The club was founded in 1964. After a brief period in which their town rivals Dunărea were the prominent club, Oţelul emerged as the main footballing force of the region.

The club first promoted to the „Liga I” in 1986 and in 1988 made its debut in the UEFA Cup with a 1-0 victory against Italian side Juventus Torin.

The club reached the 2004 final of the Romanian Cup: 0-2 vs. Dinamo Bucharest.

In 2007, the club won the UEFA Intertoto Cup: double win, 2-1 and 2-1, with Trabzonspor.

Oţelul has 23 appearances in Romanian Liga I.

Oţelul clinched his first Liga I title on 15 May 2011 following a 2–1 victory over Politehnica Timişoara, qualifying for the group stage of the 2010–11 UEFA Champions League, his debut in this competition.

European record:
UEFA Cup (5 seasons): 14 matches, 5 wins, 3 draws, 6 losses;
UEFA Intertoto Cup (1 season): 4 matches, 3 wins, 1 draw.