Researchers have found a new, efficient catalyst to convert ethanol and other biofuels into hydrogen - a discovery that could help make the use of hydrogen-powered cars more practical in the future.

The catalyst - which was presented this week at the American Chemical Society meeting in Philadelphia -makes hydrogen from ethanol with 90 per cent yield.

It is much less expensive than others being developed around the world because it does not contain precious metals, such as platinum or Thodium.