Mechel announces commissioning of new mining machinery at Yakutugol

Mechel announces the commissioning of a new excavator at its Yakutugol subsidiary in line with its mining equipment modernization program.

The electrohydraulic PC-8000 excavator, with a 36.0 cubic meter bucket capacity, manufactured by KMG (Komatsu-Germany) is the third excavator of this brand purchased by Yakutugol OAO. This machine has high performance characteristics and reliability that meets the requirements of coalminers.

The manufacturer’s specialists took into account the needs of Mechel’s Neryungri Open Pit Mine engineers and improved the machine, adapting it to the northern operational conditions including the modernization of the undercarriage and the revision of the cabin heating system. The changes to the excavator’s design will ensure even greater reliability and productivity of the machine.

The cost of the machine is about RUR404.0 million (approximately US$17.0 mln). The machinery is intended to yield a rapid return on investment and is expected to load about 8.0 mln cubic meters of capping in 2008.

“Given the expansion of our mining segment and the planned increase of production volumes, the acquisition of high-powered mining and haulage equipment is significant and supports the implementation of the company’s strategic development program,” Mechel Management Chief Executive Officer Vladimir Polin commented.