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My experience with the low gas mileage has been with my other two cars (Honda/Jeep) running mainly 89 octane ethanol blends. Ethanol is a little cheaper here that regular gas, I have always heard that the the incremental loss of fuel milage made up for the cost savings at the pump. They do have E85 (85% Ethanol) coming out, made to run in E85 modified vehicles.
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