This announcement is a bit late in coming and the more astute of you may have noticed a mention or two in the council meeting minutes.
In August 2010 the auDA New 2LDs Advisory Panel handed over its recommendations to the auDA Board. One of the items under consideration was the fate of the conf.au 2LD.
In their final report  the advisory panel recommended that the conf.au domain should not be reactivated. However the report did make one other recommendation.