The BMW Nikasil issue Originally from http://www.lestac.co.uk/bmw/nikasil.

htm Keywords: BMW, Nikasil, Galnikal, Alusil, E34, E36, E39, cylinder bore wear, sul phur (sulfur), leakdown, poor idle quality, engine problem, 320i, 323i, 328i, 52 0i, 523i, 528i, 530i, 540i, 728i, 730i, 740i, 840i What is the Nikasil issue ? Nikasil issue ?

What causes the

Is it BMW s fault? How do I tell whether the car I am looking at might be affected? Will the problem develop in my engine now? What are the symptoms of cylinder bore wear? What did BMW do about the problem? How many blocks have been replaced? Will I be okay if my car has a full BMW service history? Should I buy a car with a Nikasil block? What do I do if I already have a car with a Nikasil block? How much does it cost to replace the block? Will BMW pay for the replacement? What other useful resources are there? Disclaimer Author What is the Nikasil issue ?

The Nikasil issue is a serious problem that affects all BMW motor cars with engine blocks with Nikasil liners in their alloy block when high sulphur fuel has been u sed. This is 8-cylinder models with the M60 engine made from approximately 1993 to 1996, and 6-cylinder models with the M52 engine made between 1995 and 1998 (n ote M52 Nikasil engine never went to the USA). The Nikasil issue is extremely seri ous as the final result is a non-functioning engine. The material Nikasil is also known as Galnikal . "Nikasil" is a very hard dispersion layer of galvanically (elec trolytically) applied Nickel applied to the soft alloy bores to prevent wear. If this hard layer is damaged, excessive bore wear occurs rapidly. TOC What causes the Nikasil issue ?

In short, high sulphur fuel. Contrary to popular belief, the Nikasil issue does no t only affect the USA. It is potentially in existence in all countries, but is a particular problem in the UK and the US. It would appear that Nikasil-lined blo cks were not tested with fuels that had a high sulphur content, which was unfort unate because the chemical reaction between the sulphur in the fuel and the nick

el lining in the block which damaged the hard nickel lining. Once the lining is damaged, excessive bore wear of the soft underlying alloy occurs very quickly. S ome Nikasil engines have failed in as little as 30,000 miles. Fuel high in sulphur was imported into the UK and (apparently in very small amou nts only) into continental Europe. The problems occurred first with cheap (super market) fuel in the north west of the UK, although in time the whole of the UK w as affected - and it was no longer just supermarket petrol that was causing prob lems. Having said which a vehicle run only on good quality fuel which was low in sulphur would not have problems, but there was no way the consumer could know w hich fuel to buy. There do appear to be quite a few Nikasil-engined vehicles whi ch, either through luck in the fuel used or some other mysterious reason, appear to be absolutely fine even after very large mileages. Continental Europe (through essentially not getting high sulphur fuel) appears t o be largely unaffected by the Nikasil problem: it would appear that they did no t suffer from imports of high sulphur fuel. I have not heard of any problems wit h Nikasil cars on the Continent, nor have I found any reference to any difficult ies. TOC Is it BMW s fault? Yes and no. The basic problem is with the low quality fuel. We can only assume t hat BMW did not discover the problem in their testing because they used only goo d fuel; had they known about the potential issue, we can only hope they would no t have released the engines! Sulphur can be, and should be, extracted from fuel before it is used, however this is a costly business. Fuel from South America is high in sulphur and was cheap to buy. But the extraction of sulphur is dear, so it simply didn t happen. So it is the oil companies fault. Or should BMW have been more thorough in their testing? Whatever, this issue has cost BMW quite a lot of money. The really weird thing i s that they released a new Nikasil engine (the M52) after they knew about the Ni kasil issue. It would appear that at that time they also thought it was a US-onl y issue, because the Americans got an all-iron version of the M52 engine, whilst in Europe we got a Nikasil one. As the issue has proved to be far from just a US issue , this risky 6-cylinder decision has cost them rather a lot of money in add ition to the money the 8-cylinder engine problem was already costing them. Or is Nikasil the problem? Well, not really. Nikasil has been used for a long ti me and is still used by BMW in their motorcycle engines without problems. As BMW themselves say, [ ] this process was used for some years in BMW motorcycle engines before being introduced in the V-8 engine, so it's not an untried technology ju st an advanced one. In fact other manufacturers used Nikasil and some still do with varying degrees of success. Porsche appear not to have any problems with th eir Nikasil-lined 4-cylinder or flat-6 engines, but there are reports of problem s similar to that with the BMW both in Audi's and in Jaguar's V8 Nikasil engines . In summary, I don t think it is a simple enough problem to be able to apportion bl ame easily. I think it is fair to say that BMW did make some mistakes, and perha ps should and could have reacted more quickly. But the basic problem was caused by the quality of the fuel supplied by the oil companies over which BMW had (and have) no control. Arguably the oil companies who supplied the poor fuel have co st BMW dear and have badly damaged their reputation, and there is nothing they c an do about it. I bet BMW wish they could just pass on the complaints and costs to the oil giants

