Mine Subsidence represents a critical challenge in underground mining, manifesting during or post-mining operations, with the potential to damage nearby structures and residences. The Company’s strategy is the implementation of proactive prevention and mitigation plans. These plans are developed based on thorough mine subsidence risk assessments and surface impact analysis. The Point Hatteras Extraction Plan is a blueprint designed to guide the mining operations with support by sophisticated modeling techniques that simulate the potential impacts. Furthermore, the Company has established a network of monitoring stations focused on tracking the width of surface cracks to prevent and halt subsidence before exceeding the maximum allowance limits. 

Since its establishment in 2019, Jorong Mine’s Sasirangan eco-print program in Indonesia has been a beacon of women’s empowerment and sustainable development. <br><br>The program is operated in partnership with the community consultative committee and involves 2 women groups that manage the activities. These groups have significantly enhanced their capabilities through knowledge sharing and technical skill training, focusing on creating eco-friendly products.<br>Sasirangan’s product line uniquely incorporates eco-print techniques using eucalyptus leaves from Jorong’s reclamation areas. In 2023, the initiative expanded its product range to include eco-print coloring material and became a local government partner in Kondang’s market, a significant step in increasing the program’s reach and impact.

BKV, the Company’s subsidiary in the U.S., is committed to being a positive force within society. BKV prioritizes maintaining open and honest relationships with stakeholders and is deeply committed to being engaged with the community.<br><br>In 2023, BKV launched the first “BKV First Responder Grant Program”. This initiative is designed to establish partnerships with local first responders by providing them with financial support to enhance their services. The program started with a “First Responder Lunch and Learn” event, where BKV began discussions on safety, operations, and partnership opportunities.<br>First Responders in the operational areas in Texas and Northeastern Pennsylvania were invited to participate by submitting a simple one-page grant application. The community relations committee then reviewed all applications and ultimately awarded a total of 8 grants in the amount of over USD 30,000.<br><br>“As fire departments are in fierce competition with all the other city departments for funding, grants, and community organization support are crucial in helping us acquire necessary equipment. The gracious First Responder grant from BKV will go toward obtaining a vital EMS training prop helping ensure our staff remains proficient in our lifesaving EMS skills.”<br>Doug Spears<br>Fire Chief Saginaw Fire Department

In 2023, as part of a human rights due diligence process, the Company conducted a human rights risk and impact assessment for a renewable power business in Vietnam. The assessment involved a thorough data collection, including interviews with various rights holders, comprising employees, contractors, subcontractors, security guards, and local communities, as well as vulnerable groups, such as women and pregnant women. The findings from the assessment revealed that, with current control measures, most human rights issues posed low to medium risks. However, there were 6 high-impact risks that require focused attention. These areas included working conditions & equal remuneration, labor recruitment, forced labor, occupational health & safety in workplace, violence or harassment, and internal grievance mechanisms.

The Company’s performance management system integrates “Management by Objectives” through a balanced blend of work-related and behavior-based KPIs with a “Multidimensional Performance Appraisal” approach, inviting 360-degree feedback on work-related behaviors. In 2023, the Company applied “Team-based Performance Appraisal”, featuring a calibration process across the organization. Moreover, “Agile Conversations” are applied through mentoring programs with executives outside direct supervision.

Recognizing the importance of technology in enhancing human resource management, the Company has embarked on a technology transformation journey, guided by the 3E2A strategy: Ecosystem, Employee Experience, Empowering, Automation, and Analytics. This approach addresses challenges like data collection and integration across countries.

Indominco mine in Indonesia has proactively addressed the anticipated strong demand for local labor driven by a new capital establishment in the region. In partnership with the Bontang Welder Association and its contractors, Indominco launched an “Industry-Standard Welding Training Program.” Since 2019, 47 trainees have successfully completed this program, with an impressive 75% employment rate post-training, while 24 of these individuals are now working as contractors for Indominco.

