Retired F/A-18 Hornets from the Williamtown RAAF Base are likely to be transferred to Ukraine as part of its war effort against Russia.
Forty one fighter jets and associated spare parts have been in storage at the base since they were withdrawn from service in late 2021.
News Ltd reported on Friday that Kyiv had formally asked the United States to green light the transfer of the fighter jets under a commercial deal with Texas company RAVN Aerospace, which has the rights to buy the aircraft.
RAVN Aerospace would then "on-sell" the Hornets to Ukraine. Funds raised by the online platform United24 would be used to purchase the planes.
White House approval is needed because the aircraft contain American intellectual property.
Kyiv has assured the White House that it would not deploy the aircraft into Russian airspace.
Prime Minister Anthony Albanese, Defence Minister Richard Marles will make the final decision about whether to allow the aircraft to be sent to Ukraine.
If approved, it would become Australia's largest transfer of military equipment to a foreign power.
A Defence spokeswoman said Australia remained committed to delivering on its current contribution to Ukraine.
"The Australian Government continues to engage with the Government of Ukraine and our allies and partners to ensure meaningful support continues to be provided to Ukraine in its ongoing battle against Russian aggression," the spokeswoman said.
It is expected it would take about four months to make the planes combat-ready after leaving Williamtown.
The first two FA/18 Hornets arrived at Williamtown on May 17 1985 following a non-stop flight from California.
The first operational deployment of the aircraft took place in November 2001 following the September 11 terrorist attacks.
They were formally retired from service in a ceremony at Williamtown on November 29, 2021.
The eight planes with the richest history have been preserved for display at various museums, including Fighter World and the Australian War Memorial.
Another 20 were sold to the Canadian Air Force. RAVN Aerospace paid a deposit to purchase the remaining 41 planes.
The company's original plans was to use the FA/18s as aggressor aircraft in training for military pilots.
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