c REPORTS ON ΐ Ν
INDUSTRIAL
MOBILIZATION
News of the nation's activity in marshaling its resources t o meet the international emergency NPA Lifts Controls o n Sulfuric A c i d ; Eases I n v e n t o r y Controls on Sulfur
The National Production Authority has lifted distribution controls on sulfuric acid and has increased the sulfur which users m a y keep on hand from a 25-day supply to a 60-day supply. Both actions were taken because of the improved supply situations occuring recently. George E. Holbrook, director of NPA's chemical division, said that sulfuric acid has arrived at an approximate supplydemand balance, as evidenced b y the fact that requirements in the usually critical southeastern section of t h e U.S. have been m e t during the last three months. To lift distribution controls on sulfuric acid, NPA revoked its sulfuric acid order, M-94, which was issued last December to require sulfuric acid producers to maintain the same ratio between sales and captive use of total production of sulfuric acid which they maintained in 1950. Above-ground stocks of sulfur have increased by 93,000 long tons since Jan. 1, thus permitting an increase in the supply of sulfur which users m a y have o n hand. The inven tory increase was affected through a m m e n d m e n t of NPA's sulfur order, M-69, which was adopted last November. T h e 60-day limitation in most instances will permit users to receive sulfur b y conventional shipping methods, such as b y barge or vessel. PAD to Survey P l a n n e d And Existing Refining Facilities
The Petroleum Administration for Defense will shortly conduct a survey of existing a n d planned refining facilities in the U . S. A questionnaire is being prepared for sending to all refiners. The survey will cover existing facilities for crude distilla tion, cracking, reforming, and manufacture of alkylate, as well as facilities for construction through 1954. Information will be sought on operation of cracking and reforming facilities in 1951 and o n yields and recoveries of alkylate feed stocks. Electric P o w e r Projects Worth $ 7 0 M i l l i o n Certified
The Defense Electric P o w e r Administration has an nounced that D P A has a p p r o v e d applications for certificates for r a p i d tax amortization for 2 5 additional electric power projects. D E P A estimates that the projects will increase the nation's electric generating capability b y 320,850 kilowatts. Added to those previously published, the 2 5 approvals give a total of 517 electric p o w e r projects approved to date. The ν are estimated to increase U . S. capacity b y 19,181,845 kw. O f the total cost ($3,297,802,357), about 45% ($1,480,775.662) bas b e e n certified by DPA for rapid amortization. DPA has denied 179 applications representing a total esti mated cost of $135,488,397. Estimated total cost for t h e 772 applications for certification received b v DEPA is $4,096,136,343. Meanwhile, a statistical analysis has been issued by the National Association of Electric Companies showing what the $ 1 8 billion postwar expansion of electric companies financed by private capital has amounted to. According to the booklet, the electric industry since 1945 has: (1) already spent $10 billion to increase production capacity by 50f£; VOLUME
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NO.
