Alumina-layer-coated spherical particles composed of omega-phase (Al70Cu20Fe10) and icosahedral quasicrystal phase (i-phase, Al64Cu24Fe12) in the Al-Cu-Fe system were fabricated by heating spherical particles of the omega-phase at 700 degrees C for 200-400 h in air. Differential thermal analysis and transmission electron microscopy observations suggested that formation of a liquid phase with a composition close to theta-phase (Al2Cu) was formed near the surface of the particles, and an i-phase domain grew in the interior of the particles through the liquid. When the omega-phase particles were heated at 730 degrees C, which was above the melting point of the omega-phase, for 96-400 h in air, oxide-layer-coated granular particles containing the i-phase as the main phase and lambda-phase (Al13Fe4) and theta-phase as minor phases were obtained. The surface oxide layer acted as a micro-crucible that could hold liquid and prevent cohesion to other particles.