The K2 plant will have an initial production volume of more than 1 million tons per annum and a total capacity of 3Mtpa.

The facility will process high-quality, low-volatility coking coal from Mechel’s thin-seam Keystone mines in McDowell County.

Mechel Mining chief executive Boris Nikishichev said the launch would allow Mechel Bluestone to double its production rates.

"The plant was built to meet all modern requirements; its every production process is highly computerized, including computer-aided coal quality control,” he said.

“The Keystone low-volatile metallurgical coal is of a very high quality and is in great demand throughout the world. Our plans to step up coal production required us to boost processing volumes as well."

According to US Mine Safety and Health Administration data, Mechel owns more than a dozen active surface and underground coal operations through its Bluestone, Double Bonus, Dynamic Energy, Justice Energy, Nufac Mining and Pay Car Mining arms.

Mechel’s business is segmented into mining, steel, ferroalloy and power and it produces coal, iron ore concentrate, nickel, steel, ferrochrome, ferrosilicon, rolled products, hardware, heat and electric power.