Aramco has signed an agreement (LoI) to become an aspiring minority shareholder in a new company for powertrain technology (PWT) that will be operated through Geely along with Renault Group. The new company will focus on combustion technologies and a hybrid powertrain.

The investment by Aramco will help the business grow and progress crucial Research and Development (R&D) projects that involve the latest hydrogen technology. It is expected that Greely and Renault Group will each have an equal portion of the independent company’s shares.

The proposed company is planned to be a distinct global company with a total capacity of more than 5 million hybrid, internal combustion, and plug-in hybrid engines and transmissions annually, serving more than 130 nations and areas. It will operate an extensive global network of 17 powertrain factories and five research and development centers across three continents. Mohammed Y. Al Qahtani, Aramco Executive Vice President of Downstream, stated: “This letter of intent is a significant stage in our ongoing dedication to the advancement of transportation technology and offers a way to aid Aramco’s efforts to research and develop engine development. Our collaboration with Geely and Renault will aid in developing powertrains throughout the automotive industry. It also will align with our overall activities across the globe.”