Potential from marine sources. Coal deposits have been mined from the substrate in the continental 

 shelves off Canada, the United Kingdom, Japan, and Taiwan. The mining has been carried out from mine 

 openings located onshore or from shafts in artificial islands. The continental United States is blessed 

 with ample coal deposits but only minor occurrences are known in coastal areas. Except possibly in New 

 England, Oregon, and Washington, formations on land that project out into the continental shelves are 

 generally not coal-bearing and the prospects of finding coal in the shelves is considered poor. In Alaska, 

 coal bearing formations project into the continental shelves in several areas, and the potential for the 

 presence of offshore coal resources is good. However, because the location of the potential resources is 

 remote from markets their economic value is uncertain. 



COBALT 



Uses. Cobalt has the ability to impart great strength to alloys at high temperatures and magnetic 

 qualities to certain other alloys; these are its two main uses. It is also employed as a nonmetal in 

 pigments, as ground-coat frit, and in salts and driers. 



Present levels of utilization of cobalt in million pounds. 



World (1966 production) 44.2 



United States (1966 demand) 14.2 (estimated) 



Ranges of demand projections to the year 2000. 



Area Projection base 1970 1985 2000 



Prospective supplies and prices. Much of the cobalt mined is recovered as a by-product of copper or 

 nickel ores. The United States is largely dependent on foreign sources. The major producing countries 

 are Congo, Zambesi, Morocco, and Canada, all except Canada politically unstable. 



Cobalt metal sells for $1.85 per pound in the United States; Government-stockpile surplus cobalt sells 

 at a slight discount. World prices are comparable to the U.S. price. Much of the present Congo 

 production is from oxidized materials, but production from the deeper sulfide zone is becoming more 

 significant and may add to the cost of extraction and refining. The probable need for exploration and 

 development of new land-based deposits during the latter part of the projection period .suggests that the 

 price of cobalt wiU rise as much or more than general price increases during this period. 



Possible substitute materials. Although nickel is less efficient in some uses it can readily be 

 substituted for cobalt in others without appreciably altering the desired properties. Bismanol magnet 

 alloy, consisting of bismuth, manganese, and powdered iron, or barium ferrite materials, can substitute 

 for cobalt in Alnico magnets. Manganese, lead, and iron can substitute for cobalt in metal driers, but 

 with loss of efficiency. 



Potential from marine sources. Cobalt, Uke copper and nickel, occurs in significant amounts in 

 manganese nodules. If and when manganese nodules are exploited cobalt will doubtless be an important 

 by-product. 



VII-133 



