Our spies have captured a masked prototype of the Alfa Romeo Milano, previously known as the 149, running tests at the Nurburgring race track in Germany. The Golf-sized premium hatchback will replace the aging 147 that has been around since 2000 having received a mid-life facelift in 2004. Rivaling the likes of the Audi A3 and BMW 1-Series hatch, the Milano uses the Fiat Group’s new C-Evo medium car platform that is said to underpin an array of future Chrysler Group models.

The extensive cladding on the prototype cannot hide the familiar styling traits from Alfa Romeo’s latest generation models and especially the curvalicious front end with the circular headlamps inspired from the MiTo and the 8C Competizione.

The spy photos suggest that the Milano will get a steeply raked roofline and a more unique treatment for the rear-end, though expect to see circular LED tail-lamps similar in design to the ones found on the MiTo.

When the Milano begins to arrive at Alfa Romeo’s European dealerships sometime in the second half of 2010, the five-door hatchback will most likely be offered with the Fiat Group’s 1.4-liter and 1.75-liter turbocharged four-cylinder petrol engines producing between 120HP and 200HP+. The range will also include a variety of turbo diesels.

Expect to see Alfa releasing sportier Ti variants with cosmetic and suspension upgrades while rumor has it that the Italians are also considering a range-topping GTA model, though we must point out that the same was said about the 159 and Alfa has yet to reveal its S4 challenger.

The official presentation of the Milano could take place as early as the Frankfurt Motor Show in September, but chances are that Alfa will probably wait for the Geneva Show in March 2010. It remains to be seen if the Alfa Romeo Milano makes its way to the States after the Fiat Group’s tie up with Chrysler.