Coke reacts with oxygen in the air to form carbon dioxide.
C (s) + O2 (g) –> CO2 (g)
Coke then reacts with carbon dioxide to form carbon monoxide.
C (s) + CO2 (g) –> 2CO (g)
Carbon monoxide reduces haematite to form molten iron and carbon dioxide.
Fe2O3 (s) + 3CO (g) –> 2Fe (l) + 3CO2 (g)