This study was conducted to investigate the effect of palm shell charcoal reductant in the selective reduction of nickel ore with the addition of additive at various temperatures and times. In this present work, 10 wt. % of sodium sulfate as additive and 5, 10, 15 wt. % of palm shell charcoal as reductants were used. The reduction of nickel ore was performed at 950ºC, 1050ºC, and 1150ºC for 60, 90, and 120 minutes. A wet magnetic separation method was then carried out to separate the concentrates and tailings. Characterization of reduced ore was performed by X-Ray Diffraction (XRD) and Scanning Electron Microscope (SEM) with Energy Dispersive X-ray Spectroscopy (EDS), while the composition of ferronickel in concentrate was identified by X-Ray Fluorescence (XRF). The result showed that the higher temperature reduction, the higher of nickel grade, and its recovery at the concentrate. Nevertheless, the longer reduction time and the more reductant in nickel ore lowering the nickel grade and its recovery in the concentrate. The optimum condition in this selective reduction process was obtained with the addition of 5 wt. % of reductant and 10 wt. % of sodium sulfate in nickel ore, which was reduced at 1150ºC for 60 minutes. It resulted in 4.60% and 73.23% for nickel grade and its recovery, respectively.