Commercial development of oil shale resources will produce vast quantities of processed shale waste. The presence of potentially toxic trace elements, inorganic salts, and potentially toxic residual organic constitutents make the disposal of vast quantities of processed shale a potential environmental problem. To be environmentally acceptable, processed shale disposal must: result in a physically stable structure, prevent or minimize release of potentially toxic compounds, and provide an economically acceptable post-land use. Water is the common element underlying all factors important to the environmental stability of disposed solid waste. The leaching and transport of solubles by water in processed shale embankments may result in degradation of local surface and groundwater quality. The major purpose of this research is to physically model, study, and describe the redistribution and movement of water and percolates in lifts of disposed processed oil shale under simulated natural environmental conditions at a scale sufficient to predict these processes on an engineering (commercial) scale and to verify the use of developed computer models to describe these processes. Progress is discussed. 4 figs.