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Renault confirms deal to build natural gas engines for Iran buses

TEHRAN, Dec 14 (AFP) - French automotive giant Renault confirmed Thursday it will equip a number of Iranian buses with natural gas engines in collaboration with local partner Shahab Khodro.

It said the lower-pollution engines had passed initial testing and would go into production in early 2001 in the western city of Tabriz to outfit roughly 1,000 buses.

The deal, first reported in the press several weeks ago, "responds to the Iranian goverment's desire to promote the use of natural gas," said the company.

Iran, which holds the second-largest natural gas reserves in the world, has been seeking to reduce the pollution that has made the capital, Tehran, one of the planet's most polluted cities, much of it from vehicles.


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