Khaleej Times, Saturday, Mar 04, 2023 | Sha'ban 12, 1444
Saudi Aramco inks deal to invest in Geely-Renault engines venture
Saudi Arabia:
Oil giant Saudi Aramco is preparing to join carmakers Geely and Renault in a new
joint venture in hybrid and internal-combustion vehicles, the three firms said
Thursday.
Aramco has signed a letter of intent “to become a potential minority
stakeholder” in the subsidiary, the joint statement said.
French automaker Renault said in November it was teaming up with China’s Geely
to develop and produce engines, gearboxes and other components for hybrid,
petrol and diesel vehicles.
ThThe 50-50 partnership called “Horse” was announced as part of a sweeping
overhaul at Renault as it expands its electric vehicle business.
Aramco’s investment will “contribute to key research and development across
synthetic fuels solutions and next-gen hydrogen technologies”, according to the
statement.
Renault chief executive Luca de Meo said the Aramco partnership would give the
joint venture “a head start in the race towards ultra-low-emissions ICE
(internal-combustion engine) powertrain technology”.
“Aramco’s entry brings to the table unique know-how that will help develop
breakthrough innovations in the fields of synthetic fuels and hydrogen,” de Meo
said in the statement.
The new “Horse” subsidiary will have 19,000 employees in Europe, China and South
America, with 17 factories and five shared research and development centres.