NOVELTY - The machine (10) for reacting and separating fluids, comprises a stationary casing (16), a self-cleaning cylindrical rotor (12) located within the stationary casing, surface irregularities located on an inner surface of the casing and/or an outer surface of the rotor, a heat exchanger fitted to an outer surface of the casing, and phase balancing valves located external and/or internal to the casing. The rotor defines a longitudinal axis, and rotates about a longitudinal axis at a speed of 1725-5000 revolutions per minute. The reaction zone is fluidly coupled to the separation zone.    USE - The machine is useful for reacting fluids such as a virgin vegetable oil, a methoxide, a fatty acid methyl ester and a glycerol and separating fluids e.g. biodiesel.    ADVANTAGE - The machine has an optimized efficiency and/or effectiveness for reacting and separating fluids with respect to fluid temperatures, pressures and/or flow rates, and prevents and/or minimizes leakage of fluid.    DETAILED DESCRIPTION - The machine (10) for reacting and separating fluids, comprises a stationary casing (16), a self-cleaning cylindrical rotor (12) located within the stationary casing, surface irregularities located on an inner surface of the casing and/or an outer surface of the rotor, a heat exchanger fitted to an outer surface of the casing, and phase balancing valves located external and/or internal to the casing. The rotor defines a longitudinal axis, and rotates about a longitudinal axis at a speed of 1725-5000 revolutions per minute. The reaction zone is fluidly coupled to the separation zone. The machine is adapted to conduct heat between a reaction zone and a separation zone through a metallic partition located between them. The surface irregularities induce continuous fluidic interaction between a first and a second fluid located in the reaction zone upon rotation of the rotor within the casing to cause a formation of a third fluid within the reaction zone. The separation zone is adapted to centrifugally separate the third fluid from byproducts created during the formation of third fluid. The casing contains the fluids at a pressure of 15-100 pounds per square inch above atmospheric pressure, and is radially separated from the rotor by 0.100-0.200 inches. The third fluid is formed by mixing the first fluid with the second fluid, by emulsifying the first fluid with the second fluid and by reacting the first fluid with the second fluid. The fluidic interaction is adapted to cause emulsifying of triglycerides with an alcohol. The surface irregularities comprise cavities in the outer surface of the rotor, and protrusions from the inner surface of the casing. The phase balancing valves are adapted to control an operational parameter within the separation zone. The outer surface of the rotor is adapted to accept a sleeve for separating an annular space defined between the rotor and casing. An INDEPENDENT CLAIM is included for a method.    DESCRIPTION OF DRAWING(S) - The diagram shows a cross-sectional view of machine.    Machine (12) Rotor (10)    Hubs (14, 17)    Casing (16)    Reaction or contact zone. (28)