Algoma Steel announces shutdown extension



    SAULT STE. MARIE, ON, Aug. 1 /CNW/ - Algoma Steel Inc. announced today
that it expects remediation work to its No. 7 Blast Furnace to take longer
than originally planned. Current projections indicate a mid-August start-up
date. The shutdown and quenching of the furnace took longer than planned and
upon inspection of the furnace interior, the scope of the repair work was
expanded.
    This represents an extension of approximately twelve days beyond original
projections.

    A member of the Essar Group, Algoma Steel Inc. is based in Sault Ste.
Marie, Ontario. As a fully integrated steel producer, Algoma's revenues are
derived primarily from the manufacture and sale of rolled steel products
including hot and cold rolled sheet and plate.

    %SEDAR: 00001257E




For further information:

For further information: Brenda Stenta, Manager, Corporate
Communications, Phone: (705) 945-2209, Email: bstenta@algoma.com

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ALGOMA STEEL INC.

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