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gest that this committee seriously entertain the idea of including manganese in S. 3816 with an incentive payment of not less than $1 per long ton unit and a sufficient amount of units covered per year to sustain and allow a healthy expansion of present domestic production.

The exact amounts I leave to the good judgment of the committee. In the Seaton stabilization plan, as outlined in S. 3892, payments may be made to producers of acid-grade fluorspar.

Fluorspar is a very important mineral to the economy of Montana. I should suggest that metallurgical fluorspar be added to the Seaton stabilization program.

Domestic metallurgical-grade fluorspar should be supported at the rate of 150,000 tons per year, the stabilization price to be $34.50 for 60 percent effective, $38.50 for 70 percent effective, $41.25 for 75 percent effective, $44 for 80 percent effective, and $46.75 for 85 percent effective, all prices f. o. b. point of shipment. These prices are at the same rate presently authorized by the Office of Defense Mobilization, and represent the price ODM found necessary in order to achieve any domestic production. The stabilization payment per short ton should be $23.

I also endorse S. 4011, a bill to purchase 150,000 tons of domestic copper at not to exceed 272 cents per pound. This bill, which I understand has the approval of Secretary Seaton, is essential to stabilizing the domestic copper market.

(The tables referred to by Mr. Maloney are as follows:)

TABLE NO. 1

The following table was copied from official records of the Butte branch of the Montana Unemployment Compensation Commission and is part of the official records, Bureau of Employment Security, United States Department of Labor, Washington, D. C.

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This exhibit includes only new claims originating on a monthly basis as differentiated from the total number of continuing claims. It graphically illustrates the accelerated increase in unemployment compensation claims during the period of the heavy layoffs in the mining industry which first became noticeable in July of 1957 and steadily grew worse as the prices of minerals decreased.

A comparison of figures in column 5A, 1958 above for any 1 month with the column headed total claimants in table 2 for an identical month clearly shows

that to arrive at a reasonable unemployment estimate it is necessary to add from 25 percent upward to the official reports that list unemployment from official State or National unemployment reports.

TABLE NO. 2

The following information is copied from the official records of the Butte branch office of the Montana State Employment Service.

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Butte branch office territory includes all of Silver Bow County; the south one-third of Jefferson County, i. e., Basin, Whitehall, LaHood Park, etc.; the west half of Madison County, i. e., Silverstar, Twin Bridges, Sheridan, Virginia City. The second column lists the total number of those claiming unemployment compensation for the week ending as listed. The third, or right-hand, column indicates the number of those who have exhausted their full 22 weeks in unemployment-compensation benefits.

Statistics as listed in tables Nos. 1, 2, and 3 refer to the State of Montana clients only, and do not include those who are eligible under the Federal Government, i. e., civil-service employees or veterans, etc.

TABLE NO. 3

Statistical information pertinent to Silver Bow County only, compiled from official records in the Montana State Employment Office (Helena).

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The above statistical figures graphically illustrate the serious economic impact resulting from the depressed metal market, especially the semiannual breakdown for 1957, last 6 months, which coincides with the heavy layoffs in the mining industry.

It is apparent from the above figures that, during the first 4 months of 1958, there has been more money paid out for unemployment benefits than paid out during the entire year of 1956. In fact the monthly payments during 1958 are approximately equal to the entire yearly payments made in 1956. These figures represent the necessity for immediate action to correct these conditions.

TABLE NO. 4

Silver Bow County Welfare Board, Butte, Mont., disbursed November 1957 to May 1958, inclusive, totals approximately $150,179 in welfare payments to the unemployed in Silver Bow County.

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There is no data for the 2 previous years for comparative purposes, but we know in those years that payments did not exceed $1,000 per month.

Since November 1957 it was necessary for the county office to employ 2 additional clerks to interview and process applications for Silver Bow County's unemployed who had exhausted their unemployment benefits or for large families, 6 or more, who received supplemental assistance.

