Karelsky Okatysh is an open pit mine located in the Republic of Karelia, Russia, 30 kilometres east of the border with Finland. It is 100% owned by Severstal who uses more than half of the mine's production in its own steel mills. The mine is Russia's fourth-largest iron ore producer and largest pellets producer with annual pellet production of more than 10 million tonnes. Karelsky Okatysh is a low grade magnetite ore deposit with a raw ore grade of 24.0% Fe. The mine has benefited greatly from the depreciation of the rouble, which has halved its cash costs.