Pellow

Mine Head

February 2016

PT Indominco Mandiri

Era Tjahya Saputra

Mine Head

1

Agenda

1. General Information

2. Mining Operation

3. Quality, Safety & Environment and CSR

Project History

1990

1991

1992

1994

1996

1999

1997

1998

Signed Contract of Work (COW) 05 Oct 1990

General Survey (1990-1991)

Exploration Program (1992-1993)

Feasibility Study (1993-1995)

Interim Facilities Construction (1995-1997)

Signed Coal Mining Contract with PT. PAMA (30 May 1996)

First Coal Shipment using Interim Facilities (18 Apr 1997)

First Overburden Mining (15 Jul 1996)

Permanent Facilities Construction (1997-1999)

First Coal Shipment using Permanent Facilities (Jan 1999)

Acquired by ITM ( BANPU ) 2001

2009 East Block start up

2008 Upgrade Bontang Coal Terminal Capacity

3

Indominco Concession Area

EAST BLOCK

WEST BLOCK

PORT STOCKPILE PORT

SHIP LOADER

SANTAN RIVER

CRUSHER 2

CRUSHER 1

IM OFFICE

PAMA OFFICE

OVER PASS KM. 10

4

Agenda

1. General Information

2. Mining Operation

3. Quality, Safety & Environment & CSR

West Block & East Block Typical X-Section

Mine Stockyard

Coal crushing

Land Clearing &

Stripping of top soil

Dumping of waste

Drilling and blasting of

Overburden

Stripping of

overburden

Coal

mining

ROM

Coal Transport 35 km

To Port Stock yard

Port Stockyard

Cap 600.000 Ton

Overland Conveyor 4 Km

Top soil spreadingRevegetation

Oversea Conveyor 2,5 Km

Shipping

COAL FLOW

PT. INDOMINCO MANDIRI

Coal Mining Process

Mining Operation Concept

Mining Activity

Coal Expose Coal winning

Coal Cleaning

Overburden Removal

Mine Facility: stockyard

9

10

Agenda

1. General Information

2. Mining Operation

3. Quality, Safety & Environment & CSR

a) Managing top soil/sub-soil

b) Overburden placement

c) Wastewater treatment, monitoring and management

d) Erosion and sedimentation control

e) Dust control

f) Hazardous material and hydrocarbon management

g) Rehabilitation/reclamation

h) Seed development

EnvironmentManagement

During mining process, PT Indominco Mandiri put concern in managing environmental aspect and impact, such as:

Water Quality Monitoring

Emission monitoring

Revegetation

Environmental monitoring

Orangutan (Pongo pygmaeus)

Kancil (Tragulus sp.)

Biawak (Varanus sp.)

Ayam hutan (Gallus sp.)

Environmental monitoring (fauna)

Kucica hutan (Copsychus malabaricus) Cucak kuricang (Pycnonotus atriceps) Delimukan jambrud (Chalcophaps indica)

Burung madu kelapa

(Anthreptes malacensis)Burung madu rimba

(Hypogramma hypogrammicum)Pijantung kecil (Arachnothera longirostra)

Environmental monitoring (fauna)

Nursery

To provide good and qualify seedling for rehabilitation/reclamation process, we develop a nursery area in 2 hectare area wide.

47 species were nurtured including local seeds from flora conservation activity.

To improve number of seed, since 2013 we provided tissue culture laboratory which currently 3 species are in trial to be propagate.

Tissue culture laboratory

Sample of seed being propagate using tissue culture technique. We are focusing in 3 local species to be propagate, which are: orchid, Duabanga sp., and Aquilaria(gaharu)

As part of company policy in sustainable development, we implement programs that we called “Environmental Initiative” during our operation, such as

a) Water conservation

b) Energy conservation

c) Flora conservation

d) Orangutan/wild animal conservation

e) Mangrove plantation

f) Reduce, Reuse and Recycle (3R) program

Environmental Initiative

Usage of rainfall as source of domestic water

Reuse of wastewater from washing plant in close system

Application of wastewater for dust control in

hauling area

Water conservation

Utilization solar cellCoal fired power plant (2 x 7 MW) replacing

usage of generator set

Energy conservation

In Pit Crushing and Conveying (IPCC) System replacing truck & shovel system

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Coral transplantation

Coral transplantation has been implemented since 2010 at Tanjung Meranggas shore at Bontang Sea.

