As many as 80 percent of infants admitted to intensive care units have a respiratory in their list of diagnoses. The most common significant pulmonary function abnormality is a reduction in lung compliance and functional residual capacity resulting from retained fluid, lung immaturity, pneumonia, and other such causes. Although the treatment for these pulmonary function abnormalities includes continuous positive airway pressure (CPAP) or positive end –expiratory pressure (PEEP) and mechanical ventilation, supplemental oxygen is frequently utilized to assist pressure support or to improve oxygen delivery to the functional lung units to compromised areas. Hence, oxygen is one of the most commonly used drugs in the neonatal intensive care unit.