The maximum energy release rate criterion, i.e., G(max) criterion, is commonly used for crack propagation analysis. However, this fracture criterion is based on the elastic macroscopic strength of materials. In the present investigation, a modification has been made to G(max) criterion to implement the consideration of the plastic strain energy. This criterion is extended to study the fatigue crack growth characteristics of mixed mode cracks in steel pipes. To predict crack propagation due to fatigue loads, a new elasto-plastic energy model is presented. This new model includes the effects of material properties like strain hardening exponent n, yield strength sigma(y) and fracture toughness and stress intensity factor ranges. The results obtained are compared with those obtained using the commonly employed crack growth law and the experimental data.