Usually, tea tree oil is being used to treat minor cuts, burns, acne, athlete's foot, mild fungal nail infections, vaginal yeast infections, and lung problems (when they add the oil to a bath or vaporizer). It's important to dilute the oil with a carrier oil, such as olive oil, coconut oil, or almond oil. For every 1 to 2 drops of tea tree oil, add 12 drops of carrier oil. It is advised to be careful when using tea tree oil around the eye area.