In the present paper, the heat transfer enhancement due to addition of diamond nanoparticles to the engine oil is investigated. A smooth tube was used as the test section and was heated by an electrical coil heater to produce a constant heat flux. Thermal conductivity and heat capacity of nanofluids were measured for various weight concentrations and temperatures. In addition, convective heat transfer coefficient of nanofluid was obtained for different nanoparticle concentrations and various Reynolds numbers. Experimental results clearly indicate the heat transfer augmentation due to the presence of nanoparticles in the base fluid.

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