panel recommends that $1.5 billion of federal money be spent in 1965-74. Slightly less than 60% of this ($881 million) would go for general research. An additional 28% ($411 million) is requested for special projects and equipment, largely for small climate chambers and electron microscopes. Another $135 million would help train new plant scientists who would swell the total to 12,000 by 1974. The remaining $65 million would apply to construction. Smaller proposals include a $6.4 million 10-year program to train foreign students, a $1.3 million series of postdoctoral "internships" in agricultural sciences, and a $21.7 million allocation for research on basic food crops.
mRNA links virus and cancer The role of messenger ribonucleic acid (mRNA) in the formation of cancerous cells by viruses in animals and test tubes has been clarified by Dr. Kei Fujinaga and Dr. Maurice Green of St. Louis University's medical school. The two found that a very small amount of viral deoxyribonucleic acid (DNA) is responsible for the synthesis of a large amount of viral mRNA [Proc. Natl. Acad. Sci., 55, 1567 (1966)]. The St. Louis chemists used tritium—labeled uridine to follow the course of the synthesis of mRNA. They find that of the total mRNA synthesized in both hamster and rat cancer cells one part in 20 is viralcoded mRNA. Of the total original DNA in the cells, only one part in about 100,000 is viral. The cancer cells were induced experimentally by human adenovirus type 12 (Ad. 12). There are three far-reaching implications in the results of this work, Dr. Green says. The first task facing the chemists is to elucidate the structures of the proteins coded by the tumor virus mRNA ( 5 % of the mRNA in the cancer cell is viral specific). Second, in cancers induced in animals by human virus, the virus disappears once the cancer is produced. For this reason, it is not surprising that no viruses have been detected in human cancers. But the viral mRNA remaining may serve as a diagnostic tool to determine whether human cancer is caused by the virus. Third, scientists should eventually be able to study the mechanism by which DNA transcribes the code to mRNA. The viral DNA in the cancer cell is transcribed with tremendous efficiency. This would give information which would help to explain the mechanism of cell differentiation. The experimental details of the St.
Louis chemists' work involved treating a culture of Ad. 12 tumor cells with tritium-labeled uridine for 30 minutes at 35° to 36° C. The incorporation of uridine (in mRNA) was stopped when 0.5 volume of frozen 0.14M sodium chloride was added to the suspension. The mRNA was isolated from the polyribosomes and was then purified. If the incorporation of uridine were allowed to take place for more than 30 minutes, the label was partially introduced into the ribosomal RNA. The amount of viral mRNA was measured by the amount of hybridization with single-stranded viral DNA. (Messenger RNA from normal human, mouse, and hamster cells cannot hybridize with single-stranded viral DNA.) The double-stranded viral DNA was extracted from the virus and was separated into single strands by treating with alkali. These single strands were coupled with the viral mRNA on a nitrocellulose membrane filter. The uncoupled (normal) mRNA was washed away, and the amount of tritiated hybrid was measured on the filter with a scintillation counter.
Feds, industry drifting apart "It has become crystal clear to me that there is a growing void in the communication system" between the men who run government and the men who run business, retired chairman C. E. Reistle, Jr., of Humble Oil & Refining said last week in Washington, D.C. Leaders on both sides ought to exchange views more often on a personal basis, he suggested at the meeting of the National Petroleum Council. Too long has business relied entirely on organizations rather than individuals to carry its views to government, Mr. Reistle told an audience of state and federal officials and businessmen. Such organizations, he believes, have an important job to do. But group activities should be made to serve also as "a vital foundation . . . upon which we as individuals should build" toward putting government-industry communication on a more man-to-man basis. Workable solutions to the problems at hand come much more quickly from such a relationship, the former Humble chairman is convinced. The men who run business, he says, should treat government affairs as part of their normal responsibilities. They should come out in favor of things rather than against things. "I hold no brief for fighting rearguard actions, when we and government would derive more benefit in meeting together for some direct and cooperative frontline action." Businessmen must recognize that government makes its de-
Ex-c hair man Reistle Growing void in communication
cisions for the general good and that such decisions are unlikely to make anybody wholly happy or wholly sad. Men in government, on the other hand, should know more about the businessman's problems, Mr. Reistle suggests. They should accept more widely "their responsibility of creating a better climate" for the nation's economic system. The leaders of both government and business, Mr. Reistle proposes, must "find a better way to build together. It is our government," he says, "and we should do our best to play a constructive part in guiding it for the good of all of us."
Japan to get Alaskan gas More than $100 million will be invested overall in the project in which Japan will receive 50 billion cubic feet per year of liquefied natural gas from Alaska for 15 years, starting in 1969. Tokyo Gas Co. accepted the deal offered by Marathon Oil, Phillips Petroleum, Skelly Oil, Sinclair Oil, and Panhandle Petroleum, and the five oil companies are ready to draft a formal contract. The deal is subject to the approval of the U.S. and Japanese governments. Marathon will supply 30% of the total gas; the remaining companies will each supply 17.5%. The price of the gas, which had been a stumbling block in the contract negotiation (C&EN, Feb. 7, page 2 7 ) , is still not final, pending determination of the actual production, transportation, and regasification costs. The gas will be processed at a liquefaction plant to be built in the East Foreland area on the Kenai Peninsula JULY 25, 1966 C&EN
21
on the state's southern coast. Both mainland and offshore reserves in the North Cook Inlet area will be tapped. Gas from these reserves is more than 98% methane, so no separation of higher cuts will be necessary. Phillips will operate the gas processing plant, whose capacity will be 140 million cubic feet per day. Marathon will handle the shipments to Japan (in refrigerated tankers). The Japanese will construct receiving and storage facilities. Deliveries will be made to Tokyo Gas Co.'s Negishi plant near Yokohama. Tokyo Electric will use part of the gas at a new electric generating plant it will build at Negishi. Extensive exploration of the Alaskan fields since the discovery of oil in the North Cook Inlet basin in 1957 has uncovered 180,000 square miles of potential oil and gas fields within the state. Another 250,000 square miles of potential reserves are located in the coastal waters of Bristol Bay and the Gulf of Alaska. Exploration and development since 1957 have consumed an estimated $700 million.
