Expansion Peak Passing Chemical industry expenditures for this purpose will probably be off 16% from record 1953 total N E W Y O R K . - C h e m i c a l industry has passed its postwar expansion peak and capital expenditures for new plant and equipment for t h e full year 1954 should amount to §1.31 billion, or 16% below the record $1.56 billion spent for this purpose last year. Completion is i n sight for the Koreadefense phase of chemical expansion (1951 to 1955) w h i c h takes in $3.5 billion in facilities certified by NPA for rapid amortization, according to John Bohmfalk of the investment firm of Clark, Dodge and C o . H e figures t h a t about 7 3 % of the certified program was in place at end of 1953, and that 90% completion can be looked for at end of present year. As an indication of the stretch-out taking place in chemical expansion, Bohmfalk offered following summary of expenditures b y industry leaders in a talk before Society of Security Analysts: C a p i t a l Expenditures (Millions of D o l l a r s ) 1954 1953 (Est.) Allied Chemical & Dye $135 $100 American Cyanarnid 67 45 Dow Chemical 75 35 Du Pont 135 125 Eastman Kodak 39 52 Hercules Powder 12 16 Monsanto Chemical 27 45 Union Carbide 160 120 Effect of Expansion. Current rat of activity in chemicals or production was placed at 759c of capacity, and it was obvious t h a t expansion rate had outrun the demand growth. Further, Bohmfalk said that organic chemicals and petrochemicals have suffered moderate to severe price weakness as a result of this situation. Prices for ethyl alcohol, ethylene oxide, ethylene glycol, their derivatives, and for some chlorinated insecticides, h a d dropped to an uneconomic point, Price declines have also taken place in nylon, several plastics, and methanol, although prices for basic, heavy chemicals h a v e generally been well maintained. There were, o n the other h a n d , indications of industry's confidence in the long-term growth of chemical demand, spurred by vigorous competitive conditions. There is a desire to broaden markets by entering new fields of activity through mergers and acquisitions exemplified by Olin-Mathieson, and by Allied-Mritual Chemical. Confidence is likewise manifested by interest taken in government disposal of its synthetic rubber facilities. V O L U M E
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Sales and earnings for 20 companies in chemical industry reflect continuing downward trend which began in third quarter last year and which extended into first quarter of 1954. Sales were down 59c in first quarter from the same time in 1953, and pretax profits have declined 267c However, net income dropped only 8% as tax burden has been lightened. A reversal of unfavorable sales trend doubtless occurred in second quarter just ended. Nitrogen in Balance. W e will, for first time in 10 years, have an adequate supply of nitrogen, but at same time the demand-supply situation is in balance and probably will remain so over next two years, John R. Riley, Jr., Spencer Chemical, said. Unlike the organic list, prices for nitrogen products are firm and those for coming 12 months are about on a par with those of the past year. Riley forecast a nitrogen supply for 1953-54 about as follows: synthetic, 2,100,000 tons; by-product, 180,000; organic, 40,000; imports, 430,000; or total indicated supply of 2,750,000 tons. This indicated a surplus over d e m a n d of 80,000 tons, or about 3r/c of total supply. Nitrogen demand for 1954-55 was estimated as follows: agriculture, 1,900,000 tons; industry, 525,000; conversion losses (from ammonia to other forms) 95,000; military, 100,000; ex-
ports, 50,000; total demand, 2,670,000 tons. For 1955-56, total nitrogen supply was forecast roughly at 3,500,000 tons, and consumption at 3,235,000 tons. Ten. years from now, in 1965-66, Riley thinks it possible that nitrogen d e m a n d would reach 5,525,000 tons. Present productive capacity of the industry is 2,750,000 tons. H e saw n o great changes likely in prices provided industry supplies adequate storage space and the $20 per ton depreciation charge continues. Imports of nitrogen run around 18% of total supply. In the past they were as m u c h as 5 0 % of the total.
