PR OCEE DI NGS 1965 LIBRARY OF' THE UNIVERSITY OF WYOMING l.MAM1£ . herein although prepared o••tcment.s contained . n' Petroleum Institute, NOT,,_.,_ . cthe America ror use in publications o . ti on of the author . represcn.• the expres!!ed opu SECTION I-GENERAL Annual Meeting General Sessions f M tings of Board of Directors Divisional Reports 0 ee d Executi,·e Committee of the Institute Extract.a from Minu.tes Ofticen, Board .of Di.redO~ :Stitute's Di,isions of Production, Relining, Marketing, and Accounting, and Science and Technology; Conuniti. General Commit~ees Fo~ Transportation, anance on Public Alfaira SECTlO!\ II-l\1ARKETING llid ear &leeting Sessions of the Division. of Marketing, Abstracts Oth:r Meetings of the Division of !ilarketing, Abstracts SECTION III- REFINING Group Sessions and Dinner Seasion of the 29th Midyear Meeting of the Division of Re11n1111 SECTION IV- PRODUCTION lreetl111 of the General C-ommlttee of the DlvWon of Production-Annual Meeting Divllllon of Production Dlltrict and llldfear Meeting Papers, Abstracts SECTION V-TRANSPORTATION c-mttt.. of the Dhiaion of Transportation-Annual Meeting lleetinc of tbe c-rat Annual Pipeline Cont...._, Ai.tr.et. Annual Tanker Cont........, AhRncta Annual Conference OD BIP-J 1'ran.ponation Annual Confereaee OD lndutrlal Trdlc Additional copies of each aection of the Proceedings may be obtained at $1.00 per copy. 'l'.\ BLE OF CO)\'J'E)\'.l' S J'ROCEEl)l~GS 0 1!' 'l' Jlf•; 1U1ERIC.\ N l>E'l ' HOLEU~l I NS'l' l' rU'J'J<:, 1965 :::>EO'L'IOX 1- 0 1<:11E R..U, Forf'w ord ....... . . . .. . . . ... . ............. . . . . . . . . . . . . . .. . .. .. . . . . . . . . ... ... ... .. ..... Page 3 Annual )leeting General !>e••iolll! fir&I c ~ll4" ral Sf!!isio n., ~O"\'Clll~r 8 P N"5t'nla tion of N•t ional Safctr Council A.a.ociation A~·arc1, Brig. G<'n. J ohn D. Law1or .. . . .............•. • , . , A-.- a.rd of API Gold ~fedaJ, J . Ed. \\'nrre11 ....... .. .. . . . . .. . . . .. • • • , •• , •• , . . . • . ..... .... ..•..•.. , ••• , ••. , Rc11111rk• by Re(i1lie11t, :P.I. J. Jtnthl>0t1c •.•.... . .. .. .. . . ... . . . •• ,,. , , • • , , , , , . .• . . . . .. . . . . ..•..... . .•• .. •• , l\lcctlu• 1hc CtaRllen3cd of 1966, l"ra nk N. lka rd . .. .. ..... . . . .. . ,. , , ,, , , , • .. .. . .. .. . . ... .......... . . ,. .. . Sc:cond Gc11('ral Session, No ,·en11.H!r 9 ......... . . . ... ... . . .... ..... . .......... The Sou nfl l na red ientt o f • C~at ~it"ty, Da.-id Rockcl•ll•r . .. Tht' l' ~"t llund ttd ' 'ean--Thirty \ '('an C...ttt, C. C. Furnas .....••....... . . ___. _ . ......•••..... ...... Third ~nr ral Se.uion, Xo,c.m~r 8 9 9 12 18 23 10 Addl"t"'~"' R on. S tewart L. Udall. . . . . . . . . . . . . . . . . . . . . . . . . . . . . • . • . . . . . . . . . . . . . . . . . . . . . • • . • • • • • • • • . • . • • . . Corn 1•('tition a nd Cooperation, J. Ed. \\ 'arr('n . .. .. .. . .. . .. . . .. .. . • . . . ... .. ..... .•... .. •• . .••.. , . ••.••... 30 33 Divisional Hc11or1 . .. . ...... . . . . . . . . . . . . .. . . ..... . . . .. . .. . . . . . . .. . ............... . . ... . . . . . . . . .. 36 Appe ndix Extruel.t f rom Minutes ol Meeting• 0£ 1_h,. Bo ard of Directors . . . . . . . . . . . . . . . . . . . . . . . . . . . • ••. . . . . . . . Offi.-,.., Board of Oirttton, and Exttulh• Comminee .. ...... ... .... ... .... . , •. • • ~r,cn1 Com mittttSof the Di ,·Wo1~ o( Produt"t ion, R efi.ning. lt.rll..c tins, Tran.-port.atjon, }inaocc and Ae'C'Ou ntin&, a1ld Seienee and Technolou; Coulnlitttt on Public Afl'ain . . . . .. .... .... ... ... ••• •••• S l~ U'l' [ON 11-~L'tU l(ETl 47 50 SS NG G('n 111414'41 1n this 1'abl'" ot c•o111;·nl• 1111drr "Otn1•r11I f'ow 111ltt1·1•" lr,1·t>11t lb" ftrs t (Nlptrl. lfinutes ot oth1·r rurnndlt••f' me-Ptln.irs. u Wf'll a11 ('01111pl1·lt' 1~1 1•1'hl t•f th~I!' abs tr11cltd b,.r.. 10 and u~t.-d in Uils Tabl'" ot t'oDtl'nl• und('r l!'ac-b of thf.' otbf'r r'Olu111l1t~ bt>adlna. at"o a•ail• ~lt on 1•hn~. contaln11, 111 "ddlllon to l hf' m loutei!l of n>quNt trom the Dl'f"l~1on *"'" "t \Jarklf'tln,s. Page DI' l· ion or ~lark.~tin,-, A . 8. llt-l'ftberger. . . . . • . . • . . • . . . • . • . . • . . . . . . . . • . . . . • . • .. Cicrti6c:atr of A1>1)n"(:iation A,,_-arJs · • • •.••..•... . .. ... ....• . ••.•.•.....•.. • • • . . •......•.. Be: port o( 5 9 (;cneral Co1111nillf'<' 1lae Jobb1•r uncl 1h (' l)e tro lcu111 l1ulu11lr), \\'. R. \\"illiams a 11d \\' il£te1I It, t-lnll . . . . . . . .• . . . . . . . . . . . . . . . . . .. . Co 01111 cN"illl S.