Kennecott covets Peabody Coal That coal companies are emerging as attractive acquisitions is emphasized by Kennecott Copper's move to buy Peabody Coal Co., St. Louis, one of the giants of the industry, for an estimated $465 million. Officers of Kennecott and Peabody are working on terms of the acquisition agreement. Earlier this summer Ashland Oil & Refining revealed that it has been intensively studying possible coal company acquisitions for some time. And last fall Continental Oil and Consolidation Coal agreed to plans calling for Continental to buy the coal and related assets of Consolidation (C&EN, Oct. 18, 1965, page 2 6 ) . Final shareholder action on the purchase is awaiting a tax ruling from the Treasury Department. Why the surge of interest in an industry which has long had the reputation of being depressed? For one thing coal is fast coming back as a fuel. Last year some 458 million tons of soft coal were consumed domestically, primarily by the steel and utility in-
dustries. This was the highest consumption of soft coal since 1951. Another reason for coaFs new-found popularity is its potential as a source of chemicals. Work is under way on processes for converting coal into liquid feedstocks. Products obtained from such feedstock would include gasoline and a variety of chemicals. Also being studied are various processes for making pipeline gas (methane) from coal (C&EN, April 18, page 68). Pipeline gas would be used to supplement natural gas and could be competitive by the early 1970's. Peabody would cost Kennecott about $47.50 per share of common stock. This would work out to about $465 million. The actual purchase, however, wouldn't take place before next year. Terms still must be approved by both boards and by Peabody shareholders. Also to come are rulings by pertinent government agencies, Kennecott says. Kennecott, one of the world's largest copper producers and fabricators, earned $102 million on sales of $666 million in 1965. Peabody is the larg-
Industry's second quarter generally stronger than same period last year
COMPANY
NET SALES Second Second quarter quarter 1966 1965 (millions of dollars)
Abbott Laboratories $ 13.2 American Cyanamid 493.9 American Enka6 95.7 Calgon Corp. 32.8 Calumet & Hecla 83.9 Clark Equipment Co. 238.2 Corn Products 502.0 Corning Glass Works6 197.1 Du Pont 1,630.0 Fluor Corp.e 125.7 General Tire & Rubber 466.0 Hercules, Inc. 297.8 Hooker Chemical 142.7 Kaiser Aluminum & Chemical 345.4 Mead Johnson & Co. 72.0 Monsanto Co. 840.3 Owens-Corning Fiberglas 176.0 Plymouth Rubber Co.A 15.9 Polymer Corp. (Reading, Pa.) 10.0 Reichhold Chemicals 70.7 Sherwin-Williams Co.? 260.5 Syntex Corp.fc 41.1 U.S. Rubber Co. 667.0 Xerox Corp. 253.5 a b c d e /
$ 11.7 431.0 90.0 28.5 69.7 173.4 462.5 153.5 1,497.0 68.5 440.4 261.2 115.9 286.5 59.5 743.0 152.1 15.8 8.1 59.4 239.7 24.7 617.4 186.4
NET INCOME Second Second quarter quarter 1966 1965 % CHANGE (millions of dollars) +13% +15
+6 +15 +20 +37 +9 +28 +9 +84
+6 +14 +23 +21 +21 +13 +16
+1 +23 +19 +9 +66
+8 +36
Adjusted for the 2-for-1 stock split effective April 1966. 24 weeks ended June 19,1966, and June 20,1965. Adjusted for the 2-for-l stock split effective May 1. Exclusive of a nonrecurring capital gain of $1,279,499 on disposition of part of investment in associated company. Six months ended April 30. Adjusted for the 5% stock dividend and the 2-for-l stock split in 1966.
22 C&EN JULY 25, 1966
$130.4 53.8 9.6 2.7 3.7 13.9 27.0 25.4 216.0 3.4 23.7 25.4 13.5
$116.3 45.7 7.3 2.5 2.3 7.5 25.4 17.7d 214.0 1.8/ 19.2 19.6 11.4
28.2 3.5 75.8 11.0 0.8 0.6 2.9*' 11.8 14.2 24.1 39.7
18.9 2.6 73.0 9.2 1.0 0.4 1.4 10.8 7.0 19.2 27.9
EARNINGS PER SHARE Second Second quarter quarter % CHANGE 1966 1965 +12% +18 +32
+8 +61 +85
+6 +44
+1 +89 +23 +30 +18 +49 +35
+4 +20 -20 +50 +107
+9 +103 +26 +42
$1.00 1.22 1.80 0.76 1.72 1.31 1.23 3.71 4.58 1.65 1.38 1.31 1.41
$0.88 1.04* 1.37 0.68 1.07 0.71' 1.14 2.58
