EVRAZ

• Evraz subsidiaries are located in 19 time zones.
• Evraz annual railway shipments equal 45 million tonnes of raw materials and steel products.
• By 2006 more than 1.5 billion tonnes of iron ore were extracted in Kachkanarsky Ore Mining and Processing Enterprise.

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Yuzhkuzbassugol

Yuzhkuzbassugol is Russia’s leading producer of coking coal.

In 2007, Yuzhkuzbassugol produced almost 12 million tonnes of coal, including 56 % of coking coal.

As of January 1, 2007, total proved and probable coal reserves were estimated by IMC Consulting at 888 million tonnes. The Company includes 27 enterprises, including 12 coal mines (Abashevskaya, Alardinskaya, Gramoteinskaya, Yesaulskaya, Osinnikovskaya, Tomskaya, Tomusinskaya 5-6, Ulianovskaya, Yubileinaya, Tagaryshskaya, Kusheyakovskaya, Yerunakovskaya VIII), two enrichment plants and several servicing entities.

Yuzhkuzbassugol underground mines account for 20% of the total coal output in Kuzbass and 15% in Russia. Coking coal represents 67% of company’s total production by volume, or 15% of Russian coking coal production. The remainder is production of steam coal.

The Company supplies its coking coal to most of the leading steel and by-product coke plants in Russia and the CIS. Evraz’s steel mills, Zapsib and NKMK, are major consumers of Yuzhkuzbassugol’s production.

History

In 1930 the Ordzhonikidze mine was set up close to the construction site of the Kuznetsk steel mill, in Kuzbass, or the Kuznetsk Basin, which is east of the Ural Mountains. With the beginning of World War II, with 8 coal mines already in existence in the area, coal production increased, more coal deposits were developed and a programme of reconstruction and technical modernisation of mining capacities was launched. On September 29, 1969, a new mining combine was formed called Yuzhkuzbassugol, with the aim of improving the management structure of the Russian coal industry. The combine united 25 coal mines, 3 concentration plants, as well as a number of auxiliary production and servicing organisations.

December 2005, Evraz Group S.A. acquired a 50% stake in Yuzhkuzbassugol. In June 2007, Evraz acquired the 50% stake it hadn’t already owned from Yuzhkuzbassugol managers. On June 15, 2007 Evraz announced plans to combine businesses of Yuzhkuzbassugol and Raspadskaya coal companies.

• KGOK
• VGOK
• Evrazruda
• Sukha Balka

• Raspadskaya
• Yuzhkuzbassugol