-n"i~ Si~ .i a11d tlte t 't"d r ra l ·uigh"·a,· Ac:t : 'l'h i' 1'r n,t>l in« 1'1o torist. R. G. taNlnf'r • • . . • • . . . • l low Oil lla rli:eler& Can Pa rti«'i1Jalf' in lhf' Ff"dera l Go, f'r11Jnf'111~~ J nb 0 f',-r )o p ntrnt P ro.ran•, Stanle)· H. Ruttenberg ..........• · · · · · · · · · • · • · · · · · · · • · · • · · · · · · · · · · • · · · • · • • · • • · · · · · · · · · · · ..... . . .... .... .... .. 10 10 10 11 12 VOL. 15 [!) (1965) FIRST CE!'IER AL SESSIO N 1\IEETI:"\G THE Ct-1 ,\LLE~GES - OF 1966 t F1nNk. \l"elcome to the 4:;1h Annual M..,ting o( the America n J>('troleum ln~titute. As al'"·a)·s, it is good to see so many in ottendan ce. Thr~~ met-tlngK ur ours provi(le tl yearly 01•1JOrtu r1ity to 1-cHect OJ\ ))B!it (l~rforn·1n.nce, asi;ess curl'ent 1•roblcm s, u11d formula t(• future progru1 ns. But th<."y n1ea11 much 11to re than that. They offt•r concrete e,·idence of th" n~I !or induatr) · people to t>Xl•lore tht..f 1natters not M'J•&ratel}·, hut to~ther; to ntl\·ance our ht-st thinking l\Ot in privnt<' iHOlation, hut 1n open con\·t·nt ion. It is con11nonplacc alid ahl\Oi;t trite to ol>i;ierve tl1at the challengt>s we face togeth(·1-, i11 noncom p«titive areas, Rl'O\\' in numbc·r , "'iU. a nrl ton\11lexit)· )'ear b)· )'ear. But r~rhaps it's "orth obsen inK that a s the)~ do, the)· tenc.t to involve tt,(• 1•· MC-i.tmc11t11 <,( ou r industr) ' and more tleople in o u 1- irtdustr y mot·(· J(•<'tJly than in the 11ast. The }rear l!lG:t has betr\ no Pxcept ion. A l>rt>nd stream ol acti,·itit>li ha• called fo1· an unusual c.lt"Krt-e of Jead•nihip b)· the Ruard of nireconct affordin g sorne time fo r l"\.'Hectio n u1ul for\\·ard plann•n g . I doubt if Ed fo1t11lt• of the thousanc.I& of ,-olunlt.•ers throug hout the ind uRlr)'. 1 '"ish to thnnk thern at this t inle fo 1 their t>Xtl'nai' 't' partici1>atio11, and tlte ~nt1 1-e ..\Pl a;t a lT joins 1ne i11 this ex1,ress ion of APJlret1at1o n. \\"e ho1~ their enthusi asm "·ill 1nspire man)· trk1re to takt> ,.,rt in indu~t ) uffair.; in the coming )·ear. In ob!"Pr\Ting that this ha• been a mo:.t acll\·e year, 1•articu .larl) 1n JCo,·emnlf'nt 1t•lation s, J h&\e in mind the reading s of a fairly rc·lial'1L" thermun11·l4er-r~let£'cl, n\01·c that\ l 1,CH>O bills werf' int1'0du<~e'I. Thi8 is al1t\oi;t a• man\• as "·<'rt" introduC f'il in botlt sess.ionM of the 88tl1 Con1r~;;- So th~ thermo1 n1·ter tells us tllat federal It i:1ailat1,·e acti'\·aty is runnani: at doublf' •l~"t·41. Going right along "ith the trend, the number ot hills of i1lt(•rl'Jo1t to our 111clustry \Va~ nlHo u11. In 19f;:J, ou1· irldustry kept a close v.•ulc11 on no feY.:'<'r tha11 200 J1iC'reJ-1 of Jll'OIMl~ federal lt•,ialati on. ~tate gQ\t•1 nn•ents ~'ere alt¥> \11·11111 1111OSition.ed t.o tll('t•t tl1e challt-nstt"3 and oppo1·tu nities of l!)lifi. The issue':. that concernf d us in 19G.J-a ir and wal.('r consen· ation, oceanogra1,h)", taxe-s, v.·aKe and hour lt•gi.1tlation, anct highwa) · "iKn legislati on to namil:' jusl a ,.er)• fe~·- al(•rted industry 1>eor>le to th<• need for doing their honlC'\\·01·k. l\Jany 1nore 1>copJ(' i11 our industry J1ad to l<'arn i11ore about some unfnmil inr r;ubjectH. And tnany 111ort:· of us 1earnc·d not onl)• fl·l111 it "·as importa nt to mak(' lhe industry '• ,·oice heanl ond its opinion" ' felt, but alillO l1oar to do it. As a result o( the experi('n c:ea of 196."i, then, y,:·e can taet t he iSSUf'~ Of 1966 \\•ith t1 ft•eling that \\e On? a t lea11t better 1>rc•11n 1·<·tl. A s"\"\•ift rtvie\\· -of juwt n. fe\\' of tht" UJ>co1ning issuca -su~ .. t- the ,-arie-t)• of <'halleng es l!Jr.r. v.·ill hold out to us. As ltr. Dunlop Nlid. I think it is n-all)· or1p.-)r• tunity. It take~ First, con1ide r the area or JCOvernn\ent fact.gat h .. rini:. A )·ear an at this ti~. I con1mt.>ntt'd on the ~\"em• ment inte-rage nc)· group that is stutl)·1ng go\'errMt"nt racts and ftgures. Shortl>· n!te~·ard, tht• study J:fOuJ• criticized the• )>resent indutttr)r faet-gathl'l"i11K a s being inadcqu att:, 11articula1·l)• i11 the areas o! re-~r\'eS, productive ca1•acity, "·ell~ tla 1lled, trans.1io rtat1on a J dt-li,·erahi lit)·, ancl expendi tu.-.. and tt\"t"ftUf"~. ''"e bt-ljt·\t-d a )'ear &JCt-.-&nti \\~~ bt·ltc•\ t- 110\11-th at fln)t fact:; llrl · is usk~d to providl' ougllt to I)(.~ ,.._.(evant to nutionul itel·lay of ft•dt.•1·al rurios1t r. li'ilr{Ures \\'e art• U!lked to pro''ide ousrht to he obtainal• lt• "·ithout plac1n1C an undut Jlhrsica l or financia l burdt-n on tht> inJustr). _ ~.\nJ if the figu1,.11 "·r ti(> pro\'ith.• are to f)(" UNt'd a-: the b3!itl for fran1111Jr nt.•\\· polic;i~·tt, tht•)' ought to lK• fin1i figun:J&11ot just infot•111ed gueSs('R, as jn the> CllSW of indic-lltecl or ulti111att• 1·t·l"Cr\'eS . 