Esfahan Province is located in an arid region. It is facing with water shortage and deteriorating water quality. Excessive utilization of water in industrial sector and return of industrial Effluent Water (EW) are among potential threats to environment. The effect of application of industrial EW (Folad-Mobarkeh) on agricultural land and ground water resources were studied. The EW chemical properties, and selected wells water in the vicinity, were seasonally sampled (year, 2003) during 24 hours, in 6 hours period. The samples were analysed for SAR, N-NO3, TDS, TSS, COD, BOD, EC, pH, total hardness, cations, anions, RSC, and heavy metals concentration of Mn, Cd, Pb, Cu, Zn, Fe, Co, Cr and Ni. The results showed that So42-, Cl-, COD, BOD, and NO3-N concentration of EW are the limiting factor for discharge into surface and absorption well.In well water EC, SAR, TDS, N-NO3, Cl-, SO42- and HCO3- and heavy metals concentration of Cd, Co, Cr, Mn and Cu were higher than maximum permissible level for agricultural land irrigation.For utilization of EW for irrigation of agricultural land, EC, TSS, TDS, N-NO3, BOD, COD, Cl-, SO42- and HCO3- and heavy metal concentrations of Cd, Co, Cr, Mn, Cu and Zn were the limiting factors and were higher than maximum permissible level. The excessive EW heavy metals concentration of Cd, Zn, Mn, and Cu have increased the corresponding concentration of heavy metals in well water. In summary Folad-Mobarekeh EW is not adequately, treated and concentrations of many chemicals are higher than maximum permissible level for irrigation of agricultural land of discharge into absorption well. Key words: Heavy metals, pollution, permissible level, Folad-Mobarekeh.