CHAPTER FOUR
MONDAY AFTERNOON - KAKADU
Jake settled into the long drive north up the Stuart Highway thinking about Shoni and how well the old man had settled into outback life with Lizzie. He was suddenly jolted out of his thoughts to see in the rear vision mirror a large Ford truck tailgating him. He eased off the accelerator pedal to let the vehicle pass thinking the driver must be in a great hurry. The truck roared up level with him and he looked out the window to see the angry red face of Blakey sneering at him from the window of the truck and Skinner sitting in the passenger seat pointing a rifle straight at him.
Blakey shouted at him, “I’m going to teach you a lesson, city boy, you ain’t going to no conference.”
Blakey swerved in front of him, forcing him to veer to the left side of the road. Jake gasped trying to hold the station wagon on the side of the road and braked sharply allowing the truck to shoot ahead of him. Blakey slowed right down again blocking the side of the road, forcing Jake to swing into the middle of the road to avoid being bumped. Blakey immediately swung the truck back into the middle of the highway ramming the side of the Land Cruiser. Jake was trembling wondering whether the idiot was trying to kill him as he veered to the other side of the road. He heard the blast of a horn and looked up and saw a B-Double semi-trailer charging down the highway only seconds from crashing into him. At the last instant he saw a dirt track on the right hand side of the road and swung the wheel violently to just miss the B-Double. The B-Double swung into the centre of the road to avoid him but was then heading straight towards Blakey’s truck, forcing him to drive into a ditch on the side of the road where the truck did a tailspin and ploughed into a barbed wire fence.
Jake fought the steering wheel to stop his wagon from tipping over during the sharp turn, eventually bringing it under control. He stopped the Land Cruiser, peered out the window to see Blakey stomping out of the wrecked truck, shaking his fist at him. The semi-trailer had just continued on. He reversed the Toyota, turned back onto the highway and floored it to escape from the scene.
Jake kept driving fast until he thought he was far enough away from Blakey. He then slowed down to wipe the sweat off his face and breathed deeply to calm his nerves. What would possess Blakey and his mate to try to run him off the road and shake a rifle at him? And how did he know he was going to the conference? He wondered whether he should report the incident to the police but reasoned that it would be just his word against Blakey’s.
After two hours driving Jake reached the turn-off to the Kakadu Highway and it took him another two hours before he reached the boundaries of Kakadu National Park. He had been to Kakadu once before and thought it had a strange beauty and uniqueness. He had read that the park covers 20,000 square kilometres, extending 200 kilometres north-south and 100 kilometres east-west. It was listed as a world heritage park because of its huge bio-diversity and ecology accounting for a large proportion of Australia’s waterbirds, fish, insects, mammals, crocodiles and plant life. Its enormous bio-diversity extends from the coasts and estuaries in the north through to flood plains, wetlands and lowlands to rocky ridges and rugged sandstone plateaus to the south.
He turned off when he saw the sign to the Yellow Water Resort, a newly built hotel on the edge of the Yellow Water wetlands, which was the venue for the conference. The hotel was magnificent taking the shape of a turtle. It was extensive with two stories set into a tropical landscape surrounded by pools, waterfalls, gardens and a golf course.
Jake pulled into the car park and entered the hotel lobby. The foyer was tastefully furnished with huge aboriginal dot paintings and wildlife murals decorating the walls.
The entire hotel had been booked out for the conference and security was particularly tight. His identity was checked by a security official and he was ushered to a reception desk manned by one of the hotel staff and a DFAT official who gave him his room key, identity card, programme and briefing pack. He found his way into his room on to the second floor and gratefully sat down on a lounge chair, still slightly shaken from his ordeal. He grabbed a beer from the mini-bar, stripped off and took a long cool shower, feeling the tension gradually easing from his body. He looked around the hotel room which was small but comfortable with a view of the tropical gardens and beyond that of the wetlands. The walls were painted in earth colours and adorned by prints of tropical flowers and the wetlands. There was a king-sized bed, two lounge chairs, a coffee table and a small desk with internet connection along one wall. He sipped his beer and settled into a lounge chair reading the programme and briefing material for the conference. He had an hour before his first meeting with the Australian officials’ delegation at 5 p.m.
Jake’s role in the lead up to the negotiations had been to persuade key Japanese officials to provide improved access into the Japanese market for Australian exports of goods and services, particularly in the agricultural area. As Senior Trade Commissioner he had the diplomatic title of Minister Commercial in the Australian Embassy and had developed excellent rapport with officials from the Japanese ministries involve in international trade and various Japanese business groups and key corporations. His fluency in Japanese, knowledge of Japanese business practices and network of contacts in the government bureaucracy had been instrumental in bringing the Japanese to the negotiating table. He had earned grudging respect from senior staff of the Australian Embassy in Tokyo who often treated the non-diplomatic staff as poor cousins.
