No solid evidence of Lithgow panther

It may be part of local folklore but there's no conclusive evidence of a large black cat prowling Sydney's western outskirts, a NSW government report says.

However, the Department of Primary Industries report recommends that evidence of any future sightings should still be collected.

It also suggests a whole-of-government taskforce be formed should any compelling evidence emerge.

However, Fairfax Community Newspapers reports the release of three pages of findings is a "watered down" version.

A 24-page report is said to recommend the government erect warning signs about the potential existence of the animals, or conduct education sessions at local schools.

Sighting of big cats - dubbed either the Penrith Panther or Lithgow Panther - have been part of local folklore in Sydney's west and the Blue Mountains for decades.

Rumours persist the big cats escaped from private zoos or a circus in the area years ago, and even the local NRL club is called the Penrith Panthers.

Renewed state government interest in the possible existence of the cat was sparked last year when NSW Premier Nathan Rees said he no longer believed the reports were an urban myth.

"There are too many people reporting sightings," he said last September, only weeks after becoming premier.

"Of particular concern is if there are little kids out there, and there actually is one of these things.

"It is easy for all of us to dismiss these things ... but if we're actually wrong then there is an altogether different set of scenarios."

Mr Rees was refusing to talk about the panther's existence following the report's release on Wednesday.

While many people believe it is some type of exotic cat, possibly a panther, cougar or leopard, myth busters say they are nothing but large feral cats with thick winter coats.

The creatures are said to roam from Penrith to the Hawkesbury region in Sydney's northwest, along the Nepean River and across the Blue Mountains to Lithgow.

Believers say the big cats have been able to survive by roaming the three large national parks - Kanangra-Boyd, Blue Mountains and Wollemi - which connect across the mountains.