1 lndustr )' itiu•Jf has rf'C<>J:tniltd the nttci for anons et m· 1•lete chuir111anship of l'tll". Gunn(lh , "·ill be dt'Vt•loJting in1provc•(l fnct-guthC'r· ing in thl'ft• areas-re~l'Vt·~ and product ive cap!l.cit)'• drillin~ 11tat i1"lit"~, and tht t-conotnics of t"\Jilora tion and drilling . The:ie, of course, ar·t· JU"t the initial te1,s in tht' l('eneral n\·t·thau l of oua· tact-gnt hering "r1·\·jces. ~lueh re1nainK to ht• done i1l 1Hfifi and heyoncl. lJuL you citn be sure that our ))ositi\'t" uction in this nrtn lends ,,·eip;ht ~lE.ETI!\G THF. CHALLL 'iGES Ot' 1966 to our ot>i11ions in the ,,·hole a1·ea or go'~rnme1\t fact.· guthcri11g. An()ther isrut- v.orth comment a t thi~ t ime-one t hat t'!Ol"lt"Ciall).~ underaror~• the need for '"'•ider participa tion in i n1ction a·ntr has been mnin· talned fo r dc-cadt·,., despite many challenge s, for severnl in11iortant rea~n1. t...,irst, tbe "' isdo1n of the pro,~ii;t i o n an,t the establishf 'd r ate ha,·e be<·n M.•lf -to>\"ident. Tu11e and time again, (·ongn:ss has corr\"'Ctl)· t raced the ton· tanued disco,·ery of nr"· petroleum and the continued 4•x11nnsion of i·c:;(' rv~ti to the histol'1c and approprin tc t nx l l'f:'<\tn1ent of the industry. But ~qually irnportnn t is the fact that t ht- indu str)~ people have SUJ>porU.>ercentagt: rlt 1•letion "ill onreo RKain go und('l" a 1111croscope--J•t1rt ly, at least, in the ~tudy of the halnnct• of 1>a)•menls a 1iother to suSO;:t"~t that it has to be tinkered with or di11ma nt led to &ff if it I 'WC. king. Another ar«>.A that ,,·ill demand our \Vider interest nnd attention in\ol\es the \\'Ork of thf' Public Land J,a"' n~,·1ew Comnua1 on. Th.is commiuk> n \\·as dra""n UJ• b) Congress to ""lf'W all laws d' alirlg with public land . Its dutit"a corntr into importan t focu.! when )"OU et>nt1idcr that 011t thircl of the lnnd &ft..'& of the Unilf'd States falls "·ithin the put"\;ew o f the~(\ IU\\'S. Tl1etc arc indic.-ation& that thJ1 \\·jJJ be no routine .-xa1ninat ion. lt c."Ould '\\ell de,·e1op into a thorough-ifC)ing review of polic1ea rf'1atlng to donlf'ttit' and fol"f'ign dtl\dopmeii t of oil and P...."- Chaimi.an \\·a)-ne -~~pina11 A)"9 that his t0n11111~i:.1on "·ill be rotto"·1ng the courae or tariffs, quot.111 11roposed intt>rnatio nal commodit y ngrccmc1\ts1 an(l the developm ent of petrochem ical con\• J)l(\Xf'a . Along " ·ith it \viii be fu1·thr1· f!tu~ 1t,·eral of it~ out atanding meml:K-ni.. But many more reo1>le in our industry \Viti ultintnt<'I)• become involved. The findings and announc<'mcnte of the con1mission y.•ill trigger lively discussion and dthute. lndust1·y ptor>lfl at all levC'la muAt be prepare<) to take pa1-t. :&,fany 1nore of u s will ha,·t to become prartition ers of public affairs-a rticulators of the indu1ttr)•'s point of "Tif\\, No"·, the thrtt i1t1ues I've touchfd on-go,·er nmenl fact-findin g, oil and gas taxation, an0rt nf the E11\•iron1n('nti1l l•ollutio1t Pi1n(•I of tJ1e Presidt'nt 'a Scie11ce Ad,· iM>r)' Co1nmitt tt, y.·hirl1 y,•as ptt~ntt'd to Ptt~ide11t JohnAOn O\·er thf \\'M·kf'nd. This n·110rt unqul'1'tionnhl)· ''"·ill !an emotion.tt, rai~ fears, nnJtles front Lhc catastrop hic co11seq11enr.'1 of pollution, but li1nr i~ ruun in~out. One of thf' nlO~t importan t JJredictio ns of lh<" rt.·J~rt is that carbon dioxide is bt1ng added to thf' f'arth 's atmo~phtn· b)· the burning- o ( coal, oil, an'I natural gas at such n rate that by tht' )ear 2000 the h... t balance "'ill be so tllrnati,~e nonpOllut inJr me-ans of po"·f'rinl{ automobi les, bu~lf. and trut"ki> 11§ likf'l:r to become a national necessit)· ." The rf'r•ort, ho'''ever, d0<•l( roncluPOt•lt; but it is !earful or the future. A• ll safeguarc l, it Y.OUlJt)' the 1·ight of aJ\}tOt\c to •1ollute air, land, or y,•nter. Thef'\' &rt' 1nore than 100 1t·co1nrnendatio1111 an this s"·eeping l"f'f»Orl, and I C'01nnwnagt )·ear. On lht- ftdt'ral le\•el1 ht'arin"" and committf f me.. tin~ relating- to air and v.·ater ('()ftl'en·ation v•ett h(•lct almost continuoual)". The results, o( course, arf! tht \\.ater Qualit)· Act or 1965 and an i n1p0rtant antf'ndmt nt to the Clean Air Act of 1~6~. 1'urninic to the state IC'vtl, 1\tore than 3Gll hillA dC'aling with air and water COl18el'\•at.ion y.