Cellular Lightweight Concrete (also referred to as foam concrete) has increased its popularity due to its favorable features such as thermal comfort, lightweight, high strength/weight ratio and fire resistance. The production of foam concrete often uses river sand which is a depleting natural resource. Bottom Ash, a by-product of coal fired thermal power plants, is currently considered as a waste material. Use of bottom ash, in production of foam concrete, results in a sustainable product, as the use of sand is reduced, while making use of a by-product. This research was focused on the suitability of use of bottom ash in foam concrete with respect to compressive strength and drying shrinkage. The results indicate that the use of bottom ash in foam concrete has increased the compressive strength and reduced drying shrinkage, in comparison to foam concrete prepared without bottom ash. Based on the findings of the study, it can be stated that bottom ash can be effectively utilized in production of foam concrete.