A carbothermic reduction of complex Kalimantan ilmenite (FeTiO3) with palm kernel shell biomass as a reducing agent using regular electric and simulated solar heating has been investigated. The results demonstrate that palm kernel shell biomass can be used as an alternative reductant for the carbothermic reduction. Incomplete ilmenite dissociation was observed at 1000°C and 1100°C for 60 min reaction time using an electric furnace. Complete ilmenite dissociation was attained at 1200°C using both electric and solar furnaces. The major phases formed upon reduction at 1000°C were TiO2 (rutile) and Fe(m). Pseudobrookite (Fe, Mg, Mn)(Ti2O5) was formed at 1100°C, and higher concentrations were observed at 1200°C for 60 min reaction time. Reduction at 1200°C using a solar furnace promoted pseudobrookite formation, and a unique streak morphology of Fe(m) was observed as opposed to a globular structure found in samples heated in an electric furnace. It is suggested that this may be due to localized overheating by solar radiation that promoted rapid local reduction.