Mechel reports H1 production results

Mechel, a leading Russian integrated mining and steel group, reported its production results for the first half of 2006. According to the release, coal production increased 8 percent to 8.1 million tons, including 9 percent increase in coking coal production to 4.5 million tons and 6 percent increase in steam coal production to 3.6 million tons, and iron ore concentrate production increased 8 percent to 2.4 million tons year on year in January-June of 2006. In steel segment, the company's production of rolled products decreased 6 percent to 2.27 million tons. In particular, flat rolled production increased 26 percent to 192,000 tons, long products production increased 2 percent to 1.22 million tons but semi-finished products production decreased 20 percent to 869,000 tons during the period under the consideration. In addition, crude steel production decreased 7 percent to 2.9 million tons, that of pig iron decreased 6 percent to 1.73 million tons and that of coke decreased 21 percent to 1.1 million tons.