This article examines how the Australian government began to formulate its approach to space research, exploring the way it approached the establishment of American tracking stations from 1956, proposals for a civilian space research program in 1959, involvement with British space research and, from 1960, the negotiations for the European Launcher Development Organisation use of rocket testing facilities at Woomera. It argues that financial and strategic considerations were foremost in the minds of the Menzies government in shaping its approach to space policy, in particular in the context of rocket testing at Woomera. Ultimately, while the decisions taken between 1956 and 1962 laid the foundations for significant and often celebrated Australian involvement in space during the 1960s, the way in which these decisions were made reflected a reluctance to be involved at all.