We’ve already reported on possible plans for a hotted-up Mercedes-Benz A-Class from AMG but now we have new information suggesting that the premium compact hatch could be producing as much as 320 horsepower from a highly tuned four-cylinder turbo.

With the new 2012 BMW 1-Series M Coupe coming with 335 horsepower, and even the standard 135i models packing 300 horsepower, both Mercedes-Benz and AMG are going to need to bring something to the table. However, while BMW relies on turbocharged six-cylinder engines with at least 3.0-liters of displacement, Mercedes-Benz is reportedly going with a highly charged 2.0-liter four-cylinder turbo.

The information was revealed by AMG boss Ola Kaellenius during a recent interview with Autocar. He also revealed that hotter versions of the new 2012 Mercedes-Benz A-Class will feature all-wheel drive and are due to go on sale in September of 2012.

AMG engineers were originally planning to use a more complicated electrically-driven turbocharger from Swiss firm Hyprex, however, a more conventional exhaust-driven system has apparently been selected due to cost and reliability constraints. A concept version of the new hot-hatch, which is expected to go by the name A25 AMG, will reportedly be unveiled at next year’s Shanghai Auto Show.

The story doesn’t end there as Kaellenius has previously revealed that there will also be hotted-up AMG versions of the new-generation B-Class as well, and this latter version is expected to come to the U.S.

[Autocar]