Star Wars III: Who will hit the jackpot Adversaries John O'Neill and James Packer / Digitally altered image Source: The Daily Telegraph JUST as James Packer looked like he was holding all the cards, the Empire Strikes Back - and Sydney has itself a casino war. The Star casino's owner Echo Entertainment has declared it will not merely roll over and allow Mr Packer's Crown to build a six-star VIP casino at Barangaroo, pitching to extend its exclusive casino licence beyond 2019. It is both an 11th-hour attempt to kill off the proposed $1 billion Crown Sydney, and a promise to further redevelop the Darling Harbour property to cater for an influx of cashed-up Chinese tourists. But is it a bluff, orchestrated by its formidable chairman John O'Neill in a high-stakes game of high-stakes poker in which Mr Packer's hand appears unbeatable? Not according to Echo Entertainment, despite the fact it was unable to show any concrete plans yesterday, or commit funds to the project. "Only The Star, further enhanced, can have the scale and diversity of offering to deliver the critical mass required to create the 'Integrated Resort effect' on tourism," Echo CEO John Redmond said.In its initial objection to Crown Sydney - which has sought designs for its 250m-plus tower from four of the world's most prominent architects - Echo Entertainment said a second casino in Sydney would cannibalise its operations. However, yesterday was the first time it has admitted that its recently revamped facilities would need to be enhanced to cater for wealthy Asian gamblers - a VIP-style of customer that will be the predominant focus for Crown Sydney."This initiative ... has the capability to be a vital element in helping Sydney to capture a greater share of the burgeoning Chinese middle-class visitor market." Echo Entertainment's announcement to the Australian Stock Exchange made it clear that Mr Packer's incursion into the high-roller market would be a killer for Echo. It detailed its position as the "fastest growing International VIP gaming facility in Australia," claiming that its international rebate VIP revenue at The Star grew by 87 per cent to $226 million from 2010 to 2012. It also confirmed it would include investment in local transport in any revamp of its Pyrmont site. Premier Barry O'Farrell announced yesterday that the government would consider Echo's bid to extend the exclusivity of its casino licence, claiming one winner will be announced by the end of May. " (Echo Entertainment) has argued it would be better to have one person in this space rather than two competitors if the state is to maximise the tourism and other potential from the integrated resort," Mr O'Farrell said. Both of these proposals will be considered under the same process because both can't proceed. Both Crown and Echo Entertainment's bids will be assessed in tandem by ex-Future Fund head David Murray, and retired Court of Appeal judge Ken Handley. But Mr O'Farrell and his cabinet will make the final decision on the successful bid. Opposition Leader John Robertson hit out at the government's unsolicited proposals process, arguing that the public was being kept in the dark about what is at stake.