Russia's Raspadskaya H1 coal output falls 4 pct

MOSCOW, July 14 (Reuters) - Russian coal miner Raspadskaya (RASP.MM) said on Tuesday first-half raw coal production fell 4 percent from the year-earlier period to 4.2 million tonnes.

Raspadskaya, part owned by steel maker Evraz Group (HK1q.L), said in a statement it planned to increase domestic sales in the second half of the year to come close to matching last year's sales volume total.

Russian coking coal producers have suffered this year as prices have dropped sharply on reduced demand from the steel industry, which uses their product to smelt iron ore.

However, unlike rival Mechel (MTL.N), Raspadskaya has managed to maintain sales volumes.

Mechel reported first-quarter coking coal output dropped 76.3 percent year-on-year to 1.0 million tonnes, but it has yet to report first-half figures. [ID:nLR446026]

Raspadskaya also said it wants to increase exports, which currently account for about 40 percent of sales.

"We regard our existing export relationships as a basis for the signing of more sizeable contracts for 2010 and subsequent years," Chief Executive Gennady Kozovoy said.

The company already has contracts with Japan's JFE Holdings (5411.T) and South Korea's POSCO (005490.KS), and has signed contracts to deliver coal to China via trading companies. (Reporting by Alfred Kueppers; Editing by Keiron Henderson)