This study traced the steps that were followed by Delta University for Science and Technology (DUST) to construct an English proficiency test with a high reliability, appropriate validity and strong correlation. The study outlined the procedures used for establishing the language test: determining the aims of the test, constructing test items, estimating and adjusting test items, and  carrying out validity (content and face validity) and reliability (split half and Cronbach's alpha). At last, exploring students' and teachers' perceptions of the current English placement test at DUST by administrating a questionnaire and conducting an interview. The assigned questionnaire for students was based on the qualities of a good language test, namely, interactiveness, practicality, reliability, validity and impact. The results indicated that the current placement of Delta University was valid and moderately reliable in benchmarking freshmen students. Regarding students' perception, the result indicated that students perceived the way of comparing with each other in their ability to perform a task, which seemed to create a positive attitude toward language learning. Finally, the results of teacher interviews presented some recommendation for improving the current placement test.