The international community should look at imposing financial sanctions on North Korea as the rogue nation is reported to be considering another nuclear test, Foreign Minister Stephen Smith says.
The Australian government was aware of the latest speculation, describing any further test as "immensely provocative".
The United Nations Security Council was working hard on a new resolution, condemning North Korea, which was likely to emerge in the next few days.
"But also we have to look at what more measures the international community can take," Mr Smith told ABC Radio.
That could mean calling on countries, who don't presently impose existing sanctions, to take action or imposing more financial sanctions.
"We also have to engage in some form of dialogue and I think that is the longer term process."
The "danger and the worry" is that North Korea was progressing down a path of developing their (nuclear weapon) capability."
"And that is what the international community needs to stop."