In 2020, Mandalong mine in Australia expanded its infrastructure by constructing the “Mandalong South Surface Site”, which included ventilation fans for future mining operations. Following community feedback regarding noise disturbance caused by these fans, Mandalong implemented a management standard that included communication with complainants, consultation with the community consultative committee, and formal reporting of the issue to state authorities.<br><br>Acting on stakeholder input, Mandalong decided to modify the fan structures to reduce noise. The modifications were completed in October 2023 and resulted in a significant decrease in noise emissions. Presently, there have been no further complaints regarding this issue.

BIC, a subsidiary of the Company operating 7 solar power plants in China, focuses on improving community relations and enhancing quality of life, particularly for middle-aged and elderly individuals, by creating employment opportunities.<br><br>In 2023, BIC launched an income generation program at Jixin Solar Farm. This initiative successfully provided 32 beneficiaries with not only higher income opportunities but also comprehensive safety training and increased environmental awareness. The program is designed to comply with stringent environmental regulations, ensuring that the operations adhere to both local and national environmental standards.<br><br>During the off-peak season, my neighbors and I worked at the Ji Xin Solar Power Plant, enhancing our living standards. We participated in community events and were trained by workers who showed care and respect. The plant has a strong reputation in our area, and I trust BIC and the plant to be trustworthy partners, as do other local residents.<br>Ms. Hou Cheng Mei<br>Villager of Zheng Wei Village

In 2023, Embalut mine in Indonesia actively supported 14 community development projects. The focus of these initiatives is on agro-edu-tourism, aimed at enhancing the livelihood and well-being of the local population. The projects included the development of fruit gardens, cattle sheds, agricultural tourism attractions, fishing ponds, and fishing points.<br><br>“The Kerta Buana Village Government expresses gratitude to Embalut for its successful distribution of community development programs, which have benefited residents in human resource development and community empowerment. The government also acknowledges Embalut’s continued implementation of these programs even after the closure of the mine.”<br>I Dewa Ketut Adi Basuki<br>Head of Kerta Buana Village

Embalut has taken a participatory approach to community development and empowerment programs for post-mining phase, emphasizing the potential of community-based agro-edu-tourism to sustain and enrich local livelihoods. In 2023, the Company creates a multifaceted ecosystem of sustainable development through several projects. Key among these projects were agro-edu-tourism developments, economic independence initiatives, and training programs.<br><br>Agro-edu-tourism Development: Support the development of fruit gardens, cattle sheds, agricultural tourism, fishing ponds, and fishing points.<br>Economic independence initiatives: Support the establishment of 2 women farmer groups for oyster mushroom cultivation and laying hen businesses.<br>Training programs: Organized an extensive range of skill development programs to 138 beneficiaries, covering welding, cattle breeding, agriculture, fruit plantation management, and mechanics.

In 2024, the Company organized a variety of activities to instill the 10 key behaviors of Banpu Heart and harmonize personal values with the business objectives. These activities are designed to enable employees to embody organizational culture and apply work values with flexibility, collaboration, and unity across diverse team.<br>• Banpu Change Leaders (BCLs) reinforcement: Elevating the network of BCLs, who are committed to fostering a global corporate culture ecosystem by promoting cultural integration across business units. In Thailand, BCLs designed activities to ensure employees' deep understanding in the corporate culture. These included script interviews and storytelling projects that featured employees from different departments working under shared values, being role models for others despite differences.<br>• Workshops and training sessions under the Bottom-Up Culture Building Policy: Strengthening teamwork and unity despite differences among colleagues.

Banpu places strong importance on employee health and well-being in every country where we operate, aiming to foster a positive and fulfilling work environment. A range of initiatives has been implemented to address physical health, mental well-being, and work-life balance, aligned with local contexts and employee needs.

Launched in 2021, the post-mining program at Embalut Mine has converted 74 hectares of former mining land into productive rice fields. This initiative was shaped through participatory consultations, responding to concerns from residents in the first ring of the community development area about livelihoods once the community development and empowerment program concluded. Since 2023, the program has produced over 120 tonnes of rice, including 23 tonnes of the fourth harvest in September 2024. By enhancing local welfare and creating new employment opportunities, the program has improved local economy and supports food self-sufficiency. With direct benefits reaching 148 households, the program promotes sustainable community development and contributes to national food security. This initiative stands as a model for sustainable post-mining land use and long-term community empowerment.

