EXHIBIT 23.1


                    [LETTER HEAD OF ARTHUR ANDERSEN & CO.]





As independent public accountant, we hereby consent to the use of our reports 
(and to all references to our Firm) included in or made a part of Amendment No.2
of the Bayou Steel Corporation Form S-1 registration statement.



New Orleans, Louisiana                             /s/ Arthur Andersen & Co.
January 31, 1994