The use of neutral gas layers for confinement and/ or heat removal in controlled fusion reactors has been the subject of many investigations in recent years. Alfven and Smars [l] appear to be the first to propose the use of a “gas blanket” when they suggested that heat losses from a hot plasma can be reduced by a strong magnetic field in such a way as to allow a layer of high pressure neutral gas near the wall to surround the plasma and balance its pressure. Although it was later shown by Lehnert [2] that the plasma pressure cannot be balanced by the neutral gas pressure in steady state, the question of such balance in the case of fully ionized plasma cores bounded by a partially ionized layer, as well as the question of the penetration process of neutral gas into a plasma, were addressed at an early date also by Lehnert [3]. A mathematical model for the application of a neutral gas layer to the heat removal problem in a ThetaPinch reactor has been presented by Oliphant [4] in which estimates of the rate of heat flux from the plasma using a short-mean-free-path limit for thermal conduction, and a quasi-steady state assumption for the plasma and neutral gas profiles, were obtained. This paper represents an extension of the work cited in ref. 4. A time-dependent one-dimensional computer code is utilized to study the transient development of a neutral gas blanket by examining the effects of diatomic neutral gas streaming into a magnetized plasma. The interactions of the incoming diatomic gas and the resulting monatomic gas with the plasma ions, electrons and alphas are examined in