The relevance of nanotechnology in the field of energy resources has been growing at a swift pace. The term ‘catalyst’ has a whole new outlook since the foundation of nanomaterials in process industries. Nanocatalysts, in general, play a vital role in the improvement of resource handling and process efficiency. New prospects to achieve sustainable processing have been made possible through the progress in nanotechnology. These developments of nanomaterials in the energy sector have also reached the parts of the oil and gas industry. In downstream processing of oil and gases, the use of nanocatalysts is commonplace. As the focus towards the production of heavy crude oil has seen an uprising, the use of nanomaterials has shown a promising scope in altering heavy oil properties to favour the oil recovery mechanisms. The majority of the reservoirs around the world have volumes of heavy crude oil with only a few effective ways to produce it. With the ever-growing energy demands it is of due importance that the focus has been shifted to implement nanotechnology in heavy oil production. This chapter discusses the role of nanomaterials in the development of heavy oil recovery. Different types of mechanisms that explain the effects of nanoparticles and their interaction with oil and its constituents are highlighted. The effects coupled with the use of various thermal treatment schemes have been explained. The scope of applicability in the field of flow assurance has been discussed. The use of nanoparticles in improving the existing EOR applications and devising new ways to achieve the production of heavy fractions. © 2020, Springer Nature Switzerland AG.