OIL FROM BROWN COAL.

Otago Daily Times, Issue 20536, 11 October 1928, Page 13

OIL FROM BROWN COAL.

BIG WORKS PROPOSED. DEVELOPMENTS IN VICTORIA. (From Our Own Correspondent.) SYDNEY, October 4. An ambitious scheme for the development of the brown coal and limestone deposits of South Gippsland (Victoria) has just been disclosed. This announcement comes at a time when world scientists, gathered at Geneva, have praised the developments already made on the brown coalfields of Victoria. It is said that the Latorbc area in Victoria contains the richest coal deposits in the world, while the resources disclosed by the Yallern open cut, which is worked hy the Electricity Commission of Victoria, arc said to be almost limitless. The whole world is even now watching what is taking place in Victoria and the development of any further scheme is bound to be closely followed. The Victoria undertaking at Yallern had the distinct advantage of being commenced at the point which the German industry reached after 30 years of practical experience and patient research. The commission was thus able to select the most' economical and efficient methods. In regard to the combustion of highmoisture brown coal the results achieved by Victoria have not been equalled anywhere else in the world, and this success is mainly due to the researches of the commission’s own staff. The new company which is about to commence operations in South Gippsland proposes to build up a large industry, step by step, until the capital outlay will he about £5,000,000. A start is to bn made immediately with the exploitation'of the brown coal deposits. It is proposed to treat the coal hy low temperature distillation for the production of fuel oil and petrol. A representative of the company inspected large works in Halle, Germany in which coal was similarly treated, and he was much impressed with the economic character of the scheme. It is felt certain that oil and petrol can be produced in Victoria in commercial quantities at prices that will enable successful competition with the imported natural crude oils. The-Gippsland product, it is promised, will be sold at the same price as imported oils—and, perhaps, a little lower. When fully working the company will produce more than 100,000 tons of petrol and oil annually. The national importance of the development of the brown coal fields cannot be over-emphasised in view of what is taking place in other countries, particularly Germany, United States, and Russia. The brown coal deposits in these countries have become the basis of many new industries. In Germany the output of the brown ccal mines exceeds 150,000,000 tons a year. Brown coal workings are the basis of all kinds of manufacturing, and make possible the economic life and development of Central Germany to-day. Germany had achieved, the liquification of brown coal on a commercial scale, and one German company is producing 100,000 tons of synthetic petrol, and will ultimately produce 200,000 tons. It is of great national importance to Australia to know that it is possible to manufacture synthetic petrol of high class quality from brown coal. If oil is not found in Australia—and the prospects in this regard cannot be said to be very encouraging—then it will be essential to take the oil from coal and shale.