Australian Foreign Minister Julie Bishop says she is confident of Australia's strong relationship with the island nation 1750km east of northern Australia.
President Xi Jinping is reportedly eyeing a base in the Pacific nation where Chinese naval ships would dock to be serviced, refuelled and restocked at a Vanuatu port, with the agreement eventually leading to a full military base.
Located off the coast of Australia, Vanuatu is strategically placed for a possible military base especially for China as it flanks Japan and the United States, however, the Foreign Minister of Vanuatu emphasised that it is not interested in any sort of military base.
However, Mr Regenvanu told the ABC the reports were false, and that no one in the government had ever talked about a Chinese base of any sort in Vanuatu.
While, New Zealand's PM Jacinda Ardern said: "New Zealand is opposed to the militarisation of the Pacific". "We are not interested in militarization, we are just not interested in any sort of military base in our country", Regenvanu told the ABC broadcaster.
It's understood there are senior figures within China's People's Liberation Army who would like to move quickly to establish a proper base on Vanuatu.
The Australian media report had claimed that informal discussions were underway between China and Vanuatu regarding a military build-up in the island nation, which would put Australian interests at risk.
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The names of the victims will be released within the next 24 hours after their families are notified, the statement added. The 3rd Marine Aircraft Wing said the CH-53E Super Stallion helicopter was on a routine training mission when it crashed.
China has also faced criticism over its activities in the disputed South China Sea, where it has been building artificial islands on reefs, some with ports and airstrips. Beijing describes it as a logistics facility.
He said foreign investment by other countries in the Pacific was "not necessarily a wrong".
The wharf is close to an global airport that China is helping Vanuatu upgrade.
Vanuatu's high commissioner in Canberra, Kalfau Kaloris, said his country's Foreign Ministry was "not aware of any such proposal". Bateman said reports of the military buildup could potentially be Chinese posturing ahead of that vote. Djibouti's position on the northwestern edge of the Indian Ocean has fueled worry in India that it would become another of China's "string of pearls" military alliances and assets ringing India, including Bangladesh, Myanmar and Sri Lanka.
Tonga has also been mentioned in government circles as a possible site for a Chinese base, though recent discussion has centred around the intense efforts China has been putting into Vanuatu.
"We would view with great concern the establishment of any foreign military bases in those Pacific island countries", Turnbull told reporters on Tuesday.
"If it turns out there are one or more Chinese bases. what it has the ability to do is challenge, and make much more challenging, American access into the region", said Dr Charles Edel, a former adviser to former USA secretary of state John Kerry.
"We don't know what the consequences are when (Pacific nations) have to pay back some of these Chinese loans", she said.