in this work, a novel fluidized-bed membrane reactor (FBMR) for naphtha reforming in the presence of catalyst deactivation has been proposed. In this reactor configuration, a fluidized-bed reactor with perm-selective Pd-Ag (23 wt% Ag) wall to hydrogen has been used. The reactants are flowing through the tube side which is a fluidized-bed membrane reactor while hydrogen is flowing through the shell side which contains carrier gas. Hydrogen penetrates from fluidized-bed side into the carrier gas due to the hydrogen partial pressure driving force. Hydrogen permeation through membrane leads to shift the reaction toward the product according to the thermodynamic equilibrium. This membrane-assisted fluidized-bed reactor configuration solves some drawbacks of conventional naphtha reforming reactors such as pressure drop, internal mass transfer limitations and radial gradient of concentration and temperature. In FBMR the hydrogen which is produced in shell side is a valuable gas and can be used for different purposes. The two-phase theory of fluidization is used to model and simulate the FBMR. industrial packed bed reactor (PBR) for naphtha reforming is used as a basis for comparison. This comparison shows enhancement in the yield of aromatic production in FBMR for naphtha reforming. Although using FBMR reduces hydrogen mole fraction in reaction side and enhances catalyst deactivation due to coking, but this effect can be compensated using advantages of FBMR such as suitable hydrogen to hydrocarbon molar ratio, lowering deactivation rate due to lower temperature, control of permeation rate by adjusting shell side pressure and shifting the equilibrium reactions. The impacts of hydrogen to hydrocarbon molar ratio, pressure, membrane thickness, flow rate and temperature have been investigated in this work. (C) 2008 International Association for Hydrogen Energy. Published by Elsevier Ltd. All rights reserved.