PTBA is committed in adhering to local environmental laws and regulations for all Company activities. Environmental management efforts are carried out in accordance with the Company’s commitments stated in the Environmental Management Plan and Environmental Monitoring Plan documents, as well as the Environmental Management and Environmental Monitoring Efforts document. Management and Monitoring also refers to the laws and regulations in which the Company operate, as outlined in the Annual Technical and Environmental Work Plan (RKTTL). [103-1]

Measurement and Monitoring results indicate that all parameters tested are in direct accordance with the quality standards set by the legislation.

These efforts were carried out thoroughly by the Company, including its participation on the Company Performance Rating Assessment Program (PROPER) held nationally. Its participation are welcomed by the government and the public, hence, the Company was awarded its 6th PROPER gold award from the Ministry of Environment. PROPER award is awarded to Company’s that has fulfilled the Company’s achievements for 6 consecutive years. This is a testament to the Company’s seriousness in reducing waste and pollution. In addition, the Company also achieved several awards related for its efforts in managing and preserving the environment. This includes PTBA becoming a role model in coal mining environmental management efforts, which resulted in the Company attaining PROPER award seven times. In which, the Company first participated since 2013 as supported by the Indonesian Ministry of Environment and Forestry (KLHK). In addition, PTBA was awarded Forest Reclamation and Watershed Rehabilitation takeholder of the in April 2019.

Comply with Terms and Preserving With Awareness PTBA adheres completely to all applicable legislations when in conducting its business practices. The Company is devoted in applying good environmental protection policies in conducting its business practices. The Company has set out several initiatives including an indepth analysis of all plausible environmental and social risks with the application stated in the Environmental Impact Analysis system. First and foremost, would be the initial procedure in securing Environmental Permit and stakeholders approval.

Concurrently, the Company also compiles an Environmental Management and Monitoring Plan (RKL/RPL) or Environmental Monitoring and Management (UKL/UPL). The plans stated in the aforementioned documents, includes monitoring the converted mining site to Urban Forests; land clearing and reclamation of ex-mining lands; plant maintenance; drainage of mud in settling ponds; making mud settling ponds; nursery and planting; top soil management; controlling acid mine drainage (AAT); erosion prevention; research and development; handling of B3 waste, Emissions and Effluents and partnership and community development programs. All of this procedures would have to comply with local laws and regulations. The Company has also managed to secure RKL/RPL and UKL/UPL documents approval from the Government. RKL/RPL and UKL/UPL are guidelines for mining operations, business activities, management, measurement and monitoring of the social environment.

Implementation and Assessment Monitoring 2019

Constant measurement and monitoring are implemented by the Company. This ensures that each activities carried out by the Company are effective, efficient and best meet optimal results. Regular measurement and monitoring are spearheaded by Unit of Occupational, Health, Safety, and Environment (OHS) team. In 2019, the activity monitoring has been conducted in the following aspects:

Environmental and social monitoring activities have been implemented by the Company throughout the year. Measurement and monitoring results indicates that tested parameters has passed legislations standard Quality Standard. These results were documented and communicated to all relevant institutions. [103-2]

Based on the results generated, there were no complains made against the Company related to the environmental impact in 2019. Also, the Company did not receive any penalties for breach of local environmental laws and regulations. [307-1] [6.e.6)]