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Carrie’s fine work £: the Kerosene Shale Deposits of New South Wales,”* deals very ably 
with the geology and distribution of these deposits and the general properties of the shale from 
all points of view. He also collected and summarized all the then available information with 
regard to kerosene and oil shales that existed in the world. I am informed that the State 
Geological Survey has in preparation a bulletin dealing with the kerosene shale resources of New 
South Wales which will bring Carrie’s memoir up-to-date in many respects. Carne made no 
attempt to estimate the quantity of workable kerosene shale that existed in New South Wales, 
and contented himself with the statement that it was very large indeed. I should think that the 
supplies now in sight would survive at least 50 years of intensive exploitation and possibly a much 
greater period. R. TT. Cambage, in his presidential address to the Royal Society of New South 
Wales, 1924, estimates “the probable reserves of kerosene shale in the Caper tee-Wolgan -Glen 
Alice area ” at approximately twenty million tons ; the average content of crude oil per ton of 
shale at 100 gallons, giving a total quantity of 2,000,000,000 gallons, or 50.000 000 barrels available 
in this area. Also, “ that the total quantity of kerosene shale expected to be won from deposits 
in the State may be approximately 40,000,000 tons, containing 3,500,000,000 gallons of crude oil.” 
These facts are important and cannot be overlooked in view of the isolated position of Australia, 
the fact that well oil has not yet been produced in this continent, and the necessity for having some 
local source of fuel oil which could, in a time of national urgency . be relied upon for naval purposes. 
The following figures were given to me, during my visit to the area, by Mr. John Fell, whose 
company has been controlling the work in the Wolgan Valley for some years. There is some slight 
discrepancy between these figures and those given by Mr. Cambage (lop. cit.), but Mr. Fell’s figures 
are based on his own working experience. 
The thickness of kerosene shale in the Wolgan Valley mines averages 20 inches. Actually 
it varies between 14 inches and 50 inches. 
The yield of crude oil per ton of shale averages 1014 gallons in actual distilling. 
Thirty-four retorts having a daily capacity of 64 tons of shale are in working order, while 
30 other retorts are built and could be put in order. Total, 64 retorts, with a daily capacity of 
416 tons of shale. Maximum total daily output of oil would be 42,224 gallons of crude oil or over 
1.000 barrels. This daily maximum would, in actual practice, never lie reached since some retorts 
would always be idle for cleaning and other purposes. A local production of 250,000 barrels, 
or approximately 50,000 tons of crude oil per annum, would go a long way towards filling the 
requirements of Australia at the present time. 
The design of Mr. Fell’s retorts is based on that which has been developed in the Scotch 
oil shale-fields, but having regard to the differences between the New South Wales kerosene shales 
and the Scotch oil shales, Mr. Fell’s retorts are a great improvement for local requirements. Most 
of the old troubles associated with retorting have been got rid of, and the present retorts work very 
efficiently. The cost of retorting is only a fraction of a penny per ton of shale, so that it is obvious 
that little saving can be effected by changes in connexion with retorting. Fven if we assume 
that improvements could be made in methods of retorting, these could have but little effect upon 
price. The prime factor in costs is the cost of mining. This works out to-day at more than 30s. 
per ton of shale, whereas in pre-war days, it was 1 2s. 4d. This means that to-day it costs more than 
£3 to produce a ton of crude oil. The American producer in t he mid-continent oil-fields area 
obtains about £3 a ton for crude oil delivered from the well to the pipe line. In some States it 
is less than this. But this figure does not represent bare cost of production but includes a very 
fair profit to the producer, whereas profit and the cost of transportation must be added to the 
figure iu the case of New South Wales. If, however, the cost of production in New South Wales 
could be brought down to something like £1 per ton of shale, or £2 per ton of crude oil. I am of 
opinion that the industry would become self-supporting and profitable. To effect this, an 
investigation would have to be conducted into the possibility of using labour-saving devices 
wherever possible and of increasing the efficiency and stability of labour. These necessities are 
by no means so impossible of achievement as they may appear. 
In addition to the retorts, there is at the Wolgan Valley works complete distillation plan, 
for the preparation of refined products from (lie crude oil. Quoting again from Mr. Cambage 
the products are 
Fuel Oil . . 
Gas Oil . . 
Kerosene 
Benzine and Spirits 
Paraffin Wax 
Loss in treatment 
By-products- 1 . Sulphate of ammonia (fertilizer, &e.), about 22 lbs. from 1 ton of shale. 
2. Oil coke ; used for household purposes. 
Lubricating oils of certain grades can also be prepared from the crude product. 
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* 7. 12. r'artip. F.O.S., Depart me tit of Minos. Grol. Snrv. of N.s.W. GfiOl. No. 3. 1003. 
