The oxidation stability of lubricating oil has a critical influence on the oil performance during service. In this paper, dibenzyl-S-phenyl thioglyconitrile and other derivatives were prepared by phase transfer catalysts and investigated as antioxidants. These compounds were added to oil in different concentrations. The antioxidants activities of different dosages were evaluated and the mechanism was suggested according to micelle and its thermodynamics. The oxidation of the oil has been carried out at different time intervals. The degradation of the oil has been monitored by total acid formation. Oxidation stability of lube oil was largely affected by sulphur and concentration of aromatic hydrocarbons in oil, with the increased sulphur content increasing oxidation stability. The prepared compounds gave higher oxidation stability than imported compound (IRCANOX L 135-CIBA).