SAN FRANCISCO - U.S. lithium-ion battery maker Ener1 Inc said on Thursday it would supply batteries to Ford Motor Co's Swedish Volvo brand for a new electric car prototype.

The Volvo C30 electric vehicle has a range of 95 miles, or 150 kilometres, according to Ener1.

The battery maker, which recently took a 31 percent stake in Norwegian electric car manufacturer Think Global, is also supplying batteries for a plug-in hybrid that Volvo is developing.

Small and large automakers are racing to get green cars on the road in the coming years amid growing regulatory pressure to cut emissions of gases that cause global warming.

Lithium-ion batteries are seen as the most practical option available for electric cars at the moment, because they have the higher energy density required to feed the electric motors that power the vehicles instead of an engine.

Ener1, which also has supply agreements with Nissan Motor Co, has been awarded $118.5 million in U.S. federal grant money and plans to double its U.S. production capacity.

Ford is selling its loss-making Volvo brand to focus on core brands. Geely Holding Group Co, parent of China's Geely Automotive, has expressed interest in bidding for the Swedish group.

(Reporting by Poornima Gupta, Editing by Lin Noueihed)