Vegetable oils are a highly promising alternative to produce various lubricants, owing to their biodegradability and eco-friendliness. In comparison to mineral oil, these oils possess a higher flash point and viscosity index, along with superior lubricating properties. Additionally, most of the vegetable oils are easily accessible in local markets in India. However, their industrial application is limited by poor thermal and oxidative stability, which can be addressed through chemical modification, the addition of appropriate additives, or by blending these oils. Greases, characterized by their semi-solid consistency, are widely used lubricants. Most of the grease production is based on mineral oils as base oil and lithium soap as a thickener. These materials are not only non-biodegradable but also scarce and have health implications. Consequently, biodegradable grease represents an eco-friendly and healthy alternative. Grease made using vegetable oils with the required properties has the potential to bring about revolutionary changes. The present work focuses on the feasibility of using chemically modified blended rice bran oil (RBO) and Calophyllum inophyllum oil (CIO) as a bio-lubricant. The oils undergo a two-step modification process, involving a transesterification reaction followed by epoxidation. Significant improvements have been observed in the chemical properties (acid, peroxide, and iodine values) of transesterified epoxidized rice bran oil Calophyllum inophyllum oil mixture–50:50 (ETRCIO) when compared with Unmodified Rice bran oil Calophyllum inophyllum oil mixture–50:50 (RCIO). The acid value, peroxide value, and iodine value improved by 91.66%, 87.08%, and 15.78% respectively. The rheological, tribological, and chemical properties of the blended samples have been evaluated and compared to pure oils using American Society for Testing and Materials (ASTM) and Indian Standards (IS). Additionally, ETRCIO was used to develop a bio-grease, and its tribological properties were extensively analyzed. The mean coefficient of friction (COF) and wear scar diameter (WSD) of the ETRCIO grease sample improved by 10.20% and 29.32% respectively when compared with that of commercially available grease. These findings indicate that the ETRCIO bio-grease exhibits superior tribological properties in comparison to commercially available grease.