One of the worst droughts in a hundred years has created tinderbox conditions in New South Wales near Sydney. Massive bush fires encircled the city last week and thick smoke closed major highways leading into town. The fires were called the worst threat in 30 years but relief came with rain Dec. 9 and many of the blazes were doused. Fires continued to burn in the Blue Mountains 55 miles west of Sydney and officials warned that others could reignite, so the threat is far from over. Last year at Christmas similar fires around Sydney burned almost two million acres and destroyed 200 homes.