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Auburn Hills firm FEV Inc. develops plug-in hybrid SUV

Auburn Hills-based engineering company FEV Inc. is working with a Utah firm to develop a full-size plug-in hybrid electric sport-utility vehicle capable of driving up to 40 miles in electric-only mode within three years.

Provo, Utah-based Raser Technologies Inc. [NYSE:RZ] describes the vehicle, which it is developing with a Detroit automaker, as an electric vehicle with a range extender that would deliver average fuel economy ratings of 100 miles per gallon. Raser would not identify the Detroit automaker it is working with but said it will likely demonstrate the vehicle with the company during a United States auto show later this year.

The company is working with Canadian supplier Electrovaya [TSX:EFL] to develop the battery packs, and it has a licensing agreement with a Korean manufacturer for assembly, Spellman said.