All-wheel-drive edition also introduces clever engine tech.

ALL-paw has been announced as an option for the baby of BMW’s M family.

Those buying into the compact M2 coupe in its four-wheel-drive configuration also get to sample an under-bonnet innovation that promises to significantly reduce fuel consumption and emission when the engine is being pushed to the limits.

The new all-wheel-drive option has yet to be priced for New Zealand, but announced for regional availability today, with on sale from around October.

The car is effectively employing same 'M xDrive' system used in the M3 and M4, though tuned to suit the characteristics and proportions of the smaller M2.

There appears to be nothing visible to tell the M xDrive M2 apart from the rear-drive one, not even a badge on the back, so it’ll all come down to the driving feel.

In regard to that, there is a bit of weight penalty; at 1790kg what’s been designated the M2 M xDrive is 60kg heavier than the standard rear-drive car when fitted with the same eight-speed M Steptronic transmission.

However, despite that, the all-wheel-drive variant is quicker accelerating thanks to the improved traction. BMW M quotes a 0-100kmh time of 3.7 seconds, versus 4.0 seconds dead for the rear-drive version with the auto.

All-wheel-drive doesn’t have to be all the time. Within the driving settings, there’s ability to not just turn off the dynamic stability control but also select "2WD” mode.

Even when the front wheels are delivering grip, BMW M promises that it's a rear-biased system at all times regardless.

BMW's twin-turbocharged 3.0-litre straight-six petrol engine, produces the usual 353kW and 600Nm of torque, but it’s a new version, with what’s called BMW M Ignite.

This provisions a redesigned cylinder head with pre-chambers for each cylinder featuring a second spark plug. This setup allows for a lower exhaust gas temperature under certain conditions and hence a higher compression ratio.

The tech specs for the M2 M xDrive, for example, show a compression ratio of 10.5:1, while this engine's figure was 9.3:1 before the addition of the M Ignite tech.

And while the existing engines this feature will be fitted to don't get power or torque increases, we did notice that the M2's maximum torque is now available from a lower engine speed than before - 2200rpm versus 2650rpm. That could also be due to the new variable-geometry turbochargers of course.

BMW has cited the usefulness of this new technology when it comes to meeting forthcoming 'Euro 7' legislation.

The variant’s announcement has brought introduction of a new colour, 'Individual Borusan Turkish Blue', seen today. But that’s not specific to the AWD car. It can be had on the rear-drive version as well.