Xcode build lipo script

gistfile1.txt

# define output folder environment variable
UNIVERSAL_OUTPUTFOLDER=${BUILD_DIR}/${CONFIGURATION}-universal

# Step 1. Build Device and Simulator versions
xcodebuild -target ${PROJECT_NAME} ONLY_ACTIVE_ARCH=NO -configuration ${CONFIGURATION} -sdk iphoneos  BUILD_DIR="${BUILD_DIR}"
BUILD_ROOT="${BUILD_ROOT}" xcodebuild -target ${PROJECT_NAME} -configuration ${CONFIGURATION} -sdk iphonesimulator -arch i386 BUILD_DIR="${BUILD_DIR}" BUILD_ROOT="${BUILD_ROOT}"

# make sure the output directory exists
mkdir -p "${UNIVERSAL_OUTPUTFOLDER}"

# Step 2. Create universal binary file using lipo
lipo -create -output "${UNIVERSAL_OUTPUTFOLDER}/lib${PROJECT_NAME}.a" "${BUILD_DIR}/${CONFIGURATION}-iphoneos/lib${PROJECT_NAME}.a" "${BUILD_DIR}/${CONFIGURATION}-iphonesimulator/lib${PROJECT_NAME}.a"

# Last touch. copy the header files. Just for convenience
cp -R "${BUILD_DIR}/${CONFIGURATION}-iphoneos/include" "${UNIVERSAL_OUTPUTFOLDER}"

Also you should double quote every single variable just in case.
My project has a space in it's name. It's a good thing I know shell scripts because this can cause a major headache!