OREANDA-NEWS. Mechel OAO (NYSE: MTL), one of the leading Russian mining and metals companies, announces that the Company has commissioned a unique backhoe hydraulic excavator with an 11 cubic meter bucket, Liebherr R-994, at Krasnogorsk open pit mine of its coal mining subsidiary, Southern Kuzbass OAO.

According to the company's information division, this is the second excavator of that type put into operation at Krasnogorsk open pit mine in 2007 in line with the technical re-equipment program being implemented at Southern Kuzbass OAO. The cost of the newly commissioned equipment is more than RUR80.0 million (over US$3.0 million). A similar machine was also put into operation and successfully operates at Sibirginsk open pit mine.

The new machine is designed for complete coal seam extraction with an open cast method of coal mining, especially at lower levels where space is confined. This will enable operational losses of coal to be reduced by 2% to 4%. Operation of the excavator’s backhoe (Liebherr R-994) requires half the number of workers as compared with electric drive excavators, which enables increased labor productivity and reduced coal production costs. In addition, the back hoe technology enables operations in complicated mining and geological conditions eight meters below the excavator’s standing level.