description of operations construction mining land development ocean shipping and dredging continue to provide the basic elements of the company's diversified operations within these main elements the types of functions and varie ties of regions served extends the pattern of diversification this year for example construction activities served ten separate markets in ten countries mining served five markets with operations in seven locations and land development conducted six dis tinct types of operations in twelve areas mining the major sources of profit again were mining operations lower profits re sulting from a temporary slackening in iron ore activities were partially offset by profit gains in other mining fields the direction and scope of utah's operations continued to iron ore coal uranium and copper iron ore long-term contracts and ade quate reserves to service these contracts characterize your company's position in the domestic iron ore markets direct ship ping ores from the company-owned iron springs mine in utah are now supplemented by its beneficiated ore produced in the new plant completed last year the multi-phase 50,000,000 expansion program for marcona mining co is on schedule with the first three phases com pleted and now operating the last two phases are nearing completion and when operational the total annual capacity will be in excess of 6 million tons of high grade iron ore and pellets the major ele ments of this whole program arei added crushing and stock pile facilities a two-mile downhill belt conveyor beneficiation facili opposite page mammoth walking arms on 40 cubic yard dra iron ore beneficiation facilities at cedar ciiy utah