Mr. Michael Garcia reports

ALGOMA STEEL PROVIDES FISCAL SECOND QUARTER 2024 GUIDANCE

Algoma Steel Group Inc. has provided guidance for its fiscal second quarter ending Sept. 30, 2023.

Second quarter fiscal 2024 total steel shipments are expected to be in the range of 540,000 to 550,000 tons, and adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) is expected to be in the range of $75-million to $85-million.

Michael Garcia, Algoma Steel's chief executive officer, commented: "Our operations have run in line with our expectations in the fiscal second quarter. Our plate mill modernization project reached a key milestone as we commenced cold commissioning and ran trial plates through our heavy gauge in-line shear. Hot commissioning continues, and an expected ramp towards higher plate production is planned for the end of the calendar year.

"We are closely monitoring the evolving United Auto Workers union's work stoppages at certain North American auto manufacturing facilities and the impact they are having on steel markets, including lower-than-expected realized pricing for recent steel shipments. In the meantime, we expect to perform our normal annual steelmaking vessel reline, along with other planned seasonal maintenance, during the fiscal third quarter. On the electric arc furnace (EAF) project, work has advanced as expected during the quarter, with additional scope committed and priced, as we continue to derisk the project and work towards our expectation of a late calendar 2024 commissioning," Mr. Garcia concluded.

About Algoma Steel Inc.

Based in Sault Ste. Marie, Ont., Canada, Algoma Steel is a fully integrated producer of hot- and cold-rolled steel products, including sheet and plate. Driven by a purpose to build better lives and a greener future, Algoma Steel is positioned to deliver responsive, customer-driven product solutions to applications in the automotive, construction, energy, defence and manufacturing sectors. Algoma Steel is a key supplier of steel products to customers in North America and is the only producer of discrete plate products in Canada. Its state-of-the-art direct strip production complex (DSPC) is one of the lowest-cost producers of hot-rolled sheet steel (HRC) in North America.

Algoma Steel is on a transformation journey, modernizing its plate mill and adopting electric arc technology that builds on the strong principles of recycling and environmental stewardship to significantly lower carbon emissions. Today, Algoma Steel is investing in its people and processes, working safely, as a team, to become one of North America's leading producers of green steel.

As a founding industry in its community, Algoma Steel is drawing on the best of its rich steelmaking tradition to deliver greater value, offering North America the comfort of a secure steel supply and a sustainable future as your partner in steel.

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