Abstract: A process for the continuous production of an iron-carbon alloy utilizing an enclosed reactor (10) capable of limiting the ingress and egress of atmospheric gases and gas reaction products respectively. A solid mineral material (20) containing iron carbide and at least trace amounts of iron oxide, and having a weight ratio of at least about 2:1 or greater, is fed into a molten bath (12) of metallic material in the reactor (10). The molten metallic material is simultaneously reacted with oxygen at a temperature sufficient to generate carbon monoxide as a reaction product. The oxygen is preferably injected into the molten metallic material to facilitate the reaction of the oxygen with carbon from the iron carbide to form the carbon monoxide. The carbon monoxide subsequently enters a vapor space (17) of the reactor (10) above the molten bath (12), and further reacts with oxygen to generate carbon dioxide and heat.