iron coal copper tin uranium and precious metals particular emphasis has been placed on uranium as we anticipate a lively market for this mineral in the future exploration and geologic efforts are being carried on in the western united states canada south america the middle east and australia marcona marcona corporation a 46 owned affiliate achieved record earnings during utah's 1968 fiscal year utah's share of the consolidated earnings after provision for distribution taxes amounted to 8,004,000 a gain of 26 per cent over the comparable 6,352,000 which was utah's share in 1967 marcona mining company a wholly owned subsidiary of marcona corporation shipped 8,346,000 tons of iron ore from its san nicolas peru facilities during utah's fiscal year an increase of 5 per cent over the same period in 1967 as of october 31 1968 marcona's backlog of iron ore sales amounted to 56.5 million tons deliverable over the next 10 years this backlog a major portion of which is committed to the japanese steel industry represents sales revenues of approximately 660,000,000 an improvement in earnings largely attributable to reduced unit produc tion costs was realized this year by marcona a future expansion program for marcona mining co is in the plan ning stage it is contemplated that annual production capacity would be increased from 8 to 10.5 million tons at a total capital cost approximat ing 25 million the project would expand fine grinding and magnetic concentrating capacity to increase production of pellets by 700,000 tons to a new annual capacity of 4 million tons concentrate production capacity would be increased by 1.8 million tons the project includes facilities for handling and shipment of concentrates in slurry form in june of this year marcona completed the discharge of the world's first ocean shipment of iron ore slurry to pelletizing plants at kawasaki steel co in chiba japan more than a year of planning designing and testing preceded this first shipment in slurry form iron ore slurry requires only pumps and pipes for discharging thereby eliminating the need for high cost cranes and grab buckets currently required to off-load dry car goes of iron ore this method of transportation can also allow ships to be loaded offshore thereby eliminating the need for dredging harbors regular and continuing shipments of iron ore in slurry form are planned for delivery of marcona iron ore concentrate to the oregon steel mill's plant at portland oregon under long-term contract of using conventional tunneling methods otary boring machine