The Ukrianian flag flies left of Russian Navy Black Sea Fleet's Grisha V type corvette 'Suzdalets' patroling off the coast of Sevastopol, Crimea, Ukraine, 02 March 2014. Russia ratcheted up the tension over Ukraine on 01 March when its upper house of parliament authorised the use of armed forces inside Europe's second largest country by territory: photo - EPA/MAXIM SHIPENKOV
"In the absence of de-escalating steps by Russia, the EU shall decide about consequences for bilateral relations [...] for instance suspending bilateral talks with Russia on visa matters as well as on the new [trade] agreement, and will consider further targeted measures," the statement says.
"The European Union strongly condemns the clear violation of Ukrainian sovereignty and territorial integrity by acts of aggression by the Russian armed forces," the statement released on Monday evening says.
"The EU calls on Russia to immediately withdraw its armed forces to the area of their permanent stationing," the statement continues, offering to mediate in the dispute between Moscow and Kiev.
A summit of EU presidents and prime ministers has been called for Thursday, European Council president Herman Van Rompuy announced via Twiiter.
As the EU debated a response to the crisis, Russia denied claims by the interim Ukrainian government that Russian military had given their forces in Crimea until 03:00 GMT on Tuesday morning to surrender or face an attack.
The Ukrainian defence ministry said that Aleksander Vitko, head of Russia's Black Sea Fleet - stationed in the region - set the deadline and threatened an assault "across Crimea".
"This is utter nonsense", a spokesman for the Russian fleet told the Interfax agency. "We will not be pushed towards a head-on confrontation," the spokesman said.
Russia claims its military is protecting human rights in Crimea and troops in the area are part of a "peacekeeping mission".
'Gates of hell'
Poland's foreign minister Radoslaw Sikorski has told the BBC in Brussels that the threat of war is real in Ukraine.
"My biggest fear is that the Russian authorities believe their own propaganda and make fatal mistakes that open the gates of hell," said Minister Sikorski, a strong supporter of closer links between Ukraine and the EU and who played a prominent role in negotiations between the opposition and government in Kiev until President Yanukovych fled to Russia.
Meanwhile, Poland's president Bronislaw Komorowski continued to consult with international leaders on the Ukraine crisis on Monday, when he spoke to France's head of state Francois Hollande.
A presidential spokesman said that Komorowski continued his call for a "firm and coherent response" by the West after Russia "violated international law" in the Crimea.
Komorowski also spoke with Georgia's president on the crisis.
On Sunday, President Komorowski spoke to Barack Obama, when he was assured of Poland's security should war break out in Ukraine.
Sanctions
Jaroslaw Kaczynski, leader of Poland's largest opposition party Law and Justice (PiS) has called for immediate "tough sanctions" against Russia's "progressive acts of aggression".
"The course of events clearly show that in order to stop Russia's actions, which are destabilizing Europe and threatening our security, we need fast decisions," Kaczynski, who blames Russia for the death of his twin brother President Lech Kaczynski in the Smolensk air disaster in 2010, said in a statement to the PAP news agency.
In further developments, US vice-president Joe Biden told Russia's prime minister Dimitry Medvedev during a telephone call on Monday afternoon that Russia would meet "increased political and economic isolation" if the situation in Ukraine is not resolved, Reuters reports.
The White House earlier canceled a presidential delegation to the Paralympic Games in Sochi, National Security Council spokesman Caitlin Hayden has said. (pg)