After their return to Australia, a period of leave followed. After this, the brigade was re-constituted at Seymour, Victoria, in August 1942, before moving to Singleton, New South Wales a month later. The situation in New Guinea improved for the Allies as the Japanese advance towards Port Moresby along the Kokoda Track was halted following their defeat at the Battle of Milne Bay and following a reversal on Guadalcanal. The 17th Brigade was subsequently deployed to Milne Bay in October 1942, freeing up the 18th Brigade to be deployed to northern Papua, to taking part in the fighting in the Buna–Gona area. As the Japanese began to shift their attention towards the capture of Wau, in January 1943 the 17th Brigade was relieved by the 29th Brigade and was redeployed to Port Moresby by sea, from where it was flown to Wau to reinforce Kanga Force, with Moten assuming command of Kanga Force. The move was delayed by bad weather and was not completed until late January, and aircraft bringing in reinforcements arrived under fire. Fighting commenced east of Wau on 28 January, when elements of the 2/6th Infantry Battalion, which had established an outpost, came under attack. This was followed two days later by the main attack on the airfield, which was held by the 2/5th and 2/7th Infantry Battalions. Several days of heavy fighting followed, and Wau came under air attack on 6 February; however, by 9 February the Australians had cleared the Japanese from the area, forcing them to withdraw. In the following months, elements of the 17th Brigade took part in several actions around Mubo, Bobdubi, Lababia Ridge, Nassau Bay, and Mount Tambu. As the Australians advanced on Salamaua, the 2/7th was detached to support the 15th Infantry Brigade.