Abstract: More than half the ore in Guan Baoshan iron mine is hematite.As difficult to grind and choose,the choice method in that year was not succeeded,and iron mine was closed after 3 years'exploitation.With the development of the technology for choosing mine,and the rise of price for polished mine,it becomes possible to exploit Guan Baoshan Iron Mine,which next to Yan Qianshan Mine,created favourable condition compared with other mines.This article discusses the technology and the investment for exploiting Guan Baoshan Mine.