In this study, steel foams containing 0.5% carbon were produced in a method based on powder metallurgy and using space fillers. For this purpose, urea granules were coated with a mixture of iron and carbon powders and then, the coated granules were compressed by a hydraulic press with a pressure of 200 MPa. The samples were placed in distilled water for one hour, and as a result, urea granules were dissolved in water and porous samples were produced. Finally, sintering was performed at 1120 ° C for 1 hour and strong steel foams were produced. Optical and electron microscopy examinations as well as compression behavior on the produced foams were performed. The results show that the distribution of cells is completely uniform and regenerated cells are produced. In addition, the compressive stress-strain curve of the foams produced is quite similar to conventional foams, which include areas of elastic deformation, long plateau, and compressed cells.