Prime Minister Tony Abbott has revealed the government is considering "non-lethal" military action and humanitarian assistance in Ukraine.
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Mr Abbott said Australia would also establish an embassy in the conflict ridden country and confirmed the government would add the sale of uranium to its list of sanctions against Russia.
During question time in the House of Representatives on Wednesday, the Prime Minister said Australia wanted to repay Ukraine for "its support and friendship" in the wake of the MH17 disaster which killed 298 people, including 38 Australians.
"Australia is truly grateful for Ukraine's help in recovering the victims and bringing home our dead," Mr Abbott said.
"We are also grateful for Ukraine's strong support for the criminal investigation into this particular atrocity and in their determination which we share to bring the perpetrators to justice.
"So, Madam Speaker, the government and I believe the Australian people, would like to repay Ukraine for its support and friendship, especially as Ukraine continues to be subject to active destabilisation and indeed outright invasion from Russia, a country it has never ever sought to harm."
The Prime Minister said Australia would open an interim embassy in Kiev.
The embassy would, among other things, support Australian Federal Police investigators who remain in Ukraine.
"As well, Madam Speaker, along with our European partners and allies, we are considering short-term humanitarian assistance and non-lethal military assistance to Ukraine and in the medium term Madam Speaker we are considering civil and military capacity building assistance to that country," Mr Abbott said.
In response to a question from Deputy Greens Leader Adam Bandt, Mr Abbott later confirmed that there would be no uranium sales to Russia until further notice.
The tough sanctions were foreshadowed by Fairfax Media last month in a stern warning from Foreign Minister Julie Bishop.
"I often disagree with the member for Melbourne, but not on this occasion. And I do thank him for his question and I am very happy to indicate to him that there will be no Australian uranium sales to Russia," Mr Abbott told Parliament.
"There will be no uranium sales to Russia until further notice and Australia has no intention of selling uranium to a country which is so obviously in breach of international law as Russia currently is."
