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December 27, 2010

Mechel OAO announces decision to open representative offices in Southern Federal District and Amur Region

Moscow, Russia Ė December 27, 2010 Ė Mechel OAO (NYSE: MTL), one of the leading Russian mining and metals companies, announces the Board of Directorsí decision to open its official representative offices in the Southern Federal District and the Amur Region.

The decision to open Mechel OAOís representative offices in the Southern Federal Districtís city of Rostov-on-Don and the Amur Regionís city of Blagoveshchensk was made at the meeting of the Board of Directors on December 22, 2010.

Mr. Sergei M. Nazarov was appointed Head of the representative office in the Southern Federal District. The legal address of the representative office is: 344010, Russian Federation, Rostov Region, Rostov-on-Don, Semashko alley, 114.

The new representative office will allow for more efficient management of the Mechel groupís assets in the Southern Federal District, as well as prompt reaction to the regionís needs in its intensive development in view of 2014Winter Olympics at Sochi and 2018 World Football Championship which will be held partly in the Southern District (the cities of Krasnodar, Rostov-on-Don and Sochi).

Mr. Oleg V. Burkov was appointed Head of the representative office in the Amur Region. The legal address of the representative office is: 675000, Russian Federation, Blagoveshchensk, Amur Region, Krasnoarmeyskaya St, 173, office 102.

The representative office will provide more efficient assistance to the Mechel groupís enterprises in constructing and exploiting the Elga Coal Complex, as well as actual data on several major federal projects, such as construction of the Vostochny cosmodrome, modernization of the Trans-Siberian Railway and the Baykal-Amur Railroadís northern latitudinal passage.

The functions of both representative offices will include establishing and maintenance of contacts with government authorities and business community of the Southern Federal District and the Amur Region respectively, representation of Mechel groupís interests, strengthening cooperation with Mechelís partners and establishing new relations to ensure expansion of the groupís activities.




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