Mechel OAO in making progress on developing the Elga coking coal deposit. At the beginning of February, two heavy machinery convoys had already reached the Upper Ulak railway construction site (Amur Region). The equipment will be used to develop the Elga coking coal deposit. There will be five equipment and machinery convoys in total. They are expected to deliver all necessary equipment and materials to start construction of the open-pit mine and mining operations before April 2010. First coal is expected to be mined in November 2010.

“Development of the Elga coal deposit will be a complex and multifaceted project,” said Vladimir Polin, senior vice president, Mechel OAO. “The construction progress is affected by both weather conditions and geography.”

Mechel hopes to mine 200,000 mt/y coal this year, and in 2011, the company expects to increase this level to 1 million mt.

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