Steel Manufacturing at an Environmental, Social, and Governance Gold Standard

Big River Steel, founded in 2014, prides itself on a visionary approach to the production of steel: or as the company puts it, it’s “a technology company that happens to make steel.” At its facility in Osceola, Arkansas—among the newest and most productive steel mills on the planet—the U.S. Steel subsidiary prioritizes achieving a level of sustain­abil­ity well beyond the industry standard. These goals align with growing expec­ta­tions among Big River Steel’s customers that its products should meet rigorous envi­ron­men­tal and ethical standards that have been inde­pen­dently verified.

The steel industry has not been histor­i­cally known for its envi­ron­men­tally conscious outlook, but Big River Steel sought to change that perception and affirm its commitment to sustain­abil­ity by seeking Respon­si­bleSteel™ site certi­fi­ca­tion. Based on 12 principles and more than 370 elements, this certi­fi­ca­tion requires stringent compliance with envi­ron­men­tal, social and governance ideals. Respon­si­bleSteel assesses wide-ranging elements including material sourcing, decar­boniza­tion strategy, noise and vibration reduction, water stewardship, air emissions reduction, biodi­ver­sity monitoring, human and labor rights, and engagement with stake­hold­ers and local communities.

To meet this standard, Big River Steel teamed with CDM Smith’s sustain­abil­ity team to address the rigorous require­ments of Respon­si­bleSteel. Beginning with gathering compre­hen­sive materials, onsite visits and worker and stakeholder interviews, CDM Smith brought in energy, water, envi­ron­men­tal and global compliance experts: tapping into the talents of a multi-disci­pli­nary sustain­abil­ity team that has been studying the devel­op­ments and best practices in sustain­abil­ity for over a decade. Ultimately, the project involved 20 different CDM Smith experts across 10 technical disciplines, led by our sustain­abil­ity prac­ti­tion­ers.

As CDM Smith vice president and chemical engineer Bill Glynn explains, “Many companies make ‘greenwashing’-type claims about sustainability, but when it comes down to it, a third-party audit provides verification. It has teeth behind it. This process organized and shaped even Big River Steel’s innovative approach to sustainability, so they are paying attention, tracking, and reducing factors like water consumption per ton of steel.”

While the process was expected to take 12-18 months, CDM Smith was able to help Big River Steel achieve site certi­fi­ca­tion in only 8 months. The secret to the team’s success, was our ability to tap a wide array of expertise in-house.

“We’re able to assess every aspect of envi­ron­men­tal, social and governance, or ESG, by reaching out to cross-disci­pli­nary experts within our sustain­abil­ity team. Whether it’s decar­boniza­tion, water conser­va­tion, or human rights consid­er­a­tions, these are issues we tackle every day at CDM Smith. And we go beyond the engineering, design and operational aspects—we help companies like Big River Steel evaluate how ESG standards can be managed that affect their stake­hold­ers and their supply chains. By bringing all these skills together, we were able to help Big River Steel prove its sustain­abil­ity credentials to all of its customers and employees, and to do that in record time.”

For Big River Steel and its parent company, achieving Respon­si­bleSteel site certi­fi­ca­tion was a landmark achievement. “We are thrilled to be the first steel company in North America to achieve Respon­si­bleSteel certi­fi­ca­tion for our Big River Steel site,” U. S. Steel President & CEO David B. Burritt said in a statement. “This marks an important milestone on our journey to build a more sustainable future for our customers, company, colleagues, communities, and the planet.”

By proving concrete evidence of Big River Steel’s sustain­abil­ity commitment, this certi­fi­ca­tion leaves a legacy of responsible sourcing and product manu­fac­tur­ing with the stake­hold­ers’ best interests at the forefront. Going forward, the company will maintain its site certi­fi­ca­tion with annual surveil­lance audits along with detailed renewals every three years.