Enhanced Oil Recovery (EOR) techniques are crucial for maximizing crude oil extraction from reservoirs, especially when traditional methods leave significant amounts of oil untapped. Recent advancements in nanotechnology have introduced innovative solutions to longstanding challenges in the oil industry. This research paper explores the application of nanotechnology in EOR, emphasizing the unique properties of nanoparticles that make them highly effective in this context. Nanoparticles, defined by their nanometer-scale dimensions, exhibit high surface area to volume ratios, quantum effects, and enhanced reactivity. These properties enable various mechanisms in EOR, including improved wettability, reduction in interfacial tension, enhanced thermal stability, selective plugging and fluid diversion, and catalytic effects. The study details how silica and titanium dioxide nanoparticles can modify rock surface properties, leading to better water imbibition and oil displacement. It also discusses how surfactant-coated nanoparticles can reduce the interfacial tension between oil and water, facilitating easier oil flow. Furthermore, the research highlights the role of metal oxide nanoparticles, such as aluminum oxide and zinc oxide, in enhancing thermal conductivity and stability during thermal EOR methods like steam flooding. The ability of polymer-coated nanoparticles to selectively plug high-permeability zones and redirect injection fluids is examined, demonstrating how this can lead to a more uniform sweep and higher oil recovery. The catalytic properties of certain nanoparticles, such as iron oxide, are also explored for their potential to promote in-situ chemical reactions that generate gases aiding oil displacement. Field applications and case studies underscore the practical benefits of nanotechnology in EOR. Examples include the use of silica nanoparticles in Middle Eastern oil fields, polymer-coated nanoparticles in Canadian heavy oil reservoirs, and iron oxide nanoparticles in Indian oil fields. These case studies have shown significant increases in oil recovery rates and operational efficiencies. However, the research also identifies several challenges that must be addressed for the widespread adoption of nanotechnology in EOR. These include the high costs and scalability issues associated with nanoparticle production and deployment, potential environmental and health risks, and the need for customized solutions to cater to the unique conditions of different reservoirs. In conclusion, while nanotechnology presents promising advancements in EOR through various mechanisms, overcoming challenges related to cost, scalability, and environmental impact is crucial. As research progresses, nanotechnology is poised to play a vital role in enhancing oil recovery and meeting global energy demands.