Coal—Abundance Of Supply Is A Rich Heritage

Press, Volume CVIII, Issue 31728, 11 July 1968, Page 12

Coal—Abundance Of Supply Is A Rich Heritage

Of the many favours nature bestowed on this beautiful country of ours, not the least was when some 65 million years ago she spread the forests and swamps of the Neozoic period over the site of the future New Zealand.

In the process of time, she fashioned these forests into rich coal seams and thus stored beneath our feet in several parts of the country, those bountiful stocks of energy which can, wisely used, prove a rich heritage.

No other mineral has contributed more to human comfort and progress, and up until recent years its value was fully appreciated. What a change in its use has taken place since Arthur Gulterman, the American poet and philosopher. some 40 years ago, paid It the following tribute: Ajar in the Carboniferous time 1 grew in Paleozoical slime A Lepidodendron with bows on mg stem And Lepidostrobuses grew out of them My roots in the mud of the ages I spread And up to Heaven I mounted my head I throve in the heat of tropical sun And now 1 am coal at two dollars a ton. Behold from my bed on the primitive shale How quickly they raise me, the stead of the rail Is mine. yea. mine are the ships of the sea And shivering multitudes clamour for me. As chariot borne through the sleet and the snow Of winter-bound cities in triumph I In honour and dignity second to none. For now I am coal at two dollars a ton. Output Decline In 1924 the output of coal in New Zealand was 2,668,700 tons, providing 93 per cent of New Zealand's energy rerequirements, oil, which became its chief competitor, providing only 6 per cent, the balance from electric power. Since 1924, however, there has been a steady decline in the percentage of coal provided, only arrested during the war, 1939 to 1945, and during the Suez crisis, 1951-52. In the year 1967, 2,369,224 tons were produced, which provided less than 40 per cent, of the energy used, while oil’s share had risen to close on 50 per cent, the balance from electric power, showing that we have become increasingly dependent on overseas fuel, and revealing the influence of international conflict in interupting the supplies bf oil. Since the last interruption, oil imports have increased by thousands pf tons yearly, more industries are now solely dependent on oil, their plant designed for its use. While coal could be available in the event of another serious interruption to supplies of oil, it could not be used at present, in plants designed for oil. However, recent research, to which I shall refer later, may provide an answer to that problem. The greatest blows to coal mining interests in New Zealand since 1924 were the change of shipping from coal to oil and more recently the Railways conversion from coal to oil. Taking their combined peak year consumption of coal as a guide, it has meant the loss of markets for at least 900,000 tons, this very largely from Buller mines. No alternative markets for such an amount have developed. The present difficulties facing the Mines Department in regard to Dobson arises from the loss of their railway orders, interests, can easily cause reWorld Wide We must acknowledge the change from coal to oil in shipping and railways is a world-wide trend. Furthermore. at the present time, oil is used for several purposes more satisfactorily than coal. However, we do strongly disagree with oil displacing coal where coal can serve equally well. Factories, for instance, where the cost of the fuel used per unit manufacturer is only a small part of the total cost, changing to oil, because it is alleged that it was much more convenient to use and is the modern fuel. Industries, enjoying protection from overseas competition, using oil, at the cost of overseas earnings of our primary produce exports.

