Craig Pollock's PURE engine company is considering an approach to Peugeot to take over its engine development facilities after the announcement that the French manufacturer is to end its sportscar programme.

Peugeot confirmed on Wednesday that it wouldn't compete in the new World Endurance Championship or at Le Mans this season, citing the current economic situation as the reason for its decision.

PURE, which is developing a new engine that could be used in F1 from 2014 onwards, is now reported to be looking at the Peugeot facilities in Velizy-Villacoublay as a possible new base as it continues to grow.

"We are growing out of the facilities that we have at the moment, which are close to Paris," Pollock told GPUpdate.net. "We have been anywhere between 22 to 50 design engineers. Now we are looking for our own design and development offices. We are looking at three areas: France, Switzerland and Germany. We have already decided that we will be basing part of our team out of Cologne and using the Toyota Formula 1 test benches because they are the best in the world, there's just no question about it.

"On the other hand, there has been the news of Peugeot pulling out - and we were fairly inside that this might happen. They are around the Paris area with facilities, offices and test benches; not of the quality necessary for a Formula 1 engine, but it wouldn't take too much to convert it into a Formula 1 test bench. It would potentially be the cheapest way going forward.

"With the Toyota test bench in Cologne the contracts are all done, so that is where we are heading at the moment, but we have to seriously study the Peugeot situation because they are already based out of the Paris area; if we think that is the right way to go we will contact them, but there has been no contact with them as yet."

Pollock added that PURE would continue to monitor the situation with Peugeot because of the number of people who may now be looking for work who could add to the programme.

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