Take Guanbaoshan iron mine which belongs to Ansteel as an example, the mathematical model of geological database, geological structure model, physical model of ore body, experimental semivariogram, and fitting experimental semi variation function are established by using the theory of geological statistics. Then cross validation is carried out to prove the unbiasedness of estimator. The results show that in the case of insufficient data, the geological statistics can be used as a supplement to the "distance power inverse ratio method".