We demonstrate a Fock-state filter which is capable of preferentially blocking single photons over photon pairs. The large conditional nonlinearities are based on higher-order quantum interference, using linear optics, an ancilla photon, and measurement. We demonstrate that the filter acts coherently by using it to convert unentangled photon pairs to a path-entangled state. We quantify the degree of entanglement by transforming the path information to polarisation information, applying quantum state tomography we measure a tangle of T=(20+/-9)%.
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