Absorption refrigeration cycles are alternatives to conventional vapor-compression cycles in which the energy required for refrigeration is provided by heat instead of mechanical work. In this paper, a novel refrigeration cycle utilizing the immiscible liquid-phase separation behavior is simulated and analyzed using Aspen simulator. The two conjugate liquids adopted in this work are triethylamine (solute) and water (solvent). This binary system has a low critical solution temperature of 18 degrees C. The thermophysical properties of the binary mixture are generated using the universal functional activity coefficient (UNIFAC) and the nonrandom two-liquid (NRTL) models. The phase splitting phenomenon at the generator temperature is predicted by both models. However, in comparison with the available experimental data for the same binary mixture, NRTL model gives better predictions for the flow rates and compositions of the material streams. Heat duties of the evaporator, absorber, and generator and the power consumption of the solution pump have been calculated using UNIFAC and NRTL models. The cycle COP that plays a major role in determining the cycle economical viability has been predicted for different operating conditions using the two models. Simulation results show that, for a waste heat reservoir at 60 degrees C and using NRTL model, the COP is about 2.0. Second law analysis conducted for all cycle components of the cycle shows that about 42% of the total exergy destructed occurs in the generator. Finally, the liquid-phase separation refrigeration cycle is predicted to be a promising cycle in the near future because of hardware and energy savings. Copyright (C) 2011 John Wiley & Sons, Ltd.