The production of ferronickel concentrate from low-grade nickel laterite ore containing 1.31% nickel (Ni) was studied by the non-melting reduction magnetic separation process. The sodium chloride was used as additive and coal as a reductant. The effects of roasting temperature, roasting duration, reductant dosage, additive dosage, and grinding time on the grade and recovery were investigated. The optimal reduction conditions are a roasting temperature of 1250 • C, roasting duration of 80 min, reductant dosage of 10%, additive dosage of 5%, and a grinding time of 12 min. The grades of nickel and iron are improved from 2.13% and 51.12% to 8.15% and 64.28%, and the recovery of nickel is improved from 75.40% to 97.76%. The research results show that the additive in favor of the phase changes from lizardite phase to forsterite phase. The additive promotes agglomeration and separation of nickel and iron.