Abstract: After the hematite ore from Bayan Obo was deoxidized, the samples were of complex mineral composition, course metallic iron grain and high content of residual carbon. Iron powder with a TFe grade 92.02%, a metallization rate 94.18% at an iron recovery 93.27% was obtained after combined flow sheet of magneticgravity separation followed by stage grinding-respective treatment of course and fine fractions. This powder can be used as steelmaking material. The tailings with a grade of rare earth  15.10%  at a recovery 97.18% can used as material for beneficiation of rare earth.

Key words: Hematite ore from Bayan Obo, Deoxidized samples, Metallic iron grain, Magnetic-Gravity separation