Biosurfactant is a structurally diverse group of surface-active molecule, Synthesized by microorganisms. In present study isolation and screening of microorganisms from oil spill soil with biosurfactant producing ability was investigated by drop collapse test, oil spreading test, measurement of surface tension, hemolytic assay, emulsification index, emulfication activity and methylene blue agar plate method. Five soil samples from oil contaminated soil of various automobile workshops, petrol pumps and saw mills were collected. Total 25 bacterial strains were isolated, out of which 8 potential bacterial strains with ability to produce biosurfactant were selected for further study. On the basis of cultural, morphological and biochemical characteristics these 8 bacterial strains were tentatively identified as belongs to Pseudomonas, Citrobacter and Klebsiella species(spp). Pseudomona spp. from petrol pump near Deoli region of Wardha district was found to be the potent biosurfactant producer. It is evident from the results that biosurfactants can be used in place of synthetic surfactants due to their efficiency and ecofriendly nature.