Yes only 2 wires for your motor.
The way I see it you have a good circuit diagram, the boat right in front of you and you still have a problem. Maybe someone here could show you or you might have to take it to a sparky.
I'm guessing Carindale on the Southside is no where near Sydney?
I'm pretty sure I've discussed the pros & cons of electrically isolating your motor from the hull with juggernaut before and we've agreed to disagree.
I say they should be connected for the following reasons.
Mercury say it offers your hull anode protection via the motor anodes.
It's pretty much impossible to 100% electrically isolate them anyway.
If you did manage to isolate them a short circuit any ground to your hull would start dissolving your transom like an Aspro.
As above if your hull is grounded to a battery negative.
Having said that I believe Quintrex do or did ground there hulls to a battery negative at some point... go figure?
Popcorn anyone?