Late last month, the internet rumormill went wild with speculation that BMW would introduce a new Z2 concept vehicle at the Frankfurt Motor Show in September. Separate sources are now confirming those reports, though the production version isn't likely to hit the market until 2013. Built atop BMW's next-generation 1 Series architecture, which will reportedly be configured to allow for front-, rear- or all-wheel drive, the Z2 is likely to feature all of the German automaker's latest fuel-saving Efficient Dynamics tweaks, including a possible plug-in hybrid powertrain.

Joining the eco-friendly model will be both gas and diesel engines with 2.0-liters or less displacement. Perhaps most interesting is a rumor that the Z2 may get a sequential transmission borrowed from BMW's line of high-end motorcycles. Weight will be kept low thanks to heavy use of composite materials, and adjustable aerodynamics should offer high downforce when tackling the bends and minimal drag when motoring on the expressway.

[Source: BimmerFile]

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