Senator BIBLE. Thank you, Mr. Malone.

Senator MALONE. I have nothing further.

Mr. REDWINE. Mr. Chairman, reference has been made by the last witness to a bill by Senator Allott. May the record show that this committee asked the Department of Interior and the Bureau of Budget for a report on this bill and none has been received?

Further, Mr. Chairman, on Monday of this week representatives of the United Western Minerals Co. testified. They have filed some additional data. I ask that their communication be printed at this point. Senator BIBLE. Without objection, it is so ordered. (The information referred to follows:)

UNITED WESTERN MINERALS Co.,
Santa Fe, N. Mex., June 16, 1958.

MEMORANDUM

The United Western Minerals Co. submitted two proposals to the Government. Proposal No. 1, which was submitted on January 20, 1957, covered the benefication of 55,000 long tons of low-grade domestic chrome concentrates into chrome metal and chromic oxide.

The price to the Government included the cost of chrome concentrates, which is covered by its present commitment, hauling, and freight to the eastern seaboard. The price of chrome metal in this proposal was 80 cents to 83 cents per pound against the current market price of $1.28 to $1.29 per pound.

The price of chromic oxide offered to the Government was 32 cents to 34 cents per pound as against the current market price of 381⁄2 cents to 412 cents per pound.

Proposal No. 2 was submitted on April 3, 1958. This was to convert 450,000 long tons of Montana chrome concentrates into a metallurgical-grade product with a minimum of 48 percent Cr2O, and a chrome-iron ratio of 3 to 1 or better converted material usable for making ferrochrome and all metallurgical ores requiring ore of metallurgical specifications. A one-fourth weight reduction occurs during the conversion.

This proposal priced the ore at Government cost for concentrates, hauling, and freight to the eastern seaboard of the product, the delivery price to the Government being based on the present incentive chrome program (i. e., $115 per ton). The cost of making this conversion is approximately $25 per ton.

Assuming the Government cost of Montana concentrates at $40 per ton and hauling and freight to the eastern seaboard at $35 per ton it is estimated that chromic oxide can be produced from these concentrates and sold to the Government for $243 per ton.

Approximately 716 pounds of recovered chromic oxide can be recovered from each ton of Montana concentrates. The current market price of chromic oxide varies from $275 to $290 per ton. Thus this proposal produces saving to the Government of $37 to $42 per ton.

Each ton of concentrates valued as above, yields 535 pounds of recovered chromic metal which at the price offered to the Government amounts to 80 to 83 cents per pound or $428 to $444 per ton. The current commercial price is $1.28 to $1.29 per pound for similar quality material, or $684 per ton of equivalent Montana concentrates. This means a saving to the Government of $156 per ton. The foregoing prices are based on estimated costs since we have no firm contract for constructing the facilities, the cost of financing is unknown, and the rate of amortization has not been determined.

J. W. PATTERSON.

Mr. REDWINE. Mr. Chairman, on June 12, representatives of the Association of Waste Material Dealers appeared, and in their statement appears the words:

The copper recovered from scrap in the United States is equal to about 85 percent of the copper produced from domestic ore.

The chairman of the full committee has asked that there show, following their testimony in the printed record, that all available statistics show for the year of 1957 primary production of copper was 1,116,380 tons, while secondary production was only 112,080 tons.

Senator BIBLE. Without objection, that will show.

Mr. REDWINE. Mr. Chairman, the chairman of the full committee has just called down and said to please announce that Secretary Seaton will appear at 10 o'clock tomorrow morning, but that he will appear in the caucus room, room 318, rather than this committee

room.

Senator BIBLE. It will be the order, then, of the presiding chairman, that the meeting will be in recess until tomorrow morning at 10 a. m. in the caucus room.

(Thereupon, at 3:55 p. m., the committee recessed, to reconvene at 10 a. m., Thursday, June 19, 1958, in the caucus room.)

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