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this material, not only the base of the picric acid, but also the ammonia, is a direct by-product of coal gas. Its property of absorbing moisture, which lowers or completely destroys its explosive character, has limited its use to mixtures with other ingredients. It was reported in the papers recently that the largest military mine prepared so far was set off by the British in the battle of Messines Ridge, the explosive used being "Ammonal" which is stated to be a mixture of ammonium picrate and powdered aluminum, with other minor substances, the aluminum being added to prevent the absorption of moisture.

It may be remarked that benzol and toluol are important constituents of illuminating gas as they are responsible for a large part of its illuminating power and to the extent of perhaps five to seven per cent of its heating value. When the gas is generated in coke ovens and used for heating the ovens themselves or in the process of steel manufacture, the reduction in quality is immaterial to the company as compared to the value of the benzols as by-products. When, however, the gas is distributed to the public under state requirements as to its heat value or candle power if the benzols are removed, it may be necessary to re-enrich it, or to arrange for some modification of the quality specifications. In this country, up to a short time ago practically all of the benzols used for explosives were recovered from coke oven gas not subject to public use. Any great increase in the demand would mean that all gas companies of moderate size or larger would have to install apparatus for the recovery of toluol and possibly benzol-in fact a few of the larger undertakings have already done so. As re-enrichment of the gas is an expensive matter, if it is necessary in a time of national emergency to abstract these materials from city gas, some adjustment will have to be made between the gas companies, the consumers and the government. It would seem that in anticipation of such an emergency, a start should be made on the settlement of this question. While most of the English Gas Companies are now recovering benzols, it was only after much discussion and not until August, 1916, two years after war was declared, that Parliament passed an Act containing provisions by which any gas company operating by virtue of a Parliamentary order could legally apply for a change in its standards so as to permit extraction of benzol.

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Besides being a base for several modern explosives benzol

finds a direct application in war as fuel for engines of motor trucks for army transport, etc. It is stated to yield 25 per cent more power than gasoline. In the United States, the development of the petroleum industry has made gasoline the practically universal motor fuel. As early as 1910, however, it is reported that one-half the benzol output of Germany was used for this purpose and during the war it has been indispensable to them. Since 1914, many benzol recovery plants have been installed in the coke oven and gas plants of this country, and in many, if not all cases, the cost of the plant has been written off out of the profits received during the period of high prices. When the war ends, these will be idle unless a market is developed for their output. Under the existing conditions, it is not unlikely that benzol can be sold at a price which will compete with gasoline and that it will be largely adopted as a fuel for commercial trucks, if not for pleasure cars.

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It is curious that nitrogen, the practically indispensable agent in the formation of many explosives by which men destroy each other, is also the indispensable element for the nourishment of plant life, by which men live. The present war seems to be developing into a contest of food production and again the by-products of the gas industry are of assistance to the nations by furnishing nitrogen available for the intensive cultivation of the soil, in the form of ammonia. In the process of generating coal gas, part of the nitrogen of the original coal combines with hydrogen and appears in the gas as ammonia, which may be readily recovered by absorptions with water. Usually the ammonia is treated with sulphuric acid to form ammonium sulphate, which is the principal nitrogen bearing component of many fertilizers. The amount thus furnished is not by any means sufficient to supply all the needs of fertilization but it forms an important part of the nation's supply.

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There are many minor uses for coal gas by-products which are directly or indirectly needed in war as well as peace, such as the nitration products of napthalene as ingredients for "safety" explosives, other applications of benzol derivatives for the same purpose, the many drug and dye bases, preservatives and building materials made from coal tar, etc. It seems hardly necessary to mention the importance of coke in the manufacture of steel and the necessity of gas for many domestic

purposes as well as industrial heating processes, especially in munitions manufacture. It would seem, however, that one of the characteristics of the business is its adaptability to peace or war time conditions; in the list of "occupations" indispensable in the conduct of war it can claim a place amongst the first.

BUSINESS CONDITIONS

IN STONE & WEBSTER LOCALITIES

The managers of the companies operated by Stone & Webster write to the Management Division of Stone & Webster about the first of each month with reference to business conditions in their respective localities during the preceding month. A digest of these letters is published each month in the Stone & Webster Journal.

