BIODIVERSITY

Management of biodiversity at the Martabe Gold Mine is based on the mitigation hierarchy, widely recognized as best practice for mitigating project related biodiversity impacts [see Mitigation Hierarchy Controls].

Avoidance:
The first and potentially most important step in the mitigation hierarchy is avoidance of impacts by means of decisions made early in the project planning stage. The most likely opportunities for avoidance involve site selection, project design and project scheduling.

Minimization:
Minimisation involves reducing “as low as reasonably practicable” biodiversity loss due to impacts that are unavoidable if the project is implemented. There are three classes of controls for minimising project related environmental impacts: physical controls related to the design of infrastructure, operational controls such as rules and procedures, and abatement controls on pollution.

Restoration:
Restoration involves measures taken to recover biodiversity loss that has not been addressed through avoidance and/or minimization. The common example in mining is site rehabilitation involving the establishment of habitat similar to that originally cleared. Restoration of habitat is the most important control on biodiversity loss at the Martabe Gold Mine

Offsets:
Biodiversity offsets are measurable conservation outcomes resulting from actions designed to compensate for significant residual adverse biodiversity impacts arising from project development and persisting after appropriate avoidance, minimization and restoration measures have been taken. (IFC Performance Standard 6).

These scientists have worked to identify, map, and mitigate risks to biodiversity at Martabe. Their work is focused on the best interests of the Tapanuli orangutan, and their advice has already resulted in changes to the way the mine operates. [see Biodiversity Advisory Panel]

All scientists who are members of the Biodiversity Advisory Panel (BAP) work to identify, map, and mitigate risks to biodiversity. PTAR has no intervention on the BAP. [BAP Independence Statement]

The work of the BAP informs the continuing strengthening of PTAR’s policies and procedures and annual Biodiversity Action Plans.  

The BAP’s advice has also resulted in changes to the location of planned exploration sites as well as the cancellation of a planned Tailings Management Facility, where the land that had been designated for development has now been safeguarded as a corridor to facilitate the movement of orangutans. 

We are looking at how we can further strengthen the governance of this group, for which we are seeking input from the IUCN Secretariat. 

The PTAR Biodiversity Strategy and Action Plan (BSAP) provides an implementation framework for the PTAR Biodiversity Policy and facilitates Board oversight of biodiversity management performance.  It comprises seven elements: 

• Management Principles
• Goals
• Action Plans
• Operational Controls
• Stakeholder Engagement
• Assurance
• Review and Improvement

The scope of the BSAP includes all activities managed by PTAR including operations at the Martabe Gold Mine and its regional exploration program. It also encompasses biodiversity conservation aspects beyond the direct area of influence of mine operations in recognition of the importance of regional biodiversity conservation.
[see Biodiversity Strategy and Action Plan]

Operational controls for biodiversity protection at the Martabe Gold Mine are documented in PTAR Code of Practice Biodiversity Management. These are mandatory requirements for both PTAR and site contractors. The scope of the Code of Practice includes:

• Key accountabilities across the management team    
• Avoidance and minimisation of biodiversity impacts in the planning of new projects
• Minimisation of unnecessary clearing and disturbance of habitat
• Management of hazardous wastes
• Protection of animals inhabiting the site
• Restoration of forest habitat on disturbed areas as part of mine closure
• Stakeholder engagement

[see Code of Practice Biodiversity Management]

All clearing of vegetation must be preceded by “pre-clearance surveys”—whose methodology and inference designed and controlled by BAP—to prudently identify biodiversity risks and subsequently recommend mitigation practices, as per mitigation hierarchy principle.

This “pre-clearance survey” shall be carried out at least one year before proposed timing of clearing, even for area already approved as an act of prudence. BAP will confirm its formal approval to PTAR’s land clearing plan as a part of PTAR-BAP annual workshops report.

