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That is definitely high grade hematite. I find it all over while looking for artifacts in southern Arkansas. Some of the higher grade pieces like yours will be more iron rich and metallic hematite while the lower grade pieces are usually more orange in color and powdery feeling when it has a high limonite content. Your piece looks worked to me. This stuff is usually any random shape except smooth and flat.SE ARKANSAS
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Hematite, iron ore and ocher, all related me thinks. Of course the pure hematite probably wouldn't work for creating paint, your pics looks like a really pure grade of ocher to me. And definitely worked.So.IL.
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