United States Steel Corporation has announced a $1.9 billion investment to build a new direct reduced iron facility at Big River Steel Works in Osceola, Arkansas, the first of its kind in the United States. The facility will strengthen U.S. Steel’s next-generation steelmaking capabilities and advance vertical integration across its operations under a single, integrated American supply chain.
The new DRI facility will be co-located at Big River Steel Works, where a more than $3 billion Big River 2 expansion is now in full production across four electric arc furnaces. By siting DRI production directly at the facility, U.S. Steel eliminates the need to ship DRI separately, building in a competitive sourcing advantage for feedstock. The investment leverages U.S. Steel’s 2022 investment in direct reduced-grade pellet capabilities at its Minnesota Ore Operations Keetac plant, creating a direct link from mining through EAF feedstock creation to steel production.
The project is expected to support approximately 200 full-time employees and 35 embedded contractor roles at Big River Steel Works, while creating an estimated 2,000 construction jobs at peak. U.S. Steel noted that its partnership with Nippon Steel helped accelerate the investment years sooner than would have otherwise been possible.
KEY QUOTES:
“From iron ore in Minnesota to steel production in Arkansas, this $1.9 billion investment strengthens our ability to create steel that is truly mined, melted, made in America, from start to finish. By vertically integrating DRI production directly at Big River Steel Works, we enhance efficiency, secure our competitive advantage, and position U. S. Steel for long term success.”
David B. Burritt, President and Chief Executive Officer, U.S. Steel
