A process for the production of a high quality gasoline blending components from refinery process streams by the alkylation of light isoparaffins with olefins using an ionic liquid catalyst is disclosed. The process includes reacting a refinery stream containing isopentane and/or isobutane with a refinery stream containing ethylene and/or propylene and butylenes under alkylation conditions in the presence of a chloroaluminate ionic liquid catalyst comprising a hydrocarbyl substituted pyridinium halide or a hydrocarbyl substituted imidazolium halide of the general formulas A and B, respectively.
Where R=H, methyl, ethyl, propyl, butyl, pentyl or hexyl group and X is a halide and preferably a chloride, and R1 and R2=H, methyl, ethyl, propyl, butyl, pentyl or hexyl group and where R1 and R2 may or may not be the same.