UPDATE 2-Electric car maker Zenn posts wider loss

* Q2 net loss C$2 mln vs loss C$1.8 mln

* Revenue down 47 pct on sluggish auto sector (Adds details, background; in U.S. dollars unless noted)

VANCOUVER, British Columbia, May 27 (Reuters) - Electric car maker Zenn Motor Co (ZNN.V: Quote, Profile, Research) posted a slightly wider second-quarter net loss as the downturn in the automotive sector hurt its revenue.

For the quarter ended March 31, Toronto-based Zenn reported a net loss of C$2 million ($1.8 million), compared with a loss of C$1.8 million a year ago.

Gross revenue fell 47 percent to C$391,227.

"Revenue in the quarter reflects the general malaise of the auto industry," Chief Executive Ian Clifford said in a statement.

At March 31, Zenn, which stands for Zero Emission No Noise, had working capital of C$12.4 million.

Zenn shares were up 6 Canadian cents at C$5.16 on the Toronto Venture Exchange.

Last week, Zenn confirmed positive test results for a battery being developed by its U.S. partner EEStor Inc. EEStor is trying to develop a battery that will allow electric cars to reach highway speeds over long distances while only needing minutes to recharge.