Abstract: Tar sands are put into finely divided form, preferably by pressing them into sheets and flaking the sheets. The flakes are mixed with a solvent for the contained oils for a time sufficient to extract the oils. The resulting slurry is introduced beneath the surface of a body of water and the solids allowed to settle, while the solvent containing the oil rises to the top to form a liquid phase above the surface of the body of water. The wet solids and the oil-containing solvent are separately removed. After the oil is recovered from the solvent, as by fractional distillation, the solvent is recycled in the process, which is preferably carried on as a continuous operation.