35
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SEPTEMBER
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(2) committed another S8 billion, which will result in a net increase in generating capacity of 100% by 1954; (3) made plans to triple capacity "by 1960, assuming continued busi ness growth. Great development in capacity has occurred in the ex panding areas of the South and West, the booklet points out, but every region of the country has shown tremendous growth. For example, b y 1954 the companies in the powerrich Middle Atlantic region ( Xew York, N e w Jersey, and Pennsylvania), w h e r e about one fourth of all U . S . generat ing capacity is located, will have added another 4.2 million kilowatts, a nine-year postwar increase of 75%. Except for New England, w h e r e the increase will be 95%, other regions of the country will h a v e boosted capacity over 100%, with one region ( Arkansas-Louisiana-Oklahoma-Texas) recording a whopping 238f/i increase in the nine-year period. 4 0 0 , 0 0 0 P o u n d s of Pyridine Production Lost In Steel Strike
The steel strike caused a loss of slightly more than 400,000 pounds of pyridine, according to NPA's estimates. Pyridine producers, meeting with NPA in Washington, say they have experienced no unusual pressure for shipment of pyridine as a result of t h e strike, however. NPA officials say a survey of the principal users of pyridine substantiate requirements of 1.1 million pounds for the last half of the year, against an estimated production of 675,000 pounds. In 1951, production of pyridine approximated 2.1 million pounds. NPA officials explain that they have been subject to considerable pressure t o secure pyridine for users in the antihistamines, fabric w a t e r repellant, rubber accelerator, insecticide, and dye industries. The industry is making every effort to find suitable substitutes, b u t only /3, 7-picoline, which is also in short supply, can be substituted in a few instances. Members of the Pyridine Industry Advisory Committee foresee no delayed reaction from the strike and feel that consumers requiring assistance from ΝΡΛ in obtaining pyri dine should be referred to producers. The committee recom mended that no allocation or limitation orders b e adopted for pyridine at this time and that the present procedure of using directives and DO-ratings be continued. U . S. Petroleum Refining t o Increase Ί . 1 M i l l i o n Barrels a D a y b y 1 9 5 4 ; European Capacity, 0 . 8 Million
Since the beginning of the Controlled Materials Plan in 1951. the petroleum industry in the U . S . has started con struction of n e w basic refining facilities with an aggregate capacity of 819,000 barrels of crude a clay, giving a total of 1,215,000 barrels of facilities now planned by the petroleum industry for construction. Of this total, 1,078,100 barrels of capacity is expected to he completed by the end ol 1953. Early in 1951, PAD established a refining expansion goal calling for construction of 1 million barrels a day of new capacity during the three-year period, 1951-58, or an annual rate of increase of 333,333 barrels a day capacity. This year, however, a revised program fixed the goals at the rate of 25O.OO0 barrels a clay during the last half of 1952 and 500,000 barrels a clay in 1953. While PAD's analysis of the
1952
3639
INDUSTRIAL
MOBILIZATION
Four Certificates for Antibiotic Expansion In N e w D P A List
Four certificates of necessity were awarded for antibiotics expansion during the period between Aug. 7 and 13. During the same period a total of 134 certificates were awarded, amounting to $61,106,746. With these certifications, accelerated amortization amounting to $21,941,646,288 has now been approved for 13,272 new or expanded facilities. The three largest certificates issued were: National Bulk Carriers, Inc., New York, Ν. Υ., petroleum transportation, $9 million, 50% allowed; Pacific Gas & Electric Co., Morage to San Mateo, Calif., electric power, $8,225,208, 40£ allowed; and Keystone Tankship Corp., Philadelphia, Pa., petroleum transporta tion by water, $6,250,000, 30% allowed. Certificates of chemical interest are listed below: N A M E OK COMPANY AND LOCATION OK FACILITIES
PRODUCTS OH
S κ Η VICE
PEIU :ENTACE A I . LOWED 50
AMOUNT CEHTIFIEJJ
Chas. Pfizer & Co., Inc. Long Island, Ν. Υ. American Cyanamid Co. Pearl River, Ν. Υ. Merck & Co., Inc. Danville, Pa. Bristol Laboratories, Inc. East Syracuse, Ν. Υ. Great Southern Chemical Co. Corpus Christi, Tex.
Antibiotics
$4,850.000
Antibiotics
5,280,000
45
Antibiotics
J,292,000
50
Antibiotics
4,928,785
50
Butylène concentrates
Union Carbide & Carbon Corp. Institute, W. Va. Air Products, Inc. Isclin, Ν. Τ. Natural Gasoline Corp. Hawkins, Tex. Mid-West Refineries, Inc. Alma, Mich. Standard Oil Co. ( Ind. > Wood River, 111. Skubic Bros. Co. Virginia, Minn. Florida Ore Processing Co. Melbourne, Fla.
