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By Alden Greninger

TWINNED metal crystals are usually designated as either deformation twins or annealing twins. If twins are to be classified according to the treatment the metal has undergone just prior to the obser vation of the twins, there are two other possible groups: (1) solidification twins,? when observed in the as-solidified or as-cast condition, and (2) transformation twins, ? when observed in a metal which has been cooled from above an allotropic transformation temperature. McKeehan has demonstrated that ferrite does, occasionally at least, contain twinned structures2. The twins, which he studied by optical methods, were obtained during the preparation of iron single crystals by very slow cooling through A3. He proved that the twin relation was actually that which previous investigators had predicted; namely, twinning along three planes of the form {112}. Since McKeehan's discovery, little or no attention has-been given to this transformation twinning of alpha iron, or to the possibility that it might occur at all speeds of cooling from above A3 instead of merely during the prepara-tion of single crystals. McKeehan's twins were evidently regarded as interesting only in proving that a body-centered cubic metal could form twinned structures-at least under certain conditions. It is generally believed that iron seldom if ever forms annealing twins. Certainly the straight-line banding which is so abundant in annealed face-centered cubic metals is characteristically absent in iron annealed below A3. However, O'Neill3. has studied "twin-like" crystals in annealed alpha iron and concludes that the specimen he studied actually

Jan 1, 1936

By A. W. Gauger

Coal as mined contains varying quantities of inorganic components (mineral matter) which, on combustion, produce the residue known as ash. It has long been realized that the weight of this residue does not equal the weight of the mineral matter originally in the coal, because of the chemical changes that take place during the ashing process. Moreover, the ordinary ash analysis presents the ash as a mixture of oxides with little or no clue to the identity of the mineral species originally present in the coal. It is only for pyritic sulfur that an attempt is made to determine a mineral component. So far as the authors are aware, there are practically no experimental data in the literature as to the percentages of the different mineral species present in coal. The oft-quoted table of Marson and Cobb1 cannot rightly be considered as data, since the authors merely state that the table "shows the probable forms in which these ash constituents exist in coal." In view of the attempts to calculate analyses and determinations of the calorific equivalent of coal to the mineral-matter-free basis, as well as the importance of the mineral species in clinkering, combustion and coking, it seems strange that so few data are available on this phase of coal technology. For example, numerous empirical corrections for use in the scientific classification of coal have been suggested to compensate for the losses from the mineral matter during ignition of the coal to ash. These include multiplication of the ash percentage by various factors such as l 1/10 and 156, the use of the Parr unit coal formula (1.08 A + 22/40 S, where S = total sulfur) as well as certain modifications of the Parr formula that attempt to correct for the organic sulfur present in the coal. Although many experiments have been made to determine the loss on ignition of the clays associated with the coal measures and correction

Jan 1, 1934

By A. L. Holley

The members of the society are doubtless aware that the production of American Bessemer steel works is constantly increasing; that the same converters and machinery are doing more work every year. This enlarged output is due to various causes, chiefly the following: 1st. Better organization—better knowledge on the part of both managers and men, of the plant and the process; of the way to economize the more exhausting labor, and of the arrangement of the details of labor and operations so that they shall not conflict; also, more pluck—a greater willingness to take risks, or, more properly, such an intimate knowledge of the nature and capacities of the refractory linings in various stages of disrepair, and the probable be- . havior of the fluid metal at various stages of its treatment, that the precise nature of the risk may be better known, so that the works may be crowded to their full capacity. In the early practice, after getting four or five consecutive heats in a day, the men preferred to " let well enough alone," and to devote the remaining time to preparation for another turn. Now, thirty, and sometimes forty heats are regularly made during the twenty-four hours, day after day, without the frequent occurrence and without the fear of breakdowns or " messes," as the spilling of steel charges was graphically named in Sheffield. 2d. Although no new refractory materials have been developed, improved means of preparing such as we have, and of imbedding

By Robert L. Marovelli

A recent reorganization placed the health and safety research activities of the Bureau of Mines under a director, Division of Minerals Health and Safety Technology. The new health and safety research organization and its position in the Bureau hierarchy is shown in Table 1.

