Document jBwbkkLMK47bk98QdkJRG9jRk

No. 1 December, 1971 PRICE INCREASES OF R.M.265D Please find attached a copy of the minutes of a meeting with Cape Asbestos which was called" to discuss the'price'increases "'to be imposed 'on 'supplies of asbestos to operating companies. The present situation and future imlications for supplies of this raw material are evident from these minutes. 1. In view of this situation and coupled with the present price differential between grades S35/65 (R.M. 265D) and SW*, companies are recommended to evaluate the replacement of S33/65 hy S44 as soon as possible. Attached is a technical report coiroaring the effects on the finished product of asbestos grades S22/65, S33/65 and for your information. Foseco G.a.b.H. are currently evaluating on a production basis and as soon as information is available it will be published for the benefit of companies. SH is a fairly new grade of fibre produced by further refining of waste. Cape Asbestos assured the meeting that it was in good supply. 2. Because of the predicted limited availability of anosite asbestos in the future and, therefore, the probability that the price of all grades will rise again next year and continue to rise for the next five years, it is reconmended with regard to the present situation that companies evaluate in due course the elimination of asbestos, where possible, both for health and economic reasons. To this end a development study will be carried out by the department in the second quarter of 1972. V vT* Mellodey FOSECO 1480 MEET!NG -TT;i A33. Oreo nnxL's li.-ite!' LONDON AT T.l.l. - TH NOVEMBER. Pumose. The meeting was called at the request of F.I.7.. to establish the price and availability of the various grades of amosite asbestos used within the Group during 1972. The meeting followed a report that increments of 9* on Ski* prices and 11c on S33 prices had been quoted to Foseco Gesellschaft, Germany. Salient Caoe ooints. 1. C.A.F.L. indicated that the F.O.B. price of all grades of amosite asbestos marketed by Cape6 are being increased by a minimum of 8%. Also from January 1st, 1972, freight charges from South Africa to European ports were increasing by 154. In consequence, the European companies could anticipate increments of the order of 9*. 2. The grades of amosite asbestos S33/65 and Ski* purchased by refractory tile manufacturers would carry a minimum increment of 84 compared with an increase of 20-254 for those grades of amosite asbestos marketed to the Building Industry. 3. The reasons given by Capes for these increases were as follows:- 1) As a result of political activity in South Africa, Capes informed that labour costs had increased due basically to the need to retrain on an annual basis the bulk labour force. 2) The demand for amosite asbestos was currently around 504 more than the current capacity of the production facility in South Africa. 3) Production capacity could not be significantly increased within 5 years because the current mine shafts are at peak production capacity and it would need the sinking of fresh mine shafts plus the building of new production nlants to raise the output in line with demand. A decision regarding increasing capacity is cue to be taken by Capes during next year. This would not, however, take effect for 5 years and would mean that in the interir. there could be keen competition for amosite asbestos with the inference that prices would continue to rise. k) Capes indicated that these worldwide price increments were being implemented partially to raise necessary capital funds for expansion. 5) Caoes indicated that it was their no] i rv instituting differential price increases to maintain interest in'the cupoly of amosite asbestos to the Refractory Tile Industry at the exoense of the business to the Building Sector. Salient Foseco points. 1. In response to our enquiry regarding either a group discount or special price in view of the increased offtake of the group during the past three years, i.e. 1969 - 600 tons, 1970 - 2, 000 tons, 171 - 2, 500 tons Capes reiterated that no discount or special price was available over the 600 ton figure. 2. In view of Cape Asbestos remarks regarding the future availability of amosite asbestos, F.I.L. requested consideration for a 2 year contract provided the price was satisfactory. Capes indicated that they were not prepared to consider contracts of greater than one year duration. 