Oil drilling operations produce substantial amounts of waste, including drilling mud and heavy petroleum residues, which pose a serious threat to the environment. This study explores the reuse of such waste oils as mulch for stabilizing shifting sand dunes. This approach not only offers an effective means to reduce environmental pollution but also helps in controlling wind erosion and dust storms in arid regions. The economic analysis suggests that recycling waste oil in this way is more cost-effective than burning or burying it. The paper concludes with practical recommendations for implementing this solution as an environmentally friendly alternative in desert management.