just seen this on the rover K series emgine, sounds similar problem
ROVER K SERIES
Remote Thermostat Housing
The K series engines have the thermostat mounted in the flow of the coolant as it enters the engine, as opposed to the more traditional positioning in the flow of coolant leaving the engine.
With the thermostat positioned on the inlet side of the coolant flow the engine will tend to heat up quickly and maintain a fairly high running temperature.
This happens because as the thermostat opens low temperature coolant from the radiator runs through the thermostat cooling it, and causing it to close. In this way the thermostat is reacting as much to the temperature of the radiator as it is to the temperature of the engine.
Although this arrangement has advantages for a standard road car it can cause problems for a more developed motorsport engine, especially if fitted in a rear engine sportscar like the Elise or MGF.
Removing the original thermostat, and fitting our thermostat housing in the top hose, relocates the thermostat into the flow of high temperature coolant coming from the engine. This means that the thermostat, and thus the flow of coolant, is being controlled in response to engine temperature, as it should be.
Our thermostat housing is available with a range of pre-fitted thermostats to give opening temperatures more suited for competition
QED MotorSport Ltd
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