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The present work intended to develop an invert emulsion drilling mud from biodegradable neem seed oil as an alternative to conventional diesel-based drilling mud. This would present comparable properties and performances with API standard requirements, ecologically friendly and at a low cost. Biodiesel produced from non-edible neem oil was used as the continuous phase in an invert emulsion-based drilling mud. Different tests to investigate the applicability of the mud for drilling applications were conducted. The rheological and lubricity tests results indicate that the neem oil biodiesel-based drilling muds are comparable with conventional diesel-based drilling muds. The produced biodiesel shows a significantly better flash point of 168 °C than the traditional diesel flash point of 70 °C; indicating better fire safety than the conventional diesel. The lubricity and rheological data indicate the formulated mud with …