Despite speculation that the organizers of the Malaysia Grand Prix have become somewhat disillusioned with Formula One, what with relatively poor ticket sales and the likelihood of Singapore hosting a race, Sepang Chairman Datuk Mokhzani Mahathir is adamant that his country will remain on the schedule and that the Malaysian government is fully behind the Grand Prix.

"We met Bernie Ecclestone recently to convey this message from the government," Mokhzani told The Star. "We have had a preliminary discussion. I do not know his answer yet but if the terms of the extension are agreeable with us, we are ready."

In January, Pitpass reported that despite Ecclestone's talks with Singapore, Malaysian Prime Minister Datuk Seri Abdullah Haji Ahmad Badawi remained a supporter of the Grand Prix, feeling that it is beneficial to his country.

"It has always been a key tool for the Government in enhancing the country's image and in the promotion of Malaysia as a leading international tourist destination," he said at the time. "Moreover, Formula One has also done much in terms of developing motorsports in the country.

"To put things into perspective," he added, "an average of 40,000 international fans - in addition to tens of thousands local fans - have come to the Sepang circuit each year since its inception to catch the Malaysian round of the Formula One World Championship. Some 600 million more viewed it live via television broadcasts," he added. "Effectively, that makes the Malaysian GP as the single biggest event to showcase Malaysia to the international audience and to attract foreign tourists."

The current deal ends in 2010 and with the backing of the government it is expected that talks will begin later in the year to extend the deal.

This year, in addition to the Grand Prix, the second round of the 2007 season, Sepang will host a three-day test which will see a majority of the teams in action.