IPSCO/USW Labor Agreements Ratified

Lisle, Illinois, December 5, 2005 - IPSCO Inc. (NYSE/TSX: IPS) is pleased to confirm that members of United Steelworkers Locals 5890 and 6673, representing approximately 1,000 workers at IPSCO's facilities in Regina, Saskatchewan and Calgary, Alberta, have ratified the tentative agreements reached last month for early renewal of the collective agreements. As previously announced, the new agreements will expire July 31, 2011.

In addition, IPSCO is pleased to learn the Legislative Assembly of Saskatchewan has approved legislation that provides an exemption to The Trade Union Act in order that the new collective bargaining agreement, which exceeds the Saskatchewan statutory maximum of three years duration, will be given full force and effect. 

IPSCO President and Chief Executive Officer David Sutherland, commenting on the new labor contracts and passage of the enabling legislation said, "We are extremely pleased our employees who are represented by the USW, have ratified the agreements that both IPSCO's and the USW's bargaining teams worked so hard to achieve. I feel this is a positive development for both the workers and the business. These new contracts, which contain wage, benefit and pension improvements for our employees, will assure our current and potential new customers that IPSCO will continue to produce an uninterrupted supply of quality steel and pipe from our Western Canadian facilities. This is especially important in the large diameter pipe and oil country tubular goods markets, where significant business opportunities exist now and are expected to continue for the foreseeable future. I also want to acknowledge and express IPSCO's appreciation to the Saskatchewan legislature for their fast action in passing the appropriate enabling legislation for this long-term agreement." 

IPSCO, traded as "IPS" on both the New York Stock Exchange and Toronto Stock Exchange, operates steel mills at three locations and pipe mills at six locations in the United States and Canada. As a low cost North American steel producer, IPSCO has a combined annual steel making capacity of 3,500,000 tons. The Company's tubular facilities produce a wide range of tubular products including line pipe, oil and gas well casing and tubing, standard pipe and hollow structurals. Steel can also be further processed at IPSCO's five temper leveling and coil processing facilities. 

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 (at www.sedar.com) and the U.S. Securities and Exchange Commission (at www.sec.gov/edgar.shtml), including those in IPSCO's Annual Report for 2004, its MD&A, particularly as discussed under the heading "Business Risks and Uncertainties," its Annual Information Form, and its Form 40-F.

Company Contact:
John Comrie
Director, Trade Policy and Communications
Tel. 630-810-4730
Release 05-45
    
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