dredges in 1971. Now the main activity of the Company is mining. The principal minerals produced are coking coal and iron ore for the steel industry; uranium, steam coal, oil and natural gas for the energy consuming industries; and copper concentrates for general industrial use. We derive some modest income from by-products of copper mining such as gold, silver, molybdenum, and rhenium, a member of the platinum family used in the production of no-lead gasoline. We are engaged in the ocean transportation of ores and bulk cargoes, and land develop-ment activities are also conducted on a comparatively modest scale. These businesses are carried out in a corporate setup in which Utah International functions both as an operating company and as a holding company. (Chart 1) It has two principal affiliated companies. The Marcona Corporation is engaged in the production and marketing of iron ore products, ocean transportation, aragonite a calcium carbonate dredged in the Bahamas and sold primarily to the cement and glass industries in the United States and Marconaflo, a patented process for handling raw materials in slurry form. Utah owns approximately 25% of Cyprus- Pima Mining Company, a producer of copper concentrates from a mine and mill in Arizona. Of more significance are three subsidiary companies Utah Development Company which conducts our operations in Australia; Lucky Mc Uranium Corporation which has been formed for the purpose of owning and managing all of Utah's uranium business to overcome Department of Justice concern; and Ladd Petroleum Corporation which conducts an oil and gas business in the United States and in a more modest way in Canada. Utah Development Company (UDC) is 89.2% owned and in turn owns 85% of Central Queensland Coal Associates (CQCA) with Mitsubishi now owning the balance. It also holds a 1/3 interest in Mount Goldsworthy which ships approximately 7.5 million metric tonnes of iron ore from mines in Western Australia. UDC owns 100% of the Blackwater Mine with annual shipments of coking coal of approximately 3.3 million tonnes while Central Queensland Coal Associates ships approximately 12.0 million tonnes from coking coal mines at Goonyella, Peak Downs, and Saraji. Through Utah Shippers, UDC is also engaged in the CHART 1 Utah International Inc. Parent Company Subsidiaries Affiliates Land Develop. Mining Oper. Support Act. Lucky Mc Uranium Ladd Pet. Utah Dev. Co. Utah Mines Ltd. Marex Brazil Marcona Corp. Cyprus Pima ocean shipping business because it sells approximately 25% of its coking coal to Europe on a de-livered basis with the balance being sold to Japanese steel mills on an F.O.B. basis. Central Queensland Coal Associates is planning to open a new mine at Norwich Park to produce 4.3 million tonnes of coking coal annually. Financing for the new mine requires an estimated US$260 million, half of which will be furnished by Australian entities in order to comply with Australian policies designed to encourage greater local participation in new mining projects. Accordingly, Australian Mutual Provident Society - AMP will furnish 33% and UMAL, the Australian public company which also owns the minority interest in UDC, 17%. However, rather than owning 50% of Norwich Park the Australian Companies have opted to convert that to an ownership position in all four of the mines of Central Queensland Coal Associates. When this transaction is completed probably in January 1977 Utah International through UDC will own 76.25% of CQCA, Mitsubishi 12%, with the remaining 11.75% owned by Australians. An important by-product of going forward with the new Norwich Park project under this arrangement has been the agreement by the Queensland Government to substantially increase the total tonnages that we may export over the life of our operations. Lucky Mc Uranium Corporation currently is operating the Lucky Mc mine and mill near Riverton, Wyoming and the Shirley Basin mine and mill near Casper. These properties have a combined annual production of approximately 4.2 million pounds of uranium oxide. Other activities conducted by the parent company or less significant subsidiaries include land development activities primarily in California, a copper mine and mill in British Columbia producing approximately 105 million pounds of copper contained in concentrates, the Navajo steam coal mine near Farmington, New Mexico, with estimated reserves of 1.1 billion tons and an annual production of around 6.5 million tons delivered to mine-mouth generating plants owned by a consortium of public utility companies, an iron ore mine and a contract mining operation for CF&I near Cedar City, Utah, and a new coal operation which should be in pro-duction next year near Craig, Colorado. Utah has also taken over from Marcona a 49% interest in the SAMARCO project which is constructing in Brazil, at an initial capital cost of approximately $600 million, mining and benefici- ation facilities near Belo Hori- zonte, a pipeline to transport concentrated ore in slurry form 250 miles to Point Ubu where 5 million metric tons will be pelletized and 2 million metric tons processed as pellet feed. Shipments are expected to begin in mid-1977 with the pellet production sold under long term contracts. We are still seeking buyers for the bulk of the pellet feed. FINANCIAL GROWTH If we may glance backward for a moment, a few facts will highlight the growth, development, and changes that have characterized Utah over the past 10 years. Gross revenues have grown and changed in composition during the transition of the Company from a construction company with modest mining interests to a mining company with other related interests. (Chart 2) Total earnings and earnings per share have increased steadily. 1976 was the 12th consecutive year of record earnings reported by Utah International and 26th consecutive year in which the dividend payment was increased. The $13.2 million or 51 a share earned in 1966 has grown to $178.8 million or $5.67 a share in the fiscal year ending October 31, 1976. Dividends have grown from 18.3 in 1966 to $1.15 in 1976. Earnings have grown at the compounded rate of 19% for the last 20 years, 23% for the last 15 years, 28% for the last 10 years and 37% for the last 5 years. I Utah Growth EPS $ '67 '68 '69 '70 '71 '72 '73 '74 '75 '76 7