By GMM

The possibility of the Australian grand prix moving cities from Melbourne to Sydney has continued to increase.

It is reported in the domestic press on Monday that officials in Sydney, the famous capital of the state New South Wales, have commissioned a major feasibility study into whether the Eastern Creek venue - already used by the A1GP series - can be upgraded to formula one standard.

The $350,000 study, to be carried out by the well-known Apex Circuit Design, is headed by the Australian Racing Drivers Club, the managers of Eastern Creek.

The ARDC hopes to demonstrate to the NSW government that the circuit - located 35 kilometres from the city - is a viable alternative to Albert Park in Melbourne and therefore deserves funding.

Apex is behind Britain's redevelopment of Silverstone, and is also involved in F1's first ever night race this year on the streets of Singapore.

Melbourne's grand prix contract is set to expire in 2010, and F1 chief executive Bernie Ecclestone reportedly said earlier this month that Sydney "can hijack" the event over current the organisers' reluctance to stage a night race.

The Eastern Creek feasibility study will be completed later this year.