Powder metallurgy is a manufacturing method able to produce components of the near net shape. However, in many cases, secondary machining operations are required to improve tolerances or to make additional geometrical features. The machining of sintered compacts are generally considered to be more difficult than that of wrought steels because the porosity leads to an interrupted cutting with intermittent load-unloading and the porosity also affects the increase of tool temperature due to a low thermal conductivity. In previous studies, some additives have been introduced to improve the machinability in drilling as JFM™3 and also in turning as JFM™4. The newly developed additive improves the machinability simultaneously in drilling and turning by a significant effect over wide range of cutting speed.