WORLD WIDE CHEMISTRY - Chemical & Engineering News Archive

Nov 5, 2010 - Eng. News , 1953, 31 (17), pp 94–95 ... Today there is no world shortage of lead, zinc, copper, or tin. ... availability of metals bot...
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WORLD W I D E CHEMISTRY W a n i n g A m e r i c a n stockpile needs affect w o r l d output and movement of strategic metals . . . Brazil plans production of methane '"ip HE peace move in Korea has inevitably -*• affected the base metals more sharply t h a n other commodities since they have occurred at a period of -general uncertainty in metal markets. Also b e c a u s e of t h e vital part they play in strategic stockpiling they are regarded as particularly vulnerable to any easing of international tension. T o d a y there is n o world shortage of lead, zinc, copper, or tin. En each case 1952 reverses the former shoirtages. In this change U. S~ consumption was a crucial factor. Increased availability of metals both in America and elsewhere in 1951 brought about a measure of overstocking and the release of part of these stocks coincided with the easing of consumer demand in t h a t country. Another factor was the deelinirag d e m a n d for zinc which accompanied t h * U . S. steel strike last year. But probably tHe most important of all in its influence on metals has been t h e waning American stockpile needs. T h e U. S. will in future be stockpiling the leading base metals at a r e d u c e d rate, although t h e withdrawal from t h e markets will b e gradual rather than sudden. American stocks of base metals "together with estimated U. S. supply during total mobilization and under rigid economic controls, could m e e t the needs of w a r without serious danger to national security." This will undoubtedly militate a-gainst any considerable recovery in prices. On t h e other hand!, there are factors which place a limit to a n y falls. With lead, for example, a further market fall would have a serious effect on production, especially with smaller operators outside the United States and Canada. T h e Paley Report, however, envisaged a n increasing d e m a n d for lead in future y e a r s , which can only b e met by stepping u p o u t p u t . At a lower price than exists at present this increased production co*uld not b e achieved even though t h e resources exist to b e developed. This is also true of zinc. W i t h it there is not only likely to b e an increasingly long-term need, but Aanerican consumption this year will probably exceed t h a t of 1952. T h e lower price of zinc has already caused some of the smaller producers to curtail mine output, and this tendency could spread if the pzrice fell m u c h below its present level. For tin and copper* the position is more obscure. The level, of tin prices is governed mainly by the activities of the U. S. where t h e Reconstruction Finance Corp. is absorbing t h e w o r l d surplus by buying for t h e stockpile. For copper, equally, the d u a l pzrice of Chilean and U. S. domestic copper ( t h o u g h t h e latter is n o w freed from control) a n d t h e existence of control in IBritain, prevents the emergence of a valid- world price. Copper

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was the last of t h e base metals to remain short. Now supplies are more than a d e q u a t e for nonnal world needs, and it is generally considered that when free dealings are restored in London t h e price of copper will fall. It would be hazardous to predict t h e extent of this decline, si**ce, though production of copper, especially in the sterling area, is expected to rise this year, there is still a firm demand for this metal at an economic price. At present there is a considerable competition from aluminium. T h e fact that prices of several commodities—lead, zinc, and rubber—are already below pre-Korea levels is reflected in lower quotations of shares of base metal and rubber producing companies. This means less income for the sterling area for some of its important dollar earners. But there is another, more favorable, side to the picture. If raw materials do settle down at lower prices this will make a lot of difference to manufacturers. Their costs will go down and give them a c h a n c e to reduce prices to the ultimate benefit of the consumer.

Methane Gas to Be Produced in Brazil A small pilot plant which will produce m e t h a n e gas is being designed at the Northeast Agricultural Institute in Brazil.

T h e unit will be located in Brazil a n d m a y b e t h e forerunner of large-scale m e t h a n e gas activities in South America* T h e gas will b e produced from vegetal residues such as dried leaves, fiuit skins, garbage, and other materials. Production wall b e 36,000 c u b i c feet a m o n d i . T h e new plant, which, it is said, will p r o d u c e m e t h a n e gas for t h e first time in South America, will represent an adaptation of those widely used in Europe. France, for instance, has 600 plants now supplying m e t h a n e gas to country properties for power, light, and heating. Brazilian experts see t h e new process as a convenient source of fuel for local production of electricity a n d for h e a t i n g p u r poses in regions w h e r e line electric power is not yet available.

