|
Initial Order in $68 Million Contract Continues Share Rise for Electric Car Maker
By: AllPennyStocks.com News
December 6, 2011
The electric car industry continues to keep the rubber on the road and gain traction, albeit not as fast as many would like to see go. Nonetheless, technological advances take time and the green movement toward alternative energy/fuel cars is earning its keep steadily. While only approximately 20,000 electric vehicles will be sold in 2011, the fact remains that they still are the latest flavor and expected to experience exponential growth in the mid-term.
There’s the Nissan Leaf and many others that receive regular acclaim, such as Tesla’s roadster which boasts a wicked speed of 0-60 in 2.9 seconds, but the still-low sales figures represents a significant market penetration opportunity for small electric car makers such as Li-ion Motors Corp. (OTCBB:LMCO). The Las Vegas, Nevada-based firm can lay claims to solid industry recognition for the prowess of its vehicles as it was the winner of the 2010 X Prize using 21st Century Design & Engineering of emission-free, all electric high speed long range automotive propulsion systems using the latest lithium-ion battery technology. Duking it out with Tesla’s roadster, Li-ion’s electric Inizio can scream down the track as well, going 0-60 in just over three seconds while hitting a peak speed of 170 miles per hour.
Li-ion is expanding its marketing efforts as it has set its course for manufacturing, branding and sales in 2012. Wending way for its global marketing initiatives, the company recently announced the appointment of Edmond Yu as their Director of Business Development China, Li-ion’s first management member from Asia.
Companies can’t grow without cash, though, and Li-ion has taken a strong step forward in that area as well. Today, news hit the streets that Li-ion has entered into a Letter of Intent (LOI) to convert 1,000 Vehicles from Gas to All Lithium Electric, delivering a range of 120 miles, while reaching highway speeds. These vehicles will then be shipped to Israel. This project is right in Li-ion’s wheelhouse as the company has already performed similar conversions to many vehicles, including the Pontiac Vibe, PT Cruiser, Mini Cooper and more. Initially, the conversion of two Ford Explorers will be performed within the next four months. Upon successful completion of that project, production will begin on the remaining vehicles. Overall, the project is valued at a staggering $68 million.
Investors are apparently loving the news today as it represents the type of material event that can certainly bolster Li-ion’s tiny $5 million market cap. Shares have been on a sharp climb for the last two weeks; climbing from just over a nickel to 15 cents. Today’s news resulted in another incline for the value of a share of LMCO. With 118,500 shares changing hands in trading, shares rose 41.84 percent to close the day at 16 cents.
Copyright © 2011 AllPennyStocks.com. All rights reserved. Republication or redistribution of AllPennyStocks.com's content is expressly prohibited without the prior written consent of AllPennyStocks.com. AllPennyStocks.com shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.
|
