Many studies have investigated the crude oil separation process’s separation mechanisms, size, and design, employing horizontal 3-Phase Gravity Separators in depth. There are, however, very few articles on their dynamics, modelling, and simulation. Understanding its dynamic behaviour will aid in designing and tuning the device that can manage water level, oil level, and gas pressure in response to feeding variations. This Scientific Paper gives a complete mathematical analysis, modelling, and simulation of a crude oil separation process using a horizontal 3-Phase Gravity Separator using Mathworks Matlab R2016b-x64 and Aspen Hysys V10. Bishoy’s Equations, which were constructed, will assist in operating this gadget, locating various variables, and observing the effect of modifying variables on the system’s variables. The rationale for this study was developed in response to the small number of articles discovered, which may be a covert issue held up by large oil companies, as well as the complicated equations related to this process that remain unsolved, and to monitor what is happening in this complex dynamic process. As a result, this Research Paper is unique and novel, and it can be compared to the work done by some authors who did not solve the obtained differential equations and did not go further in Aspen Hysys Modeling and Simulation, whereas this paper provides everything related to a three-phase gravity separator, including changing of variables and observing the effect on the system when those variables were modified. Furthermore, separators are designed with internal baffles to promote laminar flow and increase separator efficiency. However, it has been assumed that there are no baffles here, which is a significant problem, but with the help of these equations, the horizontal three-phase gravity separator can be operated at its maximum efficiency. The equations determined the following variables: The height of gas, water, oil, the height of oil when it jumped the weir, the pressure of the gas (in and out), water pressure (in and out), oil pressure (in and out), and the effect of increasing (control valve’s stem position) and decreasing Qin (inlet volumetric flowrate) on these variables have all been studied. This article discovered that increasing the control valve stem position and decreasing the inflow volumetric flowrate of both oil and water was highly unsafe and caused significant variations in the system’s heights and pressures using Matlab. The Aspen Hysys analysis optimally separates the oil, gas, and water to determine material, energy streams properties, and compositions. As a result, this complex dynamic behaviour was observed, and no additional articles were discovered that addressed this subject. This process monitoring will determine the best conditions for flawless separation, with the selectivity of the desired product or products as the primary goal. This research can revolutionize the way people think about oil and gas extraction and processing and benefit colossal oil and gas firms in Europe, Asia, and Africa.