Ethvl acrylate & ammonium sulfate Oxygen
2,095,095 719,452 81,568 476,000
65 40 15 45
60,000
60
Gasoline
325,000
65
Gasoline
348,000
65
Petroleum
refining
425,000
25
Iron ore
499,900
65
Rutile concentrate
164,428
65
status of construction at the present time indicates that the expansion program is progressing satisfactorily, applications for new construction have dropped off sharply in recent months. Unless the volume increases, construction will fall short of the goal. Meanwhile, petroleum refiners in the free world outside the U. S. are planning their expansion at a rate even faster than that anproved earlier this year by DPA. Refining capacity will reach 5.8 million barrels a day by 1953 in contrast to a 5-milIion-barrel-a-day capacity at the end of 1952. Whether this goal is reached will depend to some extent on the long range effects of the recent steel strike in the U. S. Compared to 1951, here is the way foreign production is expected to look daily in 1953: catalytic cracking up to 500,000 barrels from 200,000 barrels; catalytic reforming up to 15,000 barrels from nothing; thermal cracking up to 900.000 barrels from 870,000; thermal reforming up to 400,000 barrels from 350,000; and lubricating oil u p to 75,000 from 57,000 barrels. Just how important these increases will be to foreign users may be realized from the fact that, while U. S. rate demand increased at a rate of 420,000 barrels a day for each of the three years, 1949, 1950, and 1951, foreign demand increased at a rate of 460,000 barrels per day. DPA Set $ 8 0 Million Expansion G o a l For Rubber and Rubber Products
An interim expansion program for rubber and rubber products has been set by the Defense Production Administration at $80 million in new facilities and equipment, or additions. Tax amortization certificates of necessity have been issued for $37 million out of the $80 million target. Included in the program are special-purpose synthetic 3640
rubbers (excluding butyl), reclaimed rubber, bogie wheels, supports, tank track blocks and bushings, fuel cells, military footwear, gas masks, hard rubber battery boxes and parts, proofed rubber goods, pontoons, lifesaving equipment, aircraft and military vehicle parts, mechanical rubber goods, a n d other miscellaneous rubber products for defense. This goal is separate from the goals established for horizontal wire-braided hose and for aircraft, truck, bus, implement, and tractor tire cases. For a number of the types of equipment listed above, sufficient expansion has already been achieved. Export Q u o t a s 5et for Sulfur Formulations
T h e Office of International Trade has set an export quota of 46 million pounds of formulations containing 20% or more sulfur, used primarily for cotton dusting for each of the third and fourth quarters of this year; a quota of 6.5 million pounds of conditioned sulfur and wettable sulfur for each of t h e third and fourth quarters; and a quota for the third quarter of 2 million pounds of copper sulfate insecticides.
Appointments . . ,
Gardner Ackley has resigned his post as economic adviser to the Office of Price Stabilization to return to his position as professor of economics a*- the University of Michigan. Saul Nelson, who has been d e p u t y economic adviser, will assume the duties of economic adviser and F r a n z B. Wolf, former director of the OPS Research and Statistics Division, will succeed Mr. Nelson as deputy economic adviser. Isaac C. Jeffrey has been appointed to the newly created post of special assistant to Donald F . Kiger, director of the Materials and Equipment Division of the Defense Electric Power Administration. Mr. Jeffrey, who has been with DEPA since January 1951, will coordinate the various functions of the Materials and E q u i p m e n t Division with respect to procurement of materials and equipment for plants providing power to Atomic Energy Commission installations. Albert J. Rosenthal has been made general counsel of the Small Defense Plants Administration. H e has been acting general counsel since the resignation of James M. McIIaney last July. Franz T. Stone has resigned his post as deputy administrator of the National Production Authority to return to the presidency of Columbus McKinnon Chain Corp. of Tonawanda, Ν . Υ. Richard A. McDonald has been ap pointed acting deputy administrator. Mr. McDonald had been serving as assistant administrator in charge of the In dustrial and Agricultural Equipment Bureau of NPA. Robert L. Finley of Princeton, N. J., will become special assistant to Defense Production Administrator Henry H . Fowler. H e served as an attorney for the chemical division of the War Production Board during World W a r II and has been special assistant to Under Secretary of the Army Archi bald Alexander. C H E M I C A L
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ENGINhERING
NEWS
