This study is carry out to evaluate the impact of environmental sustainability reporting on bankruptcy risk exposure of quoted oil and gas companies in Nigeria, through review of related literature. Following extensive literature reviews, though both positive and negative relationships were found, studies with results yielding negative association between environmental sustainability and bankruptcy risk dominates the extant literature. It was also found that there has been weak implementation of environmental protection laws which gives impetus to rampant degradation of the environment in Nigeria. In the light of these findings, the study concludes that oil and gas companies in Nigeria stand to benefit from being compliant with environmental sustainability in accordance with the prediction of the legitimacy theory, though they lack the courage to do so. Therefore, the study recommended that management of oil and gas companies in Nigeria should sustain and enhance green reporting in order to enjoy sustained business continuity. It is further recommended that the Environmental Protection Agency of Nigeria be more alive to its responsibility by carrying out effective monitoring of oil and gas companies’ activities to check the rate environmental degradation