TALLINN, March 28, 2008 (AFP) - The mayors of Tallinn and Helsinki said Friday they want to construct a railway tunnel under the Baltic Sea between their cities.

A statement from Tallinn city hall said Edgar Savisaar and his opposite number from Helsinki, Jussi Pajunen, had signed a deal on a feasibility study, allocating 100,000 euros (160,000 dollars) each.

Savisaar told reporters the year-long study would cost 500,000-800,000 euros and they would ask the European Union to provide the rest of the money for the study.

Tallinn is an 80-kilometre (50-mile) ferry ride from Helsinki.

The European Union is keen to improve rail links in the Baltic region to strengthen trade and travel ties with the rest of the 27-nation bloc as well as neighbours including Russia.

It was not immediately clear what the expected cost of the final tunnel project could be.

Finns make up the biggest share of visitors to Estonia, whose ports see around nine million people crossing the Baltic every year.