THE MIDNIGHT OIL BUBBLES UP FROM DOWN UNDER

Australia’s Midnight Oil isn’t thought of as a particularly humorous band, but during the last year or so the quintet’s career has been characterized by some improbable developments and absurd events worthy of the Marx Brothers.

For starters, the Oil’s towering, shaven-headed singer Peter Garrett ran for the Australian Senate. But this was no rock-star publicity stunt. Garrett, an anti-nuclear activist and an attorney, entered the race representing the fledgling Nuclear Disarmament Party. Initially ignored by the country’s conventional politicos, he was eventually taken very seriously. He faced the prime minister in a televised debate and almost won the election.

Perhaps as strange is Midnight Oil’s effort to crack the American pop market. “This kangaroo can’t seem to change the shape of its tail,” Garrett summarized during a recent phone interview from Boston.

The group--which opens for UB40 tonight at the Santa Barbara County Bowl, Thursday at San Diego State and Friday at Irvine Meadows Amphitheatre, then headlines next Wednesday at the Hollywood Palladium--had cemented its position as Australia’s most popular and successful band by the beginning of ’84.

Midnight Oil then hooked up with entertainment impresario Jerry Weintraub to direct the band’s American affairs. “10,9,8,7,6,5,4,3,2,1,” the group’s 1983 American debut, was a well-received calling card.

So when Midnight Oil (which also includes guitarist Martin Rotsey, bassist Peter Gifford, drummer Rob Hirst and guitarist-keyboardist Jim Moginie) entered a Japanese recording studio to make a follow-up LP, the machinery was geared to complete the U.S. breakthrough.

But the band emerged from the studio with “Red Sails in the Sunset,” its most Australian LP yet. The album is likely to have many American listeners scratching their heads as they try to wade through Down Under issues and such references as “Alice Springs,” “Kosciusko” and “Jimmy Sharman’s Boxers.”

“We do seem to write about those kinds of things quite a lot,” said Garrett, 31. “And ‘Red Sails,’ for one reason or another, became a particularly Australian album. We were talking last night about maybe putting a glossary of terms in with the record, so people could find their way through it,” he joked.

Some critics praised “Red Sails,” but Columbia, the Oil’s American record company, was concerned about the abundance of esoteric subject matter and the shortage of potential hit singles. “They weren’t hearing anything that dazzled their ears,” Garrett said. “It wasn’t their idea of what would get played a lot on radio here.”

The stalemate delayed the U.S. release of “Red Sails” for several months while Columbia tried to persuade the band to record some more accessible (read: commercial) tracks for the American version.

Recalled Garrett: “And of course, we said, ‘Look, the album’s the album.’ ”

The record--as is--was released in the United States last month. What really helped end the impasse, Garrett said, was the assurance by Midnight Oil--an explosive live act--that it would be available to tour the States. This wasn’t something to be taken for granted either. According to Garrett, the band had been invited to open every show on the Who’s U.S. farewell tour--but said no.

So why agree to work as an opening act for UB40?

“We know UB40, we like them and we think they’re a pretty good band,” Garrett replied. “The two bands share enough sensibilities for us to feel comfortable opening for them.”

When asked whether Midnight Oil’s sets are upstaging the headliner’s more understated act, Garrett laughed. “Well, we don’t have too much trouble on stage, mate. . . . I think there are a lot of people coming to the shows who have heard about the Oils but aren’t quite prepared for what they see. We’re starting to hit form, and we’re feeling really good about it.”