There are no n00by questions, the only one who's a n00b is the person getting angry because someone else asks a question that is dumb in his eyes. That having said: On your first question I can say that I've read somewhere that there is only one Australia server on which only 60 people can play at any given time. This info dates early september though, so there might be more now. On your second question: that's fast enough for not experiencing bad lag.
There are also SCEJ servers, which shouldn't be TOO terribly lagged from you. I'm in the middle of the States and connect to the Euro SCEE servers just fine, for example.
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