OIL FROM COAL.

Press, Volume LXVI, Issue 19889, 28 March 1930, Page 10

OIL FROM COAL.

IMPORTANT AUSTRALIAN TESTS.

NEW ZEALAND INTEREST

(faoii: otra own cobbespondbnt.)

SYDNEY, March 20

The Australian coal industry will receive a tremendous lift, and imports of foreign oil will be unnecessary it' a process for the extraction of oil from coal experiments for which are now being conducted, is perfected. The oil sought is of the kind suited for internal combustion engines. Anything that would help even in the slightest degree the coal industry is of the greatest national importance, for the very existence of coal mining is threatened at the present time, and if the millions that now go to a foreign country for oil can b© retained in tlx© Commonwealth, so much the better. The experiments from which so much is hoped are being made by a small company. Synthetic -Oil Products, but behind that concern is Imperial Chemical Industries of Australia and New Zealand, Ltd., which is a branch ot Imperial Chemicals, Ltd. Imperial Chemicals, Ltd., is one of the world's greatest, most progressive, and most powerfully financial amalgamations. The authorised share capital amounts to £70,000.000. Australian coal is being used for the tests which aro being conducted in England, and have been in progress for nearly two years. Highlv skilled experts are working upon the different of coal, considerable shipments of which have been made from Victoria and New South Wales.

The stage which the scientists have reached in their experiments is not known, but it is understood that sufficent advance has been made to enoourage hopes of ultimate success. The aim of the experts is to develop a method of which will make the product commercially profitable at a low retail priee. It is difficult to calculate the advantages to Australia and New Zealand of the discovery of a satisfactory process. The expansion of the coal industrv alone would mean millions of pounds to the Commonwealth. and it is clear that the Dominion would benefit bv the production of a reasonably cheap oil so close to its own shores.

Negotiations have been proceeding between the Federal Government and the company, but the nature of these have not been divulcred. It is known, however, that the Government would be prepared to give the concern every assistance. The reports that have been made to the Government concerning the progress of the experiments are said to have been very encouraging.