Medical wastes accumulated in the environment, particularly in water, have a devastating effect on human health and ecosystem. Antibiotics are common medical waste that overuse may cause antibiotic resistance for humans as well as harm aquatic life. Due to these impacts, it is necessary to find an effective way to reduce the amount of antibiotic contaminants in the water. Many techniques are used to treat medical wastewater. The aqueous two-phase extraction system (ATPS) is a very efficient treatment route. The technique has high extraction efficiency, can be conducted at ambient conditions, uses a minimal amount of solvent, and can be undertaken in a very short period especially when conducted on a micro-channel scale. These advantages make micro-channel-based extraction more efficient, faster, simpler, and cheaper option compared to other separation techniques. The work presented in this thesis aims to investigate experimentally amoxicillin removal from wastewater using an aqueous two-phase system in conventional and micro-channel extraction utilizing the PEG6000-K2HPO4-amoxicillin extraction system. The experimental work was carried out in three phases: conventional extraction, hydrodynamics analysis, and micro-channel-based extraction. The hydrodynamics study and micro-channel extraction works were carried out in a 1 mm internal diameter and 10 cm circular glass tube. The hydrodynamics study is needed to understand the multiphase flow behavior and select the best operational zone based on the flow patterns type and pressure drop. The working fluids were polyethylene glycol 6000 (PEG6000) and an aqueous solution that consists of different dibasic potassium phosphate (K2HPO4) concentrations with 40 ppm of amoxicillin. The PEG6000 density and viscosity are 1061 kg/m3 and 0.02016 kg/m.s, respectively, while for the aqueous solution consisting of 25 wt.% salts are 1175 kg/m3 and 0.001598 kg/m.s, respectively. The range of aqueous solution and PEG6000 flow rates covered by this study were within the range of 0.01-1 mL/min. The effect of mixing junctions and flow rates on flow patterns and pressure drop was investigated using a high-resolution camera and a digital manometer, respectively. Four different flow patterns were observed: drop flow, plug flow, deformed interface flow, and annular flow. The pressure drop across the glass channel was found to increase with increasing flow rates. Also, it was found that the flow patterns type and pressure drop were not much affected by the inlet junction's type. For the micro-channel extraction study, a plug zone with 0.1 mL/min of the aqueous phase and 0.1 mL/min of PEG6000 was chosen due to less pressure drop and high mass transfer rate. The conventional extraction experiments were conducted for 160 minutes with a mixing speed of 500 rpm. The influence of temperature, salt concentration, and volume fraction ratio on conventional extraction and micro-channel extraction efficiency and overall volumetric mass transfer coefficient were also investigated. It was found that the extraction efficiency and the overall volumetric mass transfer coefficient increase with increasing temperature, salt concentration, and volume fraction ratio. The optimum conditions for both conventional extraction and ATPS were found by adopting a statistical experimental design approach. The design of experiment analysis (DoE) revealed that the optimum process parameters, namely, temperature, salt concentration and volume fraction ratio for the ATPS as well as the conventional extraction methods were 44.3 °C, 42.6 wt.%, and 0.5. It was concluded that the micro-channel-based extraction method is superior for treating medical wastewater. This is attributed to a very short contact time of 1.96 minutes as compared to the 540 minutes needed for conventional mode. Additionally, the amount of solvent needed to achieve target separation is much less than that consumed by the conventional mode. The overall mass transfer coefficient achieved using the micro channel extraction (0.307727 s-1 ) is much higher than the conventional extraction (0.079985 s-1 ) due to the high interfacial surface area available for contact. Such a high interface area enhanced both extraction efficiency and solute transfer rate. Based on process economy and efficacy, it is recommended to use micro-channel-based ATPS to treat medical wastewater.