Abstract: A solvent-bearing sludge material is pumped by a variable speed positive displacement pump from a preparation mixing tank through a pressure responsive valve which distributes the material into the upper portion of an insulated distilling or processing vessel. Steam is introduced into the lower portion of the vessel and mixes with the material to volatize the solvents which are directed through a condenser and pump to a storage tank. Water and suspended solid particles are continuously pumped from the bottom of the vessel to an insulated settling tank where the solid particles settle and are continuously removed by a drag-out conveyor. The hot water in the upper portion of the settling tank is pumped back into the vessel, and may have sufficient velocity to increase agitation within the vessel, or a mechanical agitator may be installed within the bottom portion of the vessel.