Lord Robins, head of the British National Coal Board, has given a very interesting account of how the oil companies with remarkably well organised publicity, salesmanship and after sales service, almost eliminated competition from coal in Europe. The scale of their operations and the wide range of their products make it possible for them to offer various concessions, including fairly substantial reduced prices to large users of fuel. This has been responsible for many of our larger industries changing from coal to oil: this form of competition the coal industry was unable to compete with. Fight Back However, the coal industry, largely influenced by the private mine owners, in 1960 started to fight back in the only way they could, by establishing a Coal Advisory Service Association. Employing fuel technologists in all the main centres, whose chief aim was to lower the cost of heat in existing coal fired installations by ensuring that the coal was burnt in the most efficient manner. The success of their work is reflected in the number of industries, at that time considering going over to oil, being persuaded to remain on coal through the improvements effected resulting in greater economy than would have been possible by changing to oil. The managers of several industries, including milk treatment plants, have been pleased to acknowledge the value of this service, by revealing that their costs are lower than those using oil. The successful operation of the Coal Advisory Service had shown the need for an expansion of this work, influenced the coal industry, last year, to incorporate all the technical services up till then engaged in connection with coal research, development, advisory and promotion work in one organisation—namely the New Zealand Coal Research Association under the chairmanship of Mr 1. Brunt, of Wellington, and directed by a very able and experienced coal research scientist, Mr P. A. Toynbee, formerly of the D.S.I.R. and at the time director of the Coal Advisory Service Association. Finance is provided by a levy of 5 cents on each ton of coal produced, and a Government subsidy.

Mr Toynbee believed that we had in the past failed to recognise the unique nature of our New Zealand coals, particularly our subbituminous coals, and have used them in appliances developed overseas for coals quite different to ours. One of the first research projects undertaken by the newly-formed New Zealand Coal Research Association was to find, if overseas, they had developed appliances for coals similar to ours. Most New Zealand coals are free burning, long flame coals—in parts of Europe where similar coals to ours are mined, a type of downdraught space heater was found to have been developed to suit these coals, designed for automatic, smokeless operation. Exhaustive tests have shown that these heaters, with minor modifica4ions, are better suited to our New Zealand coals than to those for which they were originally designed. The heaters have been demonstrated to interested parties, such as Ministry of Works Housing Division, State Advances Corporation, New Zealand Insurance Council and appliance manufacturers. The two most suitable types are being manufactured in New Zealand and are noW on the market.

The heaters burn a small grade of coal, which is burnt in a simple down draught process where any smoky constituents pass down through the hot fuel bed and are completely burnt above the incandescent coal in the combustion space behind the heat resistant glass window. The resulting flue gas contains no smoke—so there is no air pollution. , A feature is the lively flicker of flames behind the heat resistant glass window—offering all the attractions of an open fire with the efficiency of a closed stove. Pulverised Fuel Tests in Britain have shown that New Zealand coals are the most suitable for pulverised fuel firing. A grant from Sir William Stevenson enabled initial research work in this form of firing to be undertaken overseas, where in many countries it had been used in large industrial watertube boilers, and, of course, is used in all large cement making works. Research has proved that this form of firing can now be used in the comparatively small shell or economic type

of boilers, commonly used in industry. This provides another great boost to the use of New Zealand coals. It gives the same nicety of control, cleanliness and efficiency peculiar to liquid or gaseous fuel.

A demonstration pul-verised-fuel fired economic boiler, partly sponsored by the Coal Advisory Association under a research contract, has operated with complete satisfaction for two years at the Waikato Hospital and has established this form of firing as being eminently suited to our highly reactive low ash coals. The coal is completely contained in a closed system. There is no evidence of dirt or dust—in fact there is no evidence that coal is the fuel used.

Great interest has been shown in this form of very efficient and eeononrcal firing, and it has already been installed in two boilers—at the new plant of New Zealand Steel Ltd and by the Te Awamutu Dairy Company, Ltd. Much greater use of pulverised fuel firing, which is certain, shall also assure a market for the small minus threeeighths of an inch size of coal, which at some mines has to be dumped, because there is a very limited market for it at present, and which accounts for the loss in cost of production of the sizes of coal for which there is a demand at these mines. - Advantage Another great advantage for New Zealand in pulver-ised-fuel firing, it can be used in most cases, in oil fired boilers. The range of research undertaken by the New Zealand Coal Research Association includes, at present, the few adjustments required to oil fired installations, so that coal could be used, and the provision of centrally situated grinding plants to provide the micronised fuel required. The delivery of the fuel from the plant, in tank cars with pneumatic loading and discharging facilities, is also being investigated. The range of their research will ensure an ever increasing imnrovement in the efficient utilisation of our coajs, of which we have reserves of over 1100 million tons, sufficient for our needs;

