It is reported that the federal government has rejected Mr Andrew Twiggy Forrest's claim the new mining tax will be redesigned if Labor is returned to power.

Mr Forrest said the mineral resources rent tax, which only applies to iron ore and coal mining, would not raise AUD 10.5 billion in its first two years as planned, so the government would tweak the tax to place greater demands on the bulk commodity miners.

Mr Martin Ferguson resources and energy minister has dismissed the Fortescue Metals Group Ltd chief's comments as false. He said that "The government has made it clear that if we are returned to government we will put our proposal, as it stands, before the parliament.”

Mr Ferguson said the government would not be swayed from its course by threats from Fortescue or other miners to restart anti-mining tax advertising campaigns.

He did however acknowledge a call by Fortescue and other smaller miners to exempt magnetite iron ore from the new tax.

Mr Ferguson said that "I have made clear that magnetite will be one of the issues to be considered through the PTG (Policy Transition Group) process.”

(Sourced from thebull.com.au)