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m !.J') .-j c::> o . . Another related question Reclamation has asked itself many times is why our agency should be involved in a coal slurry pipeline project now that saline water is separate. The answer is that there are higher Department and Federal Government goals involved. The project meets an Interior Department goal to develop Federal coal. Today's high transportation costs make this coal largely noncompetitive on the export market, a situation which would be solved by economical pipeline transport. Subsequently, the U.S. economy and in particular the economy of the West would be stimulated through jobs provided by pipeline construction, mining, and related activities, as well as coal and carbon dioxide royalties deposited to the Federal Treasury. International relations and the balance of trade with Japan would be improved by their purchase of 10 to 15 million tons of coal per year. This trade deficit is now running between $30 and $50 billion annually. Other benefits would be real i zed as the carbon dioxide transport medium will be separated from coal at the pipeline's terminus, making it available for enhanced oi I recovery in the Los Angel es Bas in. Use of th is resource could increase U.S. oil recovery by approximately one billion barrels, further decreas i ng the need for forei gn import s and he I pi ng to protect the Nation strategically from future oi 1 embargoes. Let me emphasize that salinity control is still very much a part of AQUATRAIN. The need to control damaging saline water in the Colorado River Basin was and continues to be Reclamation's primary basis for par- ticipation in this joint effort with private industry. We firmly believe that AQUATRAIN (in cooperation with other salinity control efforts by Reclamation, the Bureau of Land Management, the Department of Agriculture, and the states) can significantly enhance water quality, save millions of dollars in damages, and meet international treaty requirements by diverting saline water away from the Colorado River. Further, we believe that this water can be economically transported by pipeline to points of beneficial industrial use in place of freshwater, freeing up large quantities of good quality water for Colorado River users. Reclamation has spent considerable time determining if possible beneficial uses exist for the saline water. In 1984, we initiated discussions with potential industrial saline water users in Wyoming, Colorado, and Utah. We learned that the water could be used for such purposes as powerplant cooling, oil shale recovery, and potash solution mining if the inplant costs could be controlled. Utah Power and Light, Pacific Power and Light, Union Oil, and Texasgulf were among those con- tacted to determine feasibility, costs, and possible interest in jointly investigating saline water uses. A study is now underway to establish the cost of using Big Sandy water at Jim Bridger Powerplant for cooling. Also, studies on use of Glenwood-Dotsero Springs water in the oil shale recovery process and solution mining of potash are in the negotiation stages. From this work, we feel that possible uses for saline water exist, and Aquatrain, Inc., agrees. We now want to identify feasible opportunities and will devote resources to determine costs and timefra- mes for implementation. At this point, we do not have firm estimates on what the saline water projects will entail, where they will be located, or what they will 3