Ch. 3— Minerals Supply, Demand, and Future Trends • 709 



will likely be discovered. Deep phosphate rock de- 

 posits may also hold promise if economically accept- 

 able means for recovering them without excessive 

 surface disturbance can be developed. Hydraulic 

 borehole technology may be adapted for this pur- 

 pose, but very little is known about its economic 

 feasibility and environmental acceptability.*^ 



The United States is a distant second in world 

 demonstrated phosphate resources (19 percent) be- 

 hind Morocco, whose enormous resources account 

 for over 56 percent of the total demonstrated re- 

 sources of the market economy countries, the 

 U.S.S.R, and the Federal Republic of China'" (ta- 

 ble 3-15). Morocco alone may have sufficient re- 

 sources to supply world demand far into the fu- 

 ture. '' 



Domestic Production 



The United States produced 44 million tons of 

 phosphate rock in 1986, which accounted for about 

 one-third of total world production. U.S. produc- 

 tion of rock phosphate peaked in 1980-81 at approx- 

 imately 60 million tons each year.'^ Twenty- three 

 domestic companies were mining phosphate rock 

 in 1986, with an aggregate capacity of about 66 mil- 

 lion tons. Of the domestic phosphate rock that was 

 mined in 1984, 84 percent came from Florida and 

 North Carolina. 



The domestic phosphate industry is vertically in- 

 tegrated and highly concentrated.'^ Most of the 

 phosphate rock produced in the United States is 

 used to manufacture wet-process phosphoric acid, 

 which is produced by digestion with sulfuric acid. 

 Elemental phosphorus is produced by reducing 

 phosphate rock in an electric furnace. About half 

 the elemental phosphorus produced is converted to 

 sodium tripolyphosphate for use in detergents. 



"J. Hrabik and D. Godesky, Economic Evaluation of Borehole and 

 Conventional Mining Systems in Phosphate Deposits, IC 8929 (Wash- 

 ington, DC: U.S. Bureau of Mines, 1983), p. 34. 



'°R. Fantel, G. Peterson, and W. Stowasser, "The Worldwide 

 Availability of Phosphate Rock," Natural Resources Forum vol. 9, 

 No. 1 (New York, NY: United Nations, 1985), pp. 5-23. 



"R. Fantel, T. Anstett, G. Peterson, et al., Phosphate Rock 

 Availability— World, IC 8989 (Washington, DC: U.S. Bureau of 

 Mines, 1984), p. 12. 



'^W. Stowasser, "Phosphate Rock," Mineral Commodity Sum- 

 manes— ;987 (Washington, DC: U.S. Bureau of Mines, 1987), p. 116. 



''R. Fantel, D. Sullivan, and G. Peterson, Phosphate Rock Avail- 

 ability—Domestic, IC 8937 (Washington, DC: U.S. Bureau of Mines, 

 1983), p. 5. 



Table 3-15.— World Phosphate Rock Reserves 

 and Reserve Base 



Reserves^ Reserve base'' 

 (million tons) 

 North America; 



United States 1,543 5,951 



Canada 44 



Mexico 12 



Total 1,543 6,127 



South America: 



Brazil 44 386 



Colombia 110 



Peru 154 



Total 44 650 



Europe: 



U.S.S.R 1,433 1,433 



Other 154 



Total 1,433 1,587 



Africa: 



Algeria 276 



Egypt 871 



Morocco 7,604 22,040 



Western Sahara 937 937 



South Africa 2,865 2,865 



Other 264 231 



Total 11,670 27,220 



China 231 231 



Jordan 132 562 



Syria 198 



Other 55 485 



Total 418 1,449 



Oceania: 



Australia 551 



Nauru 11 11 



Total 11 561 



World total 15,119 37,594 



^Cost less than $32 per ton. Cost includes capital, operating expenses, etc. and 

 a 15 percent rate of return on investment. Costs and resources as of January 

 1983, f.o.b. mine. 



''Cost less ttian $91 per ton. 



SOURCE: Adapted from W. Stowasser, "Ptiospfiate Rock," Mineral Facts and 

 Problems— 1985 Edition (Washington, DC: U.S. Bureau of Mines, 1986), 

 p. 582. 



Future Demand and Technological Trends 



Demand for phosphate rock is closely linked to 

 agricultural production. Domestic primary demand 

 for phosphate rock (including exports) grew from 

 31.2 million tons in 1973 to 45 million tons in 1980. 

 The global recession that followed, coupled with 

 agricultural drought conditions and government 

 agricultural policies aimed at reducing excessive do- 

 mestic grain inventories, reduced phosphate rock 

 consumption to 31.7 million tons in 1982. Domestic 

 consumption rebounded in 1984 to 46 million tons 



