Coal-derived liquids are susceptible to oxidative degradation. Two different weight ratios of SRC-I/SRC-II blends, with or without phenol derivatives, have been subjected to accelerated ageing studies. Viscosity, infrared, elemental analysis, molecular weight determination, and solvent analysis are used to examine the properties of the degradation products. On ageing, there is a large increase in the amount of toluene-insoluble material, decrease in oil components, and a relatively constant amount of asphaltenes. The oxygen content increases in the aged toluene-insoluble and asphaltene fractions, and a new absorption at xl 700 cm-' (the C=O group) appears in these two fractions only. On the addition of phenol itself and the less hindered phenol derivatives, the original hydrogen-bonding between the acidic and basic fuctional groups in the coal liquids is apparently disrupted because the added phenol can now interact with the proton-accepting species in the liquids, thus leading to a lower viscosity. This does not mean that the unhindered phenols retard the rate of ageing. The original hydrogen-bonding in the coal-derived liquid now gives way to a new hydrogen-bonding, and ageing occurs with the latter. The more hindered phenol derivatives are not as effective as phenol in disrupting the original hydrogenbonding in the coal-derived liquids.