Undoubtedly BMW did make mistakes in dealing with the Nikasil issue, but I do no t think it fair to blame them for the root cause of the problem. TOC How do I tell whether the car I am looking at might be affected? Only the M60 and the European M52 are affected. The M60 is easy it was fitted to all the E34 530i and 540i V8 cars. It was not fitted to the earlier E28 5-series or the later E39 5-series. Also the early E34 3.0 cars (pre-1991) were M30 6-cylinder cars and were not affected. The M52 is not as easy. The E36s (3-series), E34s (5-series) and E39 (5-series) are affected. E30s, E46s, E28s are not. But not all the 6-cylinder cars are affe cted either. The early ones had the M50 (no VANOS) engine, and late ones had the M54 (double VANOS) motor. It is only the single VANOS M52 units that were affec ted (and then not even all of them). The effect of VANOS is to lower the revs at which peak torque is produced. On the M50, peak torque is produced at 4,700 rpm (2.0 and 2.5 litre). On the M52, maximum torque is produced at 4,200 rpm (2.0 l itre) or 3,950 rpm (2.5 and 2.8 litre). On the M54, peak torque is produced at 3 ,500 rpm (2.0, 2.5 and 2.8 litre). Look at the peak torque figures in the Owner s Handbook and your question is answered. Once one has established that the engine is an M52, the next stage is to work ou t whether it has Nikasil liners or not. Steel liners were introduced into produc tion at Week 10 in 1998, i.e. March 1998. Cars built before then will have Nikas il liners; but that is not the same thing as saying that cars sold after then wi ll have steel liners - cars can sit around for a while, and it is the build date that is critical, not the date on which the vehicle is put into service. Contra ry to certain information, the engine code change from "S6 3" to "S6 4" did not coincide with the move to steel liners and therefore not all "S6 3" cars are Nik asil. Whilst it is probably safe to assume that any car sold during 1999 or late r is safe from the Nikasil issue, my advice (to be on the safe side) has to be t o be very wary of any M52 and check the block material with BMW before buying it . Also affected are the 7-series with the M52 and M60 engines, and the 8-series wi th the M60 engine. The Z8 with the M52 engine is not affected as all these cars received the "American" iron block (because they were built in the USA). TOC Will the problem develop in my engine now? Theoretically a new Nikasil engine used solely with Ultra Low Sulphur (ULS) fuel (as is now the norm in the UK) would present no problems at all. Had ULS been t he norm in 1993, it is perfectly fair to assume that we would never have had the Nikasil issue. However, the problem is that if the engine has already been affected, the all-im portant protective wall in the cylinder will have been damaged. The problem will therefore worsen, albeit perhaps marginally more slowly. The long and short of it is that this issue is likely to rear its ugly head at s ome point or other in the vast majority of Nikasil block equipped vehicles in th e UK. This is information that is well worthwhile knowing. TOC

What are the symptoms of cylinder bore wear? Initially uneven idle caused by leakdown , i.e. lack of effective sealing (essentia lly loss of compression) in one or more cylinders. This will result in a rough i dle. A gentle rock at idle is acceptable, however excessive movement at idle is the first symptom of cylinder bore wear. If you leave the car at idle with all a ncillaries switched off, and you open the door wide and watch the top edge of th e door, if it is moving significantly and unevenly you may well have cylinder bo re wear. If you take the vehicle to BMW they can plug it into the computer and check the idle quality. In most cases a simple (30 minutes long) test is sufficient to ind icate whether the car is suffering in very advanced cases it will take far less time than this. To be absolutely sure, though, BMW need to run a leakdown test, wh ich tests whether the leak down past the piston is within acceptable limits. Thi s is the real proof. Even if the car is within warranty you will probably be ask ed to pay for the tests but only if it passes! If the car is out of warranty, yo u will have to pay for the tests and this will not be refunded. The tests cost a round 100. In severe cases, the loss of compression is so bad that the engine loses power. Furthermore oil consumption increases dramatically as oil is sucked up the side of the leaky pistons. In really severe cases, the compression decrease is so sev ere the car will not start in cold weather. Experience indicates that inflicted 6-cylinder cars display more severe symptoms than inflicted V8s. I have never known a V8 not start, nor use large quantities of oil due to the Nikasil problem, but I have seen or heard of both in the 6-cy linder engine. TOC What did BMW do about the problem? When the problem first came to light, BMW were rather confused (as were the owne rs of the vehicles involved). However it didn t take long for BMW to work out what was happening. Some of the cars were very new. BMW replaced the cylinder blocks and also tried to alleviate the problem by re-programming the DME to ensure hig her combustion temperatures (a move which may have helped slightly but certainly didn't solve the problem). As initially they had no contingency block material, dead Nikasil block were replaced with new Nikasil blocks. Eventually they switc hed to different materials, a different alloy called Alusil on the V8s, and iron liners on the M52. BMW extended the warranty to 4 years and 100,000 miles in the UK (whichever come s first). Unfortunately for most owners, few cars do as many as 25,000 miles per year, and all Nikasil block cars will now be much older than 4 years. So they a re no longer covered. TOC How many blocks have been replaced? BMW do not give this information away. All I have been told is that it is a sign ificant number, and that it is more in the north of England. A recent survey of vehicles in Auto Trader revealed that of recent 6-cylinder BMWs nationwide in th e 7,000 - 15,000 price bracket (and with less than 100,000 miles on the clock) som e 1% 2% of vehicles for sale were advertised as having had a replacement engine. Interestingly, there appear to be very few 2.5 litre cars with an advertised re placement engine but clearly the research is not scientific enough to say that t

