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Show I I From the LdSals Long, slog begins to pay off for Rio Algom This has all the signs of being the long awaited turn around year for RIO ALGOM MINES LTD. Clearly emerging trends and developments are at last starting to bear out planners' early hopes and objectives for the broadly-base- d, natural recources orient giant. President Robert Armstrong ticked off the items for FP in his easy yet precise manner. We are working through ouf lowest priced uranium contract First deliveries start this yeaf on the long term Japanese utilities' contract at substan tially higher prices. We are boosting copper production again this year and are getting the benefit of thJ currently record high metel prices. We are experiencing further improvements in out steiel operations. " The rising earnings trend noted in the second quarter is expected to hold through the remainder of the year. Barring a major reversal in world metel prices, it is easy to predict that the improving earnings trend will continue and even exceler-at- e over the next few years. was $ 8. 82. Prices in addit- ional deliveries up to 20-milli- 1971 range from $5. 34-$- ll. 08 and average $6. 92. Weighted average sales for the 42. 6 million pounds contracted for delivery to Japanese utilities, the Ontario Hydro between By on that time, too, chances are that Rio will have made some exciting new ore discoveries, growing out of its record and mining exploration programs ranging across Canada and the still-expandi- British Automic Diergy Authority, Canadian West--in- g House Company, and ng U. S. 196 and 1983 is $ 7. 14. The next round of uraniuiH purchase contracts are bourjd to be at still higher prices. When they come to Rio Algom with its solidly established Elliot Lake camp in Ontario-whic- h independent mining men estimate contains the large known reserves of uranium ore- - stands to profit handsomely. Outstanding contracts for 50 million pounds will keej) a two mine operation going economically until the earfr . 1980's. As new contracts are nego- tiated, production will be stepped up and other company mines re -- activated. Revenue from copper has been rising sharply through Rio has joined with MITSUBISHI of Japan in a program in British Columbia and will also carry on its own work in that province. Some of this work will be assessing occurrences already encountered. The company has recently established a division and jumped into the coal search in western Canada! Five large lease areas have been obtained in the foothills al area of Alberta, the Smoky from stretching River region to the Crow's Ne Pass area in British Columbi a. Rio Algom is engaged in a full geological reconnaissance program with parties active on each property. Some stripping operations are now under way to assess deposits. Big objective is to prove sizeable reserves of good coal that can be cooking-typ- e m mined by open-p- it readily methods. The long standing relations established by the parent Rio Tinto-Zin- c Corp. group with could stand interests Japanese Rio Algom in good stead in arranging satisfact ory sales contracts with Japanese steel interests. Rio is also carrying on an active search program in eastern Canada for both uran-u- m and base metals with majir emphasis on Quebec. Rio Algom's move into specialty steels production with the acquisition of Canada's only producer Atlas Steels Ltd! far-rangi- coal-explorati- ng on west-centr- expanding production and record high metel prices. This year, mining division A recently completed anrevenue will be divided abJut alysis by investment dealer equally between copper and BURNS BROS. G DENTON uranium. re LTD. estimates Bright light in companies earnings will rise from appcopper outlook is the Mines roximately 95f this year to De Poirier property in the around $2. 16 in 1972. It fori Joutel region, Northwest sees considerably higher Current milling earnings- - up to $2. 80 a shaip. Quebec. 500 is tons daily rate 1, if additional uranium sales are millhead To total planned an with average are arranged Plans 22 of copper. grade production capacity in 1972, under-- i FP made are , being and if ore grade mined at Lomex equals the higher grade stands, to further increase output. indicated by recent bulk Other copper production sampleing. s comming from companys Although planners never 58 meant it that way, the bulk interest in the Anglo of Rio Algom's revenue is Rouyn Mines in the Lac La-- i comming from steel producRonge area in Saskatchewan Wella tion. Last year it was 75 and from the dwindling ; in 1963 proved a rather unof total sales. reserves of the Pronto Mine happy experience for both This is because of the dis-- i near Elliott Lake. management and Rio shareappointingly slow buildup 'Mining revenue is very holders. in the world uranium markefl, changeable mix, " Armstrong The $54. 6 million move into hard hit by massive cost says. Right now it is reflect steel (cost of Atlas stock puroverruns in new nuclear powr low prices for uranium and chase) has been the only proundertakings. high prices for copper. Rio Tintch ject the world-wi- de For some very important . Armstrong readily admits went into ever Zinc Group reasons Armstrong is looking there has been a "one-to-twithout possessing special pro on 1972 as a banner year in' year slippage in the cessing and marketing know- the Rio Algom story. Here projected uranium demand 10W. curves. : But the longer term are a few of these reasons: "As events provided out Rio -pictures remains changed" (1) The new Lomex Mine management went into this he claims. the largest projected single deal almost unprepared. " -All the recent energy studjase metal mine in Canada Armstrong said. he this ies support view, is scheduled to come into What really hurt for a few Colum-jia- 's says. Rapidly increasing British in production years was the ambitious pro-e- ct pollution controls are furAtlas had embarked on a Highland Valley region mill-dn- g ther brightening the prospectk at a 38, 000-todaily year or so previously - constfor nuclear power plants. rate. ruction of a plant at Tracy, Armstrong sees another poslibl (2 phe new Moab mine in Que. , to make wide stainless two years of " soft Pricing Utah is scheduled to come inlfc steel sheet. This plant was in uranium followed by a mjre operation and start deliveries to designed incorporate technirapid firming trend. of uranium oxide concentrate! innovations cal pioneered by Substantially all of the UO to a U. S. power utility, the Welland. Atlas at produced up to now has been first such shipments by a But like so many projects under a master contract at Canadian company to a U. S embodying new technology prices ranging from $3. 