Two monitored hydraulic station in a steel mill are taken for examples to illustrate the application of oil analysis technology in steeling equipment management. The water pollution appeared in the hydraulic oil of one hydraulic station was found timely through oil analysis,and the cause of pollution was also found to avoid the equipment failure.The misuse of hydraulic oil was found timely through continuous oil monitoring so as to avoid broken of key parts. The nationalization of imported oils was implemented based on the oil analysis technology,which reduced the production cost.