UP Receives First Stick of Rail from Rocky Mountain Steel Mills’ New Long Rail Mill
Written by Jennifer McLawhorn, Managing Editor
UP CEO Jim Vena at Palmer Rail Mill’s weld line alongside UP leadership.
Image and caption courtesy of Rocky Mountain Steel Mills
PUEBLO, Colo. - After reaching a seven-year contract for the domestic production of steel rails in April, Union Pacific received the first stick of rail from Rocky Mountain Steel's new long rail mill.
According to the release this past April, this is a renewed partnership between the Class I and the steel rail supplier since UP began using steel rail from the mill at Rocky Mountain Steel in the early 1890s. The mill is under new ownership and management, and the agreement “ends any pending legal disputes between the companies, as Union Pacific has withdrawn its previously filed lawsuit in Nebraska.” Rocky Mountain Steel says it will begin operations in 2026 at a new, state-of-the-art long rail mill.
The Pueblo facility, powered by a 1,800-acre solar farm, will manufacture 100-meter (or 328-foot) lengths of premium rail, says Rocky Mountain Steel. The rail requires 80% fewer welds than 80-foot rails, thereby improving reliability and track safety.
At the time, Union Pacific CEO Jim Vena said, “We appreciate the longstanding relationship with Rocky Mountain Steel, its dedicated workforce and their collective commitment to domestic steel manufacturing. The new long-rail mill is a significant step forward in American manufacturing that supports Union Pacific’s focus on delivering safe, reliable service for our customers. . . As Union Pacific pursues its merger with Norfolk Southern to create the nation’s first transcontinental railroad, our ability to partner with Rocky Mountain Steel becomes even more critical as our merger is positioned to strengthen the nation’s manufacturing core as well as domestic job growth.”
Doug Matthews, CEO of Orion Steel, Rocky Mountain Steel Mills’ parent company said, “The new contract reinforces the one-of-a-kind partnership between Union Pacific Railroad and Rocky Mountain Steel, a relationship that traces its roots back to the 1890s and has been benefitting American workers every day since. . . This mill is an essential part of America’s steel transportation infrastructure, and its continued existence shows that our nation offers railroads large and small the very best product, made by the very best steelmakers in the world. I thank Union Pacific leadership for making that case crystal clear via this new long-term contract.. . I’ve been in the steel industry for 37 years, and Union Pacific’s unique understanding of our market and their steadfast belief in U.S. steel manufacturing speaks to their role as an iconic American company.”
First Stick of Rail
Now, Rocky Mountain Steel says Union Pacific has received the first stick of rail from its Pueblo facility. It says its “facility produces wire rod and rebar for resilient infrastructure, construction, telecom, and automotive uses, and seamless Oil Country Tubular Goods, the pipe and connections for the toughest oil, gas, and geothermal drilling environments.” All of the steel produced uses EAF (Electric Arc Furnace) technology, resulting in fewer CO₂ emissions.
UP CEO Vena said, “When two great companies come together with a shared purpose, the benefits extend far beyond our businesses. . . Union Pacific and Rocky Mountain Steel Mills have a proud history of supporting American manufacturing, jobs and communities. As we look to the future, this renewed partnership will help strengthen our country’s supply chain and demonstrates the importance of reliable rail transportation in keeping our economy moving.”
CEO Matthews added, “Pueblo’s steelmaking heritage represents the resilience, innovation and workforce strength that define American manufacturing. . . Rocky Mountain Steel is proud to continue building this legacy with Union Pacific and mark the official start of operations at our new mill, an investment in domestic steel, American workers and in the state of Colorado. Our partnership with Union Pacific demonstrates what is possible when American companies work together to strengthen domestic supply chains and invest in the future.”
