The petroleum sector is characterized by heavy investments which involve the transfer of lots of capital through the use of foreign investment. It is therefore of paramount interest to such investors to safe-guard themselves against the subsequent and future acts of the host government where their investments are made where such acts are capable of having a negative impact on their investments. This has been mostly achieved by providing for a dispute settlement mechanism to settle any investment disputes that may arise between the foreign investors and the host state. This work seeks to determine if the International Centre for Settlement of Investment Disputes (ICSID) remains the best option for settlement of petroleum investment disputes in such a way that it meets the expectations both parties. This will be achieved by discussing the nature of international petroleum investments and how disputes arise there from and examining the ICSID administrative procedure and adjudicatory process in the light of decided cases that arose from disputes in petroleum investments.