Australia could become the first country in the world to negotiate a prisoner transfer agreement with Indonesia, said Prime Minister Kevin Rudd, in light of reports of Schapelle Corby's worsening mental state.
Rudd and Queensland Premier Anna Bligh have been sent a report from psychiatrist Jonathan Phillips about Corby which states she will not survive her sentence if she remains in Bali's Kerobokan Prison.
Australia's consul-general was providing all the support possible to Corby, Rudd said.
"The practical problem is that no prisoner transfer agreement exists between Australia and Indonesia and I'm advised none exists between Indonesia and any other country," he told Fairfax Radio Network today.
"Negotiations are under way."
But even if the two governments come to an agreement, questions exist about whether Corby would satisfy Indonesian decrees allowing such a transfer, Rudd added.