She was detained for a time in quarantine because of sickness on board, but departed 4 September to take part in the ill-fated Sabine Pass Expedition, which was intended to provide a Union lodgment in Texas and prevent possible French moves into that State from Mexico.

Granite City was ideally suited to help support the troop landings because her shallow draft allowed her to cross the bar and lie close to shore.

When withering fire of Confederate batteries forced the surrender of Sachem and Clifton, and the Arizona now receiving undivided attention of the fort's artillery, Granite City backed out of the Pass and returned to invasion fleet of 18 other warships waiting offshore.

After 3 more months of grueling blockade duty, Granite City was dispatched with steamer USS Wave to Calcasieu Pass, Louisiana, to receive refugees.

The night was foggy and she succeeded in eluding the blockading squadron for a time, but the next day she was chased ashore by steamer USS Penguin, and soon broke up on the beach.