A novel Magneli phase nanomaterial with carbon coating is disclosed. The present Magneli phase material, which can form a nanowire, a nanobelt, a nanoparticle, a nanocrystal, or a nanosheet, includes at least a Magneli phase core having a substoichiometric composition of titanium oxide having a formula Ti.sub.nO.sub.2n-1, where n is between 4 and 10, and at least a carbon-based outer shell surrounding the Magneli phase core. The shape-features of the carbon-coated Magneli phase material of the present invention ensure that at least one dimension of it is nanoscale, and therefore has a high surface area. By having the high surface area, the Faradaic reaction can be processed more efficiently, and consequently attain higher capacity, higher power-density, and cycling stability. The present disclosure further encompasses a method of synthesizing these nanoscale Magneli phase materials.
STATEMENT OF GOVERNMENT LICENSE RIGHTS
 The present invention was made with Government support under contract number DE-AC02-98CH10886 awarded by the U.S. Department of Energy. The United States. Government has certain rights in this invention.