British Talk of Public Ownership of Chemical Industry T h e possibility that the next L a b o u r government will establish some fopm of public ownership of sections of the chemical industry, a n d especially of Imp ~^iai Chemical Industries, Ltd., w a s rec itly discussed in E n g l a n d when for t h e first t i m e representatives of t h e Labour working parties met with t h e economic committee of Trades Union Congress. Ever since the publication of " L a b o u r Believes in Britain" in 1949 this party has regarded the chemical industry as ripe for public ownership. This pamphlet has t h e following passage about the chemical industry: "As supplier of raw materials it is as basic to t h e national economy as coal or steel. As supplier of fertilizers it is vital to t h e expansion of agriculture at h o m e a n d in t h e colonies. As manufacturer of w a r materials it is vital t o national defense. As a large investor of capital it exerts a powerful influence over the level of em-

First Unit of India's " T V A " Completed Prime Minister Nehru ( r i g h t ) praised the American engineers a n d their technical skills at the recent dedication of the Bokaro steam p o w e r plant n e a r Calcutta. H a r r y A. Kuljian ( c e n t e r ) , Philadelphia engineer whose firm designed a n d built t h e $35 million plant, was c o m m e n d e d by N e h r u for completing t h e gigantic p o w e r project i n record time, a n d it was also said that t h e completion of this " T V A " project w o u l d m a k e possible an immense industrial build-up for this whole area of c e n t r a l India

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ployment. And it contains a number of monopolistic concerns such as ICI, Ltd., which play a decisive role in the national economy. If it should prove necessary in order to assure vital national interests Labour will, in the light of the policy declared above, transfer to public ownership any appropriate sections of this key industry." The party's consultations with the TUC have now been completed, and the work of drafting the new policy statement will be carried out in preparation for the special week-end meeting of the Labour party executives the last week in April.

Lignite Investigated in Madras An experimental project for exploitation of lignite deposits in Madras State has been inaugurated and is expected to cost $1.6 million. Its object is to investigate the prospects of commercial mining. It is estimated that Madras has 2000 million tons of lignite spread over an area of 100 square miles. The lignite has been found of high quality.

India. Prof. Kicardo from Britain will advise the committee in its work. The government has accepted the council's recommendation to set up a national development corporation on lines similar to those in the U. K., U. S., and Canada. Its chief function will be the establishment of pilot plants and semi-large-scale production units to form a link between research and industry. One of the projects agreed upon for pilot plant investigation was the smelting of iron ore by the low-shaft furnace process without use of coking coal. This will facilitate establishment of this basic industry in parts of the country where iron ore of the requisite quality is abundant, but coking coal resources are lacking. The council also approved the creation of an electronics and radio research institute at Pilani, Rajasthan, and will de-

velop the Sikandarabagh Garden at Lucknow into a national botanical garden for experimental cultivation and surveys a n d studies of economic plants.

Israel investigates Peat Utilization The government of Israel is intensifying its experiments on the possible utilization of peat as a source of chemical ra\v- materials, says Foreign Commerce X&eekly. However, iarge-scale development of peat probably will not b e feasible until work at Huleh has been completed. C&EN Foreign Correspondent Contributing to This Issue: V. S. SWAMINATHAN, Britain,

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India Fixes Chemical Export Quotas The government of India has fixed overall quotas for export during the first half of 1953 for sodium bicarbonate, anhydrous ammonia, potassium nitrite, naphthalene, potassium bromide, aluminum sulfate, ammonium carbonate, and ammonium bicarbonate. Export of indigenous ammonium chloride, caustic soda, sulfur, and sodium carbonate will also be permitted in small lots.

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U. K. Reports Potash Mining Prospects Details of a report on the prospects of mining potash in the Whitby area, prepared by Imperial Chemical Industries and Fisons for the British government are now available. The opinion of the experts who have been examining the problems involved is that two shafts would be required, and that men would have to work three quarters of a mile below the surface. The shafts would cost between $6 million and $11 million. Deposits are believed to be sufficient to meet domestic needs for 50 to 100 years, and as Britain is spending more than $14 million annually on material yielding 200,000 tons of potash, there is a feeling that the government might go ahead with the Whitby scheme. The mines would be highly mechanized, and hence require only a small labor force.

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India t o Set Up Development Corporation

• J u k e s . T. H . , Broquist. H . P a n d Stokstad, E ••Snell.

The governing body of the Council of Scientific and Industrial Research met in New Delhi last month under the chairmanship of Premier Nehru. It appointed a special committee with J. R. D. Tata as chairman, H . J. Bhabha, D. S. Kothari, K. S. Krishnan, and J. C^ Ghosh as members, to examine the possibilities of research, development, and manufacture of gas turbines and jet propulsion engines in V O L U M E

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