Uranium Prospecting and Production Increasing In recent weeks and months many companies have reflected the increasing interest in prospecting for a n d production of uranium. Some of these are new firms formed to explore a given area; many others are established firms in other mining fields. Recently interest has been shown in such widely separated areas as central Nevada, southeastern Utah, western N e w Mexico, and south-central Ontario. In its first uranium venture, Westvaco Chemical Division of Food Machinery has taken an option on seven mining claims near Austin, Nev. These claims may be the first commercial find of uranium ore in Nevada. Diamond drilling (for core samples), mapping, and exploration have started on the properties. Westvaco has set u p
C a r b i d e Increases Acrylic Esters Production This unit for commercial production of high purity grades of ethyl and methyl acrylates was recently completed at Carbide & CarborTs Institute, W. Va., plant. It represents a substantial expansion of Carbide's capacity for making these polymer and copolymer intermediates. It can be used also for production of other esters of acrylic acid
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12,
1954
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INDUSTRY a field office at Austin for examination of other properties in the area. Standard Uranium expects to start production of uranium ore around Sept. 1 at its Utah properties. Construction of a surface plant a t the mine site and purchasing of mining equipment is under way. Ore will be trucked 3 3 miles from the mine to Monticello, Utah, where it will be turned over to American Smelting and Refining. AS&fVs plant there has been designated by A E C as a receiving station for uranium ore. Standard Uranium is reportedly making a payment of $450,000 tow a r d the outright purchase of the 15 mining claims comprising its property near Moab. T h e mining firm of Calumet & Hecla has signed an agreement with Cafioncito Uranium of Albuquerque to prospect and develop 16,000 acres of land on the Cafioncito Navajo reservation 2 5 miles west of Albuquerque. U n d e r the agreement C&H will start immediately on a n initial $300,000 prospecting and core-drilling program. It will pay royalties to Cafioncito Uranium and the tribe when production is under way. Cafioncito holds a prospecting permit on an area 15 miles long and about three miles wide; this includes about 4 5 miles of "shore line" on t h e mesa top. T h e tract is immediately east of Anaconda's uranium mining operations on t h e Laguna Indian reservation. Strip mining process will b e used and ore will be snipped to the Anaconda mill some 30 miles west at Bluewater.
Far to the northeast N e w Jersey Zinc is clearing the way toward taking over majority control of four d o r m a n t Canadian companies with uranium claims in the Blind River district. Its field teams are at. the properties a n d diamond drilling is planned over t h e next year or so to define limits of the indicated deposits. The area is in t h e northwestern part of the Algoma uranium area of Ontario east of Sault Ste. Marie. T h e four companies are Big G a m e Mines with 39 claims, Gui-Por Uranium Mines a n d Metals with 74 claims, Calder-Bousquet Gold Mines with 8 5 claims, and Moon Lake Uranium Mines. Only Calder-Bousquet has done any diamond drilling. Du Pont Expanding Freon-22 a n d Teflon Facilities a t Two Plants Increased production of Teflon a n d its intermediate Freon-22 is projected by D u Pont. Plants for F r e o n call for construction of a n e w plant on the site of D u Pont's Louisville Works. Construction of the n e w facilities, augmenting those a t Deepwater Point, N. J., and designed to meet refrigeration and aerosol needs, will begin this summer u n d e r the direction of the company's engineering department. Completion is scheduled for early fall of 1955. Capacity of the plant was not disclosed but the company says it will be based on long-range estimates of the needs as refrigerant and aerosol propellent, and as intermediate for Teflon.
