UPDATE 1-EU offers Ukraine more help but shies away from new Russia sanctions

European Union leaders will offer Ukraine more aid at a summit on Thursday after Russia's seized its ships off Crimea but calls to punish Moscow with more sanctions lacked support.

The bloc's 28 national leaders, however, decided to roll over the existing economic sanctions over Crimea's 2014 annexation by Moscow and Russia's subsequent backing for rebels in east Ukraine. But there is no consensus to step up punitive measures as sought by more hawkish governments, diplomats said.

In a sign of division on how to handle President Vladimir Putin's Russia, there is also no mention in a draft summit statement seen by Reuters that the bloc will consider more sanctions against Moscow in the future.

Condemning Russia, the EU will offer Ukraine help for its regions suffering from curtailed trade because of Moscow's actions in the Azov Sea, saying: "There is no justification for the use of military force by Russia."

The statement will demand the release of the 24 Ukrainian sailors, the return of their three vessels and free passage to all ships passing through the Kerch Strait, which controls access to the Azov Sea near Crimea.

Ukrainian President Petro Poroshenko, who met EU summit chairman Donald Tusk in Brussels on Wednesday, also received reassurances from NATO's head Jens Stoltenberg.

Stoltenberg said the Western military alliance will supply Ukraine with secure communication equipment this month - part of a 40-million-euros ($46 million) pledge to bolster Kiev's armed forces.

"Ukraine invites allies to come up with comprehensive, tough measures to respond to Russia's actions," Poroshenko told reporters after meeting Stoltenberg.

DIVISIONS

European Parliament lawmakers overwhelmingly backed a non-binding report this week calling on EU governments to introduce targeted sanctions if Moscow fails to release the Ukrainian servicemen.

Among the 28 EU states, the three former Soviet republics in the Baltics, backed by Poland, Sweden and Britain, wanted a much tougher threat of more sanctions following the new flare-up of tensions between Russia and Ukraine.

But Germany and France, which put the accent on the need to ease tensions, prevailed.

"On possible sanctions because of the incident in the Azov Sea, there is no consensus," a German government source said. "Many question if that is reasonable." (Additional reporting by Andreas Rinke, Writing by Alissa de Carbonnel, Editing by Richard Balmforth)

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