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When it was first spotted, this smaller than expected Porsche Cayenne mule was anticipated to be a new “baby” version of the popular German SUV. Now these new images and some fresh information have our spy photographers reporting that this vehicle is simply the next Cayenne, built smaller to meet changing demands in the marketplace. The search for better mpg numbers, along with the strangely buckled hood on the mule in these photos, has us wondering if the Porsche pictured isn’t the hybrid version that has been discussed.

Alternative fuel or no, we’re told that then newest Cayenne should be coming to market in the early part of 2010, beating out the next Volkswagen Touareg which shares a platform with the Porsche. Look through our gallery of spy shots above or scroll down to read the photographer’s own words.

Porsche are working hard to get the new generation Cayenne ready. First believed to be the “baby” Cayenne this is actually the new Cayenne.

To meet the markets demand of smaller and more fuel sufficient SUVs, Porsche have decided to make the Cayenne smaller and with help of diesel and hybrid engines, it will also be friendlier to our environment. Porsche boss Wendelin Wiedeking uses his power to get the Cayenne ready before Volkswagen and the Touareg II. The new Cayenne is expected to be out on the market in early 2010 and the Touareg II will follow in late 2010 or early 2011.

The prototype on these photos is just wearing some light camouflage in the front and some more around the rear, especially hiding the real rear lights.