At the Huasco Pellet Plant of Compaa de Aceros del Pacfico, Chile, the production of iron concentrate suitable for pellet feed from a low-grade iron ore was technically evaluated. In this study, three treating schemes including comminution, magnetic concentration and flotation in pneumatic cells were tested. The best results were obtained at the laboratory scale by flotation technique using Lilaflot D 817 M as the collector without using any depressant. The operational parameters were determined including pneumatic flotation, and three circuits, two including magnetic pre-concentration, with the low-grade iron ore. The best results were obtained by size reduction at 80 per cent under 325 Tyler mesh, three steps of magnetic concentration and three steps of flotation in pneumatic cells. The magnetic concentrate contained 63.02 per cent of iron and 6.6 per cent of silica, and after the pneumatic flotation the iron content increased up to 70.18 per cent and silica decreases to 1.07 per cent with 78.78 per cent of iron recovery at a weight recovery of 31.89 per cent. Therefore, it is possible to use low-grade iron ore to produce pellet feed from magnetic concentrates by using reverse iron flotation in pneumatic cells.