21 May, 2011
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April 2011 Production Update

Dear Friends,
We continue to update you on Sadovaya Group operational results:

  • Production of coal at mines increased 4.3% year to year
  • Coal sales increased 39.2% year to year and 3.8% month to month

in tonnes April 2011 April 2010 % change, y-o-y March 2011 % change, m-o-m
Coal traded 104,667 75,166 39.2% 100,794 3.8%
Coal mined 29,5 28,278 4.3% 37,475 -21.3%
Sadovaya mine 18,65 9,025 106.6% 19,07 -2.2%
Rassvet-1 mine 10,85 19,253 -43.6% 18,405 -41.0%
Coal recovered from waste dumps 3,19 0 n/m 3,721 -14.3%

In April 2011 for geological reasons the production at one of the 2 operating longwalls of Rassvet-1 mine was temporary discontinued. The management is evaluating the new mining conditions and will be shortly informing whether the production at this longwall will be restored or the efforts will be shifted to an alternative mining site. Following due analysis the management will issue an update to the 2011 production plan to reflect temporary stop in production at one of Rassvet-1 longwalls and measures to be taken to maintain the targets of the current annual production plan.

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