Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1941-09-13
CContinued from Page Onel

lnClUQGQ III the llot VI ouDo1<hAAS~s
named by this act we're 10 mineral OF
mineral derived substanceS-manga-
nese. tin, nickel, chromium, antimony
mercury, tungsten, mica, graphite ano
quartz crystal, and these came imme-
diately to be known as strategic me-
tails" or strategic minerals" the terms
being used somewhat loosely
Two Plans
Two plans in general were to be en-
ployed in providing for the national
need.
First: BY importation sufficient to
build stock piles equivalent to three
years consumption.
Second: BY stimulation Of new dis
coveries and by investigation Of known
deposits under government auspices
and the encouragement of production
from them presumably under private
enterprise.
The first part of the program has
perhaps been as successful as could be
hoped for, in view of the rapid spread
of the war and the inevitable curtail-
ment of marine transport Further
more, our demand for these substances
has so far outrun all original antici-
nations that we certainly do not have
at present on hand a three-year sup
ply of any of the minerals and metals
mentioned nor of any other minerals
or metals, and no prospect exists OF
our building up such a supply The
second part of the program, namely,
discovery, investigation and develop
ment of domestic sources has been
successful in part. The investigation
program carried on jointly by the
United States geological survey and the
United States bureau of mines has been
as a whole well conceived, well execut-
ed. and has added much of permanent
value to our knowledge Of the nations
mineral resources. Most of these de-
posits, however, are necessarily OF the
marginal or sub-marginal type and the
existence of most of them had been
known for many years. They had re-
NAMED undeveloped because they were
considered non-commercial under ex-
isting price conditions.
The best definition Of ore is the one
given by T. A. Richard "Ore is metal
bearing rock which can be worked at
a profit" and almost none OF the de-
posts under consideration were ore
deposits in this sense.
Demand and Price
Two possible procedures are available
for bringing marginal deposits into pro-
duction: The first, and age old method,
is for the potential consumer Of any
mineral or metal to offer a price which
will bring the product onto the market.
Under war conditions, this means that
the price must be sufficiently high to
cover the risk of a probably temporary
market which may collapse with the
sudden termination of the war. This
price increase has happened in the case
of Just one of the strategic metals;
namely mercury which has come from
SIS to $50 a flask AS a result prac-
tically all of the marginal quicksilver
deposits are in production and current
supply at the moment is in excess of
the demand. This is almost a text
book illustration of the reaction Of de-
mand and price on each other
The second method and the one to
which the administration seems to be
committed is to establish a rather low
ceiling for metal prices and where this
fails, as fail it must, to bring in all
possible domestic supply, then to I'M
dertake production either by govern
ment subsidy or at government ex-
pense.
Meanwhile, the distinction between
strategic and non-strategic minerals
has virtually ceased to exist, and we
find that the following list of metals and
minerals is now under priority control,
or inventory control, or some other
form Of government supervision be-
cause of actual or threatened shortage,
or for some other reason:
Abrastives, diamond dies, molybden-
UNI, aluminium, ferro-silicon, nickel, an
timony, fluorspar, petroleum, asbestos
graphite, platinum metals, beryllium
gypsum, quartz crystal, borax, ilmenite
badium, brass, industrial diamonds, tan
talum, cadmium, iron and steel, tin
chrome, jewel bearings, titanium (bu-
tile), coal, kaynite, tungsten. cobalt
lead, uranium, columbium, magnesite
magnesium, vanadium, copper, man.
ganese, zinc, copper-alloys, mercury
zircon, cryolite, mica.
The shortage in the case of tin is
to be relieved by a government tin
plant in Texas operating on Bolivian
ore, in chromite by a governmental
nanced operation in Montana, in alum
mum by government-financed plants
in Arkansas, in New York and in Wash
ington. Coincident with this announce
ment, the price of aluminium has by
government negotiation been reduced
as of September 80 from II to Is cents
a pound, thus constituting a further
Encouragement to private enterprise in
this field". Government is also to f.
nance additional magnesium produc-
ton, and word has recently been re-
ceived Of the construction Of a gov