Aiming at the serious sand production situation in the process of steam stimulation in Jiang 37 heavy oil field, an experimental study on oil displacement by injecting surfactant for viscosity reduction is conducted. Surfactants screening result shows that a distributed viscosity reducing agent called FPS-H has a good compatibility with produced water from Jiang 37 heavy oil field, the interfacial tension of oil /water could be lowered down to 0.05 mN/m, and the viscosity reduction rate through emulsion could be upped to 92.1%. The optimum parameters of FPS-H flooding, including injection amount of 0.5 PV, injection rate of 1.0mL/min, injection method of 0.5 PV FPS-H plus continuous water flooding and injection temperature ofwater below50℃, are determined in the experimental results of oil displacement.