I have installed a 120 amp alternator on my 82 300DT along with (2) 1/0 gauge wires to replace the original wires from the unit. Various threads say run a wire to the battery some the distribution terminal on the inner right fender and some to the starter.
I run WVO and need the additional power for an aux fuel pump and fuel line heaters.
My question is what is the correct and safe method to run the wires from this new larger alternator without overloading the remaining original wires.

Either way is fine! The red wires are going to the battery in both cases.

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