Saudi Aramco partners with Renault and Geely for thermal engines venture

Saudi Aramco, a leading energy company, has made a significant investment in a joint venture focused on thermal engines alongside renowned automakers Renault and Geely. The venture, named Horse Powertrain, is valued at €7.40 billion ($7.93 billion) and will specialize in providing gasoline engines, hybrid systems, and gearboxes for traditional vehicles.

The partnership, with Geely and Renault each owning around 45 percent of the venture, aims to drive innovation in combustion-engine and hybrid technologies. Renault's CEO, Luca de Meo, has expressed great excitement about the collaboration, referring to the team as a 'dream team' poised to revolutionize the automotive industry.

This strategic move by Aramco comes at a time when the automotive sector is transitioning towards electric vehicles. By investing in the development of efficient and lower-carbon emission internal combustion engines, Aramco seeks to support traditional automakers globally. Ahmad O. Al-Khowaiter, Aramco's Executive Vice President of Technology and Innovation, emphasized the joint effort with Geely and Renault as a means to advance engine and fuel technologies, ultimately aiming to reduce transport greenhouse gas emissions.

Initially considering a 20 percent stake, Aramco eventually settled on a 10 percent share in Horse Powertrain. Leveraging its expertise in fuels and hydrogen, Aramco is set to complement Renault and Geely's initiatives in creating cutting-edge, environmentally friendly powertrain solutions. The partnership is geared towards fostering innovation in the automotive industry and contributing to carbon mitigation efforts.

The collaboration between Saudi Aramco, Renault, and Geely in the thermal engine joint venture marks a significant step towards sustainable transportation solutions. By combining their expertise and resources, the companies aim to drive progress in engine technologies and reduce carbon emissions in the automotive sector. This partnership not only signifies a commitment to innovation but also underscores the importance of environmental responsibility in shaping the future of mobility.