in NewMexico,1980-82
Mineralandmineralfuelproduction
byRobeftW.
and
Eveleth,
Mining
Engineer,
first time. The natural gas industry was parA. Bieberman,
Roben
Senior
Petroleum
Geologist, ticularly affectedby lesseneddemand:an oil
NewMexico
Bureau
of Mines
andMineral
Resources, and gassurpluscauseda downturnin drilling
Socorro,
NM
activity during 1982,althoughactivity did inPreliminary 1982mineral and mineral-fuel creasesignificantlyduringthe last quarter.An
production data are presentedin table I com- estimated2,300wellsweredrilledduring 1982,
paredto both 1980and 1981.All major com- representing
comparedto 1981,
a 690decrease
moditiesshowproductionand dollar valuede- but still l79o above1980.
veryslightly,
Whilecoalproductiondecreased
creases(with the exceptionof coal) during the
2-yr period thus reflecting the generally de- overallvalueis up 2ltlo over 1981,and is the
pressedcondition of New Mexico's (and the only real bright spot in New Mexico'smining
that of both copper
nation's) economy.During 1980-81,overall industry: value exceeded
value increased220/oto the all-time high of and uranium combined for the first time.
$7.24 billion. Nearly all of this increasewas However,KaiserSteel'sYork Canyonunderderived from the oil and gas industry. How- ground coal mine was forcedto closein early
ever, both quantity and value of petroleum Septemberas a result of losing a major
and gas products decreasedduring 1982. coking-coalconsumerin Texas.
While oil and gas production has decreased
Copper, traditionally New Mexico's numsteadily for severalyears, higher energycosts ber one hardrock commodity, decreasedin
as a result of both demandand inflation had value7l9o from 1980'shigh to just underthe
more than offset the difference-until 1982. $100million mark in 1982.Copperas well as
productioncoup- many other commoditiesis adverselyaffected
During that year decreasing
programsand in- by high ratesof inflation and interest,both of
led with energyconservation
dustrial consumersturning to alternatefuel which result in poor demand for housing,
in valuefor the automobiles,and appliances.Copper miners
sourcesresultedin the decrease
pRoDucrroN rN NEw MExlco Short tons unless noted: NA. not
TABLE l-MTNERAL AND MTNERAL-FUEL
available; XX, not applicable; W, withheld to avoid disclosing individual company data; P, preliminary,
subject to revision; R, revised; -, no production. Data sources:U.S. Bureau of Mines; U.S. Department
of Energy; Oil Conservation Division, New Mexico Department of Energy and Minerals; Oil and Gas Accounting Division and Property Tax Division, New Mexico Department of Taxation and Revenue; and
Keystone Coal Industry Manual ( I 98 I , I 982).
192
(h'd
&ll&s)
Qdlty
(fruqd
6a1
(tons)
6!per
bE)
(uoy
oz)
@ld
(busd
GyF€s
bre)
(lonq)
hgeifero[s
ore, F35l
h
btural
ftr)
sas (ntllton
(thousrd
gas ltquids
Natural
bbls)
(toG)
EE
bns)
Frlite
{uoud
(fr|,d
crde
bls)
Ftrolew,
(&uqnl
tons)
btash
(lbousd
ircluding
clrder
hlce,
bre)
(tJbuerd
$rd
and grave1
hs)
(tlb6ard
Sllver
lroy oz)
(ftusd
crlffi
tons)
Sbne,
(fr6d
stone,
dimreid
bns)
(fr6d
lbs)
r$ve($le
u<ilis,
uloi
ffilnd
brite,
cor, Eeient,
lead,
fir{lay,
sulfur,
1ire, mica, mlybalsm,
slt,
vedim,
zirc,
d
W
MM
60
19,481
164,619
M
15,187
182
R35,r98
r,r32.316
4f tgg3
2,SOg
269,031
150
9,610
r,688
75,324
2,660
44
7 ,956
2,926,846
133,948
4g
14,494
r,794,2LO
249,0\\
3,O24
r7 t676
2,211
l8
15.500
7,259
9I
311tOtA
(tlFE-d
&llaF)
Q$tity
64
r4,194
r69,88I
NA
65,149
166
1 2t 14 r
t, r18,589
489
12 tr55
1,765
93
n t3go
t,632
4,162
26
12,42O
g
8?,845
#
u
5,954,363
fr
P
(M
&Uc)
edlty
rt9
342,935
289,294
209
30,22r
2,256
49
rs,76s
65,805
s
54| A0O
162
2,4r5,933
958,837
974,600
56,635
2,rg3,494
90r,391
14,981
2,414,196
26t,2OO
919
Pra,665
11tIlS
12,445
173
356,454
433
1I r4gS
r,676
93
4,606
14,239
2,449,454
2lg,oog
936
14,ags
2,645
tg
ro,30o
r38
24a,r3t
2,312
x
41,'141
1,24r,232
4r2,72O
91,384
240
g
6,522,AOA
attemptedto weatherthe storm by announcing
extended"vacations" and a few layoffs during 1981,but the market situationcontinued
to worsen.This resultedin major layoffs at all
the producingmines.Additionally, Quintana
Mineralswas forcedto closedown after shipping someconcentratefrom their new Copper
Flat mine during May and June 1982.Understandably,little explorationand development
althoughBolidenCoris underwayelsewhere
poration, the new proprietors at the Pinos
Altos property formerly under Exxon, began
surface preparations preliminary to underground development.Exxon is still active in
in
the area,conductinggeologicinvestigations
the Burro Mountains near the Flying A
Ranch.
Precious-metalmining was limited to just
two locations: Goldfield Corporation's St.
Cloud mine near Chloride in Sierra County
and Gold FieldsLtd.'s Ortiz mine at Cerrillos
in Santa Fe County. Silver production decreasedsignificantlyprimarily becauseof the
shutdownat Tyrone. Much of the gold decreasewas largely offset by production from
the Ortiz mine. Molybdenumproductionalso
droppeddramatically-open-pitmining came
to an end at Questain August 1982.Development is ongoing at the new undergroundmine
complexhowever,and the companystill plans
to be in productionby July 1983.
Potashproductionwasdown approximately
590 for 1982.Demand is adverselyaffected,
again,by high interestrates:farmersarereluctant to borrow money for fertilizer purchases
until the last possiblemoment.Additionally,
foreignproducersmay be "dumping" potash
in the Americanmarket.SenatorDomenicirequestedthat the CommerceDepartmentinvestigatethepossibilities.
Uranium production decreasedapproximately 260/ocompared to 1981, and is down
419ofrom 1980'sall-time high. The low production resulting from the continued depressed
stateof theU.S. uraniumindustrywas
anticipated-approximatelythree-fourthsof
the minesactiveduring 1980haveclosed. o
i6 ftoft oBn'rrls
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