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The current study deals with optimizing the melting process used in electric arc furnace by heat balance equations. Heat balance is a very important aspect in an arc furnace in which the energy input consists of electrical energy [65%], chemical energy [25%] and exothermic reaction heat [10%]. This energy is optimized with the charge mix, charge quantity, fluxes, fuel used, and O2 used in the burners. The present model considers all these aspects and gives heat distribution in the process. The model spreadsheet gives a reasonable prediction in terms of metal yield, composition, and energy consumption. The model also predicts the amount of iron oxidized in the process. The mass and heat balance model is a useful tool for process analysis and improves the process efficiency of electric arc furnace steelmaking.