Abstract: A direct injection flathead engine comprising an internal combustion cylinder block with at least one fuel injector positioned substantially transverse to the cylinder axis. The engine also comprises at least one exhaust valve positioned substantially near the at least one fuel injector, where the exhaust valve is on the same side of the piston as the fuel injector. In one aspect, a fuel injector is positioned substantially transverse to the cylinder axis, whereby a substantial portion of the fuel may be sprayed on top of the hot exhaust valve and deflected towards the spark plug, thus forming a stratified charge around the spark plug.