It seems evident that, in spite of a large increase in exploration, the opening of several new major mines, and the renovation of others, there will be at least a few years in the seventies when demand will exceed supply. The effect of such a situation on asbestos prices should be interesting because the only real fluctuations in the remarkably stable asbestos prices have been those occasioned by inflationary trends in the general economy. Australia.—Chrysotile Corp. of Australia Pty. Ltd., Woodsreef Mines Ltd. subsidiary, prepared for its December 17 commission ing date. A 5-year, 200,000-ton contract with a Japanese firm was obtained. Active exploration of chrysotile deposits at Beaconsfield and Noddy Creek, Tasmania, as well as at Marlborough, Queensland, was underway. Brazil.-The Government, through Metas e Bases (Goals and Bases Program), was investing $9.2 million in a priority asbestos mining project. The goal is a 1973 annual production of 24,800 tons of asbestos. Mineração de Amianto S.A. was increasing production at its Cana Brava deposit, Uruaçu, Goiás. The company has indicated that its production may reach 30,000 short tons per year by 1972. Canada. Despite the first decrease in production since 1967 (2 percent), to 1,634,662 short tons, the Canadian asbestos industry gave every indication of vitality and confidence in an expanding market. Some of the areas of exploration, development and/or expansion are as follows: (1) Abitibi Asbestos Mining Co. Ltd. has determined that its Amos, Quebec, property has sufficient reserves to operate In addition to the countries listed, Czechoslovakia, North Korea, and Romania also produce asbestos, but available information is inadequate to make reliable estimates of output levels. 2 Includes asbestos flour. Includes vermiculite. 4 Exports. for 25 years at a 130-ton-per-day ore rate. Methods of financing production have yet to be ascertained. (2) Abitibi was also engaged in diamond drilling at an optioned asbestos property near Timmins, Ontario. (3) Allied Mining Corp. Ltd. optioned the Asbestos Lloyd Mines Ltd. claims in Midlothian Township, Ontario, and added others to cover a deposit of an indicated 120 million tons of 9-percent ore. An operation of 150,000 to 200,000 tons per year is envisioned. (4) Asbestos Corp. Ltd. was preparing their Ungava Peninsula property for full production in 1972. They anticipate shipping 300,000 tons per year of ore to West Germany to produce 100,000 tons per year of fibers. Since completion of the $2.5 million shaft at the Penhale Mine, Quebec, more than 2,000 feet of laterals have been dug for ore body confirmation. The world's largest underground asbestos mine could result, having an 8,200-ton-per-day production rate. (5) The Garrison Township, Ontario, deposit of Canadian Johns-Manville Co., Ltd. is now of proven commercial potential, but is on standby status pending need. The $75 million relocation and reconstruction project at the Jeffrey mine continued; completion is expected in 1973. Colombia.-The asbestos deposit at Campomento has proven reserves of 280,000 tons of ore and probably another 420,000 tons. Nicolet Industries was building a mill and expects to be in production in 1973 at a possible 60,000 tons of fiber per year rate. Greece. Cerro Corp. says that preliminary reports indicate marketable fibers can be produced from the 50-million-ton Zindanion deposit. A 1975 operation of 50,000 tons per year of fiber is proposed. India.-Johns-Manville Corporation is assisting an Indian company toward development of two deposits. Mexico. The Ciudad Victoria deposit soon to be brought into production by the government-owned Companía Nacional de Asbestos, S.A. has an outlined ore body of 6 million tons with 10 percent recoverable fibers. Tests continued at the Oxaca deposit, partially owned by Freeport Minerals Co. The drilling work so far has shown better than 80 million tons of ore of medium and short fibers. Table 2.-Barite (primary) sold or used by producers in the United States, by State (Thousand short tons and thousand dollars) W Withheld to avoid disclosing individual company confidential data, included with undistributed. 1 Data may not add to totals shown because of independent rounding. DOMESTIC PRODUCTION Barite was mined in seven States in 1971. Production in Alaska, Arkansas, Georgia, Missouri, and Nevada accounted for the bulk of the total output. Missouri continued as the largest barite producer and supplied 28 percent of the national tonnage. Ground and crushed barite was produced in 11 States; sales were down 4 per cent from 1970. Leading producing States were Arkansas and Missouri (from domestic barite) and Louisiana and Texas (from imported barite). Ground and crushed barite was also produced in Alaska, California, Georgia, Missouri, Nevada, Tennessee, and Utah. 1 Industry economist, Division of Nonmetallic Minerals. CONSUMPTION AND USES About 77 percent of the ground and crushed barite produced in the United States was used as a weighting agent in oil and gas-well drilling muds. Barite sales for this use were less than in 1970 because of decreased drilling activity. A 21,000-ton increase was recorded for other uses combined, which included applications in the glass, paint, rubber, and barium chemicals industries. Major producers of barium chemicals from barite included the following: Chemetron Corp., Huntington, W. Va.; Chemical Products Corp., Cartersville, Ga.; The Great Western Sugar Co., Johnstown, Colo.; Inorganic Chemicals Division, FMC Corp., Modesto, Calif.; Mallinckrodt Chemical Works, St. Louis, Mo.; PPG Industries, Chemical Division, New Martinsville, W. Va.; and Sherwin Williams Chemicals, Coffeyville, Kans. PPG Industries announced it would close the barium plant at its New Martinsville, W. Va., complex at the end of 1971 and go out of the barium chemicals business.2 The facilities were constructed in 1962 and produced principally television-grade and ceramic-grade barium carbonate. The company said that conversion by tube manufacturers from barium carbonate to strontium carbonate for color television tubes and greater imports of black-and-white television sets drastically reduced the demand for domestic barium carbonate. Other factors cited for the shutdown were excessive industry expansion, lack of growth for ceramic-grade barium carbonate in the brick and tile industry, and depressed markets for barium chloride, used in the manufacture of barium sulfate, sodium, dyestuffs, printing inks, and heat-treating salts for tool steels. 2 Chemical Age. PPG Withdraws From Barium Chemicals Business. V. 103, No. 2726, Oct. 15, 1971, p. 16. 2 Uses reported by producers of ground and crushed barite, except for barium chemicals. Quantities reported by consumers. 4 Included with other uses to avoid disclosing individual company confidential data. Table 4.-Barium chemicals produced and sold by producers 1 in the United States in 1971 1 Only data reported by barium chemical plants that consume barite are included. 2 Includes black ash, blanc fixe, chloride, hydroxide, oxide, peroxide, sulfide, and other compounds for which separate data may not be revealed. Black ash, 1 plant; blanc fixe, 2; chloride 3; oxide, 1; peroxide, 1; and sulfide, 1. |