The northern giant petrel found at a Noosa beach underwent testing after it was recovered on Saturday and has since returned a negative result for H5N1, Queensland's Department of Primary Industries said on Tuesday.
A total of 13 detections have been recorded across Western Australia, South Australia and New South Wales.
The welcome result comes as Twinnies Pelican and Seabird Rescue - a registered charity managed by identical twins Paula and Bridgette Powers - expands its quarantine facility in anticipation of more sick birds arriving.
"It'll be finished within the week, we need it up and running," the twins' mother Helen Powers told AAP.
Authorities have been on high alert after the deadly strain was discovered in a native seabird for the first time, sparking fears it could trigger a national wildlife emergency.
Testing in the past week detected H5N1 in a greater crested tern discovered at Robe, South Australia.
It marked the first known infection in a wild non-migratory mainland bird rather than a migratory species from the Southern Ocean.
It took the total confirmed or presumed H5 cases in Australia to 13.
Ms Powers said the sick northern giant petrel was in a concealed area "a few hundred yards" from about 30 other birds at the centre, including many native species such as pelicans, terns and ducks.
The facility also has hundreds of "fly-ins" - healthy and free-flying birds that visit the centre daily.
Ms Powers said the twins were taking extra precautions, including wearing personal protective equipment and isolating birds after they were brought in to the centre.
"If somebody came to the door with a seagull, first we put it in a container outside, and from there the Twinnies will gown up, go and get that bird and put it in quarantine for three or four days," she said.
"If it's shaking or moving its head back and forwards, it could have the virus - that is one of the signs."
Birds that were otherwise ready to be released from the facility were being held for longer as a precaution, she said.
"They'll be released when we know it's safe to do so."
Almost all the infected birds to date have involved sub-Antarctic species capable of travelling thousands of kilometres across the southern oceans in search of food, making them likely spreaders of the virus.
Coastal birds like the tern found in SA, which nests in colonies, are particularly susceptible.
Giant petrels are uncommon winter visitors in Queensland waters.Â
Seabird watchers have documented a mass northwards movement of sub-Antarctic species in the past month on Australia's east coast, a rare phenomenon.
Birders are also being recruited to help combat the spread of the virus in SA.
The SA government on Tuesday announced a partnership with BirdLife Australia and the Conservation Council to engage their large membership bases and enhance surveillance.
A training program will be held for volunteers to help identify and report on birds that may be showing H5 bird flu signs.
"We have people that know these coastal and wetland areas with deep knowledge ... they're passionate, and they want to be able to take positive action," BirdLife Australia CEO Kate Millar said.
Environmental groups have warned of devastating impacts on native wildlife if the virus becomes entrenched, with Australia's poultry industry also at risk.
People have been warned not to touch sick or dead birds or wildlife, to keep pets away, and to report unusual deaths or behaviour.
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