Steel Industry Preservation Act This bill amends the Internal Revenue Code to extend and modify the production tax credit for steel industry fuel. (Under current law, steel industry fuel is a fuel which is: (1) produced through a process of liquefying coal waste sludge and distributing it on coal, and (2) used as a feedstock for the manufacture of coke.) The bill modifies the tax credit for steel industry fuel to: extend the credit period and the placed-in-service date, revise the definition of "steel industry fuel" to allow blends of coal and petroleum coke or other coke feedstock in the fuel, set forth ownership requirements, and specify requirements for treating an owner as producing and selling steel industry fuel. A taxpayer that produces steel industry fuel may elect to accept an increased tax credit in lieu of certain deductions for expenses in connection with the production of steel industry fuel. The bill specifies the treatment of the credit for the purpose of the alternative minimum tax. It also exempts transactions related to steel industry fuel from rules that restrict deductions and other tax benefits for activities that are not engaged in for profit or that do not have economic substance.