Moscow, Russia — June 24, 2013 – Mechel OAO (NYSE: MTL), one of the leading Russian mining and metals companies, announces the Federal Subsoil Resources Management Agency approved the revised schedule for the works under the subsoil license agreement for development of the Elga coal deposit.
According to the revised license conditions, the first stage of the 9-million-tonne washing complex’s construction must be completed no later than August 1, 2017. The mining enterprise’s first phase — with no less than a 9-million-tonne coal mining annual capacity — must reach design capacity by no later than August 1, 2018.
The mining enterprise's second phase with an annual production capacity of no less than 18 million tonnes must reach design capacity by the end of 2021.
“Now that we have built the Elga deposit’s entire primary infrastructure required to bring the coal complex to the industrial level of producing and washing coal, the license’s revision creates more comfortable conditions for Mechel to increase production. The new subsoil license conditions enable us to implement the project step by step, launching its facilities in full accordance with quality standards and on schedule required by construction plans,” Mechel OAO’s Chief Executive Officer Evgeny Mikhel noted.