IPSCO Installing Steel Plate Heat Treating Capacity

Lisle, Illinois, July 29, 2004 - IPSCO Inc. (NYSE/TSX:IPS) announced today that it is proceeding with the construction of a world-class steel plate heat treating complex, subject to completing certain contracts. The facility will produce both Quench and Tempered (Q&T) and Normalized steel plate and is part of the Company's strategic direction to increase its value added mix and to better meet the needs of its customers.

The Q&T product range will be in thicknesses up to 1" thick and widths up to 100" wide. Normalized product will be made up to 3" thick and 120" wide. Both lines will produce the full range of grades currently used in the market together with proprietary grades.

The Heat Treating facility will be located at one of IPSCO's two Plate Mills located in the United States and will process steel made in the Company's facilities. The final location has yet to be determined based on consideration of site specific issues, including regulatory approvals. The complex is expected to be in commercial production early in 2006.

"We are delighted to be able to provide this value added processing to our customers," said David Sutherland, President and CEO of the Company. "After the dramatic changes in the plate industry through the past decade, IPSCO is pleased to be able to bring a modern alternative supply capability to the specialized heat treated plate market. We have strong indications of customer support for this facility, which has justified the decision to proceed," he concluded.

Heat treated steel plate is used throughout the manufacturing and construction sector in applications where strength, hardness and toughness beyond those available from as-rolled material are required.

This news release contains forward-looking information with respect to IPSCO's operations and beliefs. Actual results may differ from these forward-looking statements due to numerous factors, including, but not limited to, weather conditions affecting the oil patch; drilling rig availability; demand for oil and gas; supply, demand and price for scrap metal and other raw materials; supply, demand and price for electricity and natural gas; demand and prices for products produced by IPSCO; general economic conditions and changes in financial markets. These and other factors are outlined in IPSCO's regulatory filings with the Canadian securities regulators and the Securities and Exchange Commission, including those in IPSCO's Annual Report for 2003, its MD&A, particularly as discussed under the heading "Business Risks and Uncertainties," its Annual Information Form, and its Form 40-F.

Company Contact:
Vicki Avril
Senior Vice President and Chief Financial Officer
Tel. 630-810-4769
Release 04-26

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