Liquid Fuels - Petroleum

In the past five years Australia's transport fuel outlook has changed substantially. On the supply side of the balance the assessment of the known indigenous crude oil fields has improved to such an extent that peak production instead of declining from 1980, as was expected, can now be maintained at least to the middle of this decade. Furthermore, with the intensified exploration activity, which doubled in the last five years, there is at least a fifty percent chance that further discoveries will permit to maintain present production level until about 1990. The situation of the 90s is difficult to predict but most probably indigenous crude oil supply in relation to liquid fuel demand will decrease. As a result beside imported crude oils liquid fuels derived from other sources, such as shale, tar, coal and natural gas may be required to supplement production. The burden of the high cost of the new fuels could be distributed more evenly by controlling the level of indigenous crude oil production in the 80s: an almost impossible political task.