The Air-Lift Pump is a well-established method for vertical transport of liquids and solid liquid mixtures. The objectives of the present study are to evaluate the performance of a pump under predetermined operating conditions and to optimize the related parameters for use of the pump for two phase mixtures of air and water when the compressor is readily available. This paper is focussed on the general mathematical functions applicable to pump installations. The user friendly computer program is developed based on the optimization of influencing variables. This program will be useful for design and installations of air-lift pump handling air water mixtures. A comparative study of