Jan 11, 1979

By A. Gatti, R. L. Fullman

A very fine dispersion of aluminum oxide is produced by internal oxidation of solid-solution alloy of 0.14 pet A1 in Ag. The particle size of the aluminum oxide is approximntely 50 to 100A in radius. The yield strength of the alloy is increased markedly by internal oxidation. A further increase in strength is produced by cold working the internally oxidized alloy. Recrystallization is retarded by the finely dispessed aluminum oxide particles, so that the strength increase resulting from cold work is retained on annealing at temperatures 14 to about 700°C. MANY workers'-3 in the past have studied various aspects of the internal oxidation of aluminum-silver alloys. This paper is an extension of these studies with emphasis placed on the effect of time and temperature of annealing on the strength of these alloys after oxidation and subsequent cold working. Two general conditions are necessary to internally oxidize an alloy. First, oxygen must diffuse through the base material more rapidly than does the addition; otherwise oxidation will take place as a surface layer. Secondly, the affinity of oxygen for the addition must be greater than for the base material. After internal oxidation of certain alloys takes place, a marked increase in hardness accompanied by higher yield stress and improved creep properties is noted, presumably as a result of the highly dispersed oxide within the base material. Meijering and Druyvesteyn1 also noted that the internally oxidized portion of a partly oxidized alloy failed to recrys-tallize under annealing conditions that led to coinplete recrystallization of the unoxidized part. EXPERIMENTAL-METHODS AND PROCEDURES Few alloys can be made to contain a second phase that is extremely stable at high temperatures. Silver plus aluminum in solid solution was chosen for these internal oxidation studies because of the high rate of oxygen diffusion through silver and the very stable nature of aluminum oxide. Two alloys were vacuum cast. The nominal compositions were: Alloy A—1 pct Al, balance Ag; Alloy B—0.1 pct Al, balance Ag. Chemical analysis, which does not distinguish between aluminum and aluminum oxide, showed the conlposition to be: Alloy A—1.6 pct Al, and Alloy B—0.14 pct Al. The ingots were machined for surface cleaning, swaged and drawn to 0.020-in. diam wire. A sample 20 ft long of the 0.020-in. dianl wire of each composition was annealed 24 hr at 800°C in pure dry hydrogen. Each wire was then cut into two equal pieces. Photomicrographs of the 0.14 pct A1 alloy are shown in Fig. 1, the annealed 0.020-in. wire at the left and the oxidized wire to the right. The oxidation treatment for the first set of data was 1000 hr at 800°C in air. After this treatment the 1 pct A1 proved to be brittle. It is assumed that high alunlinum oxide concentration at the grain boundaries was responsible. The 0.14 pct Al wire remained ductile and all further data were derived using this alloy. One-half of this wire, about 5 ft, plus 5 ft of as-homogenized wire, was then drawn cold to 0.005 in. diam. All tensile tests were conducted with an Instron Engineering Corp. tensile-testing machine, Model TT-B. Unless otherwise indicated, the tests were made at room temperature with a strain rate of 0.1 per min. All metallographic samples were etched with an aqueous solution of 2 pct each of CrO3 and H2SO4 . EXPERIMENTAL RESULTS AND DISCUSSION PARTICLE SIZE DETERMINATION A study was made of the particle size of the aluminum oxide produced in the samples of Ag + 0.14 pct Al, oxidized 1000 hr at 800°C. A cross section of the as-oxidized wire was mounted in bakelite, polished, and etched with an aqueous solution of 2 pct each of CrO3 and H2SO4. The specimen was then thoroughly cleaned by stripping successive coatings made by applying 10 pct nitrocellulose in amyl acetate. The final replica of the cross section was made by applying 2 pct nitrocellulose in amyl acetate. The replica was stripped, transferred to a copper screen, shadow cast with chromium at 10 deg and photographs taken using a Phillips Metallix electron microscope at an accelerating potential of 100 kv. A photograph of an etched sample of the as-oxidized material is shown in Fig. 2. We believe the pits in the photograph are places were A12O3 inclusions were sitting in the matrix. By inspection, it appears that the volume fraction ob-

