Papers - Production - Foregin - Oil Prospecting in Australia during 1936-37

It is perhaps a little difficult for Americans fully to appreciate the slow progress in the search for oil in Australia. Conditions are so different from those in the United States that methods must also differ considerably. Australia possesses an area almost exactly equal to that of the United States, but has a population of less than 7,000,000, and this population is concentrated almost entirely around the eastern and southern coasts of the continent. There are, therefore, vast "empty spaces" entirely unpopulated or exceedingly sparsely populated. The emptiness is due not to any lack of energy or initiative on the part of Australians but to the arid and waterless character of much of the country's interior. Throughout the greater part of the area that is comparable with the Mississippi drainage area of the United States, there is not a single flowing stream, and over most of it the rainfall is less than 7 in. a year. This hinders exploration and geological survey, and also isolates from potential markets many of the regions that otherwise might be considered worth prospecting. Also, Australia consists of six independent and sovereign states. With the establishment in 1901 of the Commonwealth of Australia, the states retained complete control of lands and mineral rights. Each state has its own petroleum legislation, and the absence of a central controlling authority has tended to confusion and to the introduction of many complications in oil prospecting. There are three major "territories," administered by the Federal Government; namely, the Northern Territory, enclosed between the northern parts of Queensland and Western Australia, within Australia itself, and the Territories of Papua and New Guinea in the island of New Guinea. Land and mineral legislation in these territories is not uniform. Furthermore, during the late twenties there occurred an orgy of company flotation and indiscriminate drilling, wQch resulted in the discovery of some definite indications of oil in three of the states and two of the territories, but which failed to develop any producing oil field in the common acceptation of the term. Much money was squandered,