Between 8 March and 3 August 1939, Baragoola was converted to an oil burner using tar under natural draught, like the Curl Curl, Dee Why and . Improved propellers were fitted at this time. The conversion to oil firing was reversed due to oil shortages during the war, however, with coal bunkers having been previously replaced by oil tanks, she could only make a couple of trips per day and she smoked badly without forced draft being available. Modifications in 1948 included the replacement of her chain-operated steering gear with Brown Brothers (later known as Vickers) hydraulic equipment. In 1958, Baragoola was withdrawn for a rebuild including the replacement of its steam engines with English Electric 7SKM diesel-electric engines. It returned to service in 1961. In 1973 and loaded with sight-seers, she took part in the on-Harbour celebrations for the opening of the Sydney Opera House.