Jan 1, 1960

Correlation between Metallography and Mechanical Testing By H F MOORE (Henry Marion Howe Memorial Lecture Trans, vol 120 11,000 words ) The lack of effective correlation between metallography and mechanical testing from the days of Reaumur to the present is noted, and two general problems of such cor¬relation are stated (1) the correlation of qualitative test results with quantitative, and (2) the correlation of average results with maximum or minimum results Some correlation has been achieved, notably in the field of heat-treatment and in the study of elastic strength of metals Correlation is in the process of being developed in several other fields, including the quantitative study of the effect of grain size of metal on mechanical properties, of grain size and type of crystalline structure on the sensitivity of metals to weakening at holes, notches and other "stress raisers," and in the study of the starting phases of spreading, "fatigue" cracks Correlation of mechanical test results and metallographic study is needed in the study of such problems as the various theories of failure of metals, the meaning of and tests for service ductility of metals, and the relative damaging effect of defects inherent in metals, such as minute cracks and segregation, as compared with the damaging effect of "imposed" stress raisers, such as screw threads, sharp shoulders, etc The neces¬sity for more correlation of metallography and mechanical testing during student days is emphasized, and also the need of a better understanding on the part of engi¬neers of the significance and limitations of metallographic apparatus and results and of X-ray diffraction This should be matched by a better understanding on the part of metallurgists of the significance and limitations of mechanical tests of metals, of testing machines and strain-measuring apparatus

Jan 1, 1937

By Robert Hunt

ONE of the most serious and important economic administrative problems facing American railway authorities to-day is that of their rails, and it is one to which much thought, is being given, not only by the executive officers of the railways and the manufacturers of the steel rails, but also by State and National commissions. It is realized by many and admitted by some that the present situation is one which cannot continue. The roadways of railways must be made more secure, or the weight of rolling stock and the speed of trains must be lessened; and the desired result must be attained with the minimum outlay of money, both in expenditure on plant and in cost of operation. If the investment per mile is too large, or through the lessening of tonnage and efficiency of equipment the cost of operation is too great, the desired and demanded cheap service cannot he rendered to the public. Therefore, the weight of equipment cannot be greatly reduced, and lessening the rapidity of service would be far from satisfactory; consequently, the safety of the roadway must be secured with the least practical outlay. It is imperative that the roadbed should be properly graded, with the fewest practically possible curves; that it should have good ballast, be well drained, have good ties properly spaced, and be laid with sound rails of suitable weight, efficiently joined together, and that the whole property be carefully and intelligently cared for. My province is to treat of the sound rails. During the last few years there has been renewed interest in and discussion of that question, and I know that many rail makers not only have been and are desirous of maintaining the highest standards of manufacture which they may have attained, but have been and are seeking to better their product, in several instances devoting much time and money to that end. At the same time, they realize that the cost of any improvement in quality which they may accomplish must be kept within certain commercial bounds; and that fact is as fully understood by their patrons as by themselves, and it should be kept in mind by all who discuss the question.

Jan 2, 1914

By H. J. French

WITHIN the past few years, particularly because of the rapid growth of the airplane industry during the war, considerable attention has been paid to the manufacture of light-wall cold-drawn seamless and welded steel tubing for structural purposes. While the manufacture of such tubing is not, in itself, a difficult matter, some difficulties have. been encountered in producing the same under specifications requiring definite physical properties. It is the purpose of this paper to describe the methods of manufacture and the properties that may be obtained by such methods for tubing coming within about ½ to 2 in. (12.7 to 50.8 mm.) outside diameter and 10 to 22 Birmingham wire gage (0.134 to 0.028 in. wall thickness). Such tubing is largely used as structural material in the aircraft industry, and it is of the utmost importance that the physical and chemical properties should be known, and also that the various factors entering into the manufacture should be under such control as to allow these properties to be varied and held within definite limits. In general, tubing may be divided into four classes: namely, specialty tubing, such as riveted-sheet or plate, lock jointed, etc.; brazed tubing; welded tubing; and seamless tubing. Welded tubing may be divided into hot product, such as lap welded and butt, welded, and cold product, such as acetylene and electric welded. Seamless tubing may be hot rolled or cold drawn.

