Image provided by: Texas A&M University
About The Battalion. (College Station, Tex.) 1893-current | View Entire Issue (June 27, 1973)
Page 4 College Station, Texas Wednesday, June 27, 1973 THE BATTALION Researcher Says Unknown Products Boost Economy An A&M researcher says the manufacture of products that are practically unknown to the aver age citizen boosts the state’s economy by around $12 billion a year, give or take a couple of billion. Norman C. Whitehorn of the Texas Engineering Experiment Station’s Industrial Economics Research Division uses a “multi plier effect” formula developed by the governor’s office to place the economic impact of the state’s petrochemical industry be tween $10.5 and $14.6 billion an nually. Whitehorn’s 80-page “Economic Analysis of the Texas Petro chemical Industry,” released this week, is the first published cal culation of the giant industry’s value to the state. The research was accomplished with support from A&M’s Sea Grant College Experts See No Early Easing Of Energy Crisis AUSTIN—Experts offer little hope for an early easing of the energy crisis, and Railroad Com mission Chairman Jim Langdon warns a lot more oil and gas is being used than is being found. A House committee studying the crisis heard a national au thority’s grim opinion that “there is no way out.” Dr. John McKetta, past chair man of the National Energy Pol icy Committee, said President Nixon should declare a national emergency, since it’s too late for problem studies in the area. Langdon told the same com mittee legislative efforts to cope with the problem will be frus trating because solutions must be sought at the national level. Although the state regulatory agency has been permitting 100 per cent production for more than a year, Langdon said Texas producers are still falling short of demand for oil by 400,000 bar rels a day, or roughly 10 per cent. Atty. Gen. John Hill termed the situation “extremely critical,” and said no other matter should receive mote attention‘today. As the commission set the July oil allowable at 100 per cent for the 16th straight month (with buyers seeking a record 3.8 mil lion barrels a day), Langdon is sued a new warning that only nine million barrels of oil a month are being added to Texas supplies while 105 million barrels are consumed in the same period. “Unless this trend is reversed, the Texas oil and gas industry is in the process of self-liquidation,” said Langdon. Texas crude oil stocks as of June 8 were 94.7 million barrels, a decline of 7.2 million from 1972. Graduates May Order Announcements Summer graduates may order graduation announcements through July 6. Orders should be placed at the Student Finance Office, on the second floor of the new Memorial Student Center. Orders will be taken Monday through Friday be tween 8 a.m. and 4 p.m. A&M summer commencement is Aug. 17. It will be the first summer graduation ceremony in Texas A&M history. PAWN LOANS Money Loaned On Anything Of Value. Quick Cash For Any Emergency. See Us For Ready Cash Today. Texas State Credit Pawn Shop 1014 Texas Ave., Bryan Weingarten Center REX THEATRE 333 University (upstairs) Phone 846-9990 Open 3 p. m. till midnight 7 days a week Clip ad for $1.00 Discount Also FREE Membership cards to all Aggies REX THEATRE Program. The petrochemical industry uses raw petroleum materials, primarily liquified petroleum gas (LPG) and certain components of crude oil, to produce a broad ar ray of “basic” petrochemicals and, through further processing, an even wider range of deriva tives. These products reach the con sumer as components of a variety of everyday materials such as plastics, fibers, synthetic rubber and pharmaceuticals. Whitehorn’s analysis excludes all fuel and energy products such as gasoline, kerosene, fuel oil and energy products such as gasoline, kerosene, fuel oil and natural gas used for fuel. In 1971 82 firms operated 139 chemical plants valued at more than $6 billion, Whitehorn reports. Sixty-seven percent of these plants, containing almost 90 percent of the total capacity, are in the 36-county coastal zone, near refineries and water and rail transportation systems. Eighty percent of the plant ca pacity is directly on or near the Intracoastal Waterway. More thah one-fourth of the finished products are shipped by barge. The Texas Gulf Coast has the greatest concentration of chemi cal plants in the U. S., producing more than 40 percent of its basic petrochemicals, 80 percent of its synthetic rubber and 60 percent of its sulfur. Whitehorn estimates the state’s total production of petrochemi cals at between 75 and 85 billion pounds in 1971. Ethylene is pro duced in greatest quantity, with propylene and benzene next. Products shipped by the industry in 1970 were valued at $4.4 bil lion. Looking ahead, Whitehorn pre dicts the industry will grow steadily at seven to eight percent annually for the next few years. He says the two greatest prob lems facing the industry are the availability and costs of feed stocks and energy sources. As the result of increasing de mands for fuel and petrochemi cal products, he expects the in dustry will shift away from lighter petroleum gasses as its primary feedstocks. In ethylene production, for ex' ample, Whitehorn says feed' stocks will change from nearly all LPG at present to 57 percent LPG by 1980, with the balance coming from the heavy liquid! of naphtha and gas-oil cracking' This shift will require substantial plant modifications. Whitehorn also sees increased recycling of plastics and synthet ic rubber as a possible means of meeting increased demands. UNIVERSITY DR. AT COLLEGE AVE. MON.-SAT. 9 A.M.-12 P.M. SUNDAY 9 A.M.-10 P.M. £uU 1 ! BankAmericarei L PHARMACY When you bring a prescription v\ here, you can be sure thaY your doctor's orders are being! followed exactly by skilled, Registered Pharmacists. ' 111111111 m 11111111 HOME OF COURTEOUS SERVICE!