facilities total production capacity advanced to 6 million tons per year.in spite of increased output marcona's earnings were slightly down from last year due to lower profit mar gins and the startup costs of the new facilities utah's share of earnings after allowance for distribution taxes was 51,550,770 ocean shipping and ore sales utah owns a 41.47 interest in the equity stock and a 50 interest in the voting stock of cia san juan s.a an affiliate whose principal role is the marketing and transport ing of marcona ore cia san juan's wholly owned subsidiary san juan carriers ltd owns eight ships which transport the ore under long-term contract from marcona to steel producers throughout the world this year two 71,000 deadweight ton ore-oil carriers joined the shipping affiliate's fleet raising its total capacity to 390,000 tons supplemented by 124 chartered vessels san juan moved 38 billion ton-miles of iron ore to steelmakers in asia europe and north and south america although profit margins were still under the influence of low charter rates established in 1 962 utah's share of cia san juan's consolidated earnings after dis tribution taxes increased to 1,334,874 from 1,038,694 in 1962 copper with the completion of a 4,000 000 expansion of pima mining company's crushing and concentrating facilities the ca pacity of these copper operations will be expanded from 3,800 to 7,600 tons daily the expansion program has extended the life of the mine until 1 975 by enabling the utilization of lower grade ores enhanced by price sta bility in the industry your company's 25 per cent share of pima's earnings after dis tribution taxes was 537,888 an improve ment over last year coal the june 21st dedication of utah's navajo mine and four corners power plant of arizona public service co marked the company's entry into a new field of opera tions and is one of its most significant de velopments in several years under a 35-year contract with an option to renew for an additional 15 years utah provides coal to the arizona utility for the production of electricity annual sales which currently run at a rate of 1.6 million tons per year will in crease to 2.6 million tons in 1964 and should reach 3.6 million tons under the options pelletizing plant mar san nicolas peru mining company