Loremo hasn't even begun producing the diesel-powered super-efficient vehicle, but the company's already touting the next step in development: an electric-powered car.

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German company Loremo AG plans to use the first actually driveable prototype of its much over-hyped Loremo LS super fuel-efficient car as an entry to the recently announced Automotive X-Prize competition.

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The German start-up Loremo AG has managed to sell 26 per cent of its stake to Malaysian Kosmo Motors company, says I4U News. The share, valued at about two million euro, will be delivered in exchange for Kosmo's technological expertise and investment needed to put the concept car into production.

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German start-up Loremo AG presented its super-efficient Loremo LS coupe that costs only 11,000 Euro and features a mind-blowing 157MPG mileage. That's 1.5l per 100km. So, the car is about two times cheaper and three times more fuel-efficient than Toyota Prius hybrid that costs $26,000 and runs only 55 miles on one gallon of gasoline.

The secret is quite simple. The new Loremo LS, which is scheduled for production in 2009, weighs only 450 kilograms (that's about 990 pounds) and is powered by a tiny 20hp 2-cylinder turbodiesel mated with a 5-speed manual transmission. The diesel is powerful enough to provide the car with 160 km/h top speed and it takes about 20 second to accelerate Loremo LS from zero to 100 km/h. Too slow for you? Well, Loremo AG plans to make a sister car, Loremo GT, that will satisfy your need for speed.

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