Amsterdam, N. Y., June 14th:

Bank clearings for May, 1917, were $2,249,345, against $2,293,046 last year.

year.

Post office receipts for May, 1917, were $6,601, against $6,507 last

Business conditions in this district continue excellent. Persons desiring work are employed immediately. The carpet industry is at present not particularly brisk. One of the mills is shut down on account of labor difficulties and two are running but five full days.

Knitting mills, glove shops and machine shops are very busy. Retail trade and building operations, however, continue dull. Prolonged cold, wet weather throughout the month has greatly hindered farming operations.

Ballston Spa, N. Y., June 14th:

year.

year.

Bank clearings for May, 1917, were $721,251, against $687,561 last

Post office receipts for May, 1917, were $1,232, against $1,007 last

All the factories report large orders ahead and are running full time. Labor conditions in this vicinity are reported as good.

Beaumont, Tex., June 16th:

Bank clearings for May, 1917, were $4,861,978, against $3,995,180 last year.

During May, 1917, 70 building permits were issued, valued at $74,300, against 79 last year, valued at $91,551.

year.

Post office receipts for May, 1917, were $8,699, against $8,545 last

Beaumont business men report a slight depression in trade as a result of war conditions all over the country, though this fact is not denoted by the bank clearings or the post office receipts.

During May, the Beaumont Ship-Building & Dry Dock Company purchased an island in the Neches River, which has formerly been known as Island Park. This island was owned by the city of Beaumont and covered 66 acres, for which the shipbuilding company paid $100 an acre. In the terms of the purchase it was agreed that the company would construct and have a plant in operation within nine months. As stated in our last letter, the Beaumont Electric Light & Power Company will supply this company with 200 horsepower of electricity.

The Tarver Ship-Building Company has purchased a 500-foot site on the Neches River and will begin construction of several ships at an early date. Our company has closed a contract to supply power in this case also, to the extent of approximately 60 horse power.

The Independent Ice Company has recently been organized in Beaumont, backed by Houston capital. We shall supply them with about 80 horse power of electricity at an early date and this will be off-peak business.

There was practically no rain during the month of May. This will not affect the rice crop to any great extent, but other crops in the gardens will be seriously affected unless the drought is broken soon.

Brockton, Mass., June 8th:

Bank clearings for May, 1917, were $13,138,266.

Savings bank deposits in May, 1917, were $14,755,438, against $18,594,460 last year.

During May, 1917, 59 building permits were issued, valued at $62,899, against 78 last year, valued at $137,271.

Shoe shipments for the first five months of 1917 were 309,420 cases, against 327,353 last year.

Stock taking in most of the Brockton factories has been completed and active work begun on fall orders. The spring run was shorter than usual, owing to a combination of unfavorable weather and full stock of shoes on merchants' shells. Brockton manufacturers, however, look for a marked business improvement during the next five weeks.

Work will soon be begun by several manufacturers on an order for army shoes placed by the United States government, aggregating 855,000 pairs, including both marching and navy shoes.

Canastota, N. Y., June 14th:

Bank clearings for May, 1917, were $91,970, against $84,096 last year.
Post office receipts for May, 1917, were $897, against $1,749 last year.

Columbus, Ga., June 20th:

Bank clearings for May, 1917, were $2,692,604, against $2,167,475 last year.

During May, 1917, 4 building permits were issued, valued at $54,000, against 4 last year, valued at $43,300.

year.

Post office receipts for May, 1917, were $7,803, against $7,203 last

The increase in bank clearings may be attributed to the large buying of cotton by the mills.

The cotton mills report sales up to the limit of capacity in spite of increasing selling price caused by high cost of cotton and labor.

Retail business continues good but the farmers report that crops are

in need of rain, drought having continued over eight weeks.

Both the railway and the lighting and power receipts of the Columbus Railroad Company for May, 1917, showed increase over the previous year. The receipts of the Columbus Power Company for May, 1917, showed a very handsome increase over 1916.

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