MECHEL ANNOUNCES LAUNCH OF COKE-OVEN BATTERY #5
AT MECHEL-COKE

Chelyabinsk, Russia — December 21, 2011 – Mechel OAO (NYSE: MTL), one of the
leading Russian mining and metals companies, announces the launch of the
reconstructed coke-oven battery #5 at Mechel Mining OAO’s subsidiary Mechel-Coke
OOO.
The launch of the facility means that all of Mechel-Coke OOO’s eight coke-oven
batteries are now operational. This enables the company to increase production
of coke and chemicals and ensure the needs and resource independence for Mechel
Group’s Chelyabinsk Metallurgical Plant and Southern Urals Nickel Plant.
The battery’s annual capacity is 470,000 tonnes of coke, triple the unit’s
capacity before it was halted for reconstruction. Once the battery reaches full
load, Mechel-Coke will produce over 3.1 million tonnes of coke a year, boosting
production by 17%.
As part of the battery’s reconstruction, the plant introduced a computerized
central control system of the technological process for all of coke shop #2’s
coke-oven batteries.
Special attention was paid to environmental protection measures, which include
an autonomous system for dust-free coke distribution, a smoke-free oven loading
system, a cap pneumatic compression system for the battery’s gas exhaust
columns, highly gastight coke-oven doors, and an automated monitoring system for
coke gas combustion processes.
Reconstruction of coke-oven battery #5’s facilities cost a total of 1.8 billion
rubles (some 56.2 million US dollars*).
“Gradual modernization of the plant’s production facilities and minimization of
its impact on the environment are top priorities for Mechel-Coke OOO’s
development program. Over the past five years, four coke-oven batteries were
renovated, and a package of environmental protection measures installed. This
will enforce our steelmaking enterprises’ independence from outside resources
and let us concentrate on producing high-quality coke using the Elga deposit’s
coking coal, among others,” Mechel OAO’s Chairman of the Board of Directors Igor
Zyuzin noted.
* According to the Russian Central Bank exchange rate of 32.05 RUR/$ as of
December 21, 2011.

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Mechel OAO
Ekaterina Videman
Tel: + 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.