The present invention relates to a fuel additive formulation that is designed to inhibit and/or reverse phase separation in Ethanol Blended Fuels (EBFs). The additive may further have the characteristics of reducing friction, corrosion, and wear in internal combustion engines that run on EBFs. The fuel additive in accordance with the present invention is a formulation of hexylene glycol and boric acid. Minimization of phase separation and reduction of engine wear and degradation due to friction and deposit formation is expected to result in increased engine efficiency, extension of engine life, and reduction in repair and maintenance costs.