I believe so. It has better corrosion resistance than 304. It's most often used in food grade equipment or surgical instruments. I have even heard people refer to it as "marine stainless"....
316L Stainless steel has been used for the heat exchanger of many DIY chillers and the owners of these setups say that they have witnessed no ill effects (the longest one in operation that I can remember was 10 months, but thats been a few months ago)
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