The southern hemisphere-based tournament was only expanded this year to 18 teams with the addition of new sides from Argentina, Japan and South Africa.

But the report said new models were already being investigated, with one option being to drop two teams, one each from Australia and South Africa.

Another proposal would see South Africa losing two teams while yet another model involves expanding the tournament, as officials tinker with ways to improve the geographically-stretched competition.

The review for governing body SANZAAR, which is being conducted by consultants Accenture, is still some months from settling on a preferred structure, Fairfax Media said.

It said Accenture have completed a consultation process with 28 stakeholders, including the 18 current teams, the national unions from Australia, New Zealand, South Africa, Argentina and Japan, plus the host broadcaster from each country.

“Sources close to the discussions stressed that a number of different models were being discussed,” the newspaper said.

“But Fairfax Media understands the Australian Rugby Union board spent time at its meeting last week discussing the possibility that the preferred structure would require Australia to surrender one of its Super Rugby licences in time for the 2018 season.”

Fairfax Media said the SANZAAR board, which comprises the chief executives and chairmans of the joint venture partners Australia, New Zealand, South Africa and Argentina, hopes to see a recommended model over the comming months, with a final structure and timeline agreed by the end of this year.

“Such a model… would return the tournament to a more workable 16-team, four-conference format,” it said.

Fairfax Media said the Perth-based Western Force or the Melbourne Rebels would most likely to be in the firing line as the Australian franchise to be dumped.

“It’s all speculation at present. We are in middle of the SANZAAR strategic plan review process with Accenture,” a SANZAAR spokesman told AFP Friday.

“As publicly stated the 10-year review is looking at all options in terms of tournament formats, commercial opportunities and governance.”

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