Football Federation Australia today awarded exclusive negotiating status to the North Queensland Football Club (NQFC) in its bid to have a Townsville based team in the Hyundai A-League competition from 2009/10.

NQFC now has a month to finalise its submission to the FFA.

FFA CEO Ben Buckley said: "The decision follows a competitive process involving two applications for a Hyundai A-League license in Townsville.

“The level of interest in the Townsville region reflects the momentum behind the growth and development of the Hyundai A-League, as well as the strength of the North Queensland region.

“Queenslanders have enormous pride and spirit in their sporting teams.

“I hope the potential to have a team of their own in the Hyundai A-League will inspire all North Queenslanders to be part of this exciting opportunity.

“Participation in the Hyundai A-League not only gives North Queensland another presence in a national sporting competition but also the potential to represent the region through Asian competition.”

Buckley also expressed his appreciation to the other consortium, led by Melbourne businesswoman Milissa Fischer, for her interest in the Townsville license also.

He said: "We are very encouraged by the level of interest in the Hyundai A-League.

“Since it commenced three years ago, it has had ‘cut through’ in the busy Australian sporting landscape with average crowds, viewership, membership, media coverage and profitability trending upwards each season.

“The attractiveness of the competition is clearly reflected in the level of interest in our expansion plans.”

Buckley and his colleagues remain convinced the A-League has the capacity to be at least a 12 team competition but that everything must be considered carefully.

He said: "When and where we expand the competition is measured simply by whether it is right for football, right for the existing Hyundai A-League clubs, right for the new clubs and right for the local community.

“In the meantime, we look forward to NQFC entering the competition in 2009.”

Ahead of the announcement, the bid received a further boost with Townsville City Council agreeing to support the city's A-League quest with $3 million of bank guarantees.

A full meeting of council voted to provide the bank guarantee to North Queensland FC.

The franchise made a presentation to council on Tuesday.

Mayor Les Tyrell said council agreed to provide a bank guarantee of $1 million a year for three years.

He told the Townsville Bulletin: "They expect they will need that for a period of three years, at which point the guarantee will finish.

"If the club is successful, which I have no doubt it will be, then the full cost to council will be about $10,000 per year to service the guarantee.

"If the worst happens and the team goes belly up, then obviously we have the guarantee there and that would be paid out."