The Japanese were trying to occupy as much of the South Pacific as they could. This an example of Japanese Imperialism: the country sought to control the entire Asia-Pacific corridor, as well as to capitalise on the Natural Resources of the area. Papua New Guinea was (and is) rich in natural resources such as oil, and oil was as valuable a commodity then as it is now.
Singapore had already fallen, Rabaul (PNG) had already fallen, and the Japanese troops were getting much closer. Over the period of a year or more, Darwin and northern parts of Australia experienced periodic bombings from the Japanese.
In May 1942, a Japanese invasion fleet departed Rabaul for Port Moresby, and the Battle of the Coral Sea began. It was a very real threat which was only turned back by the US aircraft leaving from carriers. After being turned back by the US, the Japanese then turned their attention to an attack over the Owen Stanley Range via the Kokoda Track, which linked the northern and southern coasts of Papua New Guinea. Thanks to the Papua New Guinean natives assisting the Australians and the US troops, the Japanese were turned back, having to retreat to bases at Buna, Gona and Sanananda, where they were eventually defeated.
To read more about the Japanese invasion of Papua New Guinea, and the US and Australian offensive against the attacks, see the related link.
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