The selective reduction process and magnetic separation are the combination processes for separating nickel and iron. This process uses the addition of Na2SO4 and graphite. Those are the optimal of separation process to limit iron oxide because the reductanthas no volatiles. The stoichiometry of graphite plays an essential role because the carbon and energy needed are for the reduction. This experiment studied the effect of stoichiometry on the nickel grade, recovery, and grain size in the variation of graphite stoichiometry of 0.125, 1,and 1.5 with a reduction temperature of 1150 °C for 60 minutes and 10 % Na2SO4. XRD and XRF examined the mineralogical composition of the raw and reduced samples. The microstructure was analyzed by an optical microscope. The optimum result is in the 0.125 stoichiometry with nickel grade and recovery of 4.94 wt% and 86.18% and the grain size is large due to the amount of carbon is high.