U. S. Steel Receives Final Required Permit for State-of-the-Art Quench and Tempering Facility at Fairfield Tubular Operations

$475 Million Investment to Expand Capabilities to Meet Growing Demand

BIRMINGHAM, Ala.--(BUSINESS WIRE)--U. S. Steel announced today that it has received the air permit necessary to enter the next phase of construction of the new quench and tempering (Q&T) facility at its Fairfield Tubular Operations. The $475 million project will add in-house capacity for heat-treated product to support demand growth. It better positions U. S. Steel Tubular Operations as a supplier for major oil- and gas-producing basins, including the Permian, Eagle Ford, Haynesville, and Marcellus. The initial phases of construction began in July. The Q&T facility is expected to reach full production in 2029.

Quench and tempering is a two-stage heat-treatment process that improves steel strength and durability. It ensures that U. S. Steel’s pipe products can withstand the challenges of energy exploration and production, and reduce the risk of cracking.

“U. S. Steel is committed to the future of manufacturing in Alabama and American steel production,” said Scott Dorn, Senior Vice President, U. S. Steel Tubular Solutions. “This investment increases product quality and reinforces our commitment to the employees and customers who depend on us every day.”

The Q&T line is the next step in creating an entire campus that will modernize U. S. Steel’s Tubular Operations. Once completed, the campus will include the Q&T line, a Premium Thread Line, a new training facility, a warehouse, and upgraded changing areas for employees.

“This project enhances our product offering for a strong domestic energy supply,” said Kevin Lewis, U. S. Steel Executive Vice President, Chief Financial Officer and Head of Tubular Solutions. “With the final permit in place, we can move forward with an investment that strengthens our competitive position in one of the most important energy markets in North America.”

In addition to the $475 million investment in the Q&T line, in 2025, U. S. Steel announced a $75 million investment for a new Premium Thread Line at Fairfield Tubular Operations, with a combined investment of $550 million. The Premium Thread Line will increase pipe and tube threading capabilities and capacity. Together, the Q&T facility and Premium Thread Line will expand product offerings and use advanced technology to improve safety and efficiency.

About U. S. Steel

Founded in 1901, U. S. Steel delivers profitable and sustainable steel solutions. Propelled by its talented employees and an unwavering focus on safety, U. S. Steel serves the automotive, construction, appliance, energy, containers, and packaging industries with high value-added steel products. Steel production begins with our competitively advantaged iron ore production capabilities which fuel our integrated steelmaking facilities and investments in electric arc furnaces. U. S. Steel is at the forefront of creating steels that are stronger, lighter, and better for the environment. This includes our proprietary XG3^® advanced high-strength steel, verdeX^® steel produced with 70-80% lower CO² emissions with a recycled content of up to 90%, and ultra-thin lightweight InduX™ steel for electric vehicles, generators, and transformers. U. S. Steel maintains operations across the United States and is headquartered in Pittsburgh, Pennsylvania. For more information, please visit www.ussteel.com and follow U. S. Steel on LinkedIn, Instagram, Facebook, and X.