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This study deals with research activities that aim to emphasize the effect of titanium dioxide (TiO₂) nano-particles, used as additive, on physicochemical and tribological properties of lubricant engine oil. Commercial TiO₂ Degussa P25 nano-particles with 21 nm average particle size were blended with commercial Castrol (10W-40, A3/B4, SL/CF) engine oil, varying concentrations of nano-particles (between 0.01% wt. to 0.1% wt.) in lubricating oil, under both magnetic stirring and ultrasound conditions. The physicochemical properties of the oil and dispersions which contain TiO₂ nano-particles were determined e.g. density, viscosity, viscosity index and flash point. In order to evaluate if there are chemical interactions between TiO₂ nano-particles and oil, FT-IR spectroscopy was utilized. The tribological properties were tested on block-on-ring tribotester. Density, viscosity and viscosity index tend to increase with TiO₂ content. The studies provide information regarding the utilization of TiO₂ nanoparticles as additive in lubricant engine oil which can improve the physicochemical (density, viscosity and viscosity index) and tribological (coefficient of friction) properties, which can leads to fuel economy in automotive engines.