A one-dimensional ternary two-phase simulator has been extended to inc
lude improved physical properties. These physical properties - such as
phase behavior, interfacial tension, residual saturations, relative p
ermeabilities, phase viscosities, wettability, capillary pressure, ads
orption and dispersion - are modeled as concentration dependent functi
ons. Their functionality completely controls the chemical flood transp
ort phenomena. In this paper, the influence of phase behavior, interfa
cial tension reduction, mobility control and wettability alteration on
chemical flooding are analyzed. In a subsequent paper the influence o
f capillary pressure, adsorption, and physical and numerical dispersio
n will be presented. The main application of the simulator here presen
ted is to describe enhanced oil recovery processes. It may also be app
lied to describe oil spill cleaning and groundwater contamination.