Progress on the Australia Telescope, due for commissioning in 1988, is on schedule. When complete, the Australia Telescope will consist of a 6-km compact array and a Long Baseline Array which will, in collaboration with the University of Tasmania and NASA, use baselines up to 1400 km. Here I focus on the novel features of the Long Baseline Array, which is planned to use satellite linked local oscillators and VLBA data acquisition terminals to provide a VLBI network capable of expansion both within Australia and overseas.