he 2.5 litre cars suffer any less than the others. [Thanks to Dr Loke for his ef forts doing this survey.] The 1% 2% figure is interesting, but it surely only represents the tip of the ic eberg, i.e. those cars which have been fixed and where the owner recognises this as a distinct advantage in the sales process. It is my personal opinion that th e problem is so severe that in time the vast majority of susceptible cars will b e affected that is certainly what other unscientific surveys on the V8s ownershi p point towards. I have also been given information recently from a very unofficial and extremely limited survey of 840i owners. 75% of the cars had had their blocks replaced, b ut only 25% of the current owners had heard about the Nikasil issue. The interes ting point here is that it would appear that owners of very expensive luxury car s appear to know very little about them! TOC Will I be okay if my car has a full BMW service history? Unfortunately no, for a variety of reasons. Firstly, having a car with a full BMW main dealer service history does not mean that the vehicle would have had an idle quality or leak down inely in the past. BMW do not broadcast the problem and dealers do not check for the problem. Arguably they should, but there is no evidence t that they do and plenty to suggest they do not. certainly test rout routinely to sugges

Secondly, and equally worryingly, BMW appear to be reluctant even to test engine s, but will do it if you insist and pay them to do it. BMW dealers must have hun dreds of problem cars going through their workshops every year which the mechani cs know about but which they ignore completely. They appear to wait until the pr oblem gets so severe the owner stumbles across the problem himself. Thirdly, BMWs warranty is only valid if the vehicle has a full BMW service histo ry. They don't extend it further if you have a service history; rather they curt ail it if you haven't! Here are two examples I have personally seen of Nikasil cars which dealers appea r to have ignored: Case A: 1993 540i with 95,000 miles. Full BMW service history. Car also recently spent a considerable amount of time at a BMW garage having a new gearbox fitted . The servicing dealers appeared to have been only too happy to turn a blind eye to a problem that they really should have recognised, and probably did. In BMW' s own opinion the problem with that vehicle was severe enough that it would have been in evidence for 40 thousand miles or so. Case B: 1995 320i with 78,000 miles. Full BMW service history. Car also recently needed new oxygen sensors for the MoT. The idle was so poor a knowledgeable buy er would probably have shunned the car even if he knew nothing about the Nikasil issue. The owner said that the car used around 2 litres of oil between services . At that rate of oil use, other components were probably being damaged: catalys er and (perhaps) oxygen sensor. TOC Should I buy a car with a Nikasil block? Cars with Nikasil blocks are good value; the trade is fairly aware of the issue

