Processing of citrus peel residues was hard problem in citrus processing enterprise while the nutrients—rich citrus peel residues could be used for cultivation oyster mushroom. Oyster mushroom was cultivated in three different culture medium packed in polypropylene film with citrus peel residues as the main material. As a result,the highest mean oyster mushroom yield was medium A. But the average biotransformation efficiency of the three kinds of mediums was below 80%. Therefore,the mediums need to be optimized. The nutrients of Citrus peel residues-Oyster mushroom was compared with commercial mushroom. The result showed that there were no significant differences in general. However,Vitamin C,polyphenol and polysaccharide content in Citrus peel residues-Oyster mushroom was distinctly higher than commercial available mushroom. The pesticide residues content of Citrus peel residues-Oyster mushroom was lower than"green"edible mushroom and pollution-free edible mushroom,while commercial mushroom was higher than"green"edible mushroom. The lead and cadmium content of both samples from the market all exceeded the standard limitation. Therefore,culturing mushroom with citrus peel residues was a better choice.