Mechel Announces Increase in Company's Charter Capital

Mechel OAO MTL announces the decisions made by Mechel Mining OAO's Board of Directors. On the meeting of Mechel Mining OAO's Board of Directors held on June 30, 2011, the Board of Directors decided to increase Mechel Mining OAO's charter capital by way of public offering of 3.644 billion additional ordinary shares, with the nominal value of 7.37 rubles each (0.26 US dollars*). Price of the issued shares and price of shares in respect of persons exercising a preemptive right of purchase of shares will be determined by the Board of Directors of Mechel Mining OAO after a state registration of additional issue of shares and expiration of a period of preemptive right of share purchase, and not later than the date of offering. Purchase of shares will be paid by bank transfer in Russian rubles or US dollars. The Board of Directors also approved the Prospectus of Mechel Mining OAO of ordinary registered uncertified shares and the decision on issue of additional shares.