EX-16 14 d485907dex161.htm EXHIBIT 16 Exhibit 16

Exhibit 16

MINE SAFETY DISCLOSURE

The following information on certain mine safety results is presented for each underground coal mine, surface coal mine, coal preparation and loading facility owned and operated by Mechel or its subsidiaries in the United States for the annual period ended December 31, 2012 as reflected in the mine data retrieval system maintained by MSHA.

(a) Mine Safety Violations

 

MSHA

Mine

Identification

Number

   Mine or Operating Name    104(a)
S&S
     104(b)      104(d)(1)/
(No. of
S&S)
     104(d)(2)/
(No. of
S&S)
     110(b)(2)
Flagrant
Violations
     107(a)      Proposed
Penalties
in U.S.
dollars(1)
     Fatalities      Pending
Legal
Actions(2)
 

4608884

   No 58      29         1         8         2         0         0         270,658         0         108   

4609020

   No 65      41         0         1         3         0         0         504.798         0         170   

4609227

   Double Camp No 1      4         1         0         0         0         0         6,153         0         29   

4608769

   Buckeye Mine      0         0         0         0         0         0         0         0         0   

4608779

   NuFac Mine      0         0         0         0         0         0         n/a         0         0   

4609024

   No 1 Miner      0         0         0         0         0         0         0         0         0   

4609031

   No 2 Miner      0         0         0         0         0         0         0         0         0   

4609123

   No 3 Miner      2         0         0         0         0         0         3,298         0         29   

4608990

   No 39 Mine      2         0         0         0         0         0         1,287         0         3   

4608684

   No 34 Mine      0         0         0         0         0         0         0         0         0   

4609062

   Coal Mountain No 1 Surface      31         0         1         0         0         0         56,934         0         44   

4606578

   Red Fox Surface Mine      15         0         0         0         0         0         316,689         0         28   

4603404

   No 32 Mine      0         0         0         0         0         0         687         0         1   

4609315

   Central Shop      0         0         0         0         0         0         100         0         0   

4609131

   Red Fox Load-Out      3         0         0         0         0         0         1,095         0         2   

4609316

   K-2 Plant      1         0         0         0         0         0         2,481         0         11   

4603444

   Keystone No 1 Prep Plant      0         0         0         0         0         0         100         0         0   

4602446

   McDonald Fork

Impoundment

     0         0         0         0         0         0         100         0         0   

 

Source: United States Mine Safety and Health Administration’s Data Retrieval System.

 

(1) Amounts included are the total U.S. dollar value of proposed or outstanding assessments received from MSHA regardless of whether the assessment has been challenged or appealed, for citations and orders occurring during the 12-month period ended December 31, 2012.
(2) Includes all legal actions pending before the Federal Mine Safety and Health Review Commission (FMSHRC), together with the Administrative Law Judges thereof, for each of our operations. These actions may have been initiated in prior years. All of the legal actions were initiated by us to contest citations, orders, or proposed assessments issued by MSHA, and if we are successful, may result in the reduction or dismissal of those citations, orders, or assessments.

 

   

Section 104(a) S&S Violations. The total number of violations of mandatory health or safety standards that could significantly and substantially contribute to the cause and effect of a coal or other mine safety or health hazard under section 104 of the Federal Mine Safety and Health Act of 1977 (the “Mine Act”) for which the operator received a citation from MSHA;

 

   

Section 104(b) Orders. The total number of orders issued under section 104(b) of the Mine Act, which represents a failure to abate a violation under section 104 within the period of time prescribed by MSHA;

 

   

Section 104(d) Citations and Orders. The total number of citations and orders for unwarrantable failure of the mine operator to comply with mandatory health or safety standards under section 104(d) of the Mine Act;

 

   

Section 110(b)(2) Flagrant Violations. The total number of flagrant violations under section 110(b)(2) of the Mine Act;

 

   

Section 107(a) Imminent Danger Orders. The total number of imminent danger orders issued under section 107(a) of the Mine Act;

 

   

Proposed MSHA Assessments. The total U.S. dollar value of proposed assessments from MSHA under the Mine Act; and

 

   

Fatalities. The total number of mining-related fatalities.


(b) Pattern or Potential Pattern of Violations

The table below sets forth the list of the pattern or potential pattern of violations for 2012.

 

MSHA Mine

Identification

Number

  

Mine or Operating Name

   Received Notice of Pattern of
Violation under Section  104(e)
(yes/no)
   Received Notice of Potential to Have
Pattern of Violation under  Section 104(e)
(yes/no)

4608884

   No 58    no    no

4609020

   No 65    no    no

4609227

   Double Camp No 1    no    no

4608769

   Buckeye Mine    no    no

4608779

   NuFac Mine    no    no

4609024

   No 1 Miner    no    no

4609031

   No 2 Miner    no    no

4609123

   No 3 Miner    no    no

4608990

   No 39 Mine    no    no

4608684

   No 34 Mine    no    no

4609062

   Coal Mountain No 1 Surface    no    no

4606578

   Red Fox Surface Mine    no    no

4603404

   No 32 Mine    no    no

4609315

   Central Shop    no    no

4609131

   Red Fox Load-Out    no    no

4609316

   K-2 Plant    no    no

4603444

   Keystone No 1 Prep Plant    no    no

4602446

   McDonald Fork Impoundment    no    no

For the 12-month period ended December 31, 2012, none of our operations received written notice from MSHA of a pattern of violations of mandatory health or safety standards that are of such nature as could have significantly and substantially contributed to the cause and effect of coal or other mine health or safety hazards under section 104(e) of the Mine Act.

(c) Pending Legal Actions

The table below sets forth for each coal or other mine subject to the Mine Act, the identity of the mine, the number of legal actions that were pending before the FMSHRC as of December 31, 2012, as well as the aggregate number of legal actions initiated and the aggregate number of legal actions resolved during 2012.

 

MSHA Mine

Identification

Number

   Mine or Operating Name    Total Legal Actions Pending
as of December 31, 2012
   Legal Actions Initiated
during 2012
   Legal Actions Resolved
during 2012

4608884

   No 58    108    113    5

4609020

   No 65    170    176    6

4609227

   Double Camp No 1    29    29    0

4608769

   Buckeye Mine    0    0    0

4608779

   NuFac Mine    0    0    0

4609024

   No 1 Miner    0    0    0

4609031

   No 2 Miner    0    0    0

4609123

   No 3 Miner    5    5    0

4608990

   No 39 Mine    3    3    0

4608684

   No 34 Mine    0    0    0

4609062

   Coal Mountain No 1 Surface    44    44    0

4606578

   Red Fox Surface Mine    28    36    8

4603404

   No 32 Mine    1    1    0

4609315

   Central Shop    0    0    0

4609131

   Red Fox Load-Out    2    2    0

4609316

   K-2 Plant    11    11    0

4603444

   Keystone No 1 Prep Plant    0    0    0

4602446

   McDonald Fork Impoundment    0    0    0

Of the total legal actions pending before the FMSHRC as of December 31, 2012, all were contests of citations and orders issued under section 104 or 107 of the Act or through emergency response plan dispute proceedings (referenced in Subpart B of 29 CFR Part 2700).