•ert" considere d by 41 ~lat<" lrgis)aturc s.. 0nf' hundt-ed and !IO(•\'C'nt\"-fi\'C of lh~ ~lated to air pollution control. and 1!f0 ·,'"ere related to ••ater pollution c:onlrol. As for thf' rt"$Ults of a11 this. 30 air p0llution bills pagsed in tR »tat('~, and 35 water bills in 19 states. The signs of heavier int " 'ntcr criteria in its stead. As for t ht' Clean Air Act an1eJ1d11lcnt, the ne''' p"l.'1r t he authority to 11.c•t s la11dards fo r \ 1 ision gi\'~K HE\\' exhaust ttnissions (rom new inotor \'C'hicles. And it provides for increased federal air polluti01l lesearch, inclutling a study o! automoti,·e h)•drocarbon emissions from tho carburetor and fuel t.ank. ThN.. will also be furtht·r studies on "~ays to cut do"-n sulfur oxide emissions 1t ulling from the burning or ttJJidual oil and coal. Oil\ 10ul41)•, n large and necessary jol> lirs ahead for thil't 11otion. Our industry n1ust giv(• itt11 f'ull~st cooperatio11 in this national effort to improve our air and 'vater 1X'~ou1·c~t1. At t he S..'\1l1e time, '''(' ttluSt ulso do \Vhat ,,.e cu.n to put. n good cause on a t'atio1lu1 track. 1n)' the emotio11a1iam \\1 ith \\'hich the 1natter it no'' ' charged-an e-1notionoliM1n ,,.e can expect. to .ee int( 11slfied. Some \\'ritert. poli tician~, and e,·en l't".Sirarch JleOJ'le h al'e found that 1t rong words on pollution a~ a short way and a ttrtain route to attention. \\•f' ftt1f1tl 11ot permit the job aht".:ld of u.s In air and ~·ater con11er...·ation~ither its sirl or it.a comJlle:<:it}·to tK'comc obscu.red b)'~ rash statt m'nll anti fanciful 11otions. Cl<'nr \Valer and clear air "'ill onl)' co1ne about tltrough clci1r thinking. Our 1>o ~itio11 was put fo1"\\a1·tl It\ a lt•t.tt, r to the Pres;id('nt last J anuar)', in tt$ponsc to his comments about air and 'vater conservation in his Stat e of the Union tltf'J.Kap. \\"e pointed out that Jin.st (l'xperience in thiic field indicates th(l wast• of mont)# and time th.at can ho• in"ohed in false starts. And "'e firmlr stated our bclil'C lhat well-meaning Pm«"ran11 can founder 'vht·N they are based on ruppo.~it1on unMup1)()rtOO b)' 1icientifie kno\\· leed th rou).!'h inadequate reM'Urch. \\'e poinlt."tl out to the Presidrnt -ttntl it js '"'~ortl1 rc1ni1u.ling ourselves here today thnt our judu5tl·y's concern fo1· vlnter quality j i; 1-lincc-r<• and lo11g s tnndjng. 1'hirt)1-scven years ago, at a ti1n<• \Yh(•f'I mBl'll' local gO\·ern1nrnt.s scarcely gave thought to \\•&«<'r purity, th<' industr)... fonnetl the APT Com1nitl<'<' on Di~1l0sal of Re!lnN; \l'ut••· The industry can take a great deal of pride, too, in its solid support of this <•ff()rl all duringthl' 1~30'a--when there wtre J>f•rhapa more J,~~ing economic problems. Nor i1 industrr concern with clran air a recent matter, pt·ovoked by headlines of thl' mom<."nt. \Ve have been sponsoring research and publishing our findings for 111ore thun 10 years-starting Ion£' bflforc the natjonal sJ)()tJight was thrown on this p1'0blcm. l thought you would bI tpon!IOrship of basic reJK""arch o\·er the )·ears hat tn\·olvM aub,;;tantial sums. Thi,i ha.lie J"tlt'ardl has hffn rarrttd on in some 20 different uni,·ers:it)~ laborat<,ru"I and research institution'!. ll has ranged Crom VOL. 15 [I] (1965) studi•• or the effect of 11ollutnnt1 on Crustacea,,. 14 •tudi•• on the composition ot dit••I rxhaust. Jn "">· tinuation of these efforts, fu~1ht•r t·t·~arch-principalty to •stnblish needed factual 111ro1·mnt1on on matters of curr(•ut irllCJ"est jn the nrea of nir conservation-i s right 1 00,v under co11sideration \\ ithi1\ the API Board of Jlirc•clor•. Th• API research effort is, or courllt', only a "11all 110rl of rndu•try spending. A ~tud)' of expenditures by rompanies for u·ater conser,·ation is not. completed, hut "·e flu hav~ figures on air con~r,·ation. They show th.at in lhf' r>ast 10 }~ears, rompanie~ h.a'"<' sptnt more tha1t $210 million on air consen~ation rt.eurc:h and new and impro,·rd control faciliti~. For 1966, these companies hn\·t• t•a1·1narked more than $1 l rnillion for these pur~ poses ~1linost double the a,·<'ragc annual rate of the rireviouR 10 y<"ars. f~x1><'Jlanies on 'vatA?r con. ~<'n1nti()n ha,•e lead to achic,1ements \\'Orth talking ahout. A typical example is the East Coast refinery \\'"ith a ,,·ater treatment syMt<'m RO efficient that an oy•t•r lx-d thrives just '"''""' the 110int where trea~ vratrrs are released. Or the inland refinery-a.phi l>·r,iral-\\·ith a \\"ater reclaim J) •tern so efficient that it hnt greatl)· reduced its requittments f rom city "Water mains nnd rtcentl)' \von comr>limt·nts from water offi· cialA. 01· the California refinery that u ses schools of smnll Rsh lo check the quality of •nJuent in its refinery pond~. Suc•h n<"hit've1nents have 11ot bet>n f!J:K!Ctacular in the ne"'llJlRJ>er 11eadli11e ~nse. N()n<' have been crash progrnn11 to ~k one-shot ~lutionM. Rather, they· ha't Jlt'(>C(.'('cled i1\ a calm, :-t"nsihlt>, 1•nJJ{rnmmed way and ha' t.