Jan 9, 1919

By Sidney Powers

INTRODUCTION THIS paper aims to present the results of an investigation concerning gravitative differentiation in lava flows, based on a quantitative microscopic and chemical study of a Triassic basalt from Nova Scotia, and confirmed by data secured from a study of certain Keweenawan ophites. At Cape d'Or, Nova Scotia, near the head of the Bay of Fundy, marine erosion has exposed a series of Triassic basalt flows in which copper has been sought for a number of years. Studies of the thickest flow of the series with regard to volumetric composition, specific gravity, and grain have been made by the junior author, and measurements by students at Tufts College, together with confirmatory observations of the same nature on this and other flows by the senior writer, and chemical analyses made by the Division of Mines, Mines Branch, Ottawa,1 all show differentiation in lava flows comparable to that in intrusive bodies. The work was made possible by the availability of the drill-cores, the property of Tufts College, and emphasizes the desirability of the study of drill-cores from other localities. Measurements of the specific gravities of certain Keweenawan lava flows of -Michigan by the senior author, from material collected in 1915, will be given as a comparison to those of the Cape d'Or flow. It has been found that the specific gravity of drill-cores, or volume per cubic foot, can be readily obtained by measuring their dimensions. This can be done to an accuracy of within 1 per cent. in pieces of core over 100 min. in length by using a micrometer gage for the diameter, and taking the average of six measurements of the diameter; and the average of four measurements of the length made with a finely graduated ruler. Then, after weighing them, the weight in grains per cubic centimeter, or what is practically the same thing, ounces per cubic foot, is obtained. System-

Jan 2, 1916

By Basil Prescott

A thorough knowledge of the peculiarities of this type of orebody is necessary in sampling these limestone replacement deposits. Oxidized ores are often overestimated because of error in determining specific gravity and actual cross-section of the orebody, and sulfide ores are often underestimated because it is difficult to scatter the samples so that they will accurately represent the area under consideration. This paper describes various methods of sampling and cites factors that enter into the estimation of these deposits. IN THE science of evolution of the species, there is a law which, simply stated, avers that the history of the individual repeats the history of the race. Similarly, if unassisted by the experience of others, each successful engineer would perfect and develop his methods and technique from the rough grab sample up to the carefully taken, recorded and studied samples and observations which now determine and decide the expenditure of the large sums required for modern mining. Hence real progress results from the interchange of experience, as in that way the entire experience of the profession can be made available to every engineer. The literature of this subject is already voluminous, but some progress has been made in the gathering of data and in their compilation or presentation.

Jan 3, 1924

By A. J. Boyer, T. R. Meadowcroft

An experimental determination has been made of the efject of surface diffusion on the vapor pressure obtained in a Kwudsen cell. The results show that a knife-edge orifice in a molybdenum lid may give erroneous results for the vapor pressure of silver. when a correction suggested by winterbottom and Hirth is made, the results become meaningful. Experimental work with cylindrical orifices in molyhdenz~m lids and knife-edge orifices in ceramic lids shows that good vapor-pressure results may he obtained when the orifice is designed so that ejfusion is the only significant source of weight loss. THE Knudsen effusion cell technique has been used by many investigators to study relative and absolute vapor pressures over metals and alloys at elevated temperatures. As a result of this interest, some theoretical studies have been made of geometric factors affecting effusion from the orifice of a Knudsen cell. A review of these studies has been made by Margrave.1 Recently, Winterbottom and Hirth2 have suggested that a physical effect, that of condensation, surface diffusion, and re-evaporation, may seriously affect Knudsen cell measurements, especially when a knife-edge orifice is used. Inasmuch as many of the present vapor-pressure data have been obtained using knife-edge orifices. it was felt that an experimental evaluation of the effect of surface diffusion on Knudsen cell measurements would be of value both in the design of the cell orifice and in establishing realistic estimates of the limits of error for existing data. The experimental program was in two sections. Firstly, measurements of the vapor pressure of silver were made in cells with cylindrical and conical orifices in which the surface-diffusion contribution to the weight loss should be negligible. These results were correlated with existing data to give a reliable measure of the real vapor pressure of silver. Secondly, measurements made using knife-edge orifices were corrected using the surface-diffusion theory of Winterbottom and Hirth2 and were then compared to the real values. The experimental arrangement is shown in Fig. 1. The balance was an Ainsworth RV-AU-1 automatic recording microbalance capable of measuring weight changes of ±0.02 mg on a total load of up to 100 g. The temperature was measured by an optical pyrometer signted on the bottom of the suspended crucible. The temperature readings were calibrated in a separate experiment in which pyrometer measurements were made while at the same time thermocouple readings were taken of the temperature at the inside top and bottom of the crucible. The range of reproducibility with this technique was ±4°C. A constant voltage source maintained a temperature of ±2°C at 1200°C over 10 hr. Silver of 99.99 pct purity was used in nonporous alumina crucibles. Lids of molybdenum, tantalum, or magnesia were cemented to the crucible using a sodium silicate cement. Table I shows the characteristics of the lids used. The vapor pressure is obtained using the basic Knudsen formula:

