A joint statement said the development would allow the use of existing filling stations.

"We have shown that the concept of gasoline-powered fuel cell vehicles is viable," said Don Hubert, chief executive of Shell Hydrogen.

"This exciting technology ... holds great promise for enabling fuel cell vehicles rapidly to enter the market."

The companies will seek ways to commercialise the research, which successfully produced a 50kW multi-fuel system with a compact design for mobile and stationary use of fuel cells.

Ferdinand Panik, head of DaimlerChrysler's fuel cell project, said that despite the advance his first priority was to try to develop methanol as a fuel for fuel cells.

Fuel cells are seen as one of the most viable alternatives to traditional internal combustion engines as concerns mount over the impact of automobile emissions on the environment.

A fuel cell engine works by converting hydrogen into electricity, creating virtually no polluting emissions.