Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental protection
• Social equity
• Good governance

Environmental Achievements

• Progressive reclamation (best practice) being implemented on waste rock dumps and tailings storage facility (TSF) embankment
• 73% of total water used was recycled (from TSF) for the period 2016-2020
• Of the 799 ha disturbed land area, 731 ha representing all available land (91% of disturbed land) at closure will be reclaimed

Social Achievements

• Total Community Development & Enhancement (CDE) investment (2018-2020) of $5.4 million
• As of December 2020, of the 689 total number of employees, 323 (47%) are from local communities in North Minahasa Regency
• 15 of the mine’s major contractors/suppliers are from the project area, which represented 40% of contractor/supplier costs in 2020

Governance Achievements

• Several Board sub-committees (expenditure, investment, human capital, audit and ethics) have been established to support the Boards on key governance issues
• Anti-corruption & Anti-bribery Policy developed and communicated
• Anti-corruption & Anti-bribery training programs conducted

Climate Goals & Targets

Environmental Challenges

• Incomplete GHG emissions inventory (only emissions from diesel generators are recorded)
• No documented GHG emissions reduction plan or numerical targets
• No regular public ESG reporting

Mitigation Strategies

• Recommendations to develop a comprehensive inventory of all GHG emissions and set numerical targets with specified timelines for emissions reductions
• Recommendations to initiate the process of generating annual ESG reports based on a format and associated standards that best suits its stakeholders’ interests

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Prioritization of local suppliers/contractors

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Credit Suisse (2020 Precious Metal ESG Scorecard)

Certifications: ISO 14001, ISO 45001

Third-party Assurance: Lloyds Register

Awards & Recognition

• PROPER (Blue Rating)
• ADITAMA (Gold Award)
• PRATAMA
• UTAMA
• ISDA Award (Gold)
• CSR Best Practice (Platinum)
• IMA Award
• Indonesian CSR Award (Platinum)

Environmental Metrics

ESG Focus Areas

• Economic
• Social
• Environmental
• Governance

Environmental Achievements

• Reduced potential emissions from fossil fuels to electricity by 94%
• Decreased energy intensity from 0.55 GJ/ton to 0.041 GJ/ton
• Decreased water usage from all sources from the previous year
• Decreased hazardous waste generated from the previous year
• Achieved PROPER BIRU (BLUE PROPER) certification

Social Achievements

• Zero fatalities in the operational area for all employees and business partners
• Increased proportion of female employees by 13.7% compared to the previous year
• MSM and TTN won Platinum awards at the 2021 Indonesian SDGs Award (ISDA) for various community development programs
• Total realization of CSR and Community Development activities in 2021: US$2.45 million

Governance Achievements

• Published first sustainability report after listing on the Indonesia Stock Exchange (IDX)
• Implemented a whistleblowing system
• No proven corruption incidents within the company in 2021
• Implemented Good Corporate Governance (GCG) principles

Climate Goals & Targets

Environmental Challenges

• Lower average gold head grade resulting in decreased gold production and sales volume
• Social conflicts due to blasting and land disputes

Mitigation Strategies

• Compensation for cracked houses due to blasting
• Community involvement in blasting as blastguards
• Implementation of PPM programs in the economic sector
• Addressing land disputes through data verification, dialogue, and government involvement

Supply Chain Management

Responsible Procurement

• Selection of suppliers based on best value, considering price, performance, quality, and service; periodic assessments of supplier compliance with Indonesian laws and regulations

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option

Certifications: ISO 14001 (MSM & TTN), ISO 45001 (MSM & TTN), PROPER BIRU (BLUE PROPER)

Sustainable Products & Innovation

• Emas Merah Putih gold bars with CertiTrack and CertiEye technology

Awards & Recognition

• Indonesia Top Digital PR 2021
• Indonesian SDGs Award (ISDA) 2021 (Platinum)

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Progressive reclamation of mine sites, including waste disposal site reclamation.
• Implementation of environmental baseline and monitoring programs, including replanting, water resource optimization, and greenhouse gas emission reduction.
• Adoption of Good Mining Practice (GMP) model for mine operations.

Social Achievements

• Zero Accident Awards for PT Meares Soputan Mining and PT Tambang Tondano Nusajaya.
• Aditama, Pratama, and Utama Awards from the Ministry of Energy and Mineral Resources for PT Meares Soputan Mining and PT Tambang Tondano Nusajaya.
• Best 3 CDO Officer and Platinum and Gold categories in the Indonesia Sustainable Development Goals Award 2022 for PT Tambang Tondano Nusajaya.

