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Bentley has fitted a prototype Arnage with with a version of the Bugatti Veyron’s 987bhp quad-turbo W16 engine, a new report finds. Franz-Josef Paefgen — who heads Bentley and is president of Bugatti — is believed to be pushing for the development of the prototype.

According to AutoCar, it remains unclear if the prototype will ever make it to production or is merely a show car. If it does make it to production, look for the engine to be detuned to increase its streetability.

Currently, the Arnage uses a 6.75-liter V8 that makes 500 horsepower.

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For ten years now the Arnage has been the four-door flagship over at Bentley, but it’s time is quickly coming to an end. To celebrate the end of an era, Bentley is building 150 “Final Series” models which will take the best of the Arnage T and R models, to deliver unprecedented luxury and performance. Bentley also plans to add a dash of excitement with some styling cues taken from the new Brooklands coupe.

Exterior styling will only be changed slightly with body colored headlamp bezels, blacked-out grilles, 10-inch wheels and dual exhaust pipes. The Final Series model will, however, feature a retractable “Flying B” ornament and will have plenty of “Final Series” badges.

Inside, the vehicle also remains mostly unchanged but receives some gimmicky touches, including a “Final Series” flask and shot glasses, as well as four umbrellas. Proving that even a car with as much old-world charm as an Arnage can also be technologically sophisticated, the Final Series will come with an iPod interface and an optional 1100 watt 10-speaker sound system.

The Arnage Final Series will make use of Bentley’s famous 6.75-liter twin-turbo V-8 engine, which in this vehicle will produce a reasonable 500 hp at 4200 rpm and an outrageous 738 ft-lbs of torque at just 3200 rpm! Mated to a six speed automatic ZF gearbox, this is enough motivation to launch the 5,700 lb sedan to 60 mph in 5.2 seconds, to 100 mph in 12.1 seconds and to a top seed of 179 mph.

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Today's Arnage is showing its age against modern ultra-luxury rivals like the Rolls Royce Phantom and Maybach saloons, but testing of a new model is well underway. Despite the head-start of its rivals, Bentley is planning to pause almost a full year from this September before going into production of its next-gen, up-scale Arnage replacement, which has been partially revealed today in teaser form.

The all-new model is expected to be more expensive than the current Arnage, and some sources speculate the car might be pitched at a higher position. This would make it a direct challenger to the Rolls-Royce Phantom, at a time when a new Rolls-Royce Ghost is preparing to take on the Bentley Continental Flying Spur.

A spokesman would only confirm that "the price will reflect the exclusivity and positioning of this all-new model," and that the name of the vehicle will be announced at its unveiling this summer. Expect to see the car debut at Augusts’ Pebble Beach Concours d'Elegance.

Under the code name “Project Kimberly”, the new model will be based off a heavily revised version of Audi’s modular platform used for a host of models ranging from the A4 sedan up to the next A8 flagship. However, the Bentley will feature its own unique V8 powertrain with drive sent to the rear wheels via ZF’s new 8-speed automatic. It's likely the new V8 will feature some form of forced induction, but whether it will be supercharged, twin-turbocharged or something similar remains uncertain.

There were rumors Bentley may introduce a new diesel engine in its Arnage replacement but the eventual engine option is most likely to be a petrol unit with E85 capability. The car is also expected to make heavy use of aluminum in its construction to keep weight and emissions down.

A high-performance replacement for the Arnage T is also in the works, but don’t expect it to feature the Bugatti Veyron’s W16 engine as previously rumored. Expect Bentley's strategy with the Arnage - in terms of parts-sharing, at least - to follow along the same premises as it has already outlined for the next-gen Continental.

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