STUTTGART, BADEN-WÜRTTEMBERG, GERMANY – Mercedes-Benz’s AMG division said it will look to diesel fuel to power a number of its high-performance rides in three years, according AMG head Volker Mornhinweg. The first model reportedly in line to get an oil-burning AMG powertrain is likely to be a smaller, more efficient C-Class sedan, according to http://wot.motortrend.com.

According to Autocar, AMG wants to revitalize its legendary “Hammer” moniker with its new diesel. The “Hammer” was the brand’s ultimate sleeper of the early 1990s, based on a W124 chassis. But rather than build a large diesel sedan or coupe, AMG likely will choose the current C230 as its new “Super Hammer” due out in 2011. The move to include more diesel-powered models is part of its upcoming greener outlook to implement cleaner, more fuel-efficient technologies into its vehicles.

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