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As Jaguar celebrates 60 years of the XK nameplate, it’s engineers are working hard on a diesel version of the popular model.

Jaguar has previously denied that it will offer a diesel version of the XK coupe and convertible but sources say that the current economic situation has forced it to rethink its model lineup. Not to mention the success of the 635d has opened their eyes as well.

According to AutoCar, power will come from an uprated 3.0 liter twin-turbo version of the 2.7 V6 currently used in other Jaguar models. Output is expected to come in at 250-hp which should allow the XK to return a fuel-economy of over...

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Jaguar XK diesel on the way

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