Abstract. The restoration of cleared dry forest represents an important opportunity to sequester atmospheric carbon. In order to account for this potential, the influences of climate, soils, and disturbance need to be deciphered. A data set spanning a region defined the aboveground biomass of mulga (Acacia aneura) dry forest and was analyzed in relation to climate and soil variables using a Bayesian model averaging procedure. Mean annual rainfall had an overwhelmingly strong positive effect, with mean maximum temperature (negative) and soil depth (positive) also important. The data were collected after a recent drought, and the amount of recent tree mortality was weakly positively related to a measure of three-year rainfall deficit, and maximum temperature (positive), soil depth (negative), and coarse sand (negative). A grazing index represented by the distance of sites to watering points was not incorporated by the models. Stark management contrasts, including grazing exclosures, can represent a substantial part of the variance in the model predicting biomass, but the impact of management was unpredictable and was insignificant in the regional data set. There was no evidence of density-dependent effects on tree mortality. Climate change scenarios represented by the coincidence of historical extreme rainfall deficit with extreme temperature suggest mortality of 30.1% of aboveground biomass, compared to 21.6% after the recent (2003)(2004)(2005)(2006)(2007) drought. Projections for recovery of forest using a mapping base of cleared areas revealed that the greatest opportunities for restoration of aboveground biomass are in the higher-rainfall areas, where biomass accumulation will be greatest and droughts are less intense. These areas are probably the most productive for rangeland pastoralism, and the trade-off between pastoral production and carbon sequestration will be determined by market forces and carbon-trading rules.