Low-salinity waterflooding (LSWF) is a potential new method for enhanced oil recovery (EOR) in sandstone and carbonate rock formations. LSWF approach has gained an attention in the oil and gas industry due to its potential advantages over the conventional waterflooding and other chemical EOR technologies. The efficiency of waterflooding process is effected via reservoir and fluid parameters such as formation rock type, porosity, permeability, reservoir fluid saturation and distribution and optimum time of water injection. Combined effect of these factors can define the ultimate recovery of hydrocarbon. The main objective of this chapter is to review the mechanism of LSWF technique in improving oil recovery and the mechanism under which it operates. Various laboratory studies and few field applications of LSWF in recent years have been presented mainly at the lab scale. Also it will explore numerical modeling developments of this EOR approach.