All clearing of vegetation at the mine is strictly controlled by a Land Disturbance Request procedure (“LADR”), which includes:

• Verification that the area being cleared is approved under the AMDAL parameters 
• Careful recording of all relevant evidence 
• A procedure to immediately halt all clearing activity and coordinate with relevant government agencies to ensure the safety of orangutans, should any orangutans are observed in the immediate area 
• Within 24 hours before any clearing of vegetation, a walk-through inspection of the area to be cleared by a team of four mine personnel to check for the presence of species classified as critically endangered (orangutan, tiger, pangolin and hornbill).  

If any protected species are found, clearing activities in the vicinity are required to stop immediately and a defined procedure is followed to ensure the protection of the animal(s).

At the Martabe Gold Mine, the goal of site rehabilitation is returning the forest habitat of disturbed areas to a similar condition to that existing prior to project development. This specifically includes restoration of habitat for threatened species such as Tapanuli orangutan. PTAR is also committed to the implementation of progressive rehabilitation, meaning that land is rehabilitated as it becomes available. Techniques for the restoration of tropical forest are now well established. The procedure applied at the Martabe Gold Mine is similar to that seen at many mines. The Company maintains a full-time rehabilitation crew and a site nursery to support ongoing rehabilitation works.

All past surveys/studies serve as the important basis for:

• Multi-layered permitting and licensing (Environmental Impact Assessment Study (or AMDAL) process during which active participation of community, academics, and other relevant stakeholders was welcomed and integral part of the process.
• PTAR to implement industry leading practices to minimise impacts on biodiversity associated with the mine.

As part of PTAR’s 2021 Biodiversity Action Plan, PTAR requested that the BAP carry out an study to look into whether the mine’s activities impact the Tapanuli orangutan.

The Orangutan Impact Assessment Study involved a full review of previous studies and their results, as well as onsite observations and monitoring surveys, and:

• Concluded that the methodology and inferences used in the past studies on the Tapanuli orangutan population were satisfactory;
• Supported the existing initiatives to mitigate loss of habitat as a result of mining activities, which includes PTAR’s ongoing biodiversity management and land rehabilitation work; and
• Recommended further ways to enhance the mine’s biodiversity management approach which have since been incorporated into PTAR’s policies and operations

As the Member of PT Astra International Tbk., we recognise the value of engaging with third parties to provide more transparency to the efforts the Group is making to protect biodiversity as well as to provide external perspectives and advice to further our efforts.  In 2021, our shareholders reached out to the internationally renowned ARRC Taskforce of the IUCN Species Survival Commission Primate Specialist Group (ARRC) to seek their assistance and advice in our efforts to protect the Tapanuli orangutan. We subsequently in early 2022 entered a memorandum of understanding (MOU) with the ARRC to explore how the ARRC could conduct a peer review of data about the Tapanuli orangutan obtained from scientific surveys of the mine and surrounding area carried out by the BAP.  As part of this engagement, the ARRC has been working with the BAP to advise on orangutan surveys and on appropriate mitigation measures to minimise impacts on this species.  

Local regulations on data sharing limitation have, however, meant that the ARRC has been unable to access the data they would need to carry out their peer review and, therefore, in April 2023, the ARRC decided that they would not extend the MOU. 

Notwithstanding this, we remain committed to working with relevant third parties, to obtain advice on how best to minimise the impact of the mine’s operations on the Tapanuli orangutan. 

PTAR has adopted industry-leading practices and procedures to minimize the impacts on biodiversity associated with the mine, and has implemented a range of controls in accordance with an internationally-recognised mitigation hierarchy [see Mitigation Hierarchy]. The mitigation hierarchy is a widely recognized framework for mitigating project-related biodiversity impacts, referenced by the Equator Principles and IFC Performance standard 6 (Biodiversity Conservation and Sustainable Management of Living Natural Resources).

PT Agincourt Resources (PTAR) recognizes the importance of evidence-based conservation strategies and aligns its efforts with the best available science. We are fully aware of the Population and Habitat Viability Analysis (PHVA) published in 2016—recognized as the most comprehensive public-domain assessment of orangutan populations. This document provides vital strategies and recommended actions to support the long-term viability of orangutans, including the critically endangered Tapanuli orangutan (Pongo tapanuliensis).

