Sydney to evaluate F1 chance

The study, reported to be worth $350,000 by the Australian media, is aimed at determining if the current venue can be brought up to Formula One standards.

The study, carried out by Apex Circuit Design Ltd, will be completed later this year.

Melbourne's Albert Park circuit currently hosts the Australian race, but its contract is due to expire at the end of 2010 and Formula One boss Bernie Ecclestone has threatened not to renew the deal unless the race takes place at night.

Melbourne officials have made it clear they are not ready to host a night race due to the high costs.

Australian Racing Drivers' Club president John Cotter said the study was "an essential first step in plans to ensure Australia remained relevant in world motorsport.

"Strong competition from emerging nations to secure major motorsport events threaten to marginalise Australia, with a resulting loss in status and tourism potential.

"Equally, there is a real need to ensure that Sydney is well serviced with a motoring and motorsports complex to meet local needs, including driver education, track days and motor industry development requirements.

"The impending closure of Oran Park Raceway in Sydney's south-west will leave the Sydney basin with only Eastern Creek Raceway, and its use is already at near full capacity," Cotter told The Australian newspaper.

Eastern Creek, built in 1990, has hosted rounds of the motorcycling world championship, A1GP, V8 Supercars and the Australian Superbike Championship.