In this study, the bacterium Bacillus licheniformis has been isolated from oil reservoir; the ability of this bacterium to produce a biosurfactant was detected. Surface properties of the produced biosurfactant were confirmed by determining the emulsification power as well as surface and interfacial tension. The crude biosurfactant has been extracted from supernatant culture growth, and the yield of crude biosurfactant was about 1 g/l. Also, chemical structure of the produced biosurfactant was confirmed using FTIR analysis. Results revealed that, the emulsification power has been increased up to 96% and the surface tension decreased from 72 of distilled water to 36 mN/m after 72 h of incubation. The potential application of this bacterial species in microbial-enhanced oil recovery (MEOR) was investigated. The percent of oil recovery was 16.6% upon application in a sand pack column designed to stimulate an oil recovery. It also showed antimicrobial activity against the growth of different strains of SRB (sulfate reducing bacteria). Results revealed that a complete inhibition of SRB growth using 1.0% crude biosurfactant is achieved after 3 h. ª 2015 Production and hosting by Elsevier B.V. on behalf of Egyptian Petroleum Research Institute. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).