Abstract: A developing situation of oil pipeline's anti-bandies technology is investigated in the paper. Design and application scenario for the real-time localization and monitoring system with intelligent tape for oil pipelines are described from four aspects such as circuit design of real-time monitoring, structure design of system, data acquisition 6-processing (DAP) and general packet radio service (GPRS). The application in Linyi-Ji'nan Oil Pipeline shows that the system can alarm quickly for damaged tape of pipeline with a high precision in bidirectional location, which will effectively ensure the safe operation of oil pipelines.