The development of an alternative route to produce the oxygenate MTBE is of great economical importance, because large growing rates of MTBE are presumed created by the Clean Air Act in the USA and the increased use of unleaded gasoline in other countries. This paper describes the development of a process to produce tertiary butanol from isobutane by liquid-phase oxidation. As the production of MTBE from tertiary Butanol is a proven technology, this process presents a alternative route for the production of MTBE from isobutane. In this paper experimental and computed results concerning the required reaction and separation steps of the process ,,tertiary butanol out of isobutane＇＇ are presented. Finally a cost estimation is presented which compares the costs per metric ton MTBE by producing MTBE via liquid-phase oxidation and the costs by the competitive synthesis route (production of MTBE via dehydrogenation of isobutane). This cost estimate shows that the production of MTBE via liquid-phase oxidation of isobutane will be economicaly attractive and will be of interest for further development