• 1nacJe--and "·ill co11tinue to make--a real and lasting contribution to air ancl "'al~r tonsen·atiO!'I.. One rtt<'nt industr)· eff'on haa ~·n the de•ell)pment of a prucedure to a,·ert 1~tt'ntiall) hom1ful a ir poJlu.. lion c11is0ather fOt"<•co.st to o. threat· t>nc·lution to" rt·al JKlllution problenl. Our o,·t:rall record in air and \\"&tcr con~nation ii good • record of which we can be r>roud. But in 1966 tt can &en-e a larger purpose than n1ettl)• gi,·jng us • chan~ to point \\"ith pricle. These [>DRt and pre.sent effort:M, and our record of eonctrn over many years. nlt•rit the d~p attention of an}'OllC KCriously i11terested in conserving air and water. Tndustr)r 11eop)e ,\•ith «XP<'rti111t in these areas--and n1any more of t hem no"' exiat than in the past-must nlnke their ex11ertise avail· able. In eonclu1ion, then, th~ challenges of 1966 1riU b< many and varied~ The)· call, flr&t of all, for e,..en \\'"ider ar "'m ••'" "' VI '" 7\lEJ:.'TING TllE CHALLENGES Ot' 1966 and more acti'e fl.3rtitipation b).,. all of us. Those among us "·ho ha\..eo bf.tn reluctant to take part in these mattere must be u~ to~ ard a mo~ acti~e role.. But, of tt)Un.e, v.:e need more than just added partiti· patlon-more '·01ce. atlded to the chorus. Sucttss in any program depend.a al.so upon unity. Certain))>~ \\'e benefit from diven1ity o( 01>inion and indh' iduo.lity of '\"'ie\\..p<>int. Rut our industi;.. is best understood, and its neepreciated, when it can strike 15 a single note. Our induslr)t thri,·e.c tocla)' bttau.e il ha.a idenlifted those &?Us that could h•lp, or 1m1>ede, it.a progress; and "'·hen it bas respondt- Presid.,nt" s Filth ll4'1>ort to the Boord ol Director@ C. E. Reistle, J r., ' 'ice 111't'&iden t for science u nd technology. J>resented tt1e (ollov.•ing 1·epo1-t to the AlJJ 1•oa 1·d of Oirectors on April 23, 106!i: Thi• is my first rt)part to t he Board or Dire-rlor• as 'ic:t' pnoirident for tht• Oi\"i111ion of Science anortecl, our General Committ('(' hn~ tl\·t central committ("l'1' re1101ting to it; th is tf•JJOl'l ''' ill b<• 111·{'!1i<'nted 011 thP l>asi11 o f th('!lt' five bns ic grou1111. J!t:...,.r.A.RC'JI Thr- Central Committ r on Rese-.arrh hu cont1nuf'd their function Of adminiN\( I ing certain phl.Jl.f"• of t he rcttt•arch program of thn Institute. Du rjnsc thl'\ lG 111onth1 since I bA-canu.• vit'<" p1·csid~nt of th(' divls io11, th~tr ttfort s to str1·aml1nu so1ne of the comm it t14' s truct u re ha,~e resulted in a largf' reduction in tht'! numbt.-r ot Jlf'rsonnel in,~01,·ed. In onf'i' area. that of explc•ration and production tt.search, an tntire lev-el of four tOmmittflieS hu been elim1na.tf'd, ttducing tho mftnbtnhir b)· 77. Clo1t" contact has bN. n J1laintained with thl· OJl<'rat i ng divi»ion1 of the Jn111titut<· nnd, as a 1-esult, li('\'<'l'al chans.r<·~ ha ve been mad<' in our research p rogra111. Acting on the recomme nclntiona ot the Di,•isio11 ot Product ion, the financial suJlfK'lrt of one of the Al,I research p rojtcta on the ph)·~ia of r«k fractu ~ \\' 8 " in('rttt!Wd markfr'-t}-rpe projects t.o avoid du11licat ion and preclude t'Ol'ltly errors on 11roj~ct1 of n thr rmohasi.s on specific JJn>j C'cts as opposed to Kimple grant•. All grant.s.. in·BinlJlJ, te\·tral projttu will be completed: on June 30, 196.5, it is plannt"d to terminate the project on fluid mechanics; on l)t'Ct'mber 31, 1961;, it is planned to terminate the inultiphase tlo"' project, which has been conducted in cooperation with the A mer lean Gas Association ; and on June 30, 1966, it i• planned to terminate the project on clays. All'W>, M reported to you in 1963, we plan to terminate, on June 30, 1966, four or our research projects •·hich ha,·c bt't'n d~aling " ·ith the indi,·Jclual component. of c rude oil, s uch a.s sul fu r , nit rogen, metals, and h)·dro. carbon111. A comn1ittee has bee11 nppointed to wtudr the J>O&aibllity of combi11i11g nil of the activit ie, In this fielG. At the san1e t ime, a thermodynantwi ..,.,lion will probably h<> added I<> the project on "O.ta on Uyclrocarbons and ReJotecl Compounds~ so that put e.xperitntt in obtaininA' \\'Orthwhile infonnatlca, on s ulfur and nitrogen ther1nodynamic pro~rtiea cu be cont inurd for the hca'ry comf)One nta of crud('. oil. It is hoJ>("(I to BJ)J>ly the 111cthod of Increments t.o h)ldrocarbons RO that, v.-ith i11ternally consistent data, v.·e can pt"{'(llc.•t the thermodynu rnic propel't ies or hydrocarbon!'. This realignment , if Initiated. will result in a \'el')· imrortant shift in a ct i,·it f, with an incrta!llil f'J( '+en· ,·aluahl.. da ta at only a PQ5Sible slight incrtaat in coat. Actinic on the. recommenda tion of the Program and Burlgl•t Review Co1nmittee, a p1nn has been dl"\·111M to conver t the project on "Dnt.n on f(}•d rocarbons and Re1n.te-d Co1n1>0u1\ds" to a self-sustain ing basis. Starting July I, IU!if>, the project will be •uppo rted by the in<'troleum indu!try, not only within the Amtriea11 l't•troleun1 I nstitute but v.