Hi, I know this is an old tread but I just watned to make a few comments.
I have been running all my cars on E85 mixture the last 6 years. Mostly I have had about 20-30% E85 into the petrol. This is the mixture that gives the best effect. There is a significant reduction in exhaust emmisions as the car runs cleaner (this may not be totally applicable on cars with a cat but it saves the cat life). There is also a significant difference in effect and at the same time you get a better mileage. The reason for the higher effect with the E85 mixture is as BlackJack says the higher octane value. At the same time the energy content of E85 is lower which means that if you try to run on only E85 the car will be slower. With higher mixtures than 1/3 the fuel consumption will go up.
Technically what happens is that the injection system of all modern cars has a knock sensor that is sensing if the engine starts knocking. If it do the ignition time will be changed to a later setting until the engine stops knocking. The same thing happens the other way around too, the engine computer will try to set the ignition as early as possible to get the most power and highest mileage. So when you boost up the octane value with E85 the ignition timing could be moved to a better position which makes the engine run cleaner.
Here in Sweden there is quite common thet people running their cars on E85 mixture as the petrol isn't as cheap in Europe as in the US. ;-)
After my 6 years experience of running on the mixture I can say that there is no problems with this as far as I can see. It is good for the environment, it gives you more power and it saves your wallet.
Redod, what you says about gaskets and metal is applicable to Methanol, the fuel you use at the strip. Ethanol is the booze you drink. This said do not try to drink the E85, it contains 15% Petrol. :-D
What I said above is valid in Sweden and the rest of Europe and I guess it is in United States as well, but I can not guarantee anything.
I am just in the phase to convert my Alero 3.4 to run on 10% E85. It could be done in a lot of ways but the way I will do it is mainly to raise the fuel pressure. By the way, the only thing I have noticed on the downside if you fill up too much E85 is that the car will be a bit slower can be a bit harder to start in the coldest winter.
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