MECHEL ANNOUNCES THE MEMORANDUM OF COOPERATION SIGNING WITH MITSUI & Co.

Moscow, Russia – August 10, 2009 – Mechel OAO (NYSE: MTL), one of the leading
Russian mining and metals companies, announces the Memorandum of Cooperation
signing with Mitsui & Co. Corporation.
On August 6, 2009 the meeting between the heads of both of the companies took
place in Moscow office of Mechel OAO. During the above mentioned meeting
Memorandum of Cooperation was signed by both parties. From the side of Mechel
the memorandum was signed by its CEO Igor Zyuzin, from the side of Mitsui & Co.
Ltd. – Noriaki Sakamoto – Member of the Board of Directors.
It is pointed out in the Memorandum, that the parties have great experience in
the sphere of production and realization of resources and metallurgical
production in Russia, Japan and other countries in the world and have an
intention to expand the geography of their activity and assortment of realized
production, including high quality products.
In this connection the parties are planning to realize cooperation in different
directions, among which – marketing and sale of metal production and resources,
including coal, all types of ferroalloys, pig iron, billet and other types of
iron and steel products. Joint investment projects are also planned, among which
organization of joint ventures in the sphere of primary goods production,
production of ferrous and non-ferrous metallurgy, sales and distribution.
The cooperation will also spread to the sphere of logistics, where the parties
intend to study the possibilities and take joint actions in order to optimize
commodity flows and minimize the expenses on cargo transportation.
In order to develop mutually profitable joint projects the parties also intend
to cooperate in the sphere of finance engagement.
Aiming at effective realization of joint arrangements in the frame of this
Memorandum the parties will establish working groups, which are to consist of
representatives of both parties.
Mitsui & Co. Ltd., is one of the leading global diversified trading and
investment enterprises, based in Tokyo, Japan.
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Mechel OAO
Ilya Zhitomirsky
Phone: + 7 495 221 88 88
ilya.zhitomirsky@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, steel, rolled products, ferroalloys, 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.