With rising gas prices concerning virtually every consumer, Jaguar is reportedly working on offering a diesel motor in the XK coupe and cabriolet.
Although the automaker had said that the XK would be gas-powered only, the success of BMW's diesel-powered 635d coupe has Jaguar hoping the oil-burning sports cars will increase sales.
The new engine may be a twin-turbocharged version of the 2.7-liter VD turbodiesel V-6, currently used in the European-spec XF and XJ sedans.; The revised diesel could produce over 250 hp (an increase of 46 hp) and return more than 30 mpg. The new variant would be offered only in Europe.