Fuel cells require alternating heating and cooling for optimum performance. A liquid circulation loop is provided with water or glycolic solution and is regulated by a heating unit and heat exchanger to maintain the stack at the desired temperature. Fuel cell stack coolant water is processed by moving the two-phase water/steam coolant exhaust through a steam separator wherein the water phase is separated from the steam phase. The water phase is then moved through a heat exchanger where its temperature is lowered to a subcooled level which is below the coolant operating temperature in the stack. A flow control valve is associated with the coolant heat exchanger to regulate water flow through and/or around the heat exchanger depending on the temperature of the water which leaves the steam separator. By subcooling the coolant before it reenters the stack, a lessening of electrolyte loss through evaporation is achieved.