Blue Dwarven Steel Ingot

The Blue Dwarven Steel is made in the Dwarven Forge by alloying Sarlluin and iron/iron ore. It can then be used to make Blue Dwarven Armour and tools, which have similar durability to items made of Dwarven Steel from the Iron Hills. However, because Sarlluin is a lot easier to obtain than coal (as long as you're in the right location), Blue Dwarven Steel is cheaper than Dwarven Steel -- that is, so long as you're in the Blue Mountains.