Brazilian compact cars that can run on 100 percent ethanol could soon be arriving in the U.S.
Automotoveiculos S.A says it is "close to securing medium and long-term project financing" to build 50,000 Obvio compacts per year. Zap, a California company that distributes electric and compact gas vehicles, ordered the cars and purportedly has arranged for a $700 million to finance the deal. Zap says it will have cars Obvios available by the end of 2007.
I'm a tad skeptical because ordinarily companies wait until a deal is completed before sending out press releases. Also, in 2005, Anuvu received an $11 million order from Zap for fuel cells for hydrogen cars, but that order never materialized, and Anuvu is no more.
