Australia's improved ties with Ukraine could have an economic spin-off, with talks planned on supplying uranium to power stations in the war-torn eastern European nation.

Ukrainian President Petro Poroshenko received a warm welcome in Melbourne on Thursday, having worked closely with Prime Minister Tony Abbott on the MH17 disaster investigation.

He declared Mr Abbott "one of the most popular foreign politicians" in his country, an image cultivated by his tough stance on Russia over the downing of the Malaysia Airlines flight.

"It's nice to be popular, even if only in Kiev," Mr Abbott quipped after the Poroshenko meeting.

President Poroshenko confirmed Australia is considering selling uranium to Ukraine, a move guaranteed to attract controversy given the deadly Chernobyl disaster there in 1986.

The pair had earlier talked following Mr Abbott's threat to "shirt front" Mr Putin over the MH17 disaster, for which the international community has partially blamed Russia.

Energy security is a vital issue for Ukraine, which relies heavily on its hostile neighbour Russia for gas, and has difficulty shoring up supplies of uranium and coal.

Mr Abbott wants to supply Ukraine with both resources, a move he promised would be good for jobs and prosperity in both nations.

More than 40 per cent of Ukraine's power comes from 15 nuclear plants.

Another two reactors are planned and a further 11 proposed.

Opposition Leader Bill Shorten said it was too early to make a call about uranium sales to Ukraine but didn't rule in or out Labor support.

Mr Abbott and President Poroshenko have forged a close friendship since pro-Russian rebels shot down MH17 over eastern Ukraine in July, killing 298 people including 38 Australians.

A Russian government spokesman responded to the controversy, reminding Mr Abbott that Mr Putin is an accomplished judoka. (AAP)

Both leaders have pursued justice for the atrocity, and Australia has opened an interim embassy in Kiev and donated cash to help Ukraine with much needed economic reforms.

President Poroshenko thanked Australia for supporting Ukraine against hostile separatists in the east of his country, and sent a pointed message to Russian leader Vladimir Putin.

"Please, release the hostages. Please, withdraw your troops from my territory. Please, close the border," he said, adding peace would quickly follow.

Mr Abbott hoped Ukraine would soon be united and peaceful so an Australian leader could visit the MH17 crash site and unveil a memorial to all those killed.

President Poroshenko will visit Sydney on Friday where he's delivering a keynote address at the Lowy Institute for International Policy.

The first Ukrainian postwar refugees arrived in Australia in 1948 and there is now an active community of about 38,000 people mostly in Sydney and Melbourne.

Did the koalas soothe some tempers? After a big buildup of tough language, Tony Abbott and Vladimir Putin did their best to get along at the G20 in Brisbane (Getty Images)

© AAP 2014