A US start-up claims it has developed a new kind of energy storage device that can outperform – and could potentially replace – both the combustion engine and conventional batteries.

EEStor, claims its "ultracapacitor power system" can store electricity like a battery, but uses no chemicals and is not hazardous. The device, which has not yet been publicly named, could be used to power anything from phones and laptops to cars and boats.

Insider reports claim the device can be charged from flat to full in five minutes for around £5 and can provide enough energy for standard saloon car to drive 500 miles "like a Ferrari."

EEStor claim the device is so cost-effective to produce a car fitted with it today would be only marginally more expensive than one fitted with a traditional petrol or diesel system.

AUS patent issued in April 2006 indicated the device was made of a ceramic powder coated with aluminium oxide and glass.

Ironically for a business that appears to threaten the combustion engine, EEStor is based in the oil capital of America, Texas.

Although EEStor has already attracted scepticism about its claims, the company’s board is populated by heavyweights including the ex-Vice Chairman of Dell Computers and a former Senior Manager at IBM.

The first vehicle to feature the new technology will be an electric car made by Feel Good Cars Corp. of Toronto, due to be launched later this year. Watch this space.