MOSCOW, April 22 /PRNewswire/ --

Mechel OAO (NYSE: MTL), one of the leading Russian mining and metals companies, announced today its operational results for the first quarter ended March 31, 2008.

First quarter of 2008 First quarter of 2008, vs. first thousand tonnes quarter of Product 2007, % Coal 7,279 +60 Coking coal 4,313 +94 Steam coal 2,966 +27 Coal concentrate(1) 4,122 +37 Coking 3,330 +43 Steam 792 +19 Iron ore concentrate 1,163 +6 Nickel 4.4 +7 Ferrosilicon 23 n/a Hardware 183 +16 Forgings 19 -12 Stampings 24 -7 Rolled products 1,366 +7 Flat products 115 +3 Long products 817 +8 Semi-finished products 434 +7 Steel 1,563 +5 Pig iron 970 +4 Coke 917 -4 Electric power generation (ths. kWh) 1,276,133 +157 (1) The coal concentrate has been produced from part of the raw coal output.

Mechel Management OOO Chief Executive Officer Vladimir Polin commented on the operational results for the first quarter of 2008, "We are very pleased with our operational results for the first quarter of 2008 as we achieved strong production growth across all of our business segments: mining, steel and power. Strong coal growth was driven primarily by the acquisition of Yakutugol HC OAO in October 2007, and the modernization of Southern Kuzbass OAO's mining equipment. We continued to increase our output of nickel as the main component in stainless steel rolled product manufacturing."

Mr. Polin continued, "Results in our steel segment, were positively driven by increased volumes of steel produced with the continuous casting method, and over time, we will convert 90% of our total steel production to use continuous casting. Furthermore, we increased our output of its finished long and flat rolled products and hardware. Our power segment substantially increased its electric power generation that was primarily driven by the acquisition of the Southern Kuzbass Power Plant in March 2007. Energy growth was also strengthened by the recent acquisition of 49% of the Bulgarian-based Rousse Thermal Power Plant in December 2007, which is operated by our professional management, and the subsequent successful integration of the Power Plant's power facilities into the company's business."

Mechel OAO Ilya Zhitomirsky Phone: +7-495-221-88-88 ilya.zhitomirsky@mechel.com

Mechel is one of the leading Russian companies. Its business includes three segments: mining, steel, and power. Mechel unites producers of coal, iron ore concentrate, nickel, 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.

Ilya Zhitomirsky of Mechel OAO, +7-495-221-88-88, ilya.zhitomirsky@mechel.com