count reported that there were 922
drilling rigs with 368 directed toward oil
prospects or developments and 527 rigs
directed toward gas prospects or
developments. At midyear, there were
353 oil rigs and 346 gas rigs. At the end
of the year, there were 385 oil rigs and
423 gas rigs for a total of 814 rigs, down
129% from 922 rigs at the beginning of
the year.
Prices
Price quotation in Industrial Minerals
Magazine for API grade on the U.S. gulf
coast was $85 per ton through March
when the series switched to prices paid
by grinders for Chinese and Indian lump
barite.
The reported average value per ton of
domestic barite, based on reported value
of direct-ship, beneficiated, and floated
material, increased slightly, f.o.b. plant,
from $60.22 to $61.16. The average
value of crushed or ground barite, sold or
used by processors, was $74.16, a 12%
decline from $84.49 per ton reported in
1992. Within this group, the average
value of barite for well-drilling end use
was $64.26, down 14% from $75.55 per
ton, while the average value for barium
chemicals, filler and extender, and glass
was essentially unchanged at $163.10 per
ton. The average c.i. f. value of imported
crude barite was $37.72 per ton, while
the c.i.f. value of imported ground barite
was $139.78 per ton.
Foreign Trade
Exports of natural barium sulfate or
barite rose by 50% to 18,500 tons but
was still well under the 1991 figure of
43,000 tons. Export data provided by the
Bureau of the Census did not indicate the
grades of barite traded; however, based
only on the per-ton value of individual
shipments, which varies from about $40
to nearly $2,000 per ton, drilling-, filler-,
glass-,   chemical-,   and   phar-
maceutical-grade were all exported. (See
table 5.)
Imports for consumption of crude
barite rose sharply (137 %) from 1992 to
nearly 766,000 tons.  The principal


source countries, in descending order,
were China, India, and Mexico. The
shipment listed from Switzerland was
probably from India, according to its
price. The higher priced material was
chiefly crude filler and extender-quality
barite. Most of the crude barite entered
through customs districts along the gulf
coast for delivery to grinding plants in the
area. (See tables 6 and 7.)
World Review
Little  change  in  overall  barite
production occurred around the world
because production has moved closer to
the areas of petroleum drilling.  The
former U.S.S.R. and Asia are the areas
of  present  and   future  petroleum
exploration and development. It is less
likely that barite will be hauled long
distances to these areas, given barite's
worldwide distribution. Some areas, such
as Turkey and Kazakhstan, will produce
more barite in the near future for drilling
in nearby countries, and some countries,
probably including the United States, will
produce less barite as drilling profits
decline.  The forecast for the United
States is not perfectly clear as gas
exploration may be profitable due to the
environmental  friendliness  of  gas
consumption according to the new
administration.
The Ballynoe Mine, owned by
Magcobar   (Ireland)  Ltd.,  closed
permanently in October. (See table 8.)


OUTLOOK


With several countries moving away
from socialist beliefs and toward greater
acceptance of international development
of petroleum resources for expertise and
financial  backing,  the  petroleum
exploration and development effort has
moved away from North America and
into the former U.S.S.R. and countries in
the Pacific Basin. The large volumes of
barite that will be needed for the
exploration will be more likely to be
supplied from mines and mills nearby to
those regions and not from the United
States.  Drilling will continue in the
United States, albeit at a slower pace, and


for gas.
The domestic barite industry may
change its production away from drilling
mud barite, dominated by China and
India, and toward higher valued products,
planning to displace imports from several
countries.
1Thrush, P. W. (cd.) A Dictionary of Mining,
Mineral, and Related Terms (Dep. of Interior), U.S. GPO,
Washington, DC, 1968, p. 1049.
2American Petroleum Institute, Quarterly Completion
Report, 4th Quarter. V. IX, No. 4, Jan. 1994, pp. 4,7.
'The Oil and Gas Journal. V. 91, No. 29, PennWeli
Publ., Tulsa, OK, July 19, 1993, p. 3.


BAR1TE-1993










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