<p>The Um Nar banded iron formation (BIF), one of the largest occurrences within the Pan-African basement rocks of Egypt’s Eastern Desert, represents a significant target for iron ore exploration. However, no commercial mining operations have yet been established due to its high-silica content, as high-silica iron ores adversely affect the production of pig iron and steel. This study focused on investigating the reduction of Um Nar BIF by biomass sawdust as a green reducing agent. Key reduction process parameters, such as reductant concentration, reduction temperature, and reduction time, were investigated in the study. Reduction experiments were designed and analyzed using the Box–Behnken Design (BBD) to identify the most significant variables, assess their interactions, and determine the optimal conditions for the process. At the optimum conditions, i.e., reducing the Um Nar BIF under reducing conditions at 796&#xa0;°C with a 10% concentration of sawdust for 30&#xa0;min in a muffle furnace after wet low-intensity magnetic separation (WLIMS), a concentrate containing 59% total Fe and 6% SiO₂ was obtained, with an 83% total Fe recovery. Additionally, the economic feasibility of the processed ore was also assessed. Upgrading Um Nar BIF using sawdust demonstrated a profitable and eco-friendly approach, with over $20 net profit per ton of raw ore under moderate conditions. This method provides an efficient and sustainable solution for recovering good quality iron concentrate from Um Nar BIF.</p> Graphical Abstract <p></p>