·ithin other associations . S.-veral m•mbers of the Central Committ• on R.. !M'&rch DM"l with tepresenta li\ts or the U.S. Bureeo of Min<'O and th• U.S. Gfl>logital Survey t o di •JI th< re11Catth 1•r0«rams: or the AJ>J. the petroleum indu•trr• and tht-M ft'O''ernmtnt agenr1H. There is an indicated n~ci for continued liaison ~l\\'(l(>n the API a11d thfi variou11 a-ovcrnment groupR. StepR ha,·e been taken to provide tht• petroleum com1>anil'M with copie• of the U.S. Bul"t'au of Mines and the U.S. Geological Sul'\.,Y publication • on research. Ala.o~ arrangement.I wtrt made I<> establiBh an APl liau•on committee. which,,.. ited the U.S. Bureau of Mintt •tations in Ba rtt.!!\1llt. Okla., and Laramie, \\'yo., ao well as the U.S. GeolOIV~I Reoearch Station in Denver, Colo. The purpose of th•• meeting wa1 twofold; one wa1 to learit firsth and about governmen t research programs In the petroleum fl~ld as a flnt 1tep toward advitting the government on at• future reaearch program1, and the second and per!l•P' more important wu to u.iat in the development of an APJ position on the role of llO'·•rnmen t resean:h. fll< t• E p1 ..."B al Cf a• st B m ol th to m T st te c. St St ti· m h1 "'t h In of ol p a1 p th lltCH!.IC~TS OF THE YEAR 1965 37 doCOJl)rnt tO\'f'ring this second Ph&M! i• undtr t,... and, aftor approval bi· tho Gcn•ral Cop~'?"-ra- 11 bf •ubinit1od LO the Board O( ni r~to ftnmittee, A th \\" .._,,, 1"1 or their ((>J1tJdtral1on. no er ashington lilflllio •ith A 1>J tt1lrc.se11tati\·es discussing Ll1.. ". 1"'a.s held, • d . d .. ie at1on~hip .-i · bet\\ef'Jl ~\'Crn1nPnt_ an '" ust1y l'('M•nrch with D r· Horoli: s11<>cio.I Assistant to the President 1 S . · · 'h I I J H H or cience llRtL Ti."C no e>g)' nnc . • . o1101non, A ¥!-liBtant Secretary of Comn1r~t- for Sc1ence and Tee:hnoloin•. ['.\Cl~ t>3;1 ' G Tht Cf'ntral Committee on Enginet:r1n~ has partici..-ted in tht . de,·elopment of a number of ne\\• and rev1~-d Amer1('a.n Standards A&804:iation ( A S ..\ ) standards, and various Pr<>1JOscd changes in thP ,\S,\f E Boif,.r nt1d l' rf•111turt' Vessf'l Code. This con'linittee ha al"'° n1nintoin{'d tiUt''\•eilla11ce ovc1· the activities con~ cerneing. The Central Co1n1nittee on Engi11ee1·ing is nlso taking steJ>S to fulfill. i11 both national {lntl inttr11ational rnatters, the rath(•r ,11fficult task t111nsferred to it f ron1 the C-00rJ1naling Committee on ~tate1·ial and Equi1ln1ent Standarda b) the Pttsidenfs Advisory Committee on St.andardizatio11 of coordinatinsr the 1tandardiz.ation ac· t1'\"it1n ttlating to materials and ('(luipment used in mo"' than one •~ of the petroleum inctu~Tf. A ta1k fotte of the Central Con11nitlff on En~ineering ha!! bf.en "~orking for some ti1ne on a guide for engin('("ring atandards '\\'hich nta)' l>eco1ne law. It is hoped that this Jit'Uide \"\•ill he lfl the inctust1·y's con1111ittee mc1nbl'r~ to nvoict Jlitfalls ,,·hc11 c.lenling \Vith this type ot Pl'OJlOi.cd legislation. The Central Committee on ET1gincerinsr's reporting comm.1lttt~ ha\·e nlso been quite acti\'e. TM Committee on Storage Tank Vtnting's revision of RP ftJtJtJ: Guitlt for l'V1ting -'''"'"'JJ•trie nnd LoK"· Prtalfrt Storti(/~ Ta,,J.."if has been printed.. Throu~b ag-~mtnt ,v 1th representati,-e~ of tht National F~re Prottc:tion A11iiociation it is nov.· virtually ident.iul with thtir Coclt ~O 00 flam~able ljquid11. "•hich is accepted as a bnsi~ for regulations in most t1latrR. The Committee on Liquefied Pct1'0lf'un1 Gas h~s revi~ed 1lfl/ •...;10.l!tf1Hlrlt~ltr>i~ 0~ L 1q1ff/i.fr( t•rtroltuni (;a$ /'1lSlf!llr&l1ot1H ftl i\1artttl' an< Tt·rmi11al~. ::'\ra1,1rol r;,,,. l'rt>rrMMittg Plant~. fi,.,ri,•. ""'' Tn>ik Parn1R. Thi~ N"ViM'd stand.at·d is 1>,11tl4nt R.. Committtt's 8NllttiM :!-510: ru "' \ •annl.tt-\ 'ar"1r..Spa~e .'iN•lt,n• to Rt"IMe~ EroJ>- orativN Lo•t ha1 been printed and IJ11llrtrn Jlll · !)rt• INN'· \.'a<'1,11 tn 1'e-.rt l '<1lr<"• /r>r 1tmott1>1lrrir Pr.e1t.sun r,a;·'":• i1 CUl"J'('ntly being pft>p1.1.re Chicago ~ledieal School is de,·ek>tl1n1t data on whic::h hydrotarhon1 'IL'ill produce lung canttr. The ""Ol'k being done i• ha•i( in nature and the project i• rttei\•inR ve11· favorab}(' comments from other !l.(itnli~tli, inC'luding me1n001·1 of th1> public health 5('rvict1. Th<' cit)' or l\te\\' York has 1>auect an or
