Seems like the Australian weekend papers and the Singapore Business Times have jumpted the gun on this. Today's Straits Times says "Australia has denied a newspaper report over the weekend that it has put on hold indefinitely its decision on giving Singapore Airlines access to the Australia-US route. In issuing the denial yesterday, a spokesman for Prime Minister John Howard said the final decision had yet to be made. It could be weeks and cabinet would have to discuss it in the context of aviation globally" etc. etc. etc.
Im not sure if your speculation about the 777s being bought specifically for this route is correct Jstars. They were ordered years ago as far as I know and the opportunity again to get the Australian Cabinet talking about opening up the route is relatively recent. If you are right perhaps you could let us know more about it.
On the other subject of pilots being "volunteered" over to the Cargo company I will be surprised if there are any takers for the present offer that has been couched in terms of a "short window of opportunity" that will close in a few months. For as long as there are no 90% rebate tickets, no payment for paxing, no schooling for kids over the age of 18 and a reduction of annual leave it simply isnt worth it. There isnt even any expatriation allowance included which makes the annual $20K carrot mostly worthless.