Jake was assigned to the working party looking at market access which had been the main sticking point in previous negotiations. From Australia’s point of view the central issue was access to the Japanese market for agricultural products where Japan had been reluctant to open up its markets for products such as wheat, beef, sugar, fruit and vegetables, rice and dairy products, mainly due to resistance from its politically powerful farmers’ lobby groups. While there was a trade agreement between the two countries, tariffs and quantitative restrictions remained on imports into Japan of many of Australia’s key agricultural commodities.
Jake had been working with several Australian companies in the services industries such as education, tourism, health, finance and legal, and had often come up against government controls and other impediments to breaking into the Japanese market. Japan had similar concerns for its high technology industries operating in Australia including some intellectual property issues so both countries were looking for mechanisms to safeguard these growing areas of trade.
Japan had tabled a request for the removal of all tariffs on motor vehicles and auto parts entering Australia from Japan. While the tariffs were small, only 5% of the value of imports, Australia had refused this request in the past because of competition from cheap imports which threatened the survival of its car components industry. The Australian Government had also made clear its dissatisfaction with the decision by the giant Toyota Motor Corporation to close its vehicle manufacturing plants in Australia by 2017, despite being the recipient of large subsidies over many years from the Australian Government. In the wake of other plant closures in Australia by foreign car producers, this decision signified the complete demise of car production in Australia.
Japan had made strong representations over Australian foreign investment laws and was seeking the removal of restrictions on its present and future investments in Australia. In particular it wanted to be able to increase its investment in mining operations in Australia beyond the current government imposed limitation on foreign ownership of below 50%. This was a particular sore point for the Japanese in sourcing uranium from the new plant at Jabiru as they wanted to have long term security of supplies for their nuclear reactors. Japan also wanted to set up a mechanism to settle disputes on its vast investments in Australia.
Defence cooperation had been ongoing between the two countries for many years but had increased in importance with the expanding presence of China in the Asia Pacific region. China’s threatening advances over disputed ownership of several island groups in the East China Sea had
made Japan’s government hierarchy increasingly nervous about Chinese ambitions. Consequently Japan had entered into a defence and security agreement with the USA and was anxious to enter into a similar arrangement with Australia as a significant player in the Asia Pacific region. The meetings were expected to draw together and strengthen a number of defence and security arrangements between the two countries, both informal and formal, and combine them into one treaty.
Japan was also very keen to secure the contract to supply Australia with twelve submarines it required to replace its outdated fleet. Each submarine would cost about $2 billion to build and the Australian defence ministry was about to make a decision on the bids it had received. The short list was down to bids from Japan, Sweden, Germany and the Australian Shipyard Corporation. The decision had to be approved by the Australian Cabinet which was divided between those members favouring the cheapest supplier with the best technological capability (Japan) and the Australian bidder which would provide the maximum Australian content in manufacturing and technology.
Jake walked into the meeting a few minutes to five, noting that all the Australian officials were already there. Despite the tropical setting he was the only one of the men not dressed in collar and tie. He shook hands with the Chair of the meeting, Jenny Antrim, the Deputy Secretary of DFAT, who he had met before and liked, nodded to Ambassador Robert Connell, helped himself to a coffee and a biscuit and sat down for the meeting. Antrim made the introductions before outlining the arrangements for the officials’ talks and the subsequent ministerial discussions.
She explained there would be two days of joint working group sessions by senior officials on the major topics of market access, investment and services and defence and security cooperation. The groups would report their conclusions to a Plenary Session of Ministers, led by the respective Ministers for Foreign Affairs and Trade, Anna Sentoro and Norio Hayashi and Defence Ministers, Malcolm Crichton and Mitsuo Kenichi.
The Japanese and Australian Prime Ministers were scheduled to arrive on the Tuesday afternoon and would start their program with a boat cruise over the Yellow Water wetlands, followed by a private working dinner at the hotel. On Wednesday they would play golf in the morning and join ministers and officials for the talks in the afternoon. The plan was that the Prime Ministers would hopefully finalise the talks on the Thursday and sign off the agreement sometime that afternoon. On Friday they would perform their final official duty and launch the opening of the new uranium mine at a luncheon on site at Jabiru.
At the conclusion of the meeting, Jenny Antrim allocated officials to the working groups and outlined goals to reach positions for the ministerial talks. They were to work on tactics that evening and meet again over breakfast to finalise their positions. Then she suggested they all meet for an informal dinner in one hour’s time where they would meet up with the Australian business delegates. She called Jake aside as the delegates left the room.
“Jake I understand you play golf? The Japanese Foreign Minister, Norio Hayashi, was going to play in the foursome on Wednesday morning but has to pull out because of a wrist injury.”
