-> There may be something that will convert water to alcohol but I think the
-> reaction is slow. (methyl hydrate might be that, OTOH it could just be
-> mwthanol)

 No conversion taking place at all. Alcohol is just "Hydroscopic and
absorbs the water to becone diluted Alcohom. It holds onto the water
molucules and it gets carried with the Gasoline into the
Cylinders. As long as the Fuel to air ratio dosen't get too far out of
range the engine runs fine. And the water from condensation in the
tank is no longer a problem.
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