Abstarct: Nowadays, mining of the ore deposits, in particular, iron minerals have a significant role in the economy of any country. Amongst the exploration techniques, the geophysical methods are superior in the detection of the ore bodies. The main purpose of this research is to explore and model one of the iron deposits in the Sangan region which is located in the south-east of the Khorasan razavi province, north-east Iran. To achieve the goal, the ASTER images of the study area were first provided. ENVI as a computer-baxsed image processing software was used to process the ASTER images. The vertical component of the magnetic intensity was then acquired at 441 stations along 21 profiles with a 25 25 m exploration mesh. Various filtering methods including upward continuation, downward continuation, second vertical derivative and trend surface were applied on the measured data in order to separate regional and residual effects. Model Vision Pro software which has been developed by ENCOM Company, Australia, was used to carry out the filtering and separation processes when the necessary corrections were made on the raw measured magnetic data. Two- and three dimensional modeling were performed on the residual effects of the iron anomalies after a qualitative interpretation. The results obtained from the modeling process show that the magnetic anomalies are located in shallow depths ranged from earth surface to an approximate depth of 75 m. In order to have a better insight into the interpretations made on the study area, the results of the magnetic method was compared with those results obtained by an electrical resistivity method. The resistivity data were modeled using Res2Dinv software. The interpretation of the resistivity data are agreed with the magnetic method in the identification of the iron deposits at the shallow depths. However, the maximum extension of the deposits was detected to be about 40 m by the resistivity method.