AbstractEstolides are formed when the carboxylic acid group of one fatty acid forms an ester link at the site of unsaturation of another fatty acid. These compounds have the potential to be used in a variety of applications, such as lubricants, greases, plastics, inks, cosmetics, and surfactants. By manipulating the reaction equilibrium, yields of 20% estolide in clay‐catalyzed estolide reactions have been increased to 30%. Reactions conducted at 180°C, where water was vented out of the reactor at specific times, not only gave dimer‐free estolides but also yields up to 30%. Steam has also been used instead of water with similar results. Estolides were quite stable at temperatures up to 250°C, even when they were exposed to air.