Currently, we have 600 blocks transplanted coral reef.

25

Flora conservation

Started in 2011, in cooperation with Purwodadi Botanical Garden, flora conservation has collected 561 specimen in 40.000 sqmsampling area (2011). During inventory process, we found rare and protected species which being conserve and will be propagate ex-situ in Purwodadi Botanical Garden.

Some 297 plants of 16 species which acclimatized in nursery have been re-introduced in reclamation area and during 2012-2013, 150 plants of 60 species were planted in Purwodadi Botanical Garden and become the state collection.

Borrasodendron borneense,

a rare and protected species

of palm tree found in IMM-

East Block

Acclimatization and propagation process in nursery

Flora conservation (picture of activity)

Acclimatized plants were re-introduced and inserted in reclamation area WD 1 and WD 13 HWPB

Acclimtized plants

Transportation

Land preparation

Plantation

Flora conservation (plants re-introduction)

Orangutan & wild animal conservation

Captured monkeys (Macaca nemestrina) from camp and canteen area were released back in the wild

Indominco and Ecositrop join action to save orangutan

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Minister of Forestry planted mangrove at

Santan Coast near port area

Bontang Major (Mr. Adi Dharma)planted mangrove at SantanCoast near port area

Mangrove plantation

Employees and surrounding community join together to plant mangrove at

Santan Coast near port area

Mangrove plantation started since 2010 and has planted 37,000 mangroves until January 2016. This program will continue in the future

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Fly ash & bottom ash utilization as paving block

3R program

Best Award from Mining Dept

for Env ManagementPROPER NATIONAL LEVEL

CERTIFIED ISO 14001:2004

7 TIMES8 TIMES

AWARD FROM EAST KALIMANTAN GOVERNORPROPER PROVINCE LEVEL (EAST KALIMANTAN)

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Environmental award

ISO 9001:2008

Certificates

ISO 14000:2004

Certificates

OHSAS 18001:2007

Certificates

Certificates of

Accreditation

Implementation of Management System

COMMUNITY DEVELOPMENT

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STAKEHOLDER

Implementation

1. Management Activity

2. Need assessment local need

3. Facilitated of community

4. Communicating

5. Coordinating and

collaboration

Planning

1. Participative

collaborative CCC

Members

2. Planning of RKAB

3. Planning of Success

parameter CD

4. Documentation and

report

Sustainability program

CD

Report

1. Regular report of CD

2. Report of Achievement CD

Monitoring and

Evaluation

1. Monitoring program CCC

2. Evaluation Program CCC

3. Persepsition study

STAKEHOLDER

Sustainability Development CSR Program

Learning together

Growing together

Sustainable together

Learning

Growing

Sustainable

Sustainability Development CSR Program

Community leaders and group committees

Villagers and group members

• Studying to work• Strong and effective teamwork• Strong commitment• Transparency and honesty• Building up confidence to their members• Sincere/open discussion and sharing• Continuous learning and capacity building in

order to update and apply new knowledge.

• Good spirit• Harmony and cooperation• Participation• Sense of ownership• High discipline• Build-up the confidence

Management Networking

• Management skills• Prioritization of key projects/activities• Ability to sustain projects/activities• Regular meetings, monitoring• Participatory problem solving

• Sharing experiences to other communities and institutions regarding community self-reliance practice

• Obtaining supports from governmentagencies and private sectors on knowledge, budget, and equipment

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Mangrove

Seaweed Farm

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Home Industry

Study Functional

Illiteracy, A, B, and C

CD & CSR activity

CD & CSR Award

35

PADI, KARET

PADI, KARET, RUMPUT LAUT

KARET

PETERNAKAN SAPI, KARET

PADI

KARET, SAWIT SAWIT, KARET

SAWIT

RUMPUT LAUT

HORTIKULTURA, RUMPUT LAUT

SAWIT, KARET

CD Integrated Program

36

THANK YOU

Quality improvementSafe workingEnvironmental friendly