The Australian Army was prepared to storm the Lindt Cafe during the 16-hour Sydney siege and spent six hours preparing in a replica of the building, a new report alleges.

According to News Corp, a mock cafe was erected on Sydney’s Holsworthy Army Barracks within hours of gunman Man Haron Monis taking hostages.

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Commandos created different strategies and worked out how to penetrate the building from different angles, liaising with New South Wales police.

“Both organisations worked together,” a senior police officer told News Corp.

“The army did not set up the exercise in isolation. It was with the knowledge and help of NSW police.”

The revelations come after siege hostage Marcia Mikhael accused police of bungling the operation, saying the army would have been “more appropriate” to handle the situation.

A report into the siege and its handling by authorities will be released as part of an inquest at the end of the month.