Saudi Aramco Acquires Stake in HORSE Powertrain Ltd. to Drive Down Transport Emissions
Saudi Aramco, the energy giant, has successfully completed the acquisition of a 10 percent stake in HORSE Powertrain Ltd., a move aimed at advancing hybrid combustion technologies to reduce transport emissions. This significant deal, valued at €7.4 billion ($7.7 billion), came after the signing of definitive agreements on June 28 and obtaining necessary regulatory approvals.
Collaboration for Lower-Carbon Mobility Solutions
Renault Group and Geely, through Geely Holding and Geely Auto, maintain 45 percent stakes each in HORSE Powertrain. This strategic collaboration will capitalize on Aramco’s expertise in synthetic fuels and lower-carbon mobility solutions, aligning with HORSE Powertrain’s goal of becoming a premier Tier 1 powertrain supplier.
Aramco’s Strategic Investment
Aramco’s investment in HORSE Powertrain is geared towards supporting ongoing research and development in lower-emission technologies. Ahmad Al-Khowaiter, Aramco’s executive vice president of technology and innovation, emphasized the importance of addressing transport emissions through innovative approaches and solutions tailored to different global markets.
Operational Synergies and Future Innovations
HORSE Powertrain, in collaboration with Aramco and Valvoline Global Operations, will focus on enhancing internal combustion engine technology, alternative fuels, and lubricants. This partnership aims to accelerate the development of next-generation ICE and hybrid powertrains, leveraging the expertise of all parties involved.
Commitment to Sustainable Energy Transitions
This strategic alliance reinforces Aramco’s commitment to sustainable energy transitions and highlights HORSE Powertrain’s pivotal role in shaping next-generation powertrain solutions. Aramco’s recent global partnerships, including collaborations with China’s Rongsheng Petrochemical Co. and Vietnam Oil and Gas Group, underscore the company’s dedication to driving value and innovation in the energy sector.