Titanium oxide is a major component of bauxite residue (BR) with a high value, but it is often an unwanted element in common BR reuse options such as cement or iron production. Conventional carbothermic reduction smelting of BR produces a slag still containing a large amount of Ti. This study investigates an aluminothermic process for producing an FeTi alloy by combining BR, ilmenite ore, and fluxes. Based on thermodynamic calculations and batch experiments, the amounts of aluminum (reductant) and fluxes were investigated to achieve the optimum alloy production in parallel with a slag that could be further valorized in the cement industry. The mineralogical and chemical analysis of the metallic and slag phase agreed with the thermodynamic calculations. The results obtained by this study can lead to the development of a new process for the complete valorization of BR, paving the way for scaling up aluminothermic processes for producing ferroalloys from all iron-rich residues.