PTAR is confirm full compliance with all mitigation strategies recommended for the mining sector, including:

• Legal Compliance
  PT Agincourt Resources (PTAR) strives to consistently comply with all applicable laws and regulations in Indonesia, particularly those related to land use, environmental protection, and biodiversity conservation. We conduct our operations with a focus on prudence and responsibility, continuously aligning our practices with prevailing legislation as part of our commitment to sound environmental governance.
• Responsible Land Use
  PTAR strictly operates within Area Penggunaan Lain (APL) — designated as Other Use Area — and does not conduct mining activities within forest areas as defined under Indonesian law.
• Best Management Practices (BMP)
  We continuously strive to implement best practices in biodiversity management by referring to internationally recognized standards in sustainable mining. One such benchmark is the IFC Performance Standard 6 (IFC PS-6), which focuses on the conservation of biodiversity and sustainable management of natural resources. While we are not yet in full compliance with all aspects of this standard, we are committed to progressively enhancing our alignment through a measured and sustained best-effort approach, in line with our core values of environmental responsibility.
• Land Rehabilitation and Reforestation
  Active commitment to replanting, reclamation, and reforestation. PTAR not only meets mandatory land reclamation requirements but also pursues accelerated rehabilitation efforts to improve both the quantity and quality of restored ecosystems.
• Ecological Connectivity
  PTAR continues to identify, maintain, and enhance internal ecological corridors. One such corridor, identified during the 2014 High Conservation Value (HCV) study, is actively preserved and improved to support wildlife movement and biodiversity resilience.
• Conservation Initiatives
  In collaboration with BAP and a renowned international consultant, PT Agincourt Resources (PTAR) is proud to develop a 2,000-hectare conservation area to support the survival of various endangered species, including endemic wildlife such as the Tapanuli orangutan. This area, originally planned for tailing management, has now been repurposed to create a safe and sustainable habitat corridor. As a result, species within the region can access protected forests to the north of the mine, ensuring the sustainability of the ecosystem and biodiversity in the area.

  Key features of this conservation landscape include:

  • Sustainable Food Sources – Strategic planting of native fruit-bearing trees to ensure food availability year-round.
  • Natural Fencing – Designed using vegetation to protect the area without disrupting wildlife movement.
  • Community-Based Patrols – Empowering local communities to actively participate in monitoring and protecting the conservation zone.
  • Habitat Landscaping – Enhancing terrain and vegetation to better support orangutan mobility and ecosystem balance.
  • Regular Biodiversity Monitoring – Ongoing surveys of orangutan populations and local flora to track ecological health.
• Orangutan Research Station
  In early 2025, PT Agincourt Resources (PTAR) plans to inaugurate Indonesia’s first privately established research station, focusing on biodiversity research, including the Tapanuli orangutan and other species. Located within a newly developed conservation area, this station is designed to be a groundbreaking research hub that delves into critical aspects of conservation, natural habitats, and the survival of various species. With state-of-the-art facilities and collaborations with renowned research institutions, this station will pioneer efforts in sustainable ecosystem preservation and management.

  The facility can accommodate up to 30 researchers and aims to contribute significantly to scientific understanding and conservation strategies. By fostering collaboration with national and international researchers, PTAR is committed to advancing biodiversity science and playing a meaningful role in protecting one of the world’s rarest great apes.

  However, we understand that protecting this endangered species requires more than just individual actions. Long-term success depends on collaboration involving various stakeholders. That is why PT Agincourt Resources (PTAR) supports conservation efforts that go beyond the requirements of the mining sector. We work closely with key regional stakeholders, including local communities, government, NGOs, and other corporate entities, to protect broader ecosystem areas. Additionally, we continue to explore offset programs to manage impacts that cannot be entirely avoided or minimized, ensuring the long-term preservation of biodiversity.

  We also conduct regular training programs on pre-clearing fauna inspections and phenology to enhance the awareness, knowledge, and skills of our staff. These programs are designed to build environmental awareness and improve the practical skills of our workforce, reinforcing our commitment to responsible mining practices at every level of our operation.