Yes it should be mounted to the frame and near the back as close to the tank as possible. If you mounted it in the engine bay it would be extremely noisy since it is always running. I would recommend going with a pressure regulator with a gauge just in case you don't know much pressure the pump is actually producing. I have a Weber carb on mine which only needs like 3.5 to 4 psi of fuel pressure. I just added a regulator to mine because the Carter I was using was sending out like 5.5 psi which was causing my carb to flood out and also killing my gas mileage.