Did a Google search on "coolant header tank diesel" and came up with this from a Beta Marine dealer site:
Beta Marine now offers a remote mounted engine coolant tank, made of heavy cast aluminum, that is primarily designed to be used when a separate hot water tank is installed in the boat. The hot water tank will heat and store domestic fresh water for showers and cooking whenever the engine is running. In many water heater installations, the hot water tank is mounted higher than the engine, resulting in air being trapped in the tank. This can lead to the engine overheating since the trapped air acts as a blockage in the engine's cooling system. This new "header tank" is equipped with a pressure cap, just as is your car's radiator, to regulate engine cooling system pressure. The pressure cap also works as a valve to bleed air from the cooling system. It can be mounted in any convenient location on a bulkhead that is higher than the domestic hot water tank. Catalina 30 sailboat owners will want to install this header tank in the port cockpit locker where it can be easily reached for checking the engine coolant level.
This header tank can also be used when the engine's standard pressure cap is inaccessible, as it can be on some boats that use a V drive transmission. The Pearson 323 is one such design that can benefit by mounting the header tank in a cockpit locker. The header tank also increases the capacity of the engine cooling system.
Dimensions - 8" long, 7.5" tall, protrudes 4.3" from the bulkhead. Is easily attached to the bulkhead with 4 screws. The addition of a separate coolant recovery tank will ensure that the header tank remains completely filled with coolant and will also purge the engine cooling system of air pockets.
Here's how the system works -
As the engine warms to operating temperature, the fresh water coolant expands and pressurizes the cooling system. When the pressure reaches 15 psi, the pressure cap valve opens, maintaining the correct system pressure. As the engine is operated and coolant freely circulates, trapped air will find it's way to the high point of the cooling system, which is this header tank. The air will be bled off when the pressure cap valve opens. This occurs periodically while the engine is running. If a separate coolant recovery tank is installed, any coolant that's expelled from the header tank will accumulate there. When the engine is shut off, it slowly cools down creating a partial vacuum in the engine's cooling system. The pressure cap valve now opens under this vacuum which causes coolant to be sucked from the recovery tank into the header tank.
The net effect of this action is to purge all air pockets from the engine cooling system which otherwise may cause localized engine overheating. Having the engine cooling system completely full and purged of all air, helps maximize engine life and reliability. To check for the correct coolant level just look at the coolant recovery tank, as it's made of translucent plastic. This refinement is highly recommended for any fresh water cooled engine.
Thanks again!