The CHAIRMAN. Germany does not know anything more about it than we do. Major BURNS. Germany has been in the business longer. They must know more about it, because in operating a plant you get a lot of experience. The CHAIRMAN. Yes; I think that is true, but so far as chemical knowledge of things is concerned, has Germany any advantage over us at all? Major BURNS. In my judgment, Germany has. I think Germany is doubtless the foremost scientific country in the world. I think she has been the leader in science-especially chemical science. The CHAIRMAN. I think she has, but our men have been through the plants and seem to know just what they are doing. Major BURNS. Yes; but there is a big difference between going through a plant and inspecting it, getting data on it, and actually operating it and getting the wonderful knowledge that goes with curing the troubles that constantly develop. The CHAIRMAN. That would be true. When we started to make it we would find our troubles, and we could handle them the san as she could. Major BURNS. I am not arguing that we can not develop, but I am arguing that we are not as far developed right to-day as Ger many is. Mr. Ernst, the chief of the engineering division of the Fixed Nitrogen Research Laboratory, has developed the estimates of the costs of producing fertilizers at Muscle Shoals, which follow. Mr. Ernst has been engaged in nitrogen fixation work for some years. He is a careful and accurate worker, and I believe that his figures are as good as can be obtained. It must be remembered, however. that his figures have not been fully proven by plant erection and operation. I will insert here Mr. Ernst's letter and the tables submitted therewith: Maj. J. H. BURNS, Washington, D. C. MAY 23, 1924 DEAR MAJOR BURNS: In accordance with your request, I submit for yo use the attached cost estimates. In order to simplify the conversion of these costs to conform to power various rates, these estimates were based on one mill power. Very truly yours, F. A. ERNST. Chief, Engineering Division. Estimates of cost of producing nitrogen materials at United States nitrate plant No. 2, using present equipment for fixing nitrogen [These estimates do not include any allowance for interest on capital, depreciation, and obsolescence, or taxes and insurance on the present plant and equipment at United States nitrate plant No. 2, but do include these items as shown on the cost of new plant. Sales expense is not included.] In accordance with contract, royalties of American Cyanamid Co. amount to $30 per ton of nitrogen fixed, but are subject to arbitration upon request of either party. Royalty to Air Reduction Co. until January, 1931, is $2.72 per ton of nitrogen fixed; after that date there is no royalty charge. * For each mill increase over the 1 mill in the cost of power add $2.81 to this total. 1 For each mill increase over the 1 mill in the cost of power add $11.44 to this total. III. AMMONIUM SULPHATE 1 134. 04 Additional plant required for sulphate manufacture and storage $16 per annual ton of product. 2 For each mill increase over the 1 mill in the cost of power add $2.98 to this total. Estimates of cost of producing nitrogen materials at United States nitrate plant No. 2, using present equipment for fixing nitrogen—Continued 1 For each additional mill increase over the one mill in the cost of power, add $3.98 to this total. A ton.. do. 0.858 $48.83 .230 134.04 kilowatt hours.. 25 001 1,860 285 1 For each additional mill increase over the 1 mill in the cost of power add $6.07 to this total. VI. AMMONIUM PHOSPHATE. 1779 This cost for phosphoric acid taken from page 16 of United States Department of Agriculture Bole 1179, making allowances for power at $0.001 per kilowatt hour, instead of $25 per horsepower year and adding capital charges; 6,000 kilowatt hours were used per ton of P2Os. If the fuel fired furnace proves successful as is indicated on page 47 of United States Department of Agriculture Bulletin 1179, the east p ton of ammonium phosphate will be decreased $7.81, or to $50.44. Additional plant required for phosphate manufacture and storage, $15 per annual ton of product. -3 For each mill increase over the 1 mill in the cost of power add $5.51 to this total. Estimates of cost of producing nitrogen materials at United States nitrate plant No. 2, using present equipment for fixing nitrogen-Continued 1 Additional plant required for urea manufacture and storage, $27.50 per annual ton of product. * For each mill increase over 1 mill in the cost of power, add $7.18 to this total. Estimate of cost of fixing nitrogen as ammonia by the direct synthetic ammonia process [These estimates are based on operation at 300-atmosphere pressure and using the catalyst and process developed at the Fixed Nitrogen Research Laboratory.] Initial cost of plant taken at $200 per annual ton of ammonia, divided equally between electrolytic ce 1 equipment and synthesis equipment. 2 For each mill increase over the 1 mill in the cost of power add $16 to this total. Initial cost of plant taken at $300 per annual ton of ammonia, divided, $100 for synthesis equipment and $200 for gas production and purification. * For each mill increase over the 1 mill in the cost of power, add $3.70 to this total. Estimates of cost of producing nitrogen materials at United States more plant No. 2, using present equipment for firing nitrogen-Continued X. USING ELECTROLYTIC HYDROGEN AT UNITED STATES NITRATE PLANT NO 1 Initial cost of new plant taken at $160 per annual ton of ammonia, thus giving to the present equa ment and new plant a value of $40 per annual ton of ammonia when incorporated into the new plant. For each mill increase over the i mill in the cost of power, add $16 to this total. XI. USING WATER-GAS HYDROGEN AT UNITED STATES NITRATE PLANT NO Initial cost of new plant taken at $140 per annual ton of ammonia, thus giving to the present equipo and plant a value of $160 per annual ton of ammonia when incorporated into the new plant. 2 For each mill increase over the 1 mill in the cost of power, add $3.70 to this total. 1 For each additional mill increase over the 1 mill in the cost of power, add $6.69 to this total. 1 For each additional mill increase over the 1 mill in the cost of power, add $9.45 to this total. XIV. AMMONIUM SULPHATE 1 For each additional mill increase over the 1 mill in the cost of power, add $4.15 to this total. Cost |