The dispersion and tribological properties of liquid paraffin with added aluminum nanoparticles were studied in this study, this lubricant are prepared by the surface-modification method that uses oleic acid (OA). The dispersion stability of aluminum nanoparticles in liquid paraffin are measured by spectrophotometry, which can be optimization by Taguchi method. The tribological properties are evaluated by using a ball-on-ring wear tester. The results show that few concentrations of aluminum nanoparticles as additives in liquid paraffin have better antiwear and antifriction properties than the pure paraffin oil. According to the SEM and EDS analyses, the thin film on the rubbing surfaces can be formed by these aluminum nanoparticles, which not only bear the load but also separate the both interfaces, thus the wear and friction can be reduced.