1971 operations utah international is primarily a mining company employing surface mining methods in all of its opera tions it engages directly in the production of steam coal new mexico uranium oxide wyoming iron ore utah and copper concen trates british columbia canada through a 90 owned subsidiary utah development company it mines coking coal and iron ore in australia a 46 owned affiliate marcona corporation mines and beneficiates iron ore in peru and iron sands in new zealand and operates a fleet of large ocean carriers partly owned and partly chartered for the trans port of iron ore and beneficiated iron ore products oil coal and other bulk commodities pima mining company in which utah international holds a 25 interest mines copper ore and produces concentrates from a de posit in arizona four new mines were brought into operation in 1971 the goonyella mine in central queensland com menced railing of coking coal in june and the initial shipment through the new port at hay point was made in mid-october production of copper concentrates from the island copper mine and mill in british columbia began in october and the first cargo was shipped from the mine site dock on rupert inlet in december fol lowing the close of the fiscal year a new uranium mine and mill were started up in the shirley basin area of wyoming but because of increased stripping requirements occasioned by unfavorable pit wall conditions output did not approach normal levels until the end of the fiscal year in new zealand a project to produce concentrates from iron-bearing beach sands in which marcona holds a 75 interest through a subsidiary was activated and its output was shipped in ocean carriers modified to utilize the new marconaflo tech niques of loading and discharge under construction at the year end was the new peak downs coking coal mine in queensland scheduled for completion and production in mid-1972 expansions of mining capacity were in progress at the black water coking coal mine in queens land at marcona's iron ore mine and processing facilities in peru at the pima copper mine and concentrator and at the mount goldsworthy iron ore project one-third owned by utah development company in western australia utah international's backlog of minerals sold under firm contracts for future deliveries by utah inter national and utah development company rose to 2.5 billion after adjustments for deliveries and price escalation during the year these figures include a proportionate share of sales by utah development company but sales by affiliates marcona and pima are not included a continuing exploration program is directed at the discovery of new mineral reserves and mining oppor tunities to replenish reserves of minerals being progressively depleted by current mining operations and deliveries details of the mining and related operations in which the company is interested are reviewed in the fol lowing operations report by minerals produced in the relative order of magnitude of their contribution to the company's earnings in 1971 coal in 1971 for the second consecutive year the mining and sales of coal including steam and coking coals contributed a larger proportion of sales revenues and after-tax earnings than any of the other minerals pro duced by operations in which the company is interested steam coal steam coal is produced from the navajo mine located on the navajo indian reservation in the four corners area of northwestern new mexico and first brought into opera tion in 1963 deliveries to the nearby four corners power plant rose 24.5 from 5.47 million tons in 1970 to 6.81 million tons in 1971 and there was a commensurate increase in earnings 1971 was the first full year of operation for generating unit no 5 at navajo steam coal mine typical views of area of undisturbed land surface prior to to uncover coal and piled in ridges rising 50 feet above original ground elevation after levelling of overburden ridge piles by racing to retain moisture and promote different but representative areas at navajo mine