In the present study, the effect of nanofluids on the thermal performance of heat pipes is experimentally investigated by testing circular screen mesh wick heat pipes using water-based Al2O3 nanofluids with the volume fraction of 1.0 and 3.0 Vol.%. The wall temperature distributions and the thermal resistances between the evaporator and the adiabatic sections are measured and compared with those for the heat pipe using DI water. The averaged evaporator wall temperatures of the heat pipes using the water-based Al2O3 nanofluids are much lower than those of the heat pipe using DI water. The thermal resistance of the heat pipe using the water-based Al2O3 nanofluids with the volume fraction of 3.0 Vol.% is significantly reduced by about 40% at the evaporator-adiabatic section. Also, the experimentally results implicitly show that the water-based Al2O3 nanofluids as the working fluid instead of DI water can enhance the maximum heat transport rate of the heat pipe. Based on the two clear evidences, we conclude that the major reason which can not only improve the maximum heat transport rate but also significantly reduce the thermal resistance of the heat pipe using nanofluids is not the enhancement of the effective thermal conductivity which most of previous researchers presented. Especially, we experimentally first observe the thin porous coating layer formed by nanoparticles suspended in nanofluids at wick structures. Based on the observation, it is first shown that the primary mechanism on the enhancement of the thermal performance for the heat pipe is the coating layer formed by nanoparticles at the evaporator section because the layer can not only extend the evaporation surface with high heat transfer performance but also improve the surface wettability and capillary wicking performance. (C) 2010 Elsevier Ltd. All rights reserved.