<p>With depletion of high-grade iron ore reserves, the iron and steel industry increasingly relies on low-grade fines rich in alumina-bearing gangue minerals such as kaolinite, aluminous goethite, and gibbsite. High-alumina adversely affects pelletization and blast furnace performance. This study presents mineralogical and thermal characterization of three distinct iron ore fines containing varying alumina levels (2.3, 3.2, and 4.0%). Analytical techniques including XRD, FTIR, TG-DSC, dilatometry, optical microscopy, SEM–EDS, and MAPS were performed to assess mineral phases, quantification, liberation, and thermal behavior. Hematite, goethite, and kaolinite were identified as the major phases with a minor quantity of gibbsite. Goethite mostly present in earthy, massive, and colloform-banded forms, with earthy being dominant and softer in texture. Size-wise mineral phase quantification reveals that hydrous minerals are majorly interlocked in the + 5 and + 3.15&#xa0;mm size fractions. Selective separation and beneficiation of these fractions can reduce overall alumina levels. Liberation studies revealed that ore with 4.0% Al₂O₃ presents the best potential for beneficiation due to its high liberation of hematite and goethite at finer sizes. Thermal analysis indicated that major LOI removal occurs between 220 and 700&#xa0;°C due to dehydration of hydrous minerals. This suggests that optimisation of heat input during the drying and initial preheating zones of the induration process can enhance thermal efficiency and pellet quality. The present study emphasizes the significance of mineralogy, mineral quantification, liberation, and thermal behaviour for design &amp; optimization of beneficiation and pelletization strategies for high-alumina iron ore fines towards sustainable process development.</p> Graphical Abstract <p></p>