Saudi Aramco, one of the world’s leading oil producers and ranked in the top three of the world’s largest companies, could be joining forces with Renault of France and Geely of China to continue development of petrol and diesel engines, as well as hybrid technology. According to an overseas report, Aramco is close to taking a 20% stake in a joint venture with the two car makers, which would each have 40% of the deal.
This potential partnership comes after Aramco announced a partnership with South Korean car-maker Hyundai last year, to study advanced e-fuels for ultra-efficient engines. Now, advanced negotiations are reportedly underway for Aramco to take a stake in a previously announced, but un-named, Geely-Renault technology company.
In November 2022, Renault confirmed details of the technology company, but made no mention of Aramco’s involvement. The company aims to become a leader in next-generation hybrid and highly efficient powertrain solutions to meet worldwide demand. It plans to operate 17 powertrain plants in three continents, employing around 19,000 people in total. The company will have a combined capacity of over five million internal combustion (petrol and diesel), hybrid and plug-in hybrid engines and transmissions per year, supplying over 130 countries and regions.
At launch, the new company is expected to supply multiple industrial customers including Renault, Dacia, Geely Auto, Volvo Cars, Lynk & Co, Proton, and also Nissan and Mitsubishi Motors Company. The joint product portfolio and regional footprint could offer solutions for 80% of the global Internal Combustion Engine market.
As of now, Renault and Geely have declined to comment on the story, and Aramco has not responded to a request for comment. However, it is reported that the joint venture, which is apparently codenamed ‘Horse’ by Renault and ‘Rubik’ by Geely, would see Aramco investing to develop de-carbonisation technology for petrol and diesel engines, as well as contributing to research into synthetic e-fuels and next-generation hydrogen technology.
