Embracing Sustainability: AMMAN’s Path to Responsible Mining

Amid the escalating global focus on sustainable practices, AMMAN takes immense pride as a proponent of responsible mining operations. As AMMAN navigates the ever-evolving practice of responsible mining, AMMAN’s commitment remains steadfast, guided by its Sustainability Strategy Framework

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AMMAN’s Sustainability Strategy Framework

AMMAN recognizes the significance of integrating sustainability into its business practices to enhance long-term stakeholder value. To achieve this, AMMAN has developed a strategic framework aligned with its vision, mission, and values
This framework aims to create a comprehensive and integrated approach to sustainability that addresses stakeholder interests and business challenges. The Sustainability Strategy Framework comprises four pillars, various material topics, and key enablers to support the implementation and success of sustainability programs

AMMAN’s Sustainability Strategy Framework is illustrated below

Advancing People

At AMMAN, our people are our most valuable asset. We believe that providing conducive working environments not only enhances the value and competitiveness of our operations but also fosters the well-being of our workforce. We foster a safe and supportive working environment that enables employees to enhance their skills and advance their careers.

We are also committed to upholding and protecting human rights for all individuals affected by our operations throughout the entire lifecycle of our activities. This commitment encompasses our employees, surrounding communities, workers in our supply chain, business partners, and other relevant stakeholders.

AMMAN also recognizes that its operations can significantly influence the livelihoods of employees and neighboring communities.We believe that sustainable community development is essential for its long-term success. By closely collaborating with local communities to identify and address their needs, the company invests in programs that promote education, health, and economic development.

Responsible Tailings Management

AMNT's mineral processing operations prioritize the use of environmentally safe methods that avoid toxic or harmful chemicals. Consequently, the tailings deposited in the deep sea consist of finely crushed rocks, resembling natural formations found in nature. Through ongoing efforts to conserve minerals, AMNT has successfully reduced the mineral content in tailings, leading to cleaner tailings deposition practices.

Located near the coast of West Sumbawa Regency, the Batu Hijau mine utilizes a deep sea tailings placement (DSTP) system. Tailings are transported via a pipeline to a depth of 125 meters below sea level and then released into the Senunu deep sea canyon, reaching depths of up to three kilometers.

Various independent and reputable educational and research institutions have conducted periodic studies on the DSTP since its inception. These studies consistently report no adverse environmental impacts beyond estimated and permitted zones. Additionally, the government conducts regular monitoring at regional and national levels. AMNT upholds sound mining principles to ensure that tailings quality parameters consistently meet government standards.

Batu Hijau DSTP Due Diligence Study 2022 Batu Hijau Due Diligence Study 2022 Issue 2 Executive Summary by SAMS ENTERPRISE Batu Hijau Due Diligence Study 2022 Issue 4 by SAMS ENTERPRISE PT Amman Mineral Nusa Tenggara (AMNT) DSTP Due Diligence Study 2022 by CSIRO Batu Hijau Mine Environmental and Social Impact Assessment for a Tailings Storage Facility by GreenCorp

Preserving Environment

AMMAN prioritizes environmental preservation for the benefit of current and future generations. Our initiatives focus on minimizing environmental impact, addressing climate change risks, and safeguarding natural resources. To combat climate change, AMMAN actively seeks to reduce greenhouse gas emissions and transition to cleaner energy sources. We prioritize responsible tailings management by adopting best practices and technologies to mitigate associated risks.

Collaborating with local communities, government agencies, and other stakeholders, we promote environmental stewardship and protect ecosystems and biodiversity. AMMAN also implements measures to improve air quality and reduce pollution from our operations. Through these efforts, AMMAN aims to positively impact the environment and contribute to a more sustainable future.

Amman Due Diligence - CSIRO and SAMS

AMMAN collaborates with renowned international institutions such as the Commonwealth Scientific and Industrial Research Organization ("CSIRO") from Australia and the Scottish Associations for Marine Science ("SAMS") to regularly monitor Deep Sea Tailings Placement ("DSTP"). This monitoring ensures compliance with Indonesian regulations and international standards.
The study conducted by SAMS concluded that AMMAN’s environmental monitoring operations had been carried out to a high and commendable standard. Independent analysis by CSIRO indicates that DSTP releases from the Batu Hijau mine are localized, primarily in deeper water. Metal concentrations in fish and filter-feeding organisms near the disposal point show no significant impact on the food chain.
Batu Hijau DSTP Due Diligence Study 2022 Batu Hijau Due Diligence Study 2022 Issue 2 Executive Summary by SAMS ENTERPRISE Batu Hijau Due Diligence Study 2022 Issue 4 by SAMS ENTERPRISE PT Amman Mineral Nusa Tenggara (AMNT) DSTP Due Diligence Study 2022 by CSIRO
AMMAN Batu Hijau Mine Environmental and Social Impact Assessment for Tailings Storage Facility – Green Corp

AMMAN studied the potential environmental and social impacts of transitioning from a DSTP facility to a terrestrial tailings storage facility ("TSF") for waste management at the Batu Hijau mine in West Sumbawa Regency, West Nusa Tenggara. This analysis, conducted in partnership with the international consulting agency Greencorp, evaluates the risks associated with developing a TSF.

The DSTP facility at the Batu Hijau mine has operated incident-free since 2000, with minimal environmental impact. However, transitioning to a TSF would involve significant operational changes and environmental consequences, including the loss of approximately 450 hectares of high-quality forest vegetation and the destruction of a five-kilometer river habitat. While the TSF surface may be rehabilitated over time, the restoration of these areas to their original diversity and productivity could take decades or even centuries.

Batu Hijau Mine Environmental and Social Impact Assessment for a Tailings Storage Facility by GreenCorp

Managing Resources

AMMAN is dedicated to sustainable natural resource management at every operational stage, including responsible mine closures. We actively reduce our carbon footprint through innovative energy efficiency programs. Our commitment to responsible water management ensures minimal consumption and impact on vital water resources. Waste and hazardous materials are carefully managed to minimize environmental impact. Finally, AMMAN plans for sustainable mine closure, aiming to restore the land and uplift local communities after operations conclude.

Upholding Ethics

AMMAN is commited to ethical, responsible, and transparent business practices. We maintain the highest ethical standards across all operations, fostering an accountable corporate culture through robust governance and compliance measures.

AMMAN engages openly with stakeholders and business partners to maintain trust and drive continuous improvement. By upholding these standards, we build lasting relationships and enhance our operations.

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ESG Steering Committee

AMMAN established an Environmental, Social, and Governance (ESG) Steering Committee to guide our ESG and Sustainability strategy. This committee oversees our policies, performance standards, and objectives across a range of critical areas, including environment, health & safety, employment, human rights, stakeholder engagement, community development, and corporate governance. By monitoring and reviewing our ESG initiatives, this committee ensures our commitment to sustainability is fully integrated into our operations and practices.
ESG Task Force ESG Steering Committee Charter

Enterprise Risk Management Committee

AMMAN has established an Enterprise Risk Management Committee to support our Board of Directors in overseeing our risk management strategy across various critical areas. This committee guides our policies, performance standards, and objectives for risk categories such as occupational health & safety, environment, community, ESG & sustainability, regulatory compliance, and more. By monitoring and reviewing our risk management framework, this committee ensures that we effectively mitigate risks and safeguard our operations and reputation.
Enterprise Risk Management Committee Charter