Mechel Reports Resumption of Mining at Sibirginsk Mine

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Mechel Reports Resumption of Mining at Sibirginsk Mine

Moscow, Russia — May 4, 2012 – Mechel OAO (NYSE: MTL), one of the leading Russian mining and metals companies, reports that mining at Southern Kuzbass Coal Company OAO’s Sibirginsk Mine was resumed.

Assembly of a new mechanized complex at Sibirginsk Mine’s long wall face # 3-1-9 was completed. Mineable reserves of coal at the long wall face are estimated at 1.5 million tonnes, with the breakage face due to produce some 100,000 tonnes monthly. All required documents for the long wall face’s operations have been obtained.

Mining at Southern Kuzbass Coal Company OAO’s Sibirginsk Mine was suspended in June 2011 due to coal self-heating in the mined-out area.

“Thanks to the efforts of Southern Kuzbass Coal Company OAO’s experts, a lot of work was done on eliminating the reasons for the mine’s suspension in 2011, assembling the new high-performance equipment, ensuring mining safety and resuming production. Re-launching operations at the mine will allow us to increase production and sales of coking coal, which should have positive impact on this year’s results for the whole of the company’s mining division,” Mechel Mining Management Company OOO’s Chief Executive Officer Boris Nikishichev commented.

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Mechel OAO
Ekaterina Videman
Phone: + 7 495 221-88-88
ekaterina.videman@mechel.com

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Mechel is one of the leading Russian companies. Its business includes four segments: mining, steel, ferroalloy and power. Mechel unites producers of coal, iron ore concentrate, nickel, ferrochrome, ferrosilicon, steel, rolled products, hardware, heat and electric power. Mechel products are marketed domestically and internationally.

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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.