Minka Kelly and Wilmer Valderrama
Splash News Online
Is the romance heating up Down Under for Wilmer Valderrama and Minka Kelly?
After an evening of partying
at the opening of Marquee – The Star, a new nightclub in Sydney, Australia, they were spotted taking a cozy walk along the water at Balmoral on Tuesday.
Fueling rumors that the two are more than friends, Valderrama, 32, draped his arm around Kelly, 31, who was all smiles in a casual blouse and denim shorts.
Valderrama and Kelly were first linked together
last month, when they were "all over each other" in a private booth at L.A.'s Greystone Manor. "They were very flirty and dancing close," an onlooker previously told PEOPLE of their P.D.A.-filled night at the club. "They even left with each other."
Kelly was most recently linked with baseball star Derek Jeter, from whom she split in August 2011
. Valderrama was last linked
to on-again, off-again girlfriend Demi Lovato