The Faculty of Mechanical Engineering was established out of the Faculty of Mechanical Engineering section in the University of Sarajevo which started out in 1971/72. Classes consisted of two departments – the Department of Production and the Department of Construction. At the beginning of 1975, a decision was brought that this department should be seperated from the Faculty of Mechanical Engineering in Sarajevo and that a Faculty of Mechanical Engineeing should be established as a part of the University of Banja Luka.

From 1979 and onwards, two departments are active on this faculty – the Department of Production and the Department of Energy drive. During the school year of 1990/91 two more departments were introduced – the Department of Productional Mechanical Engineering and the Department of Thermal Technology and Motorizing, and during the school year of 2000/01, the Department of Work Safety was established.

During the school year of 2006/07, a new organizing of studies was carried out. All study programs were organized according to a tetriary study model (3+ 2+ 3). On each of the study programs, the classes are held as a part of primary and secondary study cycle.