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Place chocolate chips in a food processor and process until some are finely grated and others resemble crumbs.
Sift together in a large bowl 1 cup sugar, baking powder and salt. Make a well in the center and put in the oil, egg yolks, water, vanilla extract and almond extract (if desired). Beat mixture with a large spoon, until smooth and thick. Fold in processed chocolate and set aside.
Whisk egg whites on medium speed with cream of tartar until foamy. Increase speed and continue beating until mixture is thick and beaters form lines while beating. Gradually add remaining sugar and continue beating until mixture forms soft peaks. Stir 1/3 of whites into the yolk mixture. Fold in remaining egg whites until thoroughly mixed.
Pour batter into a 9 – 10 inch (19 – 20 cm) ungreased tube pan and bake in a preheated oven to 325ºF (170ºC) for 1 hour and 15 minutes or until surface looks dry. Remove from the oven and invert mold onto a bottle with a narrow neck and cool thoroughly. Loose cake from the sides and center of the pan, place it on a serving dish and dust with confectioner´s sugar or cover with glaze.
Glaze:
In a small bowl stir together confectioners sugar with milk until a thick, smooth glaze is formed. Pour glaze over chiffon and let some drip down the sides.
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