Jan 1, 1965

By Thomas S. Lovering

Hot springs, geysers, steam-emanating fumaroles- these creatures of nature were until recently little more than geological curiosities, but today they are exciting the interest of engineers around the world for it has been shown that such hyperthermal areas can be profitably harnessed by man to provide heat and power for his communities. Although water from hot springs was used centuries ago to heat some Korean dwellings, is being used today by one-third of Iceland's population for similar purposes, and is finding industrial applications in New Zealand and elsewhere, the most dramatic use of geothermal energy has been its conversion into electricity. The largest installation at the present time is that at Larderello, Italy, where the Count of Larderello began to experiment in the production of electricity from geothermal steam in 1904. Eight years later after a quarrel with the local power company, the Count installed his first steam turbine, a unit of 250 kw capacity.

Jan 9, 1965

By George W. Toth

This paper describes the features of a computer cost model developed to estimate requirements and costs of individual coal mining projects. Detailed cost analysis procedures for both coal mining and preparation are incorporated into the model. This model has been developed over a period of seven years through funding provided by the Electric Power Research Institute (EPRI). The model follows a process engineering approach for the estimation of all project capital and operating costs. A discounted cash flow analysis procedure is also designed into the model to allow for the solution of cost/ton or cost/MMBtu of clean coal production. The model can be applied to most surface or underground mining deposits and can accommodate a wide variety of coal washing situations. This flexibility makes the model a particularly useful tool for preliminary project analysis, property screening, investment analysis, mining technology assessment, coal cleaning level assessment, and general property valuation.

Jan 1, 1983

By F. Garofalo

It has been shown by various investigators that during constant stress creep the dependence of minimum creep rate, 6,, on stress, o, is given by em = A onat low stress levels, md by 6, = A' exp [ß s] at high stress levels. In these relations A, n, A', and ß are constant at constant temperature. A single relation has been found which satisfies conditions for both high and low stresses and agrees well with experimental results. This relation is 2, = AN (sinh a s)n, where A" is a constant at constunt temperature and a = p/n. This relation also satisfies the linear relation, 6, = k s, found at temperatures near the melting point at low stresses. EXPERIMENTAL creep results have led to a number of empirical relationships between minimum creep rate, 6,, and the applied stress, s. Under conditions of constant stress it is generally found that at low-stress levels,'-' the dependence of minimum creep rate is given by 6, = Asn. At high-stress levels'74 the experimental results fit the relation, 6, = A' exp [po l. In these relations A, n, A' and ß are constant at constant temperature. A model based on climb-of-edge dislocations from a pile-up array leads to a relation similar to that found experimentally at low stresses.' On the other hand. theories based on chemical-reaction rate,5 nonconservatively moving dislocation jogs, and jog migration and climb-of-edge dislocations4 lead to a relation similar to that found experimentally at high stresses. No difference in mechanism between low and high stress levels has been clearly defined; it is questionable whether such a difference really exists. In any event, the major argument usually given in substantiation of a change in mechanism from low to high stresses is that no single relation exists for defining the stress dependence of the creep rate over wide ranges in stress. However, such a relation has been found and is of the form, dm = A" (sinh a s)n, where A" is a constant at con- stant temperature and a = ß/n. This relation agrees well with experimental results over wide ranges in stress and temperature for copper, aluminum, an A1-3.1 pct Mg alloy, and an austenitic stainless steel. STRESS DEPENDENCE OF MINIMUM CREEP RATE At low stress levels the minimum creep rate, gm, depends on the stress, 0, under conditions of constant stress creep through the relation em=Aon [1] The quantities A and n have been defined previously. In the range in which this relation applies, a linear dependence is found in a log em,-log o plot. Above the stress range of application of relation [I], the minimum creep rate increases much mar; rapidly than predicted by relation [I]. This behavior is shown in Fig. 1 for a series of creep tests on copper4 at various temperatures ranging from 673 o to 973°K. Relation [I] is satisfied at the lower stresses, although the results at 973°K are quite limited. In all cases the transition beyond the applicable range of relation [I] is a gradual one indicating no abrupt change in mechanism. For all test temperatures, values of n have been determined from the results in Fig. 1. These are reported in Table I under Alog tm/hlog o. At high stress levels the stress dependence of minimum creep rate under conditions of constant stress is given by im = A' exp [ß a] 2] All factors have been defined previously. In a log em-0 plot, relation [2] predicts a linear function. Experimentally, a pronounced deviation from the prediction of relation [2] is found at lower stresses. As the stress is lowered, the minimum creep rate decreases more rapidly than predicted by relation [2]. This shown for copper in Fig. 2. Again it is found that the transition from high to low stresses is gradual and no really sharp change is found. Values of p determined from the high stress results are given in Table I. The dependence of minimum creep rate on stress at constant temperature for all ranges in stress

