Biochar produced from wood residues may provide a new method and material for managing the environment, particularly in terms of carbon sequestration and contaminant remediation. Additionally, biochar produced from wood residues is free of chemical fertilizers, likewise in rice straw, wheat straw, corn straw, etc. This study investigated the removal of iron from aqueous solutions by a novel low-cost and eco-friendly biochar made from hardwood trees and modified by adding MgCl2 for effective phosphate removal. Optimal adsorption conditions were determined through studies of adsorption time, pH, and adsorbent dosage. Batch equilibrium isotherm and kinetic experiments and pre/post-adsorption characterizations using FESEM-EDS, XRD, and FTIR suggested that the presence of carboxyl group elements and colloidal and nano-sized MgO (periclase) particles on the biochar surface were the main adsorption sites for aqueous iron and phosphate respectively. In this study, the HW and MgO-HW biochar showed excellent Dubinin-Radushkevich isotherm (D-R) maximum adsorption capacities of 289.45 and 828.82mg/g for iron and phosphate. The kinetic study for iron and phosphate adsorption was described well by pseudo second-order model and pseudo second-order model respectively. The HW biochar and the prepared MgO-HW biochar exhibited commendable iron adsorption (98.25%) performance at 10 pH units and phosphate (96.22%) at pH 6 respectively. Thus, this research reveals a waste-to-wealth strategy by converting hardwood waste into mineral-biomass biochar with excellent Fe and P adsorption capabilities and environmental adaptability.