Sequestration of carbon dioxide (CO2) into already developed oil fields is considered as one of the option for mitigating anthropogenic CO2 discharge into the atmosphere. In Carbon dioxide Enhance Oil Recovery (CO2-EOR) operations the CO2 has been used as the injection fluid. As part of this process, the CO2 reacts with the oil that increases its volume, reduces its viscosity and interfacial tension CO2/oil, making easier oil recovery. While, significant quantities of CO2 remain sequestered in the reservoir. The goal of such projects is maximizing the oil production and minimizing the CO2 injection. However, in sequestration projects, for maximum oil production with the highest amount of CO2 storage, the injected CO2 requires to be maximized. The goal of this research is to better understand the potential for both enhanced oil recovery and storage of CO2, through the CO2-EOR simulation. To achieve it propose the following specific objectives: (1) the characterization fluids, modeling of fluid phase behavior using equation of state (EOS) for reliable application on the compositional simulation; (2) investigate different EOR processes, continuous gas injection (CGI) and water alternating gas (WAG) injection; and, (3) optimization the CO2-EOR process performance and evaluation of the CO2 storage capacity during oil production. The following parameters were considered in the optimization study: i) miscibility; ii) cyclic injection; iii) injection and production rate; iv) gravity override; v) type, number and location of injection and production wells; and, vi) WAG ratios and WAG slug sizes. A number of simulations are required to achieve comprehensive understanding and evaluate the different injection strategies and injection timing, on optimization of oil recovery and CO2 storage capacity.