Jan 1, 1963

By D. C. McLean

This report summarizes the work that has been done during the past several years in adapting resins for use as auxiliaries in mine roof support. The resins were applied in two ways: 1) by injection into the strata, and 2) as a bonding agent for roof bolts and reinforcing bar. The Explosives and Mining Chemicals Department of the American Cyanamid Co. has worked during this period in cooperation with the Roof Control Research Group of the U.S. Bureau of Mines, the Pattin Manufacturing Co., the J. H. Fletcher Co., the Homestake Mining Co., the U.S. Steel Corp., the National Mines Corp. and the Pocahontas Land Corp. in an effort to create resin formulations and methods for applying them as a practical and sate type of roof support for mining areas particularly where conventional support is inadequate, yet expensive. This, work has involved much pioneering in a field where theory, speculation, and pure mythology predominates, and little basic engineering data is available. It is strange butt true that, despite the importance of roof control both from an operational and safely standpoint, there is scarcely a mining' company in this country that has an engineer, or anyone, assigned to the study of roof support problem, except temporarily--after a bad roof fall. The responsibility for improving roof control methods seems to have been placed entirely upon the shoulder, of the USBM, various State departments of mines, and individual roof bolt manufacturing; companies. It was in cooperation with the USBM that Cyanamid first developed resins for mining use.

Jan 1, 1964

By Ralph Hultgren

FEW phase diagrams of alloys composed of two transition metals have been adequately studied, probably because of the high melting points involved. Transition metals are the elements that have inner shells incompletely filled with electrons. They comprise groups IIIa to VIIIa of the periodic table, including more than half of all metals. We have chosen to study two systems whose comparatively low melting points allowed the alloys to be melted in a molybdenum resistance furnace. The nickel-palladium system proved to consist of a simple series of solid solutions, but iron-palladium manifested several remarkable features. The main characteristics of the latter diagram were decisively established, but lack of time prevented precise determination of phase boundaries. The gamma to alpha transformation in this system is unusual and warrants further study. Grigorjew1 determined the liquidus and solidus of the iron-palladium system by thermal methods. He found a minimum melting point, but no eutectic. He also found that palladium lowered the gamma to alpha and raised the gamma to delta transformation temperatures of iron, with a complete series of solid solutions existing between gamma iron and palladium. His measurements also indicated a compound or super-lattice near the composition FePd3. Jellinghaus2 found that annealing at 500° C. greatly increased the magnetic coercive force of an alloy of composition FePd. X-ray dif-fraction photographs showed that a tetragonal ordered phase had formed during the anneal.

Jan 1, 1939

VARYING in thickness and in number from place to place, coal seams in the Canadian Rockies also range in pitch from nearly horizontal to vertical, sometimes with overturns. Over the entire coal-bearing area there are considerable differences of rank in coals of the same geological age, and there are marked differences in ash content and washability characteristics. Correlation of seams at mining operations within a few miles of each other has often proved impossible. These factors influence mining methods, and, of course, production results. The oldest coal formations of western Canada are of Lower Cretaceous age, as the carboniferous sediments are marine and contain no coal. Coal is also present in formations of Upper Cretaceous and Tertiary ages. The rank of coal varies from semianthracite in some operations in the Kootenay and Luscar formations of the Lower Cretaceous in the Rockies to lignite in the Tertiary fields of the Saskatchewan prairies. Fig. 1 shows the general extent of the formations.

