MECHEL OAO ANNOUNCES ACQUISITION OF TURKISH STEEL TRADING COMPANY

Moscow, Russia – July 7, 2010 – Mechel OAO (NYSE: MTL), one of the leading
Russian mining and metals companies, announces purchase of 100% stake in Turkish
steel trading group Ramateks by Mechel Service Global B.V., Mechel OAO’s
subsidiary managing the group’s steel products retail sales and service network.

Mechel continues implementation of its strategy to expand its own steel service
and sales network named Mechel Service. On July 6, 2010 Mechel Service Global
B.V. completed the transaction to acquire 100% of the shares of Turkish steel
trading group Ramateks. The purchase price amounted to $3 mln. Ramateks debt
incurred by Mechel, the majority of which (77%) is trade financing, didn’t
exceed $13.8 mln.*.

The main activity of Ramateks Group is distribution of construction and
stainless steel long products as well as other types of steel products. Ramateks
storage capacities are located in Istanbul and Konya. The company also has
equipment for steel product cutting.

Ramateks client base is well-diversified and includes both domestic and foreign
customers. With 10 thousand square meters of own warehousing capacities and
about 4.5 thousand square meters of leased area Ramateks’ total storage capacity
amounts to 21 thousand tonnes of steel products. Ramateks is expected to
increase its sales volumes 2.5 times by 2014 after becoming a part of Mechel
group.

In 2009 Ramateks’ revenue was about $ 33 mln.

Andrey Ponomarev, Managing director of Mechel Service Global B.V., commented on
the event:
“We expand Mechel Service operations in Balkan region as we consider this market
as very promising with serious growth potential. Eastern Europe today is one of
our priorities for development. In Romania alone there are 9 successfully
operating branches of our Mechel Service Romania subsidiary. In 2009 we expanded
our sales and service network to Serbia and Bulgaria. These subsidiaries
primarily sell products of Mechel’s Romanian plants.
In the 1st quarter of 2010 sales of Mechel Service’s Eastern European branches
were 3 times higher than in the same period a year ago. This was a result of
both geographic expansion of our network and increase in the efficiency of
existing subdivisions.

We continue our active development in Eastern Europe to establish efficient and
well-diversified sales infrastructure, to educate personnel and enlarge
clientele by the time of final recovery of the economy. This will allow Mechel
Service to become a significant player in steel sales and services in Eastern
Europe.”

* According to the last auditors’ report as of June, 18 2010. Data on Ramateks’
debt is converted to US dollars according to the European Central Bank cross-
rate TL-EUR-USD as of the same date.
***
Mechel OAO
Ekatetina Videman
Tel.: (495) 221-88-88
ekaterina.videman@mechel.com
***
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, steel, ferrochrome, ferrosilicon, rolled products,
hardware, heat and electric power. Mechel products       are marketed
domestically and internationally.
***
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