concerned, Commonwealth Edison already has purchased its supply through 1980 at prices generally below $8.00 per lb of yellow cake (the raw uranium concentrate). Through the purchase of a fuel processing company and ownership of captive mines, it expects to maintain its low fuel costs through at least 1990 and perhaps longer. The slowdown or elimination of a domestic fuel reprocessing industry, Corey says, may make it necessary for power companies to seek a financial rebate from the government, since most of the designs and costing procedures now in use have assumed fuel reprocessing in the future. At a minimum, the power industry would like the Energy Research & Development Administration or some other agency to take the spent fuel off the hands of the power companies. D
NIOSH cracks down on job cancer risk The Senate Labor Subcommittee last week held special hearings to explore the question of how well informed workers are of the risks they encounter in their daily jobs, particularly of the possibility that they may be or have been exposed to carcinogenic substances. The answer, apparently, is not well at all. National Institute for Occupational Safety & Health director John F. Finklea told the subcommittee that there are potentially 600,000 workers who are or have been exposed to one or more of the 16 carcinogens regulated by the Occupational Safety & Health Administration. But very few of these workers are aware of this. NIOSH itself has told only workers it examined of their exposure to carcinogens. Finklea says he expects that other workers employed at the plants NIOSH studied also would be informed of their exposure either by management or unions. However, he would not expect workers employed at other plants dealing with the same substances to be so informed and most certainly not persons who once worked in the plants but either have changed jobs or retired. However, NIOSH is instituting a number of measures that it hopes will alleviate, if not solve, the problem. For example, Finklea says that NIOSH will start notifying all employees whose medical records are submitted to the agency under provisions of OSHA carcinogen standards of their potential exposure to cancer-causing agents. And, he adds, the agency soon will propose regulations that will enable it to require 6
C&EN May 16, 1977
Finklea: 600,000 workers exposed
employers to provide their employees with medical examinations at NIOSH expense, where necessary. In an attempt to warn other workers of their possible exposure to carcinogens, Finklea says NIOSH soon will notify companies that it intends to make public any information in its possession on the presence of an OSHA-regulated carcinogen in a tradename product. Companies will have 15 days after notification to appeal the decision. Although believing that notification of possible exposure to carcinogens is necessary, Finklea also says that such notification should be followed by counseling services and medical examination, implying that notification alone might do more harm than good. And neither NIOSH nor any other federal agency, he says, has the authority, manpower, or money necessary to do this. D
Ashland may acquire interest in Corco Ashland Oil, the erstwhile redeemer of ailing Commonwealth Oil Refining Corp., will spend the next four months deciding again whether Corco stands a chance of being saved (C&EN, May 2, page 10). In the best tradition of a southern fundamentalist preacher, the Kentucky-based oil and chemical producer will evaluate the past sins of Corco while giving it a trial during which it must prove to Ashland it is worthy of salvation. In the end Ashland just may own Corco's soul. As part of the evaluation, Ashland must be satisfied that Corco can achieve more equitable product contracts with long-term customers and that it can reach a mutually satisfac-
tory agreement with the Puerto Rican government on product price, import duties, and future tax considerations. If Ashland believes that Corco can be made economically sound, Ashland may invest $50 million in a new series of preferred stock that will be convertible at $3.00 per share into about 49% of the then equity of Corco on a fully diluted basis. Ashland also will have a five-year option to purchase the 5.5 million snares of common stock held by Tesoro Petroleum. These shares currently represent a 37% interest in Corco. Ashland also has agreed to supply Corco's Puerto Rican refinery with feedstock to keep it operating over the next six months. Ashland will keep title to its crude stored in leased terminal facilities until sold to Corco and paid for on a daily basis. As part of the package, Corco has reached a number of agreements with creditors and other interested parties. The Puerto Rican government has agreed to give Corco a $15 million line of credit. Citibank N.A. will provide about $20 million to Corco secured by current assets and along with other banks will defer payments on longterm loans totaling about $200 million. Deferred repayment plans have been worked out with crude oil suppliers. Tesoro will defer payments on a $50 million loan. This is not the first time Ashland has tried to acquire an interest in Corco. Ashland was involved in 1975 in the tender battle that ended in Tesoro's owning 37% of Corco. At that time Tesoro paid $14.25 per share, or more than $78 million, for its 37% interest. By waiting two years, Ashland will be able to pick up 49% ownership of Corco and more than 65% if it chooses to acquire Tesoro's share. Ashland's move in Puerto Rico, which is a tax haven for the petrochemical industry, comes just two months after the company's executive vice president, John R. Hall, told the American Institute of Chemical Engineers meeting in Houston, "There is still a lot of known oil in the world and perhaps a lot more to be found." Although Ashland will not comment on its future plans, the question must arise: Does it see the world price of oil easing? If there is a surge of new oil from the North Sea, Venezuela, Mexico, and other countries that would force down price increases or even level off the world price compared to domestic price, Ashland just might be in the catbird seat with a Puerto Rican refinery. •
