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BMW is hard at work on the M1's successor and according to Autocar's sources, officials inside the automaker are calling it a "breakthrough green supercar" that will arrive towards the end of 2012.

Taking inspiration from the M1 Homage concept and equipping the two-door with BMW's EfficientDynamics system, the mid-engine supercar is rumored to be packing the twin-turbocharged 3.0-liter inline six found across BMW's range. The automaker expects fuel efficiency and CO2 emissions to be on par with a mid-range 5-series sedan, primarily through the use of direct-injection, brake regeneration, start-stop technology and even its F1 team's kinetic energy recovery system.

The unnamed BMW supercar is expected to carry a price tag close to its rivals, the Audi R8 and the Mercedes-Benz SLC.

[Source: AutoCar]