sigrun...methanol and water are both totally soluble in each other. There's no maximum either way. Now I'm no chemist but I'd suspect that methanol would stop absorbing water from the air when every methanol molecule is attached to a water molecule (or whatever the process of solubility is ).

Montague...I used the 1.08 because I figured I'd put my money where my mouth is and fly with the watered down fuel instead of just bench running and that was the only flyable plane I had. If you can call a 1.08 in a 6 pound beaten up 40 trainer a plane

The tests aren't conclusive of course but I've got no reason to think that a smaller engine would react any differently.

As far as that Shell Racing M goes, I'm pretty sure that not long ago someone (from Queensland?) reported in the RC Fuels section that he'd tried it and found it wasn't soluble in methanol.