“I haven’t played for years Jenny, I’m sure someone else would make a better partner for Japanese P.M. Koshi Ogawa. I’m involved heavily in the officials’ talks on Wednesday morning. What about Ambassador Connell?”
“I’ve talked to Connell and he suggested you because of your fluency in Japanese. Others can fill in for you in the talks in the morning. It’s more likely the P.M.’s will discuss key issues during the game so you would be more useful there than in the officials’ talks.”
Jake sensed that he had been set up by Connell who knew he rarely played golf and could well embarrass himself in front of the two Prime Ministers. He also knew he couldn’t refuse the request.
“I guess I’ll have to agree Jenny but I won’t be a great partner for Koshi-san.”
“That doesn’t matter, the Australian P.M. is a sports freak and loves to win any contest, especially against a world leader.”
Jake went back to his room, annoyed at the request, and began going through the briefing papers. After a while, he wandered down to the dining area where the Australian officials and business delegates were milling around having pre-dinner drinks. He chatted with a number of the key business representatives before spotting the head of security John Carstairs, a short thickset ex-military man. He introduced himself and mentioned to Carstairs the conversation he had overheard between the two Chinese at Daly Waters and that he had passed on the information to Jim Williams from the Australian Embassy in Tokyo.
Carstairs asked him to outline his understanding of the discussion and indicated that he had already talked to Williams.
“It seems a bit thin that they would be plotting some kind of terrorist attack, especially from a nowhere place like Daly Waters. I assure you that we have tight security over every aspect of the visit of the two Prime Ministers, including the opening of the mine. There is no way anyone could get through our security net. So don’t worry, we’re in control of the situation,” stated Carstairs.
Their discussion was interrupted by the arrival of the Australian Minister for Foreign Affairs and Trade, Anna Sentoro, who made a short speech welcoming the business delegates and officials and invited them all to take their seats at the dining table. Jake looked for his name plate and sat down next to Felix Sherbel, the Operations Manager of Energet, the Australian partner that owned 51% of the new uranium mine at Jabiru.
Jake had scant knowledge of Energet, a little known mining exploration company which had found the new lode of uranium and had quickly developed a commercial enterprise in partnership with some major Australian investors and the huge Japanese conglomerate, Nippan Energy which owned the other 49% of the mine. The Japanese company was successful in becoming a partner in the mine despite fierce competition from Chinese mining interests.
After an investment of $300 million, production from the mine had now come on stream. The first output of yellow cake had been loaded on to railway trucks for transport via a new rail link to the port of Darwin for on-shipment to Osaka. This was to be launched jointly by the Prime Ministers on Friday.
Jake introduced himself to Sherbel and after exchanging the usual pleasantries, quizzed him about the development of the mine. Sherbel explained that the new mine had the richest reserves of uranium in the world which were estimated to last twenty years and the ore production was to be supplied exclusively to Japan, initially under a ten year contract. After a few drinks, Sherbel opened up a little and indicated the Australian Government had intervened at the highest level to overcome environmental issues and the concerns of the local aboriginal people over land rights, thereby ensuring the development of the mine. When Jake asked why there was so much interest in the mine by both the Australian and Japanese governments given the current low world price for uranium and availability of uranium from other parts of the world, Sherbel gave a secretive smile and a glib answer about the high quality of the uranium coming from the Jabiru mine. He also dodged Jake’s question as to the actual owners of Energet. Jake wondered about his evasiveness but could not get anything more out of him.
Dinner completed, the business representatives and officials dispersed to separate conference rooms to take their places in the various working groups. At the end of the sessions, each group reported back to Jenny Antrim on the agreed tactics for meeting with the Japanese the next day. Everyone then retired to their hotel rooms.
Jake, tired but not yet ready for sleep, wandered into the bar at the hotel, ordered a beer and looked around. A voice called out to him.
“Hey Jake, over here”. He looked around and saw sitting down in a corner couch, Helen Kwang, the Asian Economics Editor for the “National” newspaper. He wandered over and lowered himself into a chair alongside her.
“Hi Helen, I wasn’t expecting you to be here.”
“Yep, I drew the lucky straw and was accredited to cover the conference for the National. I thou
ght you’d be here. I’ve just done an interview with Anna Sentoro. I’d thought I’d come in early and look around Kakadu before the conference starts.”
Jake had met Helen a number of times in Japan, liked her for her honesty and professionalism, something he didn’t always find in journalists. He also knew her daughter Sarah Kwang, a fellow graduate at Melbourne University, and that had established a common interest between them. As a government official, Jake was restricted in what he could say to the media but knew he could trust Helen to record any conversations accurately. She was an experienced journalist, had done a number of serious investigative pieces which had earned her a number of awards and respect from her peers. She was now in her early sixties, just barely over five feet tall, a second generation Chinese-Australian; she had spent many years in Asia as a foreign correspondent and was an acknowledged expert on Australian-Asian economic affairs.
