Reports in the German media that Opel will produce the Peugeot 508 and Citroen DS5 models in Germany have been dismissed by PSA.

But, there's no smoke without fire and it seems that a confidential internal document from Opel is reported as saying that two variants of the DS5 will be built at its Ruesselsheim plant in 2015, to be followed by output of the 508 starting in 2016.

Although talks are advanced it has been declared that nothing has been concluded since the talks are ongoing and at this stage any reports that Opel will make the 508 and DS5 in Germany is purely speculative.

However, a spokeswoman for the French giant has admitted that working committees from both companies were in talks about how PSA and Opel will share resources and that those talks should conclude before the end of the year.

An Opel spokesman described the contents of the document on which the report was based as "a rough mixture of speculation and untruths."

GM earlier this year agreed to purchase a 7 percent stake in PSA and to form an alliance with the French carmaker to share logistic, purchasing and engineering resources.

The French government won't be happy as they have already publicly criticized PSA's plans to cut 8,000 jobs in France and to close its car plant in Aulnay-sous-Bois, near Paris.