Chemical looping combustion (CLC) is one of the most promising technologies to produce a sequestration ready CO₂ stream from power plants. The CLC system is composed of two reactors, namely the air reactor (AR) and the fuel reactor (FR). A solid oxygen carrier (OC) transfers oxygen from the air to the fuel in a cyclical manner, avoiding direct contact between air and fuel. The design study reports a detailed analysis of CLC combined steam power plant layout with cost effective oxygen carriers (OC). In the present study, we have chosen a naturally occurring ore, namely Ilmenite, as the OC for CLC combined power plant layout studies. Reactivity studies showed that ilmenite to be viable OC for natural gas (NG) and syngas in the range of 850 to 1100°C. A 760 MW_th natural gas power plant has been designed with Ilmenite OC at atmospheric pressure with the fuel and air reactors operating in this temperature range. The basic design calculations for power plant configuration have been done with mass and energy balances at atmospheric pressure in Aspen Plus. The Rankine cycle is designed based on the energy which is available from CLC configuration. The net efficiency of thermal power plant is found to be 27.7%. One of the issues with Ilmenite is the low oxygen transport capacity compared to synthetic oxygen carriers. Additionally, the higher density of Ilmenite composed of titania and alumina can also create a problem with the configuration of fluidized beds. The regime and design parameters for fluidized bed reactors has been determined based on properties of OC and fuels.