  • u• nl in the eity. This ordinnnct• definc hf"alth effect of sulfur oxide-s, seven of the countr)·'• l«adinJC expert..-. met " ·ith the Co1n1nittee on Atnlo111>hf'r1(' Pollutants and nevie,\•('d thC' kno,vleJ might n1ateriall}· a11ti1Ct in l!('Curing badly· needed in!o1mation. This con· sidt·rntion \\'ill include the f>Ol'l-"ihlt> nt't"d for t»tablish.. ing n ttsf'arch project. Tht> C'entra\ Committee on i)fedi<'inf' an1l ltealth hopes soon to ht- in a bettPr po:;1tion to f'\Aluate ·~:hat in(ormation 11 &\..1labl4" and v.·hat i~ ntt"l"lf'CI to present to l«al offiC'iala •·ho an> ron~idE>r­ inK <"l'lllhl111.hing ordin•n~.!'o to limit thf' •ulfuT ("C)ntent of fuel&. Tht1 l>"ood nnd Drug Administrlltion (FOA) has nov.· i1111;u<·cl n r~·gulation 1>el'n1ittinJr th~· usC' of \vax as a food udditive or '"hen used in C'Olltnft \With food. Regulation"' have been issued on the UJl.t• of l('ehnical v.·hite nlin<'rnl oil in animal feed and of "'hite nlinPral Qil in (0t>etroleum companie11 h)· the- HParing Clerk or th1 F l)A on the pro1JOM"d resulation on technical v•hitP 1n1nt•ral oil. At a mttttng on February 8 the l'ttroltum Food Ascribe the produtt drsirf'd and Jet the produce1·11 1nPt•t thf>st i;pecif\cotions l}y whatever n1anufaelurinK nlcthod they deent prOl)('I". J•('titions are still pendi11g for regulations on 0C'arhon~ and 1>etrolatum [or u~ as a food additi,·e or whtn uaed in oontact with rood. The A Pr has i.s..,ued a tt\·1!lion of its bulletin on "Prf'<'&Ut1onary Labels" to compl)' ••ith the nev.· federal labelin« niquit"('mtnts for hou!'fhnld product..... Toxiro- HIGH LIGH TS OF THE YEAR 1965 h•~lth group or that di\"iSio n. The chairm an or the Research Coord inatin g Comm ittee should be appoi nted by the vie<' presidC'11t of the L)ivisio11 of Science un l)i\•isione: or J{efi11ing, 1•1<00uetion1 tlnd Scienc e and Tech11ology. Concu rl't'nt \\~ith the creati on of the Rr~earch Co. ordina tin« Comm itttt, the ,·ar-iou!( comm ittees and sub· commi t t('\... n ov.• T('Jl'Orting to th<' Centr al Co1nmitl('(l 011 Resea rcl1 \vith re.spt•ct to StJeciftc resea1·ch projec ts '"ill, to the e xt(·nt fea.!;i blr, be tran!(f trred to th(' app1·o priate function31 di,;sio na o r the lnm.i tute. includ ing full responwal,allty for th~~ project a. An)• projec t v.·hith ma)• be of tl mult idl\'isi onal notui· e a11d lhr comn1 ittrr" concer nefl '\l;•ith s uch a J)l'Oj ect '''ill be riC'tnined untler thiC' suJl('n ·iaion of thf" Cen t ral Committt-~ on Re:Ra rch of the f)l, i~ion or !'cien~ an•I Technology. The n1lf" or the ltf'>!r i11·111ril:r of n eoordj na.ting nature . Accor dinitly , re~pon!> i l1ili t)• for thr- develo pm<'n t of tt!'>t. t·ch pro(V' al1o1. their ampleme.ntat ion, and lllU f"\ eillanc e on« appro \f'd in the huJ re!;eu rtli. Th Py ulso authoriz<'cl the establ il;hme nt of 1\ R(!St;"areh Coord1nnt· ing Cornm ittee to tM" compoM..•er of area!'!, an0rt briefl)' to you to-la)· on a fev. of the nlOn· signif icant items. \\' e "·ill, a!ll in the phot, submi t a compl ete 1·<'r>0rt of all of our activit ies i11 AJlril at th<' Hoard of Direct ors meetin g. or 41 nolog)1 curren t))' supJ)OI ts r esearc h, we ha\·(• 1-ece11tly inc1·eased ou1· ('ffort s \\•ith 1·egard to gove1·nment liaison . At the reques t of the U.S. Burra u of Atint!ll, we ha\'(' sun·e)·ed se,·e-ral of ou r resear ch group s n·gardin~ gQ\tm ment r<·search 1•r<>JlOSBls \\'hich have ht>i.>n sub.. 1natlf'd to us. Our comn1c11ts ha,•e been trnnKn 1itted to the Bu1·ea u, u11cl we hnv<' bee11 us,.u1·ed that ('very con· !'iclera tion " ·ill be gi,·en our suggt' »tio ns. Tht' r('sear ch Go' ernme nt Liaiso n Comm ittee a pin spe11t a \\'ttk durin g Octob ('r ' 'isitins r se,·era l Jal)()r atories of the U.S. Hurea u of ~.1 ines and the U.S. Geolo gical Surve y, and we trel that the rapro1 t which i• being ••tabl ished lM·t"·e en thei-•• grouJl>S "·ill sen·e u & "·ell in thf' futu re. Our advice and suggt-f'tions to the8(' labora tories 5:e<'nt to 1..e \\'ell 1·ecci,·ed. \\'e are olKo sun:ey insr lhe reseua·ch activi ties of tht• Atomic En•rg y Comm i,.ion and the Offi«' or Coal R~"earch in order to be inform ed of resear ch d(",~eJ01>­ n1<'nts acros.s the entirP (•nergy· field, The Ce11t•·nl Co111n1ittC(I on Res<'i\rch is contin uing its taAk of prer>a1·ing a policy statem ent on gO\;er nment n-,.tar ch, and we hoJ>e to ha'\"e thiJi to you for )'Our C!Onsitlera tion early next yr~tr. One of the ll1ost in1porlU1\t 4::fforts of the group durin g tht year has been its partic ipatio n in tht: Resea rcl\ Coord inatin g Comm itttt'" acti,~iut"· •.\.. fev.