Phase Separation (moisture + ethanol) sinks to the bottom, just as accumulated moisture would anyway. Only thing is that some fuel additives made the accumulated moisture "usable" rather than not, so it would be burned with the gasoline. Phase Separation can't be done that way, just drained/removed before it gets into the carb and such.
Be sure to replce the rubber fuel line at the tank (replacing the ground strap, or making sure it still works) and at the rear of the stub frame, too. Plus the section on the intake side of the fuel pump.
Enjoy!
CBODY67