A small number of personnel who had been in the battalion's rear detail, managed to avoid capture having been routed separately from the Middle East. Returning to Australia, initially they were to be redistributed to other units, but eventually the decision was made to reform the 2/2nd and throughout the remainder of 1942 and into 1943 the battalion was rebuilt from this cadre. In June 1943, the 2/2nd Pioneers were deployed to New Guinea undertaking both traditional infantry and engineering tasks. Assigned once again to the 7th Division, they saw combat in the Markham–Ramu Valley, advancing overland from Tsili Tsili, and constructing an airfield after the Landing at Nadzab. They were then re-roled as infantry and joined the drive on Lae alongside Australian and US forces. They remained in New Guinea, taking part in the advance into the Finisterres, including the fighting around Shaggy Ridge, until early 1944 when they returned to Australia for rest and reorganisation.