97 company. to be adapted to large-sca- le uranium per pound $11. 09 per pound. First shipments (3) operations, processing diffiAverage price realized on the United Kingdom Atomip culties were to encountered, it deliveries up to June 30, 1967 has taken several years and some millions of additional 'unds to bring the new facilities into relatively smooth working order. "It is now obvious that Atlas lad itself technically, moneywise and marketwise, " Armstrong said. The Tracy plant is one of thj most modem facilities in the WIGS world for production of nickel-bearistainless steel sheet and strip and provides Rio Al-;o- m All Colors with a much bigger potential steel market. When all the Friday, Dec. 12 technical difficulties are finally overcome in hot planetary rolling operations, it could become a highly profitable part of Rio's overall proin duct mix. decent improvements at racy have been the big factor n the much better steel earn- fitter Expert wig :.ngs trend the last two years, teel earnings before taxes will be on hand pre-sha- wo ns over-extend- ed ng Available Come and see them . umped 32 last year to ;5, 012, 000 on a record $110 Tom's Beauty Salon behind that being experienced in Rio's mining division. "But the whole steel picture Is improving and we look for much better results over the next few years, " Armstrong said. In the meantime, with most of the heavy drain of funds into Tracy tailing off, Rio has been able to launch into a major $35 million-$4- 0 million modernization program at the Welland works. This program is designed to enable the company to make steel to the increasingly demanding market specifications indicated over the next few years and at more economical costs. The whole program is the result of an extensive technical and marketing study that was set up two years ago.. Energy Authority commences.1 This is a pound contract terminating in 1980. million sales and are up again So far profitability - earnings per sale dollar - trails badly i . who have been visiting Mrs. Matlock's parents, the R. S. )avises the past week plan to return home Friday. Patients are recipients ot many parties During the months of October and November var-o- us groups have entertained U. S. Army Private Clyn L. at the Blanding Nursing Home 'Young, son of Mr. and Mrs. a with variety of programs. Clyn P. Young of Monticello, San Juan High School sent has completed his basic its chorus and band students training at Fort Polk, La. to entertain with a musical where he served as a platoon jrogram and the Blanding leader. He received a cita- hird Ward Mutual girls put tion as the outstanding trainee on a program. in his Company. A bus load of Monticello Upon his completion he ilementaiy students presented was assigned to the Army a musical program for the Intelligence School in Baltipatients at the home. more, Md. , where he will Coming from Dove Creek receive three or four months with a program were Bob of specialized training as a Carlson, Darrell, Dianne, "battle analyst. " orena and Del Deon Dicken, Joi ning him at Thanksgiving all members of the Dove Creek was his wife, Vana. They are Seventh Day Adventist Churchy now living at 261 Colgate Ave This group of young people Ave. , Dundalk, Md. plan to come each Saturday to entertain at the Nursing Home. This will undoubtedly The San Juan Record be a high light for the guests who will look forward each wepk Monticello, Utah (Thursday, December 11, 1969 J to their coming. Cub Pack No. 311 of BlandPage Three ing also entertained. I , Coming, Coming, Coming SOON A Floral Shop (or Monticello Designs byCorinne Now Taking Orders for Christmas Arrangements Center Pieces Weddings Corsages Hospital & Funeral Designs New Offerings Beautiful Potted Mums, Poinsettas & Violets from $2. 50 up Fresh & Artificial Flowers for Arrangements Call at my home 185 North First West Monticello i Two drill rigs were robbed last Saturday evening. All hand tools and some cases of lubricate were taken. The Drilling rigs belonged to Warren Ivy and Petroleum Corp, and were located about 8 miles northwest of here. The robbery is under investigation by the San Juan Sheriff Department. The LaSal School PTA is meeting Tuesday evening at 7 p. m. in addition to the business, a film and talk on Drug Abuse will be presented by Deputy Sheriff Verle Greer The water well at LaSal junction caved in. LaSal Junction Service has been hauling water for themselves, the cafe and Lounge, while the well is being recased. Mr. and Mrs. Ken Stocks and Linda from Dolores, Colp. , were here last Thursday to visit Mrs. Stocks parents, Mr., nd Mrs. A. M. Stocks. Mrs. Rose Lavato and children from Moab were here for for the weekend visiting with her parents, Mr. and Mrs. 'irilo Jaramillio. Mr. Mike avato Jr. has been in Green River, Wyo. the last two weeks where he has been tranf sferred by Texas Gulf. The transfer will last for three months. Mr. and Mrs. Dayne Matloc and Sandy fron Grand Junction Phone 587-24- 84 |