In 2025, Australia has found a large underground reserve of fossil fuels off of the coast of Antarctica. By this time, fossil fuels are in short supply, which lead to conflicting interests between northern Australians, who wished to provide oil for China and for their own benefit, and the more Westernised South Australia Federation. The two factions have since resorted to war.According to Ben Saxon, over one third of forces on both sides of the conflict are not governmental soldiers, but rather private military contractors such as Belltower Associates. Saxon led special task force Strike Team Six during the Australian Civil War, where his entire team was killed due to faulty information provided by his superiors.
By 2027, the Northern Territory has been placed largely under SAF control. The North's government has evacuated abroad and set up a government-in-exile. Meanwhile, any major uprisings are quelled by mercenary units on SAF's payroll, including one notable incident when the 12th Regiment of Belltower Associates shut down a revolt in the Northern Territory.