An improved method for preparing a molding material for abrasive articles has been developed. The method includes the step of continuously blending an abrasive material with a curing agent and measured portions of two phenol-novolac resins, one of which has a phenol-formaldehyde molar ratio in the range of about 1:0.2 to 1:0.35. The blending composition can also include various other materials, such as fillers. The resulting product is a flowable, granular material homogeneously coated with the phenol-novolac resins. The product can be directly molded, i.e., without an aging step, into various abrasive articles, such as grinding wheels.In another embodiment, either a continuous or discontinuous technique can be used to blend the phenol-novolac resins, and the molded product is then cold pressed or warm pressed at a pressing temperature less than about 140.degree. C.