Self-propelled rods exhibit a phase-separated state characterized by the presence of active stresses and the ejection of polar clusters.

We study collections of self-propelled rods (SPR) moving in two dimensions for packing fractions less than or equal to 0.3. We find that in the thermodynamical limit the SPR undergo a phase transition between a disordered gas and a novel phase-separated system state. Interestingly, (global) orientational order patterns-contrary to what has been suggested-vanish in this limit. In the found novel state, the SPR self-organize into a highly dynamical, high-density, compact region-which we call aggregate-which is surrounded by a disordered gas. Active stresses build inside aggregates as a result of the combined effect of local orientational order and active forces. This leads to the most distinctive feature of these aggregates: constant ejection of polar clusters of SPR. This novel phase-separated state represents a novel state of matter characterized by large fluctuations in volume and shape, related to mass ejection, and exhibits positional as well as orientational local order. SPR systems display new physics unseen in other active matter systems.