G e n e r a l Tire's PVC Plant Shapes Up Construction crews are pushing to complete this $6 million unit for production of polyvinyl chloride at General Tire's Ashtabula, Ohio, chemical plant. Pilot plant is now in operation at the site; main process building is at the left looking down the "pipe gallery-" General now operates a specialty chemical plant at Mogadore, Ohio
CHEMICAL
T h e Louisville plant represents D u Pont's third major expansion of refrigerant-propellent manufacturing facilities in the last year Expansions at its Deepwater Point c - J East Chicago, Ind., plants were completed early this year. Expansion plans for Teflon call for a doubling of present capacity at the company's Washington Works near Parkersburg, W . Va. Erection of new facilities will be started this summer as an addition to the works. Construction is expected to be completed next summer. As evidence of the potential growth of Teflon, D u Pont's fiber department revealed its experimental fiber, so resistant to heat and chemicals that it is being called "dragon fur." T h e projected expansion will cover both major forms of Teflon resin— powders used in making molded articles and dispersions used in making electric wire enamels and coated fabrics. Chemstrand Begins First I n t e g r a t e d Nylon Operations All production units of Chemstrand's Pensacola nylon operations have now been completed and tested. This makes it the first completely integrated nylon facilities to go into operation in this country—it receives cyclohexane and ships nylon fiber. Although all units are n o w in commercial operation, the plant probably will not be in full operation for a year or more. T h e 50-million-pound-per-year plant has been under construction for the past three years. T h e facilities were designed and built by D u Pont, which has licensed Chemstrand to m a k e nylon fibers. It started spinning operations in late December using purchased salts. Since that time other units have been started u p and tested; field tests are now completed on purely Chemstrand fiber. About 2500 are now employed and over 3000 will b e employed when the plant is in full production. T h e project, located on a 2000-acre site 12 miles from Pensacola, comprises two basic areas, the chemical area where intermediates are produced and the textile area where the fiber is spun. T h e combined facilities include 62 separate structures, together with necessary storage tanks, roads, and barge unloading docks. T h e chemical area provides facilities to produce nylon salt required in the textile area. Other U. S. nylon plants have intermediates produced at separate locations and shipped to spinning plants. T h e chemical area occupies a plot 800 by 1000 feet. AND
ENGINEERING
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.INDUSTRY
A KO MPS
M file Resin Former Used in making Corrosion Defying Olin-Mathieson Merger Approved Smiles are the order of the day as stockholders of Olin and Mathieson approve the merger of the two firms. John M. Olin (left), chairman of Olin-Mathieson, and Thomas S. Nichols, president of the new firm, were presidents of the merged firms
A n t i t r u s t Suit Filed Against American Cy and Ultramarine A civil action has been filed by the Attorney General at Huntington, W. Va., charging Standard Ultramarine & Color and American Cyanamid with violations of the Sherman Antitrust Act in connection with the sale of ultramarine blue and laundry blue. Named as coconspirators, but not as defendants, are Rickett & Colman, Hull, England, and S. A. D e s Usines Destree of Haren, Belgium, both of which make ultramarine blue and laundry blue. The complaint alleges that the defendants and the coconspirators have restrained interstate and foreign trade in the materials by agreements to allocate world markets and fix uniform prices. The charge against the companies alleges that the effects of the practices have been to curtail imports into the U. S. and exports to foreign countries, and to establish arbitrary and noncompetitive prices and conditions for sale.
Foxboro Branch Factory Being Constructed in Pittsburgh Foxboro has scheduled for completion by Aug. 1 a new 15,000 square foot plant in Pittsburgh. The new factory will double the present instrument assembly, service, and repair facilities, keeping pace with increased demand in the area. The new building is being erected on two levels. General offices and sales headquarters will occupy the lower V O L U M E
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level, with upper level extension of 12,000 square feet where instruments and control valves will be assembled, serviced, and stocked. The Pittsburgh factory is the second of three to be erected this year as part of Foxboro's expansion program.
Swift Builds Tallow Refining Unit a t Dallas Plant Increased production of Swift & Co. s acidless tallow will come from a new refining unit recently installed at its Dallas plant. This plant was selected to utilize local production of raw materials for the rapidly expanding industries in the Southwest. An important material used in producing lubricating oils and greases. Swift's acidless tallow is now available in tank car and drum lots.
