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The production of CO2-neutral fuels is a key technology to achieve the European Union’s targets of greenhouse gas reduction in the transport sector. For a straightforward application such as drop-in fuel, regenerative gasoline must meet emission requirements without causing significant changes in engine parameters. The objective of this work was to demonstrate the emission reduction potential of fuel from the bioliq® plant by reducing the content of heavy aromatics in the product refinement. For three blends with varying contents of bioliq® fuel, the spray behavior was studied in a pressurized chamber and the particulate and hydrocarbon emissions were investigated using a single-cylinder research engine. With increasing bioliq® fuel content, atomization was degraded by lower flash boiling at low pressure. This effect vanished at higher chamber pressures. Measurements of particulate and hydrocarbon emissions showed significant improvements of 50% to 100% and 10%, respectively, compared to previously investigated bioliq® fuel fractions from 2017. The formation of particulate emissions is virtually unaffected by the blending of bioliq® fuel, due to the absence of heavy aromatics in the refined bioliq® product. Hydrocarbon emissions increased by 20% with higher bioliq® fuel content and late injection timings due to inferior mixture formation as a result of slightly reduced atomization. However, near the optimum injection timing, the hydrocarbon emissions are independent of the bioliq® fuel admixture.