U.S. Steel Announced Plan to Build New $1.9 Billion DRI Facility at Big River Steel Works

SEATTLE (Scrap Monster): United States Steel Corporation has unveiled a $1.9 billion investment to construct a first-of-its-kind direct reduced iron (DRI) facility at Big River Steel Works in Osceola, Arkansas, marking a major milestone in U.S. steel manufacturing innovation. The project aims to strengthen the company’s next-generation steelmaking capabilities while enhancing operational efficiency and supply chain integration.

The new DRI facility will connect U.S. Steel’s upstream mining operations with downstream steel production, leveraging its 2022 investment in direct reduced-grade pellet capabilities at its Minnesota Ore Operations. By integrating DRI production directly at Big River Steel Works—where the $3 billion Big River 2 expansion and four electric arc furnaces are already operational—the company eliminates the need for external DRI transportation, creating a competitive feedstock advantage.

CEO David B. Burritt highlighted that the investment reinforces a fully domestic “mined, melted, and made in America” steel supply chain. Collaboration with Nippon Steel accelerated the project timeline significantly.

The initiative is expected to generate around 200 permanent jobs, 35 contractor roles, and nearly 2,000 construction jobs at peak, boosting regional economic growth.