O2Diesel is a Delaware-based company that's trying a new approach with diesel fuel. One of the drawbacks of diesel fuel is that it tends to solidify at a considerably higher temperature than gasoline. In most northern regions they blend No. 1 and No. 2 diesel during winter months to make the fuel flow better at cold temperatures. Biodiesel gels up at an even higher temperature than petroleum diesel. O2Diesel is a trying a different approach by blending ethanol with B20 biodiesel.

The company has reached an agreement with Ben Franklin Transit in Richland, Washington to test the new fuel blend. The ethanol-diesel blend is comprised of 28 percent bio-fuels. Emissions testing with the new bio-fuel blends is being conducted at the Southwest Research Institute, San Antonio, TX. The transit company will be running 20 buses with the new fuel blends. The company also claims other benefits such as increased lubricity, compatibility with existing diesel stocks and improved cleaning effect for the fuel system.

The problem is that ethanol doesn't naturally mix with diesel fuel. O2Diesel claims a proprietary process, which combines the ethanol, diesel and a patented co-solvent chemistry, creates a homogeneous, stable fuel to run in modern biodiesel compatible engines without further modifications.

[Source: O2Diesel]

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