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The internal combustion engine converts heat to motion or kinetic energy. Since ethanol has less "heat" than gasoline per gallon the fuel mileage will be less. Heat content of conventional gasoline = 115,500 Btu/gallon
Heat content of ethanol = 76,000 Btu/gallon E85 is a blend of 15% gasoline and 85% ethanol so you can expect a drop in MPG of 20% or more.
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