This study presents the energy, exergy and heat release analysis of a John Deere 4045 T4.5 L, four-stroke, four-cylinder, turbocharged diesel engine. The engine was run with four different types of fuel: yellow grease methyl ester (YGME); soybean oil methyl ester (SME); and soybean oil methyl ester containing either 0.75 or 1.5 w/w % of the cetane improver 2-ethylhexyl nitrate (SME-0.75%EHN and SME-1.5%EHN, respectively). The engine was tested at 1400 1/min under a full load of 352 Nm. For reliability, the fuels were tested three times, and the mean values were compared using different statistical techniques. The objective in this study was to determine the effect of cetane number and ignition delay on the energy and exergy efficiencies of an internal combustion engine and to compare the results for the types of fuel stated earlier. The average thermal efficiency was approximately 40.5%, and the exergetic efficiency was approximately 37.3%. The mean exergetic efficiencies of the fuels were in the order psi(SME) > psi(SME-0.75%EHN) > psi(SME-1.5%EHN) > psi(YGME). There were significant differences among the mean values according to Student's t-tests. It is concluded that a lower cetane number, a longer ignition delay period and a higher level of premixed combustion may increase the exergetic efficiency of a diesel engine. (C) 2011 Elsevier B.V. All rights reserved.