Performance analysis has been carried out on a high side scroll compressor having a fixed scroll equipped with a circular oil groove on its thrust surface. Oil is supplied to the oil groove through an intermittent opening from a high pressure oil reservoir formed inside the orbiting scroll hub. Oil in the groove is then delivered to both suction and back pressure chambers by pressure differentials and viscous pumping action of the orbiting scroll base plate. Mathematical modeling of this oil groove system has been incorporated into main compressor performance simulation program for optimum oil groove design. Pressure in the oil groove can be controlled by changing the oil passage area and oil groove configuration. With an enlarged oil passage, pressure in the oil groove increases due to increased flow rate, but pressure increase in the back pressure chamber is not that large, resulting in reduced friction loss at the thrust surface between the two scrolls. On the other hand, by increasing the oil passage area, oil content in the refrigerant flow increases, and the orbiting scroll stability could be negatively affected by oil groove pressure increase. Considering all these factors, EER could be improved by about 3.6% at ARI condition by optimum oil groove design