 and the tonnage of waste rose almost 10 percent. Earth moving by these two activities exceeded 3.2 billion tons, an increase of 7 percent over the 1964 total. Crude material from which metal or nonmetal products were derived continued to be about 75 percent of the total material handled. In 1965, surface mining methods were used to produce about 93 percent of the ore, 99 percent of the waste, and 95 percent of the total material handled. These percentages have remained almost constant since the beginning of this decade.

Jan 1, 1966

By C. R. Knopp

Gas-oil relative permeability ratio is an important relationship in oil reservoir predictive calculations. A correlation has been developed from 107 gas-flood k/k tests on Venezuelan core samples. The correlating parameter is based on restored-state water saturation tests and' is applicable to both consolidated and poorly consolidated sandstone reservoirs. Data of the correlation show that there are no distinguishah1e differences between the mass-data groupings for the two c1assifications A procedure is recommended for running .sufficient relative. permeability analyses to compute a geometric mean of the sample group. The geometric mean is more representative of the total core, and probably the entire reservoir. For example, while only one in four of the k,,/k,., test curves agreed closely with the resultant correlation of this report, the geometric mean curves of the 16 suites (three samples or more). showed good agreetment ill three cases out of four. INTRODUCTION The gas-oil relative permeability ratio is an important, fundamental relationship in most oil reservoir predictive calculations. Predictive calculations are made to estimate future reservoir production characteristics and ultimate oil recovery. The k1,/k2, relationship is specifically needed to relate the surface gas-oil ratio to the reservoir oil and gas saturation, and to calculate the relative movement of these phases within the reservoir whenever some of the more complex driving mechanisms are present. Laboratory k1/k2, tests are not generally run as a routine analysis. Consequently, k1/k2 data often are not available when needed because the cost of laboratory work could not be justified or the need for such data had not been properly anticipated. When laboratory k1/k2, data are available, they are often very difficult to interpret. For example, wide divergence is sometimes shown in a family of k1,/k1, tests representative of the producing horizon in a single well. With these considerations in mind, a study was made to determine if a relationship might exist between the k1,/k2, curve and some other simple laboratory test criteria. The most probable k1/k2, curve correlation for Venezuela described in this paper is the result of the investigation. The presented correlation defines the most probable gas-flood k,,/k,, curve through the medium of air-water capillary displacement and centrifuge water saturation tests. The laboratory procedures of these tests are. relatively simple, and inexpensive; test data should be. widely available- from routine analysis. DATA AVAILABLE, LABORATORY METHODS The report correlation utilized 107 gas-Hood k1/k2, tests run on sandstone cores of Venezuelan reservoirs. Table 1 is a general tabulation of data pertinent to the tests, while Table 2 summarizes the data. Thetests include 96 from Western Venezuela and 11 from Eastern Venezuela. Eighty-two- of the 107 test samples were sandstones that varied from poorly consolidated to-unconsolidated; 25 were consolidated. The average sample porosity was 26.7 per cent and the average permeability was 1,121 md; these values typify the better sandstone reservoirs of' Venezuela. The Welge gas-flood technique,' based on fundamental Buckley-Leverett frontal displacement theory, was introduced in about 1952 and is widely accepted in the industry. The laboratory procedure is relatively simple, rapid, and can be performed on small core samples. While there have been some minor variations in sample preparation and laboratory procedure in the tests used for the correlation, these tests can be generally summarized as follows. The core sample was first sol vent-extracted and dried. Connate-water saturation was restored by the oil-flushing or evaporation-blow down methods. At the beginning of gas flood the hydrocarbon pore volume was completeiy saturated with the test oil phase. Unsteady-state gas-oil displacement then began with the injection of nitrogen or helium. while the displaced oil and gas phases were incrementally metered at the out-flow face. From the test data, the k,,/k,, curve was calculated by the Welge method.' The individual oil and gas relative permeabilities were also calculated." CORRELATING PROCEDURES In attempting to establish a basis of correlation, we found that broad mid-range sections of 105 of the 107 k,,/k,, test curves could be closely duplicated by a straight line. Only two curves did not show a degree of linearity in this region. Correlation-curve definition parameters were subsequently developed from this observation of consistent mid-range linearity. Possible correlating variables were limited to the physical properties measured on core samples that (1) were widely available as common test data and (2) could be easily and cheaply obtained through future laboratory work. The more obvious possibilities were porosity, permeability and

