Artificial Intelligence (AI) is increasingly transforming the regulatory compliance landscape in the oil and gas industry. This paper examines the profound impact of AI on ensuring adherence to complex regulatory frameworks governing this sector. Regulatory compliance in the oil and gas industry involves adhering to a myriad of environmental, safety, and operational regulations, often posing significant challenges due to the volume and complexity of data involved. AI technologies, including machine learning, natural language processing, and predictive analytics, offer innovative solutions to these challenges. AI enhances data management and analysis by automating data collection, processing, and reporting, thereby increasing accuracy and efficiency. Predictive maintenance and risk assessment tools powered by AI can identify potential compliance issues before they arise, allowing for proactive measures. Moreover, AI-driven compliance monitoring systems enable real-time tracking of regulatory adherence, reducing the risk of non-compliance and associated penalties. Automated auditing and inspection processes further streamline compliance checks, ensuring thorough and consistent evaluations. Case studies demonstrate successful AI implementations in regulatory compliance, such as automated reporting systems in offshore drilling and predictive maintenance in pipeline management, which have resulted in improved compliance rates and reduced operational risks. However, the adoption of AI is not without challenges. Issues related to data quality and integration, cybersecurity, and regulatory acceptance pose significant hurdles. Additionally, ethical and legal considerations surrounding AI deployment must be addressed to ensure responsible use. AI holds substantial potential to revolutionize regulatory compliance in the oil and gas industry by enhancing efficiency, accuracy, and proactive risk management. As AI technologies continue to evolve, their integration into compliance processes will likely become more sophisticated, offering greater benefits and addressing current limitations. The future of regulatory compliance in the oil and gas sector will be increasingly shaped by the advancements in AI, driving both operational excellence and adherence to stringent regulatory standards.