The new engine, code-named P60, was mated to a six-speed sequential gearbox. With the mandatory intake restrictors in place, it produced around 500 hp according to BMW. This was an all-aluminium unit, featuring a 90° bank angle and displacing just under four litres.
Instead, the BMW Motorsport engineers decided to create a compact and lightweight V8 engine from scratch to power the new M3 GTR. Experience with previous M3 competition cars, however, had revealed that the straight six used in the M3 road car would not provide a suitable basis for a competitive racing engine, despite working so well in the road car.
To underline the sporting credentials of the newly introduced E46 series M3, BMW created a new competition version to compete in the American Le Mans Series (ALMS) from the start of the 2001 season.
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