A Greenway could be developed along the old Ballybay to Castleblayney railway line.
Councillors in the Carrickmacross-Castleblayney MD approved plans to support a scoping study by the Ballybay-Clones MD.
The two areas will share the cost of funding the initial inquiry, which would see if the project is feasible.
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If found to be a viable option, the results of the study would then be used as part of an application for funding to develop it.
This comes as a 4.5 million in funding was announced this week to progress works at greenways across the country.
