Aliens vs Predator was banned for showing close-ups of human characters experiencing "explicit decapitation and dismemberment" as well as "stabbing through the chest, throat, mouth or eyes," according to a copy of the Board's report published on GameArena.com.au.
"Characters can be stabbed with a Predator's wrist blade or an Alien's tail in depictions reminiscent of impalement," the report says, adding that players can combine explicit violent moves, such as decapitation or eye-gouging.
Similar actions are depicted in the movie series that inspired the game, with none of the films rated above MA15+.
Previous Alien vs Predator games – released by other developers and publishers – have been rated M and MA15+.
Rebellion Developments said it was "disappointed" by the ban, but remained defiant.
"The authorities had no choice (...) we agree strongly that our game is not suitable for game players who are not adults," the company said.
"The content of AvP is based on some of the most innovative and iconic horror movies, and as such we wanted to create a title that was true to the source."
"It is for adults, and it is bloody and frightening, that was our intent."
Previously banned games, such as Fallout 3 and Left 4 Dead 2, have been edited for local release.
