Daimler to expand car battery alliance -paper

FRANKFURT, March 14 (Reuters) - Daimler (DAIGn.DE) is looking for a third partner for its alliance with German industrial conglomerate Evonik [RUHR.UL] to develop and build advanced batteries for electric cars, a German newspaper said.

"We have been in talks for some time with various companies which could become an additional partner for our joint-venture with Evonik for the production of lithium-ion batteries," Daimler Research Chief Thomas Weber told Handelsblatt in an article to be published on Monday.

Daimler and Evonik joined forces in December in a deal which also saw Daimler acquiring nearly half of Evonik's Li-Tec unit.

Li-Tec batteries will power electric versions of Daimler's Mercedes-Benz and Smart cars from 2010.

First suppliers for the alliance will be appointed in the next month or two, Weber said, adding that the most important supplier could potentially be chosen to become a partner.

Electric car start-up Tesla Motors Inc said in January it had been selected by Daimler to supply battery packs and chargers for an electric version of the Smart minicar. [ID:nN13406755]

(Reporting by Eva Kuehnen; Editing by Keiron Henderson)