The Federal Government is willing to settle any dispute on the controversial resource super profit tax, however, it remains firm on the 40 per cent headline rate.

During the past weeks, resource companies continuously lobbied their campaign against the tax as it will jeopardize any investments coming to Australia and will also limit competitions to foreign miners.

However, the government insists the tax is a fair measure that may lower company tax and fund other measures, ensuring that all profits of the mining industry are evenly spread around the State.

There have been series of consultations and negotiations between the government and several mining companies on the issue. Resource Minister Martin Ferguson said that a need to consult with the involved sectors is a must to resolve some technical issues.

“There is a room for compromise... with respect to how you apply the proposed tax regime.”

Ferguson said the federal government will await a decision from its consultation committee if a compromise is reached with several firms.

Prime Minister Kevin Rudd told local media on Sunday he is willing to wait for the outcome of the consultation process.

"I think it's time the mining companies of Australia got used to the idea that they need to return a fairer share to all Australians, for the resource which all Australians own," the Prime Minister said.

Deputy Prime Minitser Julia Gillard is also in agreement on imposing on a 40 per cent tax on mining profits since multinational resource firms such as BHP Billiton and Rio Tinto only pay a tax rate of 13 per cent.

Still, the mining industry continue to fight these claims. The Minerals Councils of Australia said Australia will be rated as the highest tax rate in the world at 58 per cent on mining firms once the new levy blends with the current state-based royalty payments.

Andrew Forrest, a West Australian mining tycoon, argued the tax is punishing companies on the mining tax.

It was announced earlier last week that Fortescue Metals, which Mr. Forrest operates, have canceled two of its multi-billion dollar iron ore projects due to the proposed mining tax.

Mr. Forrest said the mining industry, which has saved the State from the global financial crisis, will no longer do the same thing in the future once the proposed tax will take effect.