An Australian woman allegedly caught with three kilogrammes of heroin at Malaysia's international airport will not face a possible death sentence, reports said today.

Because Gordana Paresanovic, 46, was detained while in transit from Vienna to Sydney, she was charged with possession of drugs rather than trafficking, which carries a mandatory death sentence in Malaysia.

If found guilty on the lesser charge she faces a fine of up to RM20,000 and a maximum of five years in jail.

"She is certainly a lucky woman," her lawyer Karpal Singh was quoted as saying by the Sun daily after Paresanovic was charged yesterday.

She was not required to enter a plea.

Appeared downcast

Paresanovic, who was allegedly found with the drugs hidden in her corset when she was arrested here on Feb 27, appeared downcast as she was brought to court.

The Yugoslav-born woman emigrated to Australia some eight years ago and lives in Melbourne.

Relations between Malaysia and Australia were strained in 1986 when two Australian men were hanged for drug trafficking.