Fe2O3@carbon core-shell nanoparticles were prepared via hydrothermal carbonization method by using discarded razor blade and glucose solution as precursors. The material was employed as electrode in symmetric supercapacitor device. At a constant current density of 1 A g(-1); the Fe2O3@carbon samples exhibit a highest specific capacitance of 285.6 F g(-1) which is almost two-fold the specific capacitance of the as-synthesized Iron oxide sample (122.7 F g(-1)). At a constant power density of 1 kW kg(-1), Iron oxide and Fe2O3@carbon samples have the energy density values of 22.52 Wh kg(-1) and 37.88 Wh kg(-1), respectively. The Fe2O3@carbon sample has also been applied for the removal of oil from an artificial oil spill. One gram of the material is capable of the instantaneous removal of 5 g of oil from the spillage with the assistance of an external magnet.