Standard O i l (Ind.) Moves Engineering Research Labs Transfer of Standard Oil (Ind.) engineering research department has been completed. It was formerly located in Chicago; the new lab is in Whiting, Ind. The new two-story building is located at Standard's research center and is physically connected to the refinery administration and engineering building. The new building has two wings located at right angles to each other; each is 200 feet long and 56 feet wide. The total floor area on the three floors is 58,000 square feet. It has movable metal partitions. For experimentation on tall equipment, a high headroom lab having a height of 48 feet has been pro-
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12,
1954
TANKS PIPES TOWERS FLOORS STACKS REACTORS DIGESTORS Furfuryl alcohol qualifies as the c?iemist's chemical. It makes his equipment resistant to chemistry's most corrosive substances. FA* resin mortars, used to join vitrified tile and brick in the construction of reactor linings, withstand acids (except strongly oxidizing acids) and are completely unaffected by alkalies—even hot solutions of concentrated NaOH. The usefulness of QO® furfuryl alcohol is not limited to corrosion resistant cements. This simple heterocyclic compound consisting of a furan nucleus and a hydroxymethyl group serves as a resin ingredient, a solvent for resins and dyes, a wetting agent and a reactive solvent. Its use as an additive in making gapfilling adhesives from urea-formaldehyde resins, as a modifier in the manufacture of asphaltic battery cases, and as a binder in the manufacture of underground pipe-wrap suggests the broad future of this alcohol. The full area of furfuryl alcohol's usefulness has not been explored. Post yourself on FA. Write for Bulletin 205, describing its chemistry and use. Ask for experimental quantities and other technical co-operation as needed. *Reg. U. S. Pat. Off.
The Quaker O ^ s (pmpany
fB CHEMICALS DEPARTMENT
333Y The Merchandise Mart, Chicago 54, Illinois Room 533Y, 120 W a l l St., New York 5, N.Y. Room 433Y, P. O. Box 4376, Portland 8, Oregon In Europe: Quaker Oats-Graanproducten N.V., Rotterdam, The Netherlands; Quaker Oats (France) S. A.# 3, Rue PilletWill, Paris IX, France In A u s t r a l i a : Swift & Company, Pty., Ltd., Sydney In Japan: F. Kanematsu & Co., Ltd., Tokyo
[HE
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INDUSTRY vided in one wing. There are balconies at each floor level. A 5-ton travelling crane has been provided and can be used to transfer heavy equipment between ground floor and balconies. The work of the engineering research department is conducted by five separate research divisions: physics, mechanics, equipment, materials, and engineering economics. Plant and Lab Construction In Kansas City on Schedule Steel erection has been completed and processing equipment is being installed in the chemical plant under construction for Permatex in the Fairfax industrial area of Kansas City. Manufacturing equipment will include jacketed mixing vessel with agitators, paste mixers, rotary vacuum fillers, viscous fillers, rotary cappers, can sealers, labeling machinery, and roller and belt conveyors. Permatex produces sealing compounds and maintenance chemicals for transportation and other industries. Its mixing tanks will be set into the operating floor to permit servicing at a comfortable working level. An underground tank farm for 60,000gallon capacity will b e provided for storage of raw materials. T h e availability of low-temperature