(much more so with the M52 than with the M60 in the UK) and prices have been dep ressed because of this. This naturally filters through to private sales, even if the buyer and/or seller is not aware of the Nikasil issue. Cars which have had their blocks replaced are far more expensive. If you are aware of the risks and know that you may have to replace the block, there is no reason not to buy a Nik asil block car. It may be a useful bargaining tool. Forewarned is forearmed. TOC What do I do if I already have a car with a Nikasil block? For peace of mind it may be worth taking the car down to BMW for them to test. I t will cost between 30 and 70, depending on whether it has the problem and how eas y it is to detect. If you discover you have a car with the Nikasil problem, the first thing to do i s to remind yourself that the car was good value because of the issue, and that although irritating, it is not the end of the world. You then have three options: leave it until it dies, sell the car, or repair the car. TOC How much does it cost to replace the block? An 8-cylinder will cost around 3,500 (inc. VAT) at an independent BMW specialist and around 1,000 more at the BMW dealership. A 6-cylinder will cost around 1,000 ( inc. VAT) less than the V8. These are the "book" prices; I understand that it ma y be possible to negotiate very substantial discounts off these prices at certai n BMW dealers - a figure as low as 2,500 for the V8 has been quoted to me. The ne w M60 V8 is an Alusil bock and comes complete and built-up with a new pistons an d a new crankshaft. The replacement M52 is an alloy bock with steel liners and l ikewise comes with new pistons and a new crankshaft. It is allegedly possible to re-sleeve the V8 with iron liners, but although I have heard of people doing th is I do not know whether it is successful in the long term. It should be possibl e to get a machine shop to put sleeves in the 6-cylinder engine as well as is ap pears that it what BMW are doing on the replacements. The only alternative viabl e option would be to pick up an engine from a scrap yard. Make sure you get one that has already been replaced and is Alusil (M60) or has iron liners (M52). Ple ase note (if you are going to get work done by an organisation other than BMW) t hat you must change the pistons and rings at the same time as the block because they are also made of different (matching) materials. TOC Will BMW pay for the replacement? Unless it is under warranty, in all probability no. The 4 year / 100,000 mile wa rranty may seem inadequate, particularly for a 4-litre V8 coupled to an automati c gearbox, but at the same time BMW cannot cover everything. They must draw a li ne somewhere. If you have been the sole owner, or you can prove that someone (i.e. a BMW deale r) should have picked up the issue within 4 years, you may have a case. If the vehicle has not got a full BMW service history, it s almost certainly not e ven worth asking. However, if you want give it a go (out of warranty), then I would suggest the fo

llowing: 1. Do not be demanding or difficult. You have no rights, so the only way to tack le this is with gentle persuasion, not threats. 2. Write to the customer services manager for your country and copy your letter to his superior in Munich. 3. State your case, how long you've been a BMW owner, etc., and mention your dis appointment. 4. Provide information (and proof) of the vehicle s BMW service history. 5. Suggest you have contacts within the BMW owners community, but don t threaten t o bad-mouth BMW if you don't get your own way. 6. Remember to play along with their assertion that the problem is caused by the fuel and not by their engine design (IMHO this is basically true anyway). Don t w ind them up by telling them it s their problem. It isn t anymore it s yours. Wait for a response, and when it s negative don t give up. Write again. If you persi st (and stay polite) you may get at least a concession. The responses from BMW may take a while, so use the time to think about what you are going to do if you don t win! In January 2002 I was given information that indicated that BMW may have had an internal "deadline" for replacing blocks free of charge of December 2001. Howeve r I have recently heard (May 2002) of three owners who has just had a replacemen t block paid for by BMW - on a 1996 320i with 64,000 miles and a full BMW servic e history, on a 1997 520i bought in 2000 but bought from BMW with a 3 year warra ntee, and on an 1996 328i with 52,000 miles and a full BMW service history. So a lthough I think that getting a replacement block free of charge may have got mor e difficult, clearly there is no "deadline" as such. ** I have had a communication for someone who recently had their block replace. Please click HERE to read this e-mail. ** TOC What other useful resources are there? There is a complete dearth of information on in Nikasil issue from a British or even a European perspective. The Nikasil M52s were never shipped to the States, so information about them is almost non-existent. There is some American informa tion about the V8s, most of which would lead you to believe that this is a US ph enomenon only. Beware, it is not! http://www.530i.org (online club for E34 M60 owners (not just the 530i); see "Th e M60 Engine Test FAQ" for lots of information and links on the Nikasil issue, m ainly from the US perspective) http://www.koalamotorsport.com/tech/misc/v8shortblock.htm (excellent and informa tive paper on the Nikasil issue from the US perspective) http://www.unixnerd.demon.co.uk/bmw.html (lots of good general BMW information w ith a UK slant; very little on Nikasil) http://industryclick.com/magazinearticle.asp?magazineid=50&releaseid=2891&magazi nearticleid=17012&siteid=26 (discussion on alloy block lining technologies)

http://www.kolbenschmidt.de/KSWebGate/KSPG_WG_51.nsf/vwFiles/niederdruckguss/$FI LE/Ndg_D.pdf (manufacturers of alloy blocks including, I think, BMW's V8s - in G erman) http://home.t-online.de/home/Ingo.Koeth/bmw.htm (see section "Was hltst Du vom V8 ?" which is notable for the lack of a mention of Nikasil - in German) TOC Disclaimer I am not affiliated to BMW in any way. The information here is provided to help people and, naturally, comes without any warranty. Any decision you make is your own and nobody else s. If I ve got something wrong and you buy a lemon, sorry, but that s not my responsibility. I ve put my best effort in to make this page accurate and complete, but we re all human and there may be mistakes. If you find something wrong, please let me know and I'll correct it. Please also note that the opinions expressed are mine and mine alone. They are n ot the opinion of Lestac Ltd or Lestac Translations Ltd. TOC Author Written by Simon Worby (simon@lestac.co.uk) Please e-mail if you have questions, queries, or comments. TOC Last changed October 2002