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Usually, it's a finned section around the pipe the compressed air flows thru immediately after the compressor cylinder. As the air (or any other gas) is compressed, it heats up (that heat is some of the efficiency loss of the compressor). This finned section allows the ambient air to remove some of this heat, cooling the compressed air, hence the name 'air to air exchanger'. On some compressors, there will be a fan used to blow more air across the exchanger fins to get more cooling. Very large compressors, such as those used to compress natural gas, may have a large cooler, with a fan driven by the same motor/engine that drives the compressor to provide this cooling.

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