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Musk Announces First Model 3 Delivery On July 28, Forecasts Exponential Growth From There

Tesla stock is popping this morning after Tesla investors and Elon Musk fanboys got some much-anticipated, if largely expected, news on the rollout of the Model 3 when shortly after 11pm Pacific time Elon Musk tweeted that the mid-range model has passed all its regulatory requirements for production two weeks ahead of schedule. “Expecting to complete” the first car Friday, Musk wrote in a Twitter post.

Model 3 passed all regulatory requirements for production two weeks ahead of schedule. Expecting to complete SN1 on Friday

— Elon Musk (@elonmusk)

The company will hold a handover party for its first 30 customers of the Model 3 on July 28, he said in a separate post.

Handover party for first 30 customer Model 3's on the 28th! Production grows exponentially, so Aug should be 100 cars and Sept above 1500.

— Elon Musk (@elonmusk)

Tesla aims to produce 100 of the cars in August before ramping up to 20,000 a month in December, Musk said.

Looks like we can reach 20,000 Model 3 cars per month in Dec

— Elon Musk (@elonmusk)

This is how Musk envisions the Model 3 production ramp up to look like, courtesy of Bloomberg.

PUtting Tesla's ambitious ramp up in context, the company delivered 25,051 vehicles in Q1 and aims to make 500,000 in 2018 and 1 million in 2020.

The Model 3, Tesla's most affordable car yet starting around $35,000, had been expected to begin production in July, but until last night there had been little news on how the preparations at Tesla’s factory in Fremont, California, were progressing according to Bloomberg. When a Twitter follower of the CEO asked him last week to “please have mercy” and give more information on the release, Musk responded cryptically that he would offer “news on Sunday.” The Model 3 is the culmination of Tesla’s 15-year-quest to reach mainstream consumers with a smaller, more affordable electric car.

Tesla is scheduled to disclose global vehicle sales for the second quarter as early as Monday morning. The company is projected to have sold 23,655 vehicles during the three-month period, according to the average estimate of four analysts surveyed by The Wall Street Journal.

Meanwhile, Tesla stock is liking the announcement, and after dipping last week during the latest tech slam, was up