Sydney wants to poach Australian GP

UPDATE (GMM) The premier of rival Australian state New South Wales has played down reports this week that Sydney might try to poach the country's grand prix from the Victorian capital Melbourne.

Despite saying on Tuesday that "nothing will be ruled out" by the new $85 million major events corporation, premier Morris Iemma clarified less than 24 hours later: "We have no ambitions for the (GP)."

Melbourne's current formula one contract runs until 2010.

06/26/07 (GMM) A rival Australian state has set its sights on poaching the grand prix from Melbourne.

New South Wales, Australia's most populous state and home of the famous city Sydney, wants to host both F1 and MotoGP, whose Phillip Island round is also currently staged in the capital of rival state Victoria.

Domestic newspapers on Tuesday revealed that a new major events corporation – with a budget of $85 million – has been set up by the NSW government, while talks have already taken place with F1 boss Bernie Ecclestone.

A spokesman for NSW premier Morris Iemma said: "We will be competing for events right across the spectrum, regardless of where they are held, and nothing will be ruled out."

Victoria's tourism minister Tim Holding reacted to the news by insisting that Melbourne wants to retain the events, despite rumors in recent months that they were becoming too expensive.

And he added: "Sydney has a way to go — they have some learning to do."

Melbourne's current grand prix contract runs until 2010.