well water for a cooling medium will adjacent to Mathieson's plant, one of make possible fully air conditioning the the largest high analysis fertilizer manufacturing plants i n the world. It plant at relatively low cost. Construction of Midwest Research will be operated by the agriculture Institute's new building is about 50% department of the university for t h e complete. Occupancy is expected early nominal rent of $1.00 per year. in January. All the reinforced ooncrete has been poured and the steel girders on t h e top floor are being erected. Walls and roof of the one-story section are virtually completed; from now on it will serve for storing building materials. The new facilities for Midwest will replace others in Kansas City. T h e present building will "be sold or leased when the new one is occupied. Mathieson "Leases." 160-Acres as University Demonstration Farm A 160-acre tract o f land has been made available to rJhe University of Houston b y Mathies-on for use as a demonstration farm. The land will become a "clinic" for training agriculture students, with any profits from the project used to finance working scholarships. A t t h e same time, the farm is expected to demonstrate methods for profitable farming in ordinary Texas coastal soil. The tract is locafiecl i n Pasadena, Tex., convenient to rJhe university, and
S. L. Nevins, Mathieson Agricultural Chemicals, signs an agreement making 160 acres available to the University of Houston as a demonstration farm. The university's acting president, C. F. McElhinney, looks on An advisory committee has been appointed, composed of representatives of the Houston Farm and Ranch Club, Mathieson Chemical, the agriculture committee of the Houston Chamber of Commerce, and the university. Du Pont W i l l Build Second Film Research Laboratories
QUICK HELP on special apparatus problems
Whether it's simple or complex, you can count on Corning technicians to design and fabricate special laboratory glassware quickly and at modest cost. Made by men who know glass from start to finish, there isn't any problem that can't be solved to your satisfaction. In most cases, PYREX brand glass No. 7740 gives you all the properties required for long service life . . . exceptional heat resistance, chemical stability and mechanical strength.. But if you need something special in glass, too, Corning has i t . . . like VYCOR brand glass No. 7900, a 96% silica glass witJh a temperature limit well above PYREX brand glass No. 77^-0. Your requests will receive prompt attention. Call your laboratory dealer or write direct to Corning, N. Y. C O R N I N G GLASS WORKS • C O R N I N G , N. Y.
2764
CHEMICAL
Site preparation is starting at D u Pont's experimental station near Wilmington for new film research labs. Scheduled for completion b y the end of 1955, the facilities represent an investment of $1,275,000. Plans call for fundamental and long-range research for new and improved films. The new building will be the first major lab addition to the experimental station since the dedication three years ago of a $30 million expansion. The new labs will be devoted primarily to the film department's exploratory research in synthetic polymers for the general field of packaging and industrial films. It will be in addition to t h e department's present research labs at Buffalo, N. Y., which are under expansion at the present time. The new labs will b e partially on land used as part of t h e D u Pont Country Club nine-hole golf course. A new course will b e built on the opposite side of the clubhouse. Built to accommodate about 45 employees, the new building will have four AND
ENGINEERING
NEWS
poking for r « r a vv/^rt^i e i rvi II i MI i c=f
Shell Chemical is a convenient, dependable source for glycerine, offering the highest purity product available. Expanded facilities make Shell Chemical one of the nation's leading suppliers of glycerine... in any quantity from a drum to a tank car. Your Shell Chemical representative will gladly give you the specifications of this high-quality glycerine.
