TROY, Mich., Oct. 23, 2014 /PRNewswire/ -- Elio Motors Inc., makers of the ultra-fuel efficient Elio, announced today that its application for a DOE ATVM loan has passed the first of three phases of review. Now deemed "substantially complete," the application will move to the due diligence phase.
Elio Motors is seeking a $185 million ATVM loan to accelerate the company's plans to begin production of its enclosed, three-wheeled vehicle in Shreveport, Louisiana, in 2015.
The DOE ATVM loan program supports the production of fuel-efficient, advanced technology vehicles and components in the United States. The program has invested billions of dollars in projects by major automakers such as Ford and Nissan as well as startups like Tesla Motors. Congress created the ATVM program with $25 billion in loan authority in 2007; the program was revamped recently and resumed activity in April 2014 with more than $16 billion in remaining loan authority.
"While this is just one step and there is a long way to go, we are pleased that DOE has moved expeditiously thus far on our loan application," said Paul Elio, CEO of Elio Motors. "With a $6,800 sticker price that makes ultra-fuel efficient transportation affordable to the general public, we believe Elio is exactly the kind of American-made innovation that the loan program was designed to foster."
Elio Motors will create approximately 3000 jobs, 1,500 in Shreveport alone, where the company will occupy approximately 1.5 million square feet of a 4.1 million-square-foot former General Motors manufacturing facility. The company is in the process of working with its manufacturing partner, Comau, to sell surplus GM manufacturing equipment that Elio acquired along with the plant. Those sales will help raise additional funds toward the production of the new vehicle.
Elio already has more than 35,000 reservations for the innovative vehicle, which will get up to 84 MPG and sell for $6,800 – setting it far apart from other ultra-fuel efficient vehicles available to the general public. A prototype is attracting the attention of thousands of people during a nationwide tour.
About Elio Motors
Founded by car enthusiast Paul Elio in 2008, Elio Motors Inc. represents a revolutionary approach to manufacturing an ultra-high-mileage vehicle. The three-wheeled Elio is engineered to attain a highway mileage rating of 84 mpg while providing the comfort of amenities such as power windows, power door lock and air conditioning, accompanied by the safety of multiple air bags and an aerodynamic, enclosed vehicle body. Elio's first manufacturing site will be in Shreveport, La., with plans for the first production vehicle to roll off the assembly line in 2015 and significant production, sales and distribution during the next two years. For more information, visit www.eliomotors.com or www.facebook.com/ElioMotors.
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SOURCE Elio Motors Inc.