Bye Ecotec: Fisker Sources BMW 4-Cylinder for Project NINA

After a few delays and an increase in price tag, the first Fisker Karma was delivered just over a month ago. Thanks to heavy private investment and $529 million in Department of Energy funding, Henrik Fisker's vision has been brought to fruition.

Some of that money went to funding production of the Karma, but the majority is for the low-cost Project NINA. Project NINA aims to bring a more affordable mid-size sedan plug-in to the market, produced at a former General Motors facility in WIlmington, Delaware.

Thanks to GM's bankruptcy, Fisker purchased the facility (which used to produce the Pontiac Solstice and Saturn Sky) at low cost. With the plant lined up, development on Project NINA continuing full-speed ahead. The latest news about the car comes with Fisker signing an agreement for engines to power it.

The Karma is powered by GM's Ecotec four-cylinder, leading many to think that Fisker would continue with that relationship. Instead, BMW, which is placing an increasing emphasis on four-cylinder engines, has found a new buyer.

Fisker says the agreement calls for up to 100,000 2.0-liter turbocharged engines per year, according to demand. According to Henrik Fisker, the deal was a no brainer: “The BMW engine was an obvious choice for us, as BMW is known for producing the best and most fuel efficient gasoline engines in the world. We are very pleased to have signed this agreement.”

For BMW it is a smart move, adding extra capacity for its engines and getting in on any potential success Fisker may have. Project NINA is scheduled to go into production in late 2012. It will utilize the same EVe hybrid system as the Karma.