Two different equilibrium catalysts from a FCC unit have been separated by the MagnaCat(TM) process, into fractions of different magnetic susceptibility. The results showed that the magnetic separation was influenced by gravity and inertia forces. Large particles had a tendency to accumulate in the accepted, least magnetic fraction which is to be returned to the regenerator. The results also indicated that the two equilibrium catalysts under investigation could respond somewhat differently to the magnetic separation. The equilibrium catalysts and the treated catalysts with the most magnetic fraction removed, were tested and evaluated in a modified ARCO pilot unit. The feed used was a North Sea 375 degrees C+atmospheric residue, The evaluation showed that the catalytic activity increased, resulting in higher gasoline production at the expense of gas and coke, when the most magnetic fraction was removed. The economic evaluation showed a potential for improved cost margins for both catalysts if the benefit of the magnetic separation was used to improve catalyst activity, selectivity and throughput in the FCC unit at constant catalyst make up rate. If on the other hand the benefit of the magnetic separation was used to lower the catalyst consumption the addition of value would rise to a lesser degree.