The Economic Aspect of Geology

by C. K. Leith

COAL

Economic Features

Coal overshadows all other mineral resources, except water, in production, value, and demand. It is the greatest of the energy sources—coal, petroleum, gas, and water power. Roughly two-thirds of the world's coal is used for power, one-sixth for smelting and metallurgical industries, and one-sixth for heating purposes. Coal constitutes over one-third of the railroad tonnage of the United States and is the largest single tonnage factor in international trade; 70 per cent of the pre-war tonnage of outgoing cargoes from England was coal.

World production and trade. The great coal-producing countries of the world border the North Atlantic basin. The United States produces about 40 per cent of the world's total, Great Britain about 20 per cent, and Germany about 20 per cent. Other countries producing coal stand in about the following order: Austria-Hungary, France, Russia, Belgium, Japan, China, India, Canada, and New South Wales. There is similarity in the major features of the distribution of coal production and of iron ore production. The great centers of coal production—the Pennsylvania and Illinois fields of the United States, the Midlands district of England, and the lower Rhine or Westphalian fields of Germany—are also the great centers of the iron and steel industries of these countries. As in the case of iron ore, there is rather a striking absence of important coal production in the southern hemisphere and in Asia. A significant item in the world's distribution of coal supplies is England's world-wide system of coaling stations for shipping.

The principal coal-producing countries all have large reserves of coal. Outside of these countries the world's most important reserves are in China, which may be looked to for great future development. For the most part, except for the probable Chinese development, it is likely that countries now producing most of the coal will continue to do so in the future, and that outlying parts of the world will continue to be supplied mainly from these countries.

The quantity and distribution of the coal reserves of the world have been estimated with perhaps a greater degree of accuracy than those of any other mineral resource. From these estimates it appears that the North American continent contains about half of the world reserves (principally in the United States, with lesser amounts in Canada) and Asia about one-fourth (principally in China, with some in India). Europe contains only one-sixth of the world total, chiefly in the area of the former German Empire and in Great Britain, with smaller quantities in Russia, Austria-Hungary, France, and Belgium. Australasia (New South Wales), Africa (British South Africa), and South America (Chile, Brazil, Peru, and Colombia), together contain less than a tenth of the total reserves. Coal being one of the great bases for modern industrialism, the large reserves of high grade-coals in China have led to the belief that China may some day develop into a great manufacturing nation. Similarly, the deficiency in coal of most of the South American and African countries seems to preclude their developing any very large manufacturing industries, except where water power is available. Coal reserves and the conservation of coal are further discussed in Chapter XVII.

The war resulted in considerable disturbances in coal production and distribution. There has not yet been a return to normal conditions, and some of the changes are probably permanent. The great overseas movement of coal from Germany was stopped and that from England curtailed. To some extent the deficiency was supplied by coal exports from the United States, particularly to South America. The shutting off of the normal German export to France and Mediterranean countries, the occupation of the French and Belgian coal fields by the Germans, and the partial restriction of German exports to Scandinavian countries, resulted in Europe's absorbing most of the British coal available for export, and in addition requiring coal from the United States. The stress in the world's coal industry to meet the energy requirements of war is too recent and vivid to require more than mention. The world was made to realize almost for the first time the utterly vital and essential nature of this industry.

Since the war, there has been a gradual resumption of England's export of coal along old lines of international trade. The German overseas export trade has not been reëstablished, and cannot be for a long time to come if Germany fulfills the terms of the Peace Treaty. Indeed, because of slow recovery in output of German coal, there is yet considerable lag in the supply available for European countries. The terms of the Peace Treaty lessened the territory of German coal reserves and required considerable additional contributions of coal to be delivered to France, Belgium, Luxemburg, and Italy.

The increased export of coal from the United States during the war is likely to be in part continued in the future, although the great bulk of the United States production will in the future, as in the past, be absorbed locally. Most of the coal in the United States available for export is higher in volatile matter than the British and German export coal. This quality will in some degree be a limiting factor in exportation. On the other hand, it may result in wider introduction of briquetting, coking, and other processes, which will tend to improve the local industry and be conservational in their effect.

Japan will doubtless hold some of the Asiatic coal market gained during the war.