CHEMICAL AND ENGINEERING
N0EWS
the newsmagazine off the chemical world VOLUME 38, NUMBER 1
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JANUARY 4, 1960
Nitrogen Output Explained Large jump in nitrogen gas production last year stumped many experts; here's a partial answer HAT is behind the 105% increase in nitrogen gas production reported in 1959? This question has puzzled many market researchers and sales executives in the industrial gas business. Estab lished uses for nitrogen, though grow ing, could not be responsible for such a huge increase. Now an explanation is at hand. The extra nitrogen is going into fertilizers—an application not ordinarily included in the production figures published by the Government. Output of nitrogen gas in 1958, as reported by the Bureau of the Census,
came to 6.6 billion cubic feet. When the 1959 total comes out it will be about 13.5 billion cubic feet. Monthly pro duction figures for 1959 show that a large part of this increase was not caused by normal growth. For more than a year prior to April 1959, monthly nitrogen production, though on the up swing, held fairly steady in the 500 to 700 million cubic foot range. In April, output zoomed to 1.2 billion cubic feet and has maintained that pace ever since. What happened in April? One gas
producer started up a large liquefac tion-fractional distillation plant. The nitrogen portion of the plants output was sold to make fertilizers, and produc tion figures were duly reported to the Government. This is the part that has caused the confusion. Although a sub stantial amount of nitrogen is used in chemicals synthesis, this nitrogen ordi narily is not included in published re ports. The nitrogen plant in question tinned out about 4.5 billion cubic feet in 1959. If this amount is deducted from the
Nitrogen Production Shows Steady Climb 14 12 ( includes nitrogen going into — fertilizers and other chemicals ) Φ
10
u. ο 2 3
Ο »*-
Β
Ο (Λ C
Ο
m
6 4 2 0 1 1952
I 1953
! 1954
I 1955
I 1956
I 1957
I 1958
I 1959
Source: Bureau of the Census
JAN. 4, I960 C & E N
19
year's total, then nitrogen shows about a 36% production gain, not 105%. • Steep Growth Curve. The normal uses for nitrogen are rapidly pushing the gas upward along a steep growth curve. As late as 1954, production was only 2.4 billion cubic feet. Much of nitrogen's growth is based not on what it does, but on what it does not d o allow oxidation. As an inert blanket, nitrogen plays a part in such diverse areas as chemical manufacturing, metalworking, making light bulbs, and assuring the freshness of canned coffee. Sub-
Nitrogen Output Spurted in April 1959 Billions of Cubic Feet
Month
Jan. Feb. March April May June July Aug. Sept.
0.65 0.62 0.70 1.22 1.34 1.29 1.22 1.39 1.24
SOURCE: Bureau of the Census
stantial amounts are also used in pressure testing of missile components. One end use breakdown by industry goes like this: chemicals, 4 0 % ; electronics, 20%; aircraft, 10%; oil refining, 6%; Government, 5%; utilities, 4%, and miscellaneous, 15%. Food processing, which now accounts for roughly 2% of nitrogen output, is one of the bright spots for growth. Increased consumption in metal working, electronics, and missiles, as well as steady growth in chemical processing, also contribute to a rosy outlook for nitrogen. Liquid nitrogen often ends up in unusual applications. For instance, in making some inflated plastic toys, a pellet saturated with liquid nitrogen is placed inside the toy just before the two halves are cemented together. Vaporizing liquid inflates the toy. Nitrogen is attractive in many applications not only because it is inert and has a low boiling point, but also because it is one of the least expensive of industrial gases. As with most gases, price varies depending on quantity. Based on value of shipments, the average price of nitrogen in 1959 was 42 cents per 100 cubic feet. However, price can dip to 25 cents for volume users supplied from on-site plants. 20
C&EN
JAN.
4,
I960
Federal R&D Outlays Continue Climb Emphasis is on development, with spending for basic research due to rise only 1 % in fiscal 1960 .FEDERAL SPENDING for
research
and
development continues its upward swing, will hit $7.7 billion in fiscal 1960. This is an increase of 7% from fiscal 1959 levels, and 40% higher than in fiscal 1958. These are the findings of the latest National Science Foundation survey of government R&D operations. Most of the government's spending for R & D - 7 7 % in fiscal 1959-goes for development. NSF says the situation will be much the same in 1960. Spending for development in 1960 will be 5% higher than in 1959. The Government will spend $1.6 billion for research in fiscal 1960, 10% more than in fiscal 1959. Two thirds of this total will go for applied research, NSF estimates. Outlays for basic research in fiscal 1960 will be a shade below half a billion dollars and only 1% higher than in 1959. This is in sharp contrast with the 47% gain posted by spending for basic research in fiscal 1959. NSF's totals for fiscal 1958 and 1959 in the present survey are revised values and are substantially higher than totals reported for these years in previous surveys. The reason, says NSF, is because the definition for development has been revised and expanded "to achieve greater comparability" of the government's data on R&D with those compiled by NSF on similar activities by other segments of the economy. The change was made at this time because the Defense Department is now operating under a revised appropriation structure for R&D. • Steady Climb. The federal R&D budget first crossed the billion dollar level in 1949 and has shown an almost unbroken upward trend since. If outlays for increase of R&D plant are included, the total for fiscal 1960 reaches S8.1 billion-nearly 11% of the total U.S. budget. In 1949, federal R&D outlays were only 2.8% of the total U.S. budget, and even as recently as fiscal 1958 only about 8% of the budget was ticketed for R&D. • DOD Is Kingpin. About 75% of all the government's spending for R&D in fiscal 1960 will be done by the Defense Department. In fiscal 1958, D O D accounted for 80%. DOD, plus
the Atomic Energy Commission, and the National Aeronautics and Space Administration accounted for 92% of all R&D by the Government in fiscal 1959. DOD funds earmarked for R&D have grown by 32% since fiscal 1958; but even this performance takes a back seat to that being put on by NASA, whose 1959 R&D program was four times bigger than in 1958, with 1960 outlays scheduled to rise 40% higher than in 1959. • Research Gains. Government spending for research, both applied and basic, increased 7 1 % from fiscal 1956 to fiscal 1959, and fiscal 1960 figures are 11% higher than for fiscal 1959. Five agencies—DOD, Department of Health, Education, and Welfare, AEC, NASA, and Department of Agriculture, in that order—will account for 90% of all government research in fiscal 1960. DOD alone will do 44%, with second ranked H E W doing 16%. While all research was gaining-71% since 1956, basic research spending increased 143%. Gains for fiscal 1960 over 1959 will be slight, says NSF. Since fiscal 1956, basic research outlays have increased from one fourth of all research to nearly one third. Still, basic research outlays add up to only about 7% of total government spending for R&D. Only four agencies—DOD, AEC, NASA, and H E W - a c c o u n t for 75% of all basic research outlays by the Government. DOD will do 23% in fiscal 1960, says NSF, with AEC matching this. About 69% of federal basic research in 1959 was in the physical sciences; little change is due in 1960. • Most Farmed Out. About 77% of the government's R&D in 1960 will be done by outside organizations, according to the NSF survey. Profit organizations will do 8 5 % of this extramural work, with educational institutions running a poor second, doing 12%. The reason most of the work is farmed out to profit organizations: Much of it is development. The picture is different for research. For example, educational institutions do about half of the government's basic research; profit organizations do only 5%. And the Government does 37% of its basic research itself.
