MECHEL REPORTS SUCCESSFUL FIRST TESTS OF NEW COAL EXPORT TERMINAL AT TRADE PORT
POSIET

Moscow, Russia – February 12, 2014 – Mechel OAO (NYSE: MTL), one of the leading
Russian mining and metals companies, reports successful tests of the new coal
export terminal at Primorye Region’s Port Posiet. Modernization of the port’s
facilities will enable the company to significantly increase export to the
Asia-Pacific countries. The project’s cost is estimated to total some 4.5
billion rubles.
The first stage of Port Posiet’s technical revamping provisions for a cargo
turnover growth to up to 7 million tonnes a year. With the new coal export
terminal, the port will be able to unload some 400 wagons a day (28,000 tonnes
of coal) and load about 30,000 tonnes of coal daily onto cargo vessels.
The coal export terminal’s equipment was produced by the German-based
ThyssenKrupp concern, whose experts are currently overseeing start-up and
commissioning works. The complex’s chief characteristic is its use of car
tipping machines, which technology makes unloading more intensive while
minimizing damage to the wagons. The terminal also comprises storage equipment.
The terminal’s production line is equipped with magnet collectors that can
eliminate foreign impurities that could contaminate the coal during transport.
To unload coal in wintertime, the terminal employs a defreezing facility with
infrared electric heaters. The coal export terminal is operated remotely from a
single monitoring center.
Port Posiet’s modernization will have a positive impact on Posiet village’s
environment. The new complex is equipped with highly efficient aspiration and
dust-control systems which create an atomized water veil, which provides
additional protection for the environment.
The coal export terminal is due to be launched into testing and industrial
operation in the second quarter of 2014, which will mean completion of the first
stage of Port Posiet’s technical revamping investment project. The second stage
is planned to be implemented in the next few years. The second stage includes
construction of a deep-water berth and bottom dredging of the approach channel
for Panamax-type vessels of up to 60,000-tonne cargo capacity.
“We expect that Port Posiet’s modernization will enable us to improve its
attraction for cargo recipients in Asia Pacific and accordingly increase coal
sales. Also, by improving the port’s capacity up to 7 million tonnes a year, we
are preparing to transship coal products from the Elga deposit. The port’s
technical revamping also tackles an important social issue in Primorye Region’s
Khasan area, where this will create over 175 new jobs,” Mechel OAO’s Chief
Executive Officer Oleg Korzhov noted.
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Mechel OAO
Ekaterina Videman
Tel: +7 495 221-88-88
Ekaterina.videman@mechel.ru
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Mechel is an international mining and steel company which employs over 80,000
people. Its products are marketed in Europe, Asia, North and South America,
Africa. Mechel unites producers of coal, iron ore concentrate, steel, rolled
products, ferroalloys, heat and electric power. All of its enterprises work in a
single production chain, from raw materials to high value-added products.
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Some of the information in this press release may contain projections or other
forward-looking statements regarding future events or the future financial
performance of Mechel, as defined in the safe harbor provisions of the U.S.
Private Securities Litigation Reform Act of 1995. We wish to caution you that
these statements are only predictions and that actual events or results may
differ materially. We do not intend to update these statements. We refer you to
the documents Mechel files from time to time with the U.S. Securities and
Exchange Commission, including our Form 20-F. These documents contain and
identify important factors, including those contained in the section captioned
“Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in our
Form 20-F, that could cause the actual results to differ materially from those
contained in our projections or forward-looking statements, including, among
others, the achievement of anticipated levels of profitability, growth, cost and
synergy of our recent acquisitions, the impact of competitive pricing, the
ability to obtain necessary regulatory approvals and licenses, the impact of
developments in the Russian economic, political and legal environment,
volatility in stock markets or in the price of our shares or ADRs, financial
risk management and the impact of general business and global economic
conditions.