Stei was built in 1952, next to a small village of the same name. It was part of the communist's regime to industrialise the country and housed the workers from the uranium factory in nearby Baita. Apparently it was built by a USSR team. The extraction of uranium was a Romanian-Soviet-led operation entitled "Sovrom-Kwartit".
From 1959-1996 the town was renamed Dr. Petru Groza, the first communist Prime Minister after World War II, who died in 1958.
The uranium mine was closed and in 2000 it was turned into a National Deposit of Radioactive Materials.