The present invention provides a method for hydrocracking of petroleum heavy oil containing a heavy metal component, comprising a supplying step of supplying a raw material slurry containing the petroleum heavy oil and an iron-based catalyst as well as a hydrogen gas to a hydrocracking reactor; a hydrocracking step of hydrocracking the petroleum heavy oil in the hydrocracking reactor; a recovering step of recovering a residual oil component containing the iron-based catalyst from a product after the hydrocracking step; a disintegrating step of disintegrating the iron-based catalyst of the recovered residual oil component to acquire a disintegrated iron-based catalyst; and a resupplying step of resupplying a processed residual oil component containing the disintegrated iron-based catalyst to the hydrocracking reactor. At the disintegrating step, the iron-based catalyst may be pulverized by a pulverizing machine. The iron-based catalyst may be limonite.
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