This invention relates to a method for purifying metal alloy and intermetallic powders. Particularly, the present invention relates to a method for the reduction or elimination of the content of the dissolved oxygen and to remove the metal oxide inclusions from metal alloy and intermetallic powders including the steps of: a) placing the metal in powder form into a reaction apparatus; b) introducing a suitable carrier substance to the metal powder; and c) introducing calcium vapour into the reaction apparatus to create a reaction between the metallic powder and calcium vapour thereby removing inclusions in the metal as shown in FIG. 11.