Australia May Export Coal And Uranium To Ukraine Amid Russian Threats Over Gas Debt

Australia welcomed Ukrainian President Petro Poroshenko as he arrived for a two-day state visit. He is expected to attend a prayer vigil for the victims of the Malaysia Airlines Flight MH17 crash with Prime Minister Tony Abbott.

Discussions about the downed MH17 plane will be among the top issues in the agenda, according to ABC. MH17 was shot down in July in eastern Ukraine and led to the deaths of the 298 people on board, including 38 Australians. Ukraine and Australia have both called for a thorough investigation of the incident.

Mr Abbott said the Ukrainian leader's state visit would be an opportunity to unite both countries in an effort to find out the truth about the downing of the Malaysian jet. The prime minister added that Australia will reaffirm its support to Ukraine amid the ongoing conflict and the threat to its "territorial integrity."

In September, Mr Abbott has announced that the government had given non-lethal aid to the armed forces of Ukraine along with the creation of an interim Australian embassy in the country.

Meanwhile, while the Ukrainian president is in Australia, Russian Prime Minister Dmitry Medvedev has declared that Moscow will take Ukrain to the international court if it will not pay its gas debt. According to RT News, even if Ukraine is on the verge of default, Medvedev said he remains open to possible negotiations. Ukraine owes Russia $3.1 billion for gas it has already purchased. Russia has demanded payment by the end of 2014.

In an interview with a local Russian TV channel in Moscow, Mr Medvedev said he believes Russia and Ukraine can compromise on the matter. However, the Russian prime minister warned that if no deal is reached, Russia will file a lawsuit against Ukraine in the International Court of Arbitration in Stockholm.

Ukraine's Kiev has also threatened to take Moscow to court over the payments despite ending what it describes as an "interim deal." For the first time in six months, Russia began delivering gas to Ukraine after receiving payment of $378 million. Mr Medvedev said that despite the tension between the two countries because of Crimea's annexation, Russia has given more than $80 billion of gas as a gift between the early 1990s and 2000s.

While Mr Poroshenko is in Australia, he and Mr Abbott have acknowledged how crucial it is to secure Ukraine's energy sources. The Guardian reported that the Australian prime minister will consider exporting coal and uranium to Ukraine.