(EnergyAsia, January 12 2012, Thursday) — Mechel OAO, a leading Russian mining and metals company, said it has finished laying tracks along the entire 321-km route of the railway link from Ulak station to the Elga coal deposit being developed by Mechel Mining OAO’s subsidiary, Yakutugol Holding Company OAO.

The last section of track of the railway link to the Elga deposit was laid in December 2011, opening traffic along the entire route from Baikal-Amur Mainline’s Ulak station to the Elga deposit.

The railway track’s construction which included 76 bridges was undertaken in difficult climatic and geological conditions, requiring an investment of some 40 billion roubles. (US$1=32 roubles).

Mechel said it began constructing the railway link to the Elga coal deposit in February 2008, with subsidiary Metallurgshakhtspetsstroy ZAO as the project’s general contractor.

Mechel said the Elga open pit mine has produced 200,000 tonnes of coal since opening last August.

Mechel chairman Igor Zyuzin said: “The railway’s completion is one of the most complicated and important stages in implementing the unique project of developing the Elga coal deposit, which is one of the world’s largest coking coal fields.

“The launch of direct railway access to the Elga coal complex will in 2012 significantly facilitate delivery of materiel necessary to increase production at Elga, as well as allow rail transportation of coal mined at the deposit.

“This project’s scale is unique for the mining industry. Completion of railway construction together with the launch of mining at the deposit in such a short time, considering the 2008-2009 financial crisis, once again proves that Mechel is one of the few companies with the potential to handle a project of such magnitude.”