In this paper, Computational fluid dynamics (CFD) modeling of turbulent heat transfer behavior of Magnesium Oxide-water nanofluid in a circular tube was studied. The modeling was two dimensional under keε turbulence model. The base fluid was pure water and the volume fraction of nanoparticles in the base fluid was 0.0625%, 0.125%, 0.25%, 0.5% and 1%. The applied Reynolds number range was 3000 e19000. Three individual models including single phase, Volume of Fluid (VOF) and mixture were used. The results showed that the simulated data were in good agreement with the experimental ones available in the literature. According to the experimental work (literature) and simulation (this research), Nusselt number (Nu) increased with increasing the volume fraction of nanofluid. However friction factor of nanofluid increased but its effect was ignorable compared with the Nu on heat transfer increment. It was concluded that two phase models were more accurate than the others for heat transfer prediction particularly in the higher volume fractions of nanoparticle. The average deviation from experimental data for single phase model was about 11% whereas it was around 2% for two phase models.