In the experimental study, biofuel is extracted from two distinct waste cooking oil of palm and sunflower oil through a transesterification process. A suitable blend B20 (WCPME 10% + WCSME 10% + Diesel 80%) is prepared by mixing diesel in biofuel. After that, using an ultrasonicator, Al 2 O 3 was mixed in B20 at the distinct proportions of 25, 50, and 100 ppm, respectively, and new ternary blends are developed: B20 + 25Al 2 O 3 , B20 + 50Al 2 O 3 , and B20 + 100Al 2 O 3 . The experiment test was performed on a CRDI engine fuelled by Diesel, B20, B20 + 25Al 2 O 3 , B20+50Al 2 O 3 , and B20 +100Al 2 O 3 samples at a steady speed of 1500 rpm and different engine loads to evaluate engine performance, combustion, and emission characteristics. The test result depicts that BTE extensively improved by 13.53% and SFC reduced by 20.93% for B20 +100Al 2 O 3 than B20 at full load. The emission characteristics, for example, CO, and HC were altogether decreased with the mixing of nanoparticles in the correlation of B20 and D100 yet there is a slight increment in NOx emissions than B20 and D100. Higher peak points in CPmax and HRRmax reached for B20 +100Al 2 O 3 because of reduced ignition delay than that of B20 and D100.