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Personally, I'd just do like a marine engine, and water jacket part of the exhaust system (manifold on non-turbo engines). Then, up-size the radiator and such accordingly, so you can leave the exchanger in the loop full-time (it should be the last thing to see coolant before discharge to the radiator when the t-stat is open).
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Call me crazy, but I actually try for mpg with this Jeep:
Typical driving: Back in Rochester for school, driving is 60 - 70% city
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