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[Page 47]

Sun.
5th Aug (cont.)
We are in the locality where the Australian submarine AE 2 disappeared in 1914. At abt 11 am this morning we were cruising slowly along when what looked very much like a periscope & conning tower appeared just ahead.

The "Wolf" swerved quickly & manoevred round – an old banana palm!

The plane rose again at about 4 pm; at about 6 p.m. we were busy at tea when a rush took place on deck and the 'plane was hastily launched. A wireless message had been intercepted from our intended prize.

The 'plane rose, completed a huge circle around the horizon and finally located the vessel. The observer openly signalled with daylight rockets which were clearly outlined against a cloudy background. He fired one silver, one red, & two more silver rockets to mark the

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