The olivine type LiFePO4 is synthesized via a simple and inexpensive route by aqueous co-precipitation of an Fe(II) precursor material in molten stearic acid and subsequent heat treatment at different temperatures. Stearic acid serves as both chelating agent and carbonaceous material. The obtained composites with carbon are characterized by X-ray powder diffraction, field emission scanning electron microscopy, and Mössbauer spectroscopy. Electrochemical characteristics of the composites are evaluated by using galvanostatic charge/discharge tests. The powder obtained at 700°C delivers discharge capacity of 160mAhg−1, quite near the theoretical value.