at double the present consumption for over 200 years. Having regard to New Zealand’s present difficulties they shall, no doubt, in time give consideration to the possible advantages of establishing a bituminous coal based chemical industry. I sent a fairly large sample of Buller coal to the 1.C.1. in Billingham, England, in 1935, for test of its chemical content, and was informed that it gave a greater yield of chemicals than any other coals they had ever used. The establishment of such an industry could provide fertilisers, chemicals, and many other distillates, which are at present imported at considerable cost in overseas exchange, in addition providing a surplus for export. Allured Succesa By including in the present arrangements with Australia an agreement on complementary industrial development and marketing, in my opinion the success of such an industry would be assured. The Netherlands, a country less than one-third the size of New Zealand in area, years ago established a very successful Industry, producing from their surplus bituminous coals a wide range of chemicals and fertilisers, both nitrogenous and complex, for home use and export. Their exports in total value exceed £2OOO million, of which distillates form a large part. The coal costs £5 a ton at the : works, average over-all value of distillates £2O a ton of coal used. As chemicals are much cheaper in Europe than here, the value of the distillates would probably be nearer £3O in New Zealand.

Encouraging investment from overseas on such an industry would conform with the World Bank’s recommendations. Using indigenous raw materials and with a fairly large export potential, to ensure that the interest on such investment would be provided from overseas earnings. and probably a net gain in New Zealand overseas funds. Always Competitive

Mr Fletcher Byron, of Koppers Company in the U.S.A., has revealed that coal derived chemicals will always be competitive against petroleum products. One of the reasons being that more complicated and expensive processes are required for petroleum products. Further, he stated, there are three products provided from coal which cannot be provided from any other source: Electrode pitch used as a binder for electrodes for the aluminium industry.

The unsurpassed water proofing pitch. The outstanding preservatives are and shall remain the various creosote coal-tar solutions. Finally, he said, the recovery and utilisation of the more complex aromatic chemical constituents of coal-tar have been barely explored as yet. New Range Vigorous research at present being conducted by the British Coal Utilisation Association and by the Coal Research division of the American Bureau of Mines, into providing an entirely new range of coal derivatives, also including a far cheaper process for providing high B.T.U. gas and liquid fuels, have reached an advanced stage. The joint research of oil and coal companies in America has already produced a new colloidal fuel (coal suspension in oil), made possible by a very much improved coal micronising mill, reducing the size of the coal particles to under five microns. All of which reveals the possibility that coal and associated industries may yet become second only to agriculture in importance in New Zealand economy. In tracing the decline in coal usage in New Zealand it should be understood that the same trend has taken place in most countries, including , Britain, where up until recent years the traditional source of heat was from coal. This has caused in many cases greater hardships for a far greater number of people than are affected by it tn New Zealand. Neither ministers of mines nor governments can be held responsible for it Few As Possible I do know that our Minister of Mines (Mr Shand) has made sure that as few as possible of our mine workers shall be adversely affected by it. Any sensible developments that would keep the miners fully employed and ease the drain on overseas funds, I am certain, would receive his full support. The many problems facing New Zealand arising from the rapidly changing world conditions, provide a challenge that cannot be met by ignoring any aspect of it. It comes to my mind at this time Oliver Franks's postulation in “Britain and the Tide of World Affairs”: “In a total democracy, while the Government must lead and carry a heavy responsibility, we must all play our part. There ts no room for shirkers or dodgers. We are all involved for in the end success or failure flows from the climate of opinion, the scale of values of us all.”

Specially written for “The Press” Heating Supplement by Mr T. H McGhie. M.1.M.E.. M Inst. F. ARTC., and chairman of the New Zealand Coal Council. Mr McGhie was formerly district manager of the Stockton coal mine and also district manager of the Waikato coal mine.