Jan 8, 1954

Jan 1, 1881

By Allen D. Garrison

THE chemistry of clays and shales has been assuming increasing importance in the petroleum industry, and two factors have greatly influenced this trend. The first has been the growing evidence that the marine shales are source beds, and that the petroleum compounds have migrated to the sand reservoirs overlying or underlying these shales: the second has been the demand for drilling fluids better adapted to penetrate these marine shales without difficulty and expense. ORIGIN AND GENERAL COMPOSITON OF CLAYS AND SHALES Clays, shales and surface soils are all closely related materials. They are mixtures of finely divided compounds formed during the weathering of the solid crust of the earth. Their nature is essentially colloidal; that is, their behavior is determined by the state of division of the materials and the surface reactions of the smallest grains. Many of their chemical changes affect only the exposed areas and do not involve the interior of the grains of matter. The extent of these reactions is more nearly proportional to the area of the substances than to their mass, therefore it is possible for a small amount of a material in an extremely fine state of division to completely dominate the character of the mixture. More than 83 per cent of the crust of the earth is composed of three elements-oxygen, silicon and aluminum. Consequently, the corrosion products of the crust are predominantly aluminosilicates, or compounds of aluminum, silicon and oxygen. If we add the compounds of six elements-iron, calcium, sodium, potassium, magnesium and hydrogen-more than 98 per cent of the crust has been accounted for. These six elements, together with the first three, also appear in soils, clays and shales. But direct chemical analysis is of little value in describing the nature of such materials. Many chemical individuals may be present in variable amounts, and the extreme subdivision of any one of the individuals may contribute qualities that dominate the mixture.

Jan 1, 1939

By Carl L. Renzoni

INTRODUCTION This paper defines equity as the issuance of a permanent interest in the business on a broadly distributed basis. As such, it excludes the issuance of equity to either a merchant bank or to another corporation. Nearly twenty years ago the equity markets were very simple: The instruments used were primarily common shares, convertible debentures or convertible preferred shares. Another equity-type option often used, especially by junior companies, was the sale of joint venture interests. Issue sizes were generally in the order of $25 - $100 million and issues were syndicated primarily in North America and Europe by one or two investment dealers. Mining corporations today benefit from a market with much more depth. Issues are syndicated by dealers on a truly international basis, and issue sizes now often range up to $300 million. Moreover, dealers are now willing to take significant risk in buying the issues for redistribution. This discussion of trends in equity markets will encompass: 1) common shares 2) warrants to buy common shares 3) convertible debentures 4) commodity backed instruments A review follows of events that affect the mining industry and investment dealers as they have a bearing on the equity markets for the metal producers. FACTORS AFFECTING THE MINING INDUSTRY The current business cycle, up to October 1987, had been characterised by a buoyant stock market and depressed base metal prices. Mining companies entered this period with weak balance sheets and little prospect of cash flows meeting capital needs. The issuance of equity and the sale of assets were used extensively to reduce debt to manageable levels. During this period, the relative high price for gold, and more important, the very high earnings and cash flow multiples afforded to gold producers, caused companies to target gold as the only game in town. The need for capital to acquire and develop gold properties prompted an unprecedented volume of equity issues. (Burns Fry led or co-managed over $1 billion of mining equity issues per year during this period). This high demand for equity capital by the industry prompted an increase in the use of equity instruments, such as commodity backed instruments. In addition, government tax incentive programs in Canada, such as flow-through shares, allowed smaller companies to raise significantly more equity than would otherwise have been possible. Over $1 billion in flow-through equity was raised in 1987 alone. The abundance of flow-through capital in Canada made it easy to form a new company. One flow-through share fund developed a system of providing the working capital required for a company to be eligible to receive flow-through share capital so that an entrepreneur required only a mining property to get started. Many new companies were formed and several flourished in a buoyant stock market environment to the point that market capitalizations grew to $100 million or more. The current period is in stark contrast to that before October 1987. The equity markets are generally available to the resource industry only on a window basis and only for senior companies and for special situations. The industry is benefitting from buoyant metal prices, and bankers are anxious to provide debt capital. Investment dealers previously processing several equity issues

Jan 1, 1990