Jaguar has confirmed that the C-X75 concept which took the Paris show by storm in 2010 will be developed into a 200mph, extended-range electric supercar for the road.

The new car, which will sell for between £700,000 and £900,000, will mix internal combustion power with electric motors to achieve supercar performance and less than 99g/km CO2 emissions. When C-X75's motors and combustion engine combine, it will be one of the fastest production cars in the world, with a sub-three second 0-60mph time and a top speed in excess of 200mph.

Though the show car was powered by tiny gas turbines, the first production version of the C-X75 will use a turbocharged 1.6-litre, four-cylinder petrol engine to drive a pair of electric motors, one for each axle.

The car will be co-developed by Williams F1, which will have input into the C-X75's carbon composite structure, aerodynamics and hybrid drivetrain.

“Williams has always considered itself an engineering company and so this project will allow us to combine our technical expertise to create something truly exceptional.," said Sir Frank Williams, Chairman of Williams F1.

“People expect Jaguar to be innovators - that is when Jaguar is at its best,” said Adrian Hallmark, Jaguar Brand Director. “The C-X75 received an incredible reception as a concept car. We've been building on that momentum and there is a clear business case for this exclusive halo model. No other vehicle will better signify Jaguar's renewed confidence and excellence in technological innovation than this.”

“We were always determined that the Jaguar C-X75 would be as striking on the road as it was in concept form,” said Ian Callum, Director of Design, Jaguar Cars. “This will be the finest looking and most innovative Jaguar ever produced. Even in the world of supercars, we can still produce the most beautiful.”

“A supercar like the C-X75 is the logical choice to showcase cutting-edge design, intelligent use of new environmental technologies and motorsport-inspired performance," said Jaguar Land Rover CEO, Dr Ralf Speth.

Jaguar's parent company Tata has taken a significant stake in Bladon Jets, the company behind the micro-turbines in the original C-X75 concept car, and will continue to develop the turbine-powered drivetrain. It is expected that a later version of the C-X75 road car will use turbine, rather than piston, power.

Williams has announced that Paul Newsome will lead its C-X75 project team. Newsome has worked for Rover, BMW, Jaguar Land Rover and most recently Lotus, where he led the engineering of the Evora and the new concepts unveiled by Lotus last year.