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I never heard that the isolator had to be even with the gage, is this true?





I don't believe so.
My isolator is on the firewall and the guage is under the dash and has worked fine for 20 years.
The AN line that runs out the back of the isolator goes through one of the original heater core holes
I also used hard steel line from the fuel log to the isolator. I'm too cheap for braided lines and fittings