Australia has offered to help the United States provide humanitarian assistance to refugees in Iraq, the Prime Minister says.
Tony Abbott says he spoke with US officials overnight to discuss what has been described as "potential genocide" in Iraq.
"This is a humanitarian disaster potentially on a massive scale," he said.
"President [Barack] Obama has already said that it has the potential to become a genocide and that's why it's important for Australia to join with our international partners in doing what we can to render humanitarian assistance."
Mr Abbott says Australia has two C-130 Hercules military aircraft based in the United Arab Emirates that could assist with air drops within days.
"We're looking to see how quickly we can get crews there," he said.
On Thursday, the United States dropped thousands of litres of drinking water and 8,000 packaged meals to the Yazidis, who risk starvation on the barren mountain top.
"Some 40,000 women and children mostly are exposed on a mountain surrounded, as I understand it, by [Islamic State] forces that are threatening to kill them," Mr Abbott said.
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