Porsche has been selling a diesel version of its Cayenne SUV for several years now, so the idea of an oil-burner from the legendary sports car company from Stuttgart is nothing new. However, what’s certainly ground-breaking for Porsche is the launch of a new model that can cover more than 745 miles on a single tank of fuel.

That’s right. The all-new Porsche Panamera Diesel, which goes on sale in Europe this August has a fuel economy of 37.3 mpg for the European combined cycle, when equipped with low rolling resistance tires, and a correspondingly low emissions rating of 0.57 pounds of C02 per mile. Switch to standard tires and you’re still looking at an impressive 36 mpg.

Despite its frugal nature, the Panamera Diesel still delivers a healthy 250 horsepower and 406 pound-feet of torque from its 3.0-liter V-6. Married to the highly efficient eight-speed Tiptronic S automatic transmission, the common-rail turbodiesel engine will accelerate the big Porsche sedan from 0-62 mph in 6.8 seconds and see it reach an electronically controlled top speed of 150 mph.

For now, rear-wheel drive is the only drive layout option. Other features include adaptive air suspension (regular steel springs come as standard), as well as “diesel” lettering on the front doors and trunk lid.

No word on any plans for launch in the U.S. but for green Porsche fans, the 2012 Panamera S Hybrid sports a 33 mpg fuel economy for the European combined cycle and goes on sale this year locally priced from $95,000.