MOSCOW, April 11, 2013 (GLOBE NEWSWIRE) -- Mechel OAO (NYSE:MTL), one of the leading Russian mining and metals companies, reports the launch of constant operation at the Uvatsk quartzite deposit and delivery of the first batch of raw materials from the deposit to Bratsk Ferroalloy Plant OAO.
Approximately 680 tonnes of quartzite mined at the deposit were delivered to Bratsk Ferroalloy Plant in March 2013. Implementation of the Uvatsk deposit development project took some four years, using Mechel's ferroalloys division's own resources and funds.
"This event is a key stage in the Uvatsk deposit's successful development. In the second half of 2013, Bratsk Ferroalloy Plant will already be fully internally sourced with ore needed to produce high-quality ferrosilicon with 65-75% silicon content. This will enforce the plant's independence of external sources of raw materials and obtain its own high-quality raw materials cheaper by 25-30% than current market prices. This will also have a positive impact on the economic and financial results of Bratsk Ferroalloy Plant, which is one of the most successful enterprises in Mechel Group's ferroalloy segment," said Sergey Zhilyakov, Chief Executive Officer of Mechel Ferroalloys Management Company OOO.Bratsk Ferroalloy Plant won the tender for the rights to utilize the subsoil plot on the Uvatsk deposit of quartzite and quartz sandstones in May 2008. The Uvatsk deposit is located in the Irkutsk Region, approximately 24 kilometers from the town of Nizhneudinsk. 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. 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.
CONTACT: Mechel OAO Anton Lapin Tel: + 7 495 221 88 88 firstname.lastname@example.org
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts