Activated carbon based palladium impregnated catalyst (Pd/C) was prepared for the reactive removal of carbon monoxide (CO) gas under ambient air conditions. For this, active carbon of 1250 m2/g surface area was impregnated with palladium salt to get Pd/C catalyst, containing palladium from 4.0 to 8.0% (w/w). Catalytic efficiency of the catalyst against CO gas was determined under dynamic conditions by passing CO-air mixture to the fixed bed of the Pd/C catalyst. Results indicated that Pd/C catalyst was continuously adsorbing and actively removing CO gas during the course of the palladium catalyzed reaction, i.e., CO + 1/2 O2 → CO2 and was found capable of providing excellent protection against CO gas. Moisture content (humidity) of inlet CO-air mixture indicated it to be an important factor affecting the CO removal efficiency of the catalyst, as an increase in humidity after the CO breakthrough resulted in to the activation of the catalyst due to the generation of hydroxyl groups and enhanced protection by the regeneration of the catalyst. Study indicated that Pd/C catalyst works as a catalytic converter, i.e., the continuous conversion of CO to CO2 using atmospheric oxygen and moisture. In order to determine the shelf life, the Pd/C catalyst was also evaluated for its performance after accelerated ageing at 70 °C and 50% relative humidity (RH) for 3.75 and 7.5 months. The catalyst was found to be working efficiently for 3.75 months but after 7.5 months it could not provide 100% protection against CO gas, however, the same catalyst started giving 100% protection after regeneration. Hence, studies indicated the Pd/C catalyst to be a promising catalyst for the reactive removal of CO gas in enclosed spaces/compartments, coal mines, fire accidents and for getting the protection for longer duration under ambient air conditions. © 2008 Elsevier B.V. All rights reserved.