Since 2019, Banpu has partnered with the Ministry of Education in the Partnership School Project, supporting 3 schools in Roi Et, Maha Sarakham, and Khon Kaen provinces. The project aims to elevate education quality in rural schools, providing students with access to high-quality education near home, and fostering greater educational equality. This initiative focuses on 6 main aspects: modern management, building strong organizational culture, enhancing teaching skills, developing students from early childhood through secondary education, promoting life and vocational skills, and creating sustainable support networks. As a result, student performance has improved, local community confidence in the schools has strengthened, and the schools have become role models, with teachers actively sharing best practices with others.

To measure the impact of community engagement efforts, the Company uses the Social Return on Investment (SROI) framework, evaluating 12 community development programs across 4 mine sites in Indonesia. In addition, a “Maturity Measurement” approach is applied to assess the sustainability of these programs across 6 dimensions: change, inclusion, organization, cooperation, influence, and sustainability. As of 2024, this comprehensive assessment has been implemented at 80% of the mines in Indonesia.

Banpu embarked on a technology transformation journey in 2023 to embrace more automated work processes. In 2024, the focus shifted toward enhancing the employee experience and leveraging data-driven analytics to strengthen collaboration, data analytics, and employee well-being across the organization in alignment with the strategic vision of the HR Digital Ecosystem.

Recognizing the transformative role of AI in shaping the future of work, Banpu began integrating AI technologies in 2024 to enhance HR decision-making, employee support, and operational efficiency.

Banpu is committed to building an inclusive workplace by extending employment opportunities for Persons with Disabilities (PWDs). Since 2017, we have collaborated with the Social Innovation Foundation to support community-based employment for PWDs, contributing to local development and aligning with the Empowerment of Persons with Disabilities Act. We also supported the Empowerment of Persons with Disabilities Fund.

As of 2024, all 19 mines under Banpu Group have established mine closure and rehabilitation plans. Of these, 12 mines remain in active operation, 6 are in project development and care & maintenance phase, and 1 site – Embalut Mine in Indonesia, is currently in the closure and rehabilitation phase.

In 2024, BKV collaborated with Pascual LeDoux Academy, providing funding and volunteer support to the Denver Public School Education Foundation for advanced education initiatives. This effort aligns with its theory of change framework, CLASS (Community Leads and Students Succeed), a strategic inititative aimed at improving student and school outcomes, covering four quadrants: student and academic growth, life skills and social-emotional learning, family engagement and support, and educator leadership development across Denver Public Schools.

Trubaindo Mine assists LPK Media Citra Mandiri, a community-based computer training center in Kampung Payang, by supplying essential facilities and instructors. The computer literacy program offers free courses in Microsoft Word, Excel, and PowerPoint, and has been enthusiastically received by the local community.

In Vietnam, the Company is dedicated to strengthening relationships with communities near the operations. As part of this effort, an income-generating project was launched to create job opportunities for local people surrounding the El Wind Mui Dinh Wind Power Plant and Nhon Hai Solar Power Plant. The project involves hiring local residents for grass cutting work, which helps clear roads, improves safety by reducing accident risks, and fosters positive relationships within the community.

In 2024, as part of our ongoing human rights due diligence efforts, the Company conducted a comprehensive human rights risk assessment as part of due diligence for our mining business in Indonesia. The assessment involved thorough data collection, including workshops, a self-assessment questionnaire, and document-based research, to identify potential human rights issues. Each issue is assessed for impact to evaluate its severity and likelihood of occurrence. The findings highlighted 6 critical risks that need to be prioritized as the highest across all or most of the sites. These include working conditions, occupational health & safety, data privacy protection, environmental health and safety, internal grievance mechanisms, and supply chain management or business partner relationships. Following this impact assessment, we developed a targeted mitigation plan for each identified risk to effectively address and reduce its potential negative consequences.