Page Four As an example, Utah started in 1963 serving two 175 MW plants from our Navajo mine in New Mexico with the power going to the Arizona market. The next year another 225 MW was added, and we are now negotiating a fuel contract calling for an installation of two 755 MW units to come on stream in 1969 and 1970 to provide power to a group of six utilities stretching from El Paso to Southern California. This will require us to produce 8 1/2 million tons of coal from this mine, making it the largest coal mine in the country. There are still larger opportunities for coal ahead and the major coal producers: Consolidation, Peabody, Pittsburgh-Midway, Island Creek -have all moved to acquire reserves in the West. Western coal production is expected to increase ten-fold in the next fifteen years and with it will come a market for thermal plants and long-distance transmission systems, which I hope will be overwhelmingly furnished by General Electric. While coal reserves are in abundant supply, uranium presents a far different picture. Judging from present projections of uranium requirements during the 1970's and our known reserve position, it seems entirely likely that a serious shortage could develop by 1980. Normally one would consider this an alarming situation, but those on the procurement side, directly and indirectly, seem certain that the shortage will never materialize and even predict that uranium concentrates will be available at lower prices than have ever yet been in effect. This is a paradox not easy for me to understand. The indicated requirements must be met either from a combination of known reserves, government stockpiles, and deposits yet to be discovered.