Using a fluidizing gas mixture of N//2-O//2-Cl//2 at 275 degree C, the molybdenum fraction from the concentrate was recovered as oxychloride. The residue after chlorination, containing Cu, Ni and Fe chlorides, was subjected to an oxidative roasting treatment at 500 degree C in the presence of sodium chloride. This treatment helped in the preferential oxidation of iron chloride. On leaching with water, the roasted residue resulted in a Cu-Ni-rich chloride solution with low iron.