Abstract: Method and apparatus for continuously separating disperse phase and continuous phase from a liquid-liquid emulsion. In one embodiment, oil-water emulsion is flowed into a contacting zone in which the emulsion is agitated with a fibrous, solid material such as shredded newspaper. Water having an oil content of less than 10 parts per million is continuously withdrawn near the bottom of the contacting zone and oil is continuously withdrawn near the top of the contacting zone.