3. During discussion, Foseco Inc's offtake current and potential 72 were introduced. The price which Foseco Inc. pay to N.A.A.C. could not be related by Foseco directly to the same F.O.B. South Africa port price that applied to European Foseco associates. Caper, advised that their policy was a separate market price in North America and Japan. Prices in these two regions would be significantly higher than those appertaining to Europe and the rest of the world. In view of this we requested a quotation for supplies to Foseco Inc. ev South African port from Cape Asbestos Fibres London Limited. Mr. Scott indicated that he would raise this with N.A.A.C. and would revert if agreeable with an offer. I*. Cape Asbestos Fibres were informed that in the oresent price climate Foseco as a grouo would be looking at alternative materials and alternative supoliers of amosite asbestos. FOSECO 1482 COMPARISON OF ASBESTOS WITH THE STANDARD MATERIAL R.M.265D (S33/65) Introduction Laboratory tests had shown that two new grades of asbestos S33/65 and SU4 could be used as alternative material to R.M. 1 s 265B or 265C. The tests below were carried out to examine the properties of SW* under production conditions, using R.M.265D (S33/65) as standard. Broerimental The recipe used sis a basis was as used in the previous tests. i.e. 6i> Asbestos % 468B 267 29* 131C 58* 00E The two Asbestos types SW* and S33/65 were substituted in the above recipe. Mixing Procedure Total sciids weight - 50 Kg. Volume of water - 6o gallons. The standard production scale lydropulper was used. The procedure was as follows: (1) R.M. 's 267 and OOE were pulped with approximately of the total volume of water until the R.M.267 was completely pulped. (Time ca. 30 minutes ). (2) All the other R.K. 's were added and pulping continued while the total amount of water was added. (Time 2 minutes). (3) Pulping was continued for a further 3 minutes and the slurry discharged. Two mixes were made using the above procedure, one with and the other with S33/65. A second mix with 344 was mane using a slightly modified procedure as follows: 1) R.K.'s 267 and 00Z were pulped as described above. 2) All the other ?.. M. 's except the SW* were added and pulped as above. FOSECO 1483 3) Pulping vas continued for a further 3 minutes, k) Ski vas added and mixed in without intensive pulping. The reason for the modified procedure vas to prevent any reduction .in fibre length of the Asbestos since this was already considerably shorter than the R.M. 26 5D. Properties of slurry, and tiles Standard tiles (1200 x 33 cm.) were formed on the SAM at ko p.s.i. applied pressure. The tile thickness was approximately 1 inch. The foxmability, forming and dewatering times, slurry suspension, green strength and green water content of the tiles was determined; the density, permeability and transverse strength of the cured tiles was also determined. Results 1 S33/65 23 Skk ski (modified mixing proce dure ) Slurrv properties solids content $ suspension (% clear liquid) after 1 hour after 2k hours Forming properties green product formability (distribution of slurry on tool evenness of top surface and thickness of tile) green strength 15 - 16 22 25 30 52 good good very good very good Forming time (sec) Dewatering time (sec) Finished product Density (g/cc) Permeability (AFS units) Transverse strength (pjs.i.) 20 22 0.88 7.5. 197 17 20 0.93 11.3 536 25 30 good slightly better than the other mixes 20 25 0.90 11.3 260 FOSECO 1484 The general appearance, hardness and flexibility of the cured tile vere similar in each case. Steel pour test a) Ease of strip: b) Metal surface quality: All tiles easily removed. Residues fairly well sintered. No observable difference in behaviour of each tile. Smooth metal surface in each case. No penetration. Moderate bum on. Comment (1) Comparing 1 and 2, the properties of the products at each stage of manufacture are very similar with the exception of the density of the tile, which is somewhat greater in the case of sMt. (2) The modified wiving procedure for SM has brought about an improvement in green strength and transverse strength by preserving the fibre length of the Asbestos and there has been a slight reduction in density. This procedure is therefore to be recommended. (3) The green strength of the tiles made with the new types of Asbestos is satisfacxor./ for tile manufacture. Further tests would be necessary to determine whether this is sufficient for one piece head manufacture. Conclusion Apart from the differences in density and the economic implication of this, there are no great differences in quality of tiles made with compared vith those from S35/65. SWi could therefore be used as an alternative. V.E. Mellows FOSECO 1485 S44 IN GERMANY On production uses to-date the German company' has been unable to establish any differences-in performanceof their Profax using-asbestos grade S44 FOSECO 1486