Oil-degrading microorganisms are ubiquitous. They can be isolated from contaminated soils where the oil seepage occurs. In this study, five different bacterial species were isolated from soil contaminated with used engine oil and their ability to degrade used engine oil in vitro was studied. The isolates were grown in mineral salt medium (MSM) supplemented with used engine oil. Isolate MJAL1101 showed maximum oil degradation (27.37%) after 7 days incubation period. The isolate was tentatively identified as Bacillus megaterium based on Bergey’s Manual.