The composition of Deoxidized Samples of Bayan Obo Oxidized Iron Ore is complex with high content of residual reducing C, Fe phase in the RDP is ferrous metal what is hard and malleable resulting in pessimistic grindability. Gravity-magnetic separation process flow is adopted with C pre-rejecting, stage grinding (-0.074mm -57.18%, -0.074mm -85.66%) and coarse-fine fraction separate treatment base on RDP process characteristic. The final concentrate has 92.02% Fe with 93.27% Fe recovery, 94.18% Fe metallization which may utilize as rough materials for steelmaking and the final tailings has 15.10% REO with 97.15% REO recovery which may utilize as rough materials for REO concentration.