Petroleum is vital to many industries and in the manufacture of a wide variety of materials; it accounts for a large percentage of the world's energy consumption and thus is a critical concern for many nations. This chapter begins with an overview of the environmental impacts of the petroleum industry. Intensification of the greenhouse effect associated with global warming and climate change, acid rain, photochemical smog, reduced atmospheric visibility, death of forests, ozone depletion (from firefighting agents), soot/heavy metals deposition, poor water quality, surface water/groundwater contamination, soil contamination, disturbance of communities/flora/fauna, and destruction of ecosystems are some of the environmental impacts of the petroleum industry. Toxicity, the greenhouse effect, acid rain, and environmental impacts of oil spills are discussed. This is followed by environmental protection options in the petroleum industry that include environmental audits (EA), waste-management plans, waste-management practices, certification of disposal processes, contingency plans, and employee training. Waste-management practices can be implemented by prevention (improved operations or operating procedures), source reduction or waste minimization (material elimination, inventory control and management, material substitution, process and equipment modifications, and improved housekeeping), reuse, recycling/recovery, treatment, and disposal. Setting and enforcing environmental regulations in the petroleum industry are important for minimizing the potential environmental impacts and protecting human health and the environment and thus current environmental regulations are summarized.