After exchanging pleasantries, Helen said, “So Jake, give me the gen? Are the negotiations going to bring about some meaningful trade benefits this time?”
“We certainly hope so, we’ll get a better feeling tomorrow after the officials talk. No doubt you raised that with the Foreign Minister.”
“Oh, she just gave me the standard line that everything is looking good. She won’t tell me whether either side is willing to make concessions. Anyhow, I think the most interesting development is the opening of the mine at Jabiru. I hear there is a huge protest group setting up there, the conservationists, the aboriginals, the anti-free traders, the Japanese anti-nuclear lobby, the greenies and the locals are all up in arms about it. I’m going down to Jabiru tomorrow with our photographer to see if we can find a story there. You should go there as well Jake.”
“I wouldn’t mind but I don’t think I’ll get much time off from the negotiations,” Jake responded.
“Jake, do you know anything about the Australian company Energet which has majority ownership in the Jabiru uranium mine?”
“No, I don’t, why do you ask?” replied Jake, curious because he had been unsuccessful in his own efforts to find out anything about the company from Felix Sherbel. He had heard that the Australian Defence Minister, Malcolm Crichton was a close friend of Ron Freeman, the Managing Director of Energet, but opted not to mention this to Helen.
“Oh, it’s just that it’s not listed on the stock exchange and I can’t seem to find out who owns it. It’s shown as an Australian company but nobody seems to know who the real owners are.”
Jake shrugged his shoulders and changed the topic. “I’ve been out of touch over the last few days, are there any new developments on the China-Japan border disputes?”
“Nothing new, but the word is that the Chinese are fuming over the Japanese fighter plane flying right over the Senkaku Islands last week. Apparently the Chinese military tried to shoot the aircraft down and the Japanese plane returned fire and damaged one of the Chinese military bases, killing two people. Tensions are simmering there at the moment and could blow up anytime.”
Relations between China and Japan had reached a low point when China unilaterally declared airspace over the uninhabited Senkaku and Diaoyil Islands in the East China Sea which had been in hot dispute between China and Japan, both of which claimed sovereignty. Japan, the United States, South Korea and Australia all made strong protests at this provocation and the risk of conflict escalated as Japanese and American aircraft flew deliberately into the newly marked zone. Discoveries of large oil deposits in the sea near the islands apparently triggered China’s actions.
Incursions by China to reclaim land in the South China Sea for military purposes and its decision to send warships into the western part of the Indian Ocean had led to further protests. The U.S.A had responded by deploying additional surveillance aircraft at Australian bases in northern Australia, an action which China had protested against as intimidating.
Their conversation was interrupted when Ambassador Connell, accompanied by some DFAT officials walked into the bar, espied Jake sitting with Helen, and came over to them. “We’re not giving away our negotiating tactics are we Stafford?” said the Ambassador sarcastically as he walked past Jake’s table.
“Certainly not, I was just filling Helen in on the wonders of Kakadu. Did you know that there are two thousand crocs at Yellow Water Ambassador?” Jake replied offhandedly. Connell just grunted and hurried off. Jake winked at Helen, got off his chair and wished her good night.
Jake walked through the foyer of the hotel noticing the Japanese officials’ delegation had arrived in a cavalcade of cars and were in the process of checking in. He went back to his room and decided to give Shoni a call before going through his briefing papers.
Shoni answered on the second ring. “ Hi Shoni, how are you?”
“Oh Jake, I was hoping to hear from you,” she said softly, “are you at the hotel now?”
“Yep, settling in for the start of the negotiations tomorrow.” Jake proceeded to tell her of his trip up to Kakadu, starting with attempt by Blakey to run him off the road which caused her to give an audible gasp.
“He is a horrible man, that Blakey. I wish Bill had hit him harder. It’s strange Jake that I’ve seen him hanging around some Chinese guys who are staying in Daly Waters.”
Jake thought about this. “That is strange, I wouldn’t think the Chinese would have anything to do with the likes of Blakey.”
Jake chatted to Shoni about the conference for a few minutes, then said “I really loved our time together over the weekend Shoni.”
“Me too Jake, it was fun,” Shoni responded. Jake felt his heart beating faster just listening to her soft voice.
“I would love to see you again Shoni, can we catch up again as soon as this conference is over?”
“I’d like that too Jake, please come back as soon as you can.”
“I will for sure Shoni. Bye for now.”
Jake disconnected his phone, thinking he hadn’t felt this way about a woman for a long time. He read through his briefing papers for an hour, made a few notes, watched the news on the flat screen television and went to bed. He lay awake for a long time thinking about the last few days, meeting Shoni and her effect on him, spending time with his father and Lizzie, feeling that his life was about to change. Eventually he drifted off to sleep.