Jan 1, 1966

Jan 1, 1966

By J. T. Raleigh, D. L. Flock

This study investigated the nature of formation plugging with bacteria and attempted to relate its characteristics to physical rock properties. Fifteen core samples of four specific formation types were defined and plugged using a commonly occurring, uniform sized dead bacteria, Bacillus subtilis. Two of the formation types were fairly uniform-grained sandstones and two were heterogeneous carbonates. The injection rate and concentration of solids in the brine were held constant during the test runs. The pore geometry factor G was a significant petro-physical rock characteristic for correlation with depth of plugging, but lacked importance as a parameter for rate of plugging. Although the G factor may not completely describe porous rock geometry for plugging predictions, for reservoirs with multi-pore systems, there is evidence that the pore geometry factor might form a basis for establishing injection water specification in more llornogeneous reservoirs with only primary porosity development. INTRODUCTION GENERAL PURPOSE Injecting water into oil-bearing formations to increase recovery is common practice in the petroleum industry. One of the most serious operational problems involved with water injection wells is the tendency of the porous rock immediately adjacent to the injection wellbore to plug partially. This results in increased injection pressures and/or a decrease in the rate of injection. This plugging in injection wells can result from a number of causes, including bacteria contained in the injected water.1 The purpose of this work was to investigate the nature of injection plugging with bacteria and to attempt to relate its characteristics to physical rock properties. Many variables exist in research of this type, so, to reduce them, injection rate and concentration of bacteria in brine were held constant. The bacteria used for plugging was a uniform-sized, dead bacteria, Bacillus subtilis, a micro-organism commonly found in water, air and soils. Four specific porous rock types were plugged—two consolidated sandstones and two heterogeneous carbonates. The experimental work involved two distinct phases. The first concerned determining the physical rock properties and the second was the experimental work of actually plugging the selected core samples. PORE GEOMETRY FACTOR Capillary pressure is necessary to displace a wetting fluid from a capillary opening with a nonwetting fluid. The factors which govern capillary pressure are the surface or interfacial tension of the fluids involved, the system wettability and the equivalent pore radius. Thus: P,= 2ucososrd..........(1) Thomeer used the idea that the location and shape of the capillary pressure curve reflect characteristics of the pore structure of any porous media sample.' He presented the mathematical description of capillary pressure curves and of indicated differences in pore geometry of samples. where G = pore geometry factor PC = capillary pressure Pi = displacement pressure (V,)p, = fractional bulk volume occupied by the displacing fluid at any capillary pressure (V,), = fractional bulk volume occupied by the displacing fluid at infinite pressure or total interconnected pore volumes. The shape of the curve is defined by the pore geometry factor G. The curve shape is related directly to the sorting and interconnection of the pores of the sample. The location of an infinite number of curves can be defined by the same asymptotes. However, these curves differ in shape, each curve being described by a specific value of G. Thus, the description of a curve is unique when, in addition to the position of its asymptotes, its shape is defined. These curves can be used graphically to determine the characteristic parameters of any arbitrarily located curve. Those parameters that can be approximated from any capillary pressure curve are: (1) total interconnected pore volume, represented by (V,),- ; (2) extrapolated displacement pressure, the abscissa axis; and (3) pore geometry factor, by the curve shape. PROPERTIES OF BRINE AND BACTERIA The fluid used throughout this study was an aqueous solution of sodium chloride, 25,000 ppm by weight. The addition of salt to fresh water was intended to eliminate clay swelling in the sandstone cores and to retard leaching in the limestone cores. The viscosity of the brine solution at 100F, the temp-

Jan 1, 1966

By F. J. McMulkin

This paper, the 1965 Airey Memorial Lecture, reviews the world-wide technical advances in iron and steelmaking, and offers an appraisal of the new techniques which will be applied in the future. After a review of blast furnace operations, the continuous steelmaking process is described, and the resulting techniques of degassing and continuous casting are discussed at length. Pressure pouring, hot rolling, cold rolling and coating practices are also outlined, and considerable space is devoted to the direct reduction process. Finally, the application of the computer to steelmaking operations is discussed in some detail.

Jan 1, 1966

By Edmund C. Bovey

"AS I begin my remarks this morning, please let me say how honoured and gratified I was to receive your invitation to address you here during your deliberations in historic Quebec City. The high esteem in which your Institute is held is reflected in the respect and deference accorded to it by industry across Canada. I feel privileged to be here with you today.I would like to discuss with you some applications of natural gas in the mining industry and suggest to you, in closing, some possible avenues of future development.Natural gas first became avail-able for industrial purposes in Northern Ontario in late 1958. Acceptance of natural gas, as a source of energy by the industry of that area, has been both widespread and gratifying. The mining industry of Northern Ontario has in-creased its annual use of natural gas by approximately 35 per cent each year since 1958. We believe that this trend will continue, al-though we will probably have to accept a more modest 10 per cent annual gain as the market approaches saturation. I would like to explain how we were able to do this and where all this gas is used. Our first sales were largely a matter of price-and the savings we offered were substantial."

Jan 1, 1966