Governance Achievements

• Implementation of Good Corporate Governance (GCG) principles.
• Establishment of a Whistleblowing System (WBS).
• Regular meetings of the Board of Commissioners and committees.

Climate Goals & Targets

Environmental Challenges

• Natural disaster at the Araren pit, resulting in land subsidence, road damage, and river water flow into the pit.
• Fluctuating gold prices due to global economic conditions.
• Covid-19 pandemic.

Mitigation Strategies

• Implementation of cost efficiency and resource exploration programs.
• Remediation of the Araren pit.
• Insurance policies for damage and business interruption.
• Strategic initiatives focusing on cash flow management, business expansion, and sustainable operations.

Supply Chain Management

Responsible Procurement

• Renegotiation of contracts with key suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters (e.g., landslides, heavy rainfall).

Reporting Standards

Frameworks Used: GCG (Good Corporate Governance)

Certifications: ISO 14001 (MSM & TTN), ISO 45001 (MSM & TTN)

Third-party Assurance: KAP Purwantono, Sungkoro & Surja (member of Ernst & Young Global Limited)

Sustainable Products & Innovation

• Gold minted bars with various themes and sizes.

Awards & Recognition

• Zero Accident Awards (MSM & TTN)
• Aditama, Pratama, and Utama Awards (MSM & TTN)
• Indonesia Sustainable Development Goals Award 2022 (TTN)

Environmental Metrics

ESG Focus Areas

• Economic
• Environmental
• Social
• Governance

Environmental Achievements

• Increased total use of renewable energy by 10.8% from the previous year.
• Emission intensity decreased by 23.1% from the previous year.
• Energy and water efficiency increased by 147.2% and 6.3%, respectively, from the previous year.
• Mining land reclamation reached 28.4% of obligations.
• Zero complaints from the community and no sanctions from regulators regarding environmental issues.

Social Achievements

• Employee productivity reached US$394,600/employee, an increase of 16.8% from the previous year.
• Occupational accident rate was lower than in the previous year with zero fatalities.
• No complaint received on management of manpower and OHS.
• PPM program held in 2023 had provided benefits to 3,888 people with implementation costs reaching US$1.8 million.

Governance Achievements

• No incidents of corruption or incidents occurring within the Company’s internal scope.
• No work partners had their contracts terminated due to violations related to corruption.

Climate Goals & Targets

Environmental Challenges

• Emergence of climate change impact leading to an increase in unplanned energy use.
• Amendments to government policy due to the development of sustainability aspects for business actors.

Mitigation Strategies

• Developing sustainability concepts and coverage of social and environmental aspects that influence policies and programs including on the entire Subsidiaries.
• Providing anticipatory plans related to climate change, especially those that have an impact on increasing energy use.
• Complying with regulatory developments and conducting studies regarding the impact of regulatory amendments on the Company at present and in the future.

Supply Chain Management

Supplier Audits: Regular assessments of suppliers, including compliance with regulations related to the environment, manpower, and safety.

Responsible Procurement

• Selection of suppliers based on best value and price, performance reliability, quality, and service, including sustainability aspects in social and environmental fields.

Climate-Related Risks & Opportunities

Physical Risks

• Climate change impact leading to increased unplanned energy use.

Transition Risks

• Changes in government policy related to sustainability.

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards 2021 (with reference)

Certifications: ISO 14001:2015, ISO 45001:2018

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 6: Clean Water and Sanitation
• Goal 7: Affordable and Clean Energy
• Goal 8: Decent Work and Economic Growth
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action
• Goal 15: Life on Land

CSR programs aligned with SDGs through five pillars: health, education, economy, socio-culture, and infrastructure.

Sustainable Products & Innovation

• Emas Merah Putih gold bars with CertiTrack and CertiEye technologies.
• Gold medallions.

Awards & Recognition

• Aditama Award, Pratama Award, Best Award, Utama Award (MSM and TTN)
• Indonesian CSR Awards – ICA 2023 (Platinum Category)
• Indonesian Sustainable Development Goals Award – ISDA 2023 (Individual Category - Best 1)
• Tamasya Award 2023
• PROPER Blue Rating
• Good Mining Practice award from the Ministry of Energy and Mineral Resources