Degummed soybean heating oil (SHO) is a renewable energy resource, which can reduce dependence on foreign oil and create a new market for the soybean industry. This study demonstrated that SHO 20 (20% degummed soybean oil and 80% No. 2 fuel oil) is suitable for application in residential furnaces without modification. The tests conducted were: fuel properties, seal compatibility, long-term storage, and laboratory and field combustion. The physical property tests showed that the kinematic viscosity (0.0346 cm(2)/s) and the pour point of SHO 20 (-30 degrees C) were within the ASTM requirement for No. 2 fuel oil; and the net heating value of SHO 20 (43.9 MJ/kg) was only 1-3% lower than the No. 2 fuel oil value (45.6 MJ/kg). Compatibility tests performed on the rubber seals and gasket materials (Nitrile and Viton) found in typical heating fuel pump systems indicated that the tensile strength and hardness values were not significantly affected by SHO blends when compared with No. 2 fuel oil. A long-term storage test revealed that there was no significant change in heat content and no visible stratification of SHO 20 blend during three months of storage. The pump pressure and the type of nozzle used affected the concentration of NO(x), SO(2), and CO in the flue gas. As was expected, increasing the SHO fraction in the blend also reduced the SO(2) emission. The combustion of SHO 20 resulted in a higher flue gas temperature which increased the NO(x) emission than with No. 2 fuel oil. (C) 2009 Elsevier Ltd. All rights reserved.