The Ferruginous sandstone ore was obtained from Ramlet Hemeyir area, Southwestern Sinai, Egypt,which contains 10%(REE) rare earth elements. A representative sample has been subjected to acid agitation leaching usingH 2SO4where 93%of the REE contentwas released bymixing the ground sample to (-100mesh) with concentrated H2SO4 at solid/liquid (S/L) ratio of 1/2 for 5h at a temperature ranged from(250 - 300oC). The REEwas precipitated in the oxalate formfromthe prepared sulfate leach liquor.Next selective extraction of 98%Ywas achieved by contactingYwas extracted by di-(2-ethylhexyl)phosphoric acid (D2EHPA) with the aqueous solution of nitric acid leaching of the REE cake. Stripping was done by hot H2O (80 oC). Finally, a precipitation with oxalic acid was done followed by ignition at 950oC.Ayield of 95%Yoxide was produced.