A heater and a method of its use are configured for use at cold operating temperatures. The heater has a supply line for transporting a volume of fuel between a fuel tank and burner. An inline heater is supplied in a supply line for the burner. The heater also has a return line that normally returns unused fuel from the burner to the heater, hence reducing the volume of fuel that needs to be heated by the heater and reducing system power requirements. The heater may be thermostatically controlled to maintain the temperature of the heated fuel to a value that is at or above a temperature required for good fuel atomization but below a flashpoint of the fuel. A valve is provided in the return line to permit diversion of the returned fuel to the fuel tank during a purge operation at initial startup.