A downhole steering tool includes one or more steering blades selectively extendable from a housing. Each steering blade may be extended by fluid pressure within a steering cylinder. Each steering cylinder may be coupled to the interior of a mandrel positioned within the housing through an adjustable orifice. The adjustable orifice may be moved between an open and a partially open position. The adjustable orifice may be solenoid controlled or controlled by a ring valve. The adjustable orifice may generate one or more pressure pulses to transmit data to the surface.