There is still oil in the future of the car: Renault and Geely in partnership with the Saudi giant Aramco
Aramco has sent a letter of intent to Geely and Renault, co-owners of the PWT division for low-emission internal combustion vehicles, to enter as a minority shareholder. All the details
The straight line that connects Hangzhou, in China, with Dhahran, in Saudi Arabia, passes through Paris, in the bizarre geography of the automotive industry, revolutionized by the energy and ecological transition underway. In fact, a joint declaration was signed in the French capital which sees the Saudi oil company Aramco (which in the motor world is already known for being the sponsor of Aston Martin Racing in Formula 1) become a minority shareholder of the new Horse company, born from the spin-off of the production of traditional and hybrid engines in which Renault itself and the Chinese Geely group are so far part.
AN OIL GIANT TO CONTINUE WITH ENDOTHERMIC ENGINES
According to the official press release, Aramco has signed a letter of intent and its investment will be used to support the company's growth and contribute to research and development activities, with particular reference to synthetic fuel-based solutions and hydrogen engines of future generation.
WHAT RENAULT, GEELY AND ARAMCO WILL DO TOGETHER
In short, Aramco gets on board the new division strongly desired by Luca de Meo which yes embraces electric mobility but also wants to give a future to traditional engines. On November 8, the CEO of the French company, in the wake of what has already been done for example by Ford , gave substance to the rumors that had been chasing each other for some time, formalizing the separation of Renault into two distinct poles.
The first, called Ampere, intended exclusively for the production of electric vehicles under the Renault brand, with a production target of one million units by 2031 and an expected annual growth of over 30% over the next eight years; the second, called Horse, fifty-fifty with the Chinese of Geely.
With the joint statement of the last few hours, Geely and the Renault Group will maintain equal shares in the new independent company, going down from 50% to 40% and thus freeing up 20% for Aramco, even if the shares have not been made official, as is still the case nothing was leaked regarding the transformation of the letter of intent into a definitive agreement.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/smartcity/ce-ancora-petrolio-nel-futuro-dellauto-renault-e-geely-in-societa-con-il-colosso-saudita-aramco/ on Fri, 03 Mar 2023 10:56:35 +0000.