The book provide an efficient chemical two-step approach to synthesize Fe2O3 nanoparticles-decorated graphene. Exfoliated graphene (xG) were purified by acidic treatment, sensitized to attach functional groups. FeCl3, xG and NaOH were used as precursors. The structural and compositional analysis, morphologies and magnetic properties of the sample were carried out. The formation of Fe2O3 nanocomposite was confirmed by X-ray diffraction (XRD), Raman spectroscopy and and VSM. The particle size of Fe2O3 nanoparticles loaded on graphene was found to be smaller than 20 nm. The VSM plot of the sample is a straight forward evidence of the presence of ferromagnetic Iron Oxide nanoparticles. The Fe2O3-decorated graphene is considered to be a competent material for microwave absorption as well as energy storage devices (e.g. super-capacitors, Li-ion batteries).