Mechel OAO recently announced it had established an office in Beijing, China. The representative office will support Mechel’s business in China, cooperate on expansion of Mechel’s business in the country, work directly with Chinese partners, to establish new business contacts and perform studies on the market dynamics. In addition to ferroalloys, Mechel sells iron ore concentrate from its Korshunov mining complex and coking coal from its Yakutugol complex to Chinese consumers. Currently volumes of these supplies are being gradually increased. Contracts between Mechel and China Coal Overseas Development Co. were signed in 2005-2008 to purchase new equipment for Mechel’s Southern Kuzbass Coal Co. Mechel also has agreements in place with China Minmetals.

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