SR 2019 PTAR 231120 Eng

Unity
in
Diversity
2019
Sustainability Report
Sri Dewi, a member of Karya Mulia Bakti cooperative,
is harvesting the local dent corn in Aek Sirara Hamlet.
Diversity represents the power of PT Agincourt

Resources (PTAR) to build togetherness as a key to
achieving unity. Being located in an area with diverse
backgrounds and cultures, PTAR’s existence embraces
this diversity within a societal framework.
We empower diversity, especially by providing training

to local communities and women to achieve equal
employment opportunities. At present, 74% of PTAR’s
workers are from the surrounding area, namely
South Tapanuli, Padangsidimpuan, Central Tapanuli,
and Sibolga, and 7% of them have succeeded in
achieving senior manager and higher positions.
As many as 13% of our suppliers are from the
15 villages surrounding the operational area.
27% of our workers are women and 28% of the
Management Team are woman.
We believe this diversity is the foundation for us to grow

and create value for our stakeholders through safe,
efficient and responsible business performance. This
value creation builds on economic aspects, as well as
environmental, social, and governance aspects too.
2019
Unity in Diversity
Suyadi, a banana farmer whose farm
is developed under PTAR’s Agriculture
Development Program, harvesting Pisang
Barangan with Broto Suwarso (Community
Development Department).
Continuity of the Theme
2018 2017
CONTINUOUS IMPROVEMENT DELIVERING GROWTH
FOR FUTURE GROWTH
Since 2013, the Company has implemented its continuous Since before commencement of operations at the Martabe
improvement process called the Martabe Improvement Gold Mine, the Company has maintained a very active
Program (MIP). The program has been very successful over exploration program, targeting the discovery of additional
the years, primarily measured by increased production and Ore Reserves close to the mine. By international industry
reduced unit costs. During this period we have increased standards, this program has been remarkably successful.
our mill production from 3.6 million tonnes per year By the close of 2017, 43.1 million tonnes had been added
(280,000 ounces of gold) to 5.6 million tonnes per year to Martabe’s Ore Reserves since operations commenced,
(412,200 ounces of gold) and reduced All-in Sustaining an increase of 48% and equivalent to nearly eight additional
Cost (AISC) from USD799 per ounce to USD367 per ounce, years of production.
representing a 54% reduction. This remarkable outcome
has been achieved without compromising other important This ongoing growth in reserves will deliver greater
operational outcomes such as safety and protection of the benefits over a longer period of time for all our key
environment. stakeholders, including investors, employees, government
and local communities. The potential for further significant
A more efficient operation provides a platform to identify discoveries remains high due to the size of the mineralised
further possible improvements in the business. We are well system and the large remaining area left to be explored.
positioned to exploit these opportunities for future growth. PTAR is committed to maximising the potential of the
The exploration program continues to be a strong and Martabe Gold Mine in full alignment with the Company’s
successful investment in discovering more gold. We are core values, especially Growth, Excellence and Action.
also commencing a pre-feasibility study on options to treat
sulphide ore, effectively to increase the life of the mine.
Economic performance, alongside environmental and

social, is one of the three pillars of sustainable development.
The improvements in efficiency delivered by the Martabe
Improvement Program (MIP) directly support sustainable
development by maximising resource utilization and
extending mine life, and will provide greater benefits
over additional years for all key stakeholders, including
investors, employees, government and local communities.
PT AGINCOURT RESOURCES
2019 Sustainability Report 1
SUSTAINABILIY MESSAGE FROM COMPANY PROFILE SUSTAINABILITY
PERFORMANCE OVERVIEW THE DIRECTOR GOVERNANCE
Table of Contents
1 21 ECONOMIC PERFORMANCE
Economic Value Generated and

22
Distributed
24 Preference for Local Suppliers
2 25 SOCIAL PERFORMANCE
26 Gender Diversity and Equality

28 Local and National Employment
30 Occupational Health and Safety
Employee Training and
37
Development
38 Our Local Community
40 Community Development
49 Grievance Mechanism
3 51
ENVIRONMENTAL
PERFORMANCE
Environmental Management
52
Approach
53 Environmental Compliance
54 Disposal of Tailings
57 Disposal of Waste Rock
Salma Masti and Ardiansyah Marbun (Exploration
Management of Hazardous
Department) are conducting inspection and core 59
checking at PMC Rig 719 Purnama Pit. Industrial Waste
60 Site Water Management
63 Site Rehabilitation
Unity in Diversity 64 Mine Closure
1 Continuity of the Theme
2 Table of Contents 66 Looking Forward
Sustainability Performance 67 Report Profile
3
Overview
70 Independent Assurance Statement
4 Message from the Director
Appendix I: Performance
6 Company Profile 74
in Numbers
11 Sustainability Governance Appendix II: Global Reporting
Stakeholder Definition and 85 Initiative (GRI) Standard Content
19 Index
Engagement
90 Appendix III: Glossary
92 Feedback Form
2 2019 Sustainability Report
ECONOMIC PERFORMANCE SOCIAL PERFORMANCE ENVIRONMENTAL PERFORMANCE
Sustainability Performance Overview
Gold 12.8 12.6 Silver 90.1 75.3

