Goulburn Ghost Tours recently added the night visits to the Belanglo State Forest, where killer Ivan Milat disposed of the bodies of young travellers more than 20 years ago.

The extreme terror tour southwest of Sydney, has been cancelled permanently due to national and international backlash. The company has received a considerable amount of hate mail and emails.

"From here on in, we will not be running Belanglo tours," tour manager, Louise Edwards told Channel Ten's the Project.

On reflection she said the marketing of the extreme terror tour, which included lines such as "Once you enter Belanglo State Forest you may never come out", was not acceptable.

Milat is serving successive life sentences for the murders of seven backpackers which horrified Australia.

Milat was convicted following sensational evidence from Paul Onions, a British hitchhiker who escaped death in 1990 by jumping out of Milat's vehicle when he pulled a gun on him.