The time discrete scheme of characteristics type is especially effective for convectiondominated diffusion problems. The scheme has been used in various engineering areas with different approximations in spatial direction. The lowest-order mixed method is the most popular one for miscible flow in porous media. The method is based on a linear Lagrange approximation to the concentration and the zero-order Raviart-Thomas approximation to the pressure/velocity. However, the optimal error estimate for the lowest-order characteristicsmixed FEM has not been presented although numerous effort has been made in last several decades. In all previous works, only first-order accuracy in spatial direction was proved under certain time-step and mesh size restrictions. The main purpose of this paper is to establish optimal error estimates, i.e., the second-order in L 2 -norm for the concentration and the first-order for the pressure/velocity, while the concentration is more important physical component for the underlying model. For this purpose, an elliptic quasi-projection is introduced in our analysis to clean up the pollution of the numerical velocity through the nonlinear dispersion-diffusion tensor and the concentration-dependent viscosity. Moreover, the numerical pressure/velocity of the second-order accuracy can be obtained by re-solving the (elliptic) pressure equation at a given time level with a higher-order approximation. Numerical results are presented to confirm our theoretical analysis.