Association to explore Sydney grand prix option

BRISBANE, Australia (Reuters) - A leading Australian motor racing association will investigate whether a Sydney race track can be upgraded to host a Formula One grand prix.

The Australian Racing Drivers' Club (ARDC) said on Monday it would determine whether its Eastern Creek circuit in Sydney's western suburbs can host the domestic grand prix if Melbourne's contract is not renewed upon expiry in 2010.

Formula One supremo Bernie Ecclestone has said he wants the Melbourne race to be held under floodlights for the purposes of European television and refused to rule out a move to Sydney in a newspaper interview earlier this month.

ARDC president John Cotter told Australian Associated Press that 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," he said.

British-based Apex Circuit Design Ltd -- responsible for the redevelopment plan of Britain's Silverstone circuit and Singapore's new F1 track -- will carry out the study into Eastern Creek, which was built in 1990.