Hi Signal 13!!!
Welcome to CPF!
There's a lot to be said on the subject of using li-ion cells in tactical incandescent flashlights designed for use with CR123s. A lot more than can ordinarily be said in a quick reply. With that thought in mind, I wrote a guide on the subject that covers every question you have, and every question you haven't thought of yet, but that is sure to come to mind in time anyways...
Here's the link:
http://www.candlepowerforums.com/vb/showthread.php?t=161536
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You're in an excellent position to be asking the question, what I mean by that, is you haven't yet purchased the M3, if you are already considering using rechargeable cells, you will be better served in the long run by putting together or buying a setup that will accept 18mm diameter cells.
My recommendation is a 2x18650 leefbody (equivalent to 4xCR123 length), Z46 bezel (M3 bezel), SureFire "C" series compatible tail-switch, HO-M3, EO-M3, and MN11 bulbs to play with, Pila IBC li-ion charger, and 2-4 AW brand protected 18650 size cells.
The total cost of the above configuration can be put together for ~$300.
The cost of buying an M3, then buying 2-4 17500 cells and a HO-M3 and a Pila IBC charger is right around $300 also, but the 2x18650 version will have double the runtime while only being about 3cm longer. [edit in: forgot to mention, this configuration can safely drive the MN11 to spectacular output at the tradeoff of some bulb life, the 17500s that fit a stock M3 can not be used with the MN11]
Here's some links to light the way to such a creation!:
http://www.lighthound.com/index.asp?PageAction=VIEWPROD&ProdID=2610
http://www.opticsplanet.net/surefire-miscellaneous-z46.html
http://www.surefire.com/maxexp/main/co_disp/displ/carfnbr/289/prrfnbr/813/Click-On-Lock-out-Tailcap
http://www.flashlightz.com/product.php?p=pila_bc01-ac01&product=171829
http://www.lighthound.com/index.asp?PageAction=VIEWPROD&ProdID=1305
Eric