· brif'f' com· mf'nts about tl1is latter JV'OUP art• appro priatf ' at th11 point. Rl:sr.A.Rcu C00Ro1~AT1Nc CO.Ylo11rn:t.: The Re.scortlt Coord 1nntin g Con1mitte-e should 11lay a vita} l·oJe ill UFiSIU1·i ng thC' effecti \•entss and cnleiet\C)' of the lnstitu t<''I overal l rt'Nf'arch 11roira m.. ]lurin g th1 firfit )·ear of its e..~t'nce. the comnl ittee confin ed it acti\'i ties to n'\'iew ing a• an O\'era ll 11rogram all of th• 1"('1-rn1'Ch pro f)O~nls sponMc>l'ed by thl" '·ariou s di\•isi on~ and n1akin g it!ol reco111n1<'tl(fatio1\M to the Proa-r am and Budge t Re,·ie"· Con1m illtt. A~ a rt·~ult of it recon1· mtnda tions, n·11ponsibilit)· for ~'tral projt'<."t• y,•a.s rt> n11~i~ned arnong the \'ttriou s di,·i11ions. The con11n ittce sl1oulr, it "hould ti..· urgM. to a ... -;ume broad er fei.J-.On~ib1lities for the lnstat ute's I'\' M'AT<'h acti\'itif'A. 8Jl(.'C1flfall)', it ithould be <'ncoura~ to J reseat th, the t)·Jlf"8 of projt'C ts which should be ~u1•1m•·t.ed 111 thr prog1·nm, and t he totul le,·rl or expen ditut'l'~ on tt~(·orcl'l \\•hieh i~ a111.>roprinte f(>l' tht• API. t:nn~tituted 011 it i~ of •c·nior manag ement 11·11resentativt111 from f'ach of tht· di,..i,.ions, this gn>u11 t-houJ,I be uniquel).• qua1ified to a1o111u1-e that the API t'<'l'it•arch activi ties at'<' the result ot n progro nl plat\11('1'.I "·itl'lin "·el1 drfine d l)Olicir1o1 to meet s1.ecific obj«•ctives. 4 R~att h In additi on to follo,,· ing thtt i11,•estigotive efforts nt the 2!J )()(atio ns v•hetP the D1viJiion of Scitnc e and Tef!h· The Centr al Comn1itltt 01\ En1rin f{'ring has oontinutt(f it1 revie" • ot variou s etand ards \\ hich are curl'f"ntl)' ------ - DIVISIONAL REPORT 42 YOL. 45 [I] (1965) Amort., \Vhich Cillis for ilt• gnunJI in these two fields. . For th• third COnsort. ThHe romments "·ere re,·ie"·('C{ b)· ,·arious groups in the A J>J and we-re then subn1itted to the J)epartme11t of Commc·rtt hy Mr. Ikard, aa roquoot•d b)' J. H. Hollomon, A •~iatant Secretary of Comn1rrce for Srience and Technology. 'l'llr CC'ntrnl Cornmitt..cc on Engineering's Co1nn1ittee on J,i(lucfled Petroleum Ga$ l111f!I l'ublishe0sed order Jin1iting th<' f;Ulfur conte11t of fu('I" U~(l-(1 i1l tle'" government inRti,llations \Vhich, if requirl~d o! other installatio11JC, ,,·uuld have subjected the nation to a 1nulti1nillio11.. tlollnr lull for changing to low·&ul!ur fuels, \vhich is not Jut>t ttit'."d from a health 1tan1ltl0int. Through the API C!oord1nating Committee on Air and \\"ater Consen at on. the Central Con1mittff on L\ledicine and lle.nlth part c1pated in ~tud)·in~ this problem in depth. A "orkable a1r-raonitoring plan to guard ag-ainst healtha1f'Kt1ng t>111.sodes of air 1t011ution ,,~a1 de,·ised as an .uttfc1·11at1\f' to fuels controls. Thia 1•l11n has been pret>trlt<"cf to the federal go"ern1n~nt tl1rougl1 the P resi· d1·11t•a Oftlc<' of Science and T~l111oloszy and to city and fital~ olllcials i11 se'·eral areas; ru1·ther Jlte1Wntations art' nl!io 1,Janned. The Jlropo~ed federal require1ncols for lov. ..14ulfur fuels in ne"'' fed<•ra l in:.lnllations "·ere riot adoptt.-.d, pen cancer in laboratory nni1nol1 throug11 inhalation <>£ cnrci11ogens in co111binu.tion \vith particulate tl10.tt.cir. API participatio11 in ll1ia Jl1-0jcct is nca1ing te1·rnination. A broad progra111 is being n·1ounted at th11 •chool on environmental health studies. Included under joint A PI-go,·ernment sponwrghip will be work to d<"•lop factual data on the h•alth a•!>"cl• of asphalt. Saft"lr •rid flre r roaieielion Th• Central Committ~ on Safety and Fire Prolectinn tf1ntinuf"R its efforts to improve the industry's pro-- The Central Committtt on Petroleum M easuremtn1 ha.a tttti,·ed approval as an Amt'rican standard of its .IP/ Sta•1"1rd JJOI: .llCOrboM b11 Po1lti1•r I>i1t1>lt~N1t~"' lltkr and , I /'I Stamio.rd tsSI: Mtatt<~ which '11ould be proC<"JIM', fi,~e standanh hove 1.l«'n a1>1>roved for isauancr as joint API-AST~t stu ncla rds. • • • 1 do not intend to te,·ie"· th~ 1·('gular ""eport of tht division '·ice president ,,·hie:h ha• hfit>n filed with tbt sectttary and "~as pre,·iou"I)' tlistrihuted.. with tht extt1)tion of one item \'\ hich n("ftds board .actioo. I 0 would like to di•Jl'"'" of it befol't' pro«'<'dmg to >rinJ! to the board'~ attention . 'l'hr Ct>nti-al Co1nrt1ittet' on lt:nginPering reque$t~ thlll n sum or money, not excee1·oposul is made on the basis that the API will h•'" nu active role it1 detcr1nining th(': HPC'Cific che111icals to be tested. Mr. Chairman, I movo thal thi• budget arldition be approved. [:\'11tt: The board appro\'ed lh~ ttque>-t that • •"'" oC mone)' not exceeding $4,000 ll<' appropriated b)" ~ Di\'ilion of Science and Tt-chnologl for support Undel'\\•riters' LaboratoJ"i<"B, J11c.]