SHELL C H E M I C A L
CORPORATION
CHEMICAL PARTNER OF INDUSTRY A N D AGRICULTURE 3 8 0 Madison Avenue, N e w York 17, New York Atlanta • Boston • Chicago • Cleveland • Detroit • Houston • Los Angeles • Newark • New York • San Francisco • St. Louis IN C A N A D A : Chemical Division, Shell Oil Company of Canada, Limited • Montreal • Toronto • Vancouver
V O L U M E
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INDUSTRY. special labs for physical testing, x-ray, infrared, and analytical work as well as offices and standard two-man research labs. M i d w e s t Research Completes Kansas Industrial Survey At least 19 types of industries can find excellent markets available in Kansas at present. T h e state's rapid industrial growth in recent years has created new opportunities within the state for manufacturers seeking near-to-market locations. These are two conclusions
from a six-month study just completed by Midwest Research Institute for t h e Kansas Industrial Development Commission. In recommending the 19 categories, MRI has (considered production facilities a n d markets not only in Kansas but aJso in a six-state region including Kansas. MERI says Kansas markets are spending §5500 million annually with manufacturers of the 19 types outside the s*ate. If established in the state, they coul*d support an additional 40.000 workers in the area. Talcing -is the deficit the difference
in consumption in the area and production in the area, M R I cited expansion possibilities for t h e various fields. Among these are cotton and rayon textiles with a deficit of $50 million and as many as 10,000 workers; paper and paperboard, $42 million and 2200 employees; canning and preserving foods, $22 million and nearly 2000 employees; radios and electronic equipment, $13 miUion and 1600 additional employees; drugs and medicines, $8.5 million a n d u p to 700 new employees; valves and fittings, $7 million and nearly 900 n e w workers; and cosmetics, $5.5 million and 300 n e w employees. Besides these there is a deficit in steel and aluminum fabrication of all types. A m e r i c a n C y a n a m i d Doubles Rubber A c c e l e r a t o r O u t p u t
PerchloroMethyl IWIercaptan (PMM| PerchloroMethyl Mercaptan (PMM) is a valuable intermediate owing to its sulphurchlorine containing group. Compounds with active hydrogens will react with PMM's sulphur-linked chlorine to give a host of useful products*. PerchloroMethyl Mercaptan reacts easily with olefins, sodium alkoxides, Grignaraf reagents, xanthates, thiols, amides, imides, and all amines. Substituted guartldines. are also obtainable. A few of the typical PerchloroMethyl Mercaptan reactions a r e —
CI3CS^CI +
H H H H Na CIMg
SR.NH* N.R-1
C6Hm N(CH 3 ) a OR R .. -
CI3CSSR CI3CSNHR CI3CSN Rl CI 3 CSC 6 H 4 N(CH 3 ) a CI3CSOR CUCSR
PerchloroMethyl Mercaptan's reactivity is particularly interesting in the manufacturing of insecticides, pharmaceuticals, oil and fuel additives, dyes, and rubber compounding materials. StaufFer has increased production facilities to b e able? to offer P M M in commercial quantities. Samples of PerchloroMethyl Mercaptan (P"MM) a n d copies of Stauffer Technical Bulletin N o . 531 describing PMM's properties* and reactions a r e available. A n inquiry on company letter-head will receive prompt- attention. 2^»s*-'«S"«s*w«rftc* i
STAUFFER CH EMICAL CO. 380 Madison Avenue, Hew York 17, N . Y.
m0^-r:-jL 2766
CHEMICAL
A rubber chemical accelerator plant which more than doubles present production was opened early in June by American Cyanamid at its Bound Brook, N . J., plant. The n e w plant is devoted exclusively to production of Cyanamid's Nobs Special and Nobs No. 1 accelerators. Both accelerators were developed by Cyanamid for use in reinforcing (high p H ) furnace blacks in natural rubber and DR-S. Nobs Special was designed for use where special protection is essential. Nobs No. 1 is a blend of about 9 0 % N-oxydiethylene benzothiazole-2-sulfenamide and 10% benzothiazyldisulfide. T h e Special is all N-oxydiethylene benzothiazole-2-sulfenamide. Both are tan-colored, dustless flaked material. Construction S t a r t s on J&L Steel Research C e n t e r Late last m o n t h construction was started on Jones & Laughlin Steel's new research center near Pittsburgh. The lab, to b e completed in mid-1955, will be located on Baldwin Hill, 400 feet above the Monongahela overlooking J&L's Pittsburgh Works. T h e new research center, to cost initially more than $1.5 million, will consist of several buildings, housing a research staff of about 100. T h e more theoretical aspects of J&L's research will b e moved into the new location. Research at most of the existing locations will b e continued—metallurgical research at the Pittsburgh Works research labs, coal and coke research at Aliquippa Works, and ore research at Negaunee, Mich. The new center's nearness to the Pittsburgh a n d Aliquippa Works will make possible close cooperation between research staff and production personnel. AND
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