Operational (Tonnes) (Tonnes)
Performance
(Output)
2018 2019 2018 2019
Economic Environmental
Performance Performance
515,288
478,014
58.24 138.03 141.86 191,236

151.3 166.8 215.8 188,190
28.29 146,888
29.02 28.17 3,640
20.7 80,241* 3,305
11.4 11.4 2,939
2017 2018 2019 2017 2018 2019
Net Profit (USD Million) Wages and Benefits to Biodiversity Conservation

Energy Use (GigaJoule)
Employees (USD Million) (Seedlings Planted)
Tax and Royalty Payments to Provision of Goods and Emissions
Government (USD Million) Services by Local (Tonnes CO2 Equivalent)
Contractors and *) Energy used data shown is PTAR’s electricity usage. 2017 electricity usage is
Suppliers (USD Million) still generated with a 32MW generator. PTAR converted into electricity source
provided by PLN starting from October 2017.
Social
Performance 16,913
97% 80%
14,000
74 74
7 7
0 0
2018 2019 2018 2019 2018 2019 2018 2019 2018 2019
Lost Time SMKP Minerba Total Training Percentage of Percentage of Local

Injuries1 Audit Score2 Hours (Hours) Local Employment Employment Senior
(%) Management (%) [202-2]
1 Lost Time Injury Frequency Rate (per one million man-hours).

2 SMKP Minerba is the government standard for mine safety management systems.
We have maintained a very

strong commitment to
increase employment of local
workers and developing their
skills and experience. In 2019
our workforce employed 74%
of people from the local area.
Message from the Director [102-14]
Dear respected stakeholders,

On behalf of the Board of Directors, I am pleased to introduce the seven-year
journey of the 2019 PT Agincourt Resources (PTAR) Sustainability Report, which
shows our Company’s commitment to sustainability. In this sustainability report,
we begin to map our support for Sustainable Development Goals (SDGs). We
support these SDGs in accordance with the company’s strategy in managing
impacts from the economic, social and environmental aspects of the Martabe
Gold Mine’s operation. I invite and encourage all stakeholders to read this report.
Environmental Performance
The mining operations are situated in an area very close to natural flora and
fauna. The mining activities cause impacts to the environment, and therefore
the Company takes very seriously it’s responsibility and obligation to managing
these impacts. PTAR is committed to comply with all laws and regulations
as required. We are committed The company maintains a

to consistently maintaining the community development program USD215.8 million
sustainability of the operations by ensuring that local stakeholders
until planned mine closure in 2034 continue to benefit directly from Net profit after tax
and the post-mining period up to the existence of mining operations.
2037. The company provided USD1.09
million to support corporate
There were no significant social responsibility programs in
environmental incidents during health, education, infrastructure
2019. The high annual rainfall and economic development. The
and steep topography in the company also purchases goods
Martabe mining area, combine and services from local vendors or
to provide challenges to water contractors to the value of USD11.4
management as a key component million.
of our environmental management
plan. We fully complied with We continue to lead a gender
all environmental requirements, diversity program which creates
including the treatment of water more opportunities for women, Strategy to Achieve Targets
discharged into the Batangtoru and a workforce which practices
River. Our environmental respect and dignity for all The Board is confident that the
compliance with water discharge employees. In 2019 our workforce strategy for Company’s growth will
is monitored by an independent at the Martabe Gold Mine continue to achieve its targets. Our
team consisting of stakeholder consisted of 27% female. For PTAR operational performance remains
representatives to ensure that our employees, we achieved 25% strong with clearly demonstrated
water discharge process operates female employees, while 28% of year on year improvements. We
within the regulations. our management team (consisting have a strong and committed team
of superintendent level and above) capable of taking the business
were female. forward and our growth strategies
Social Performance are clearly oriented to achieve
every future growth opportunity.
There is no operational outcome Economic Performance
at Martabe Gold Mine more We express our gratitude and
important than worker safety, and The economic performance of the appreciation to our all stakeholders
the Company’s goal in this regard Martabe Gold Mine was achieved for their cooperation. We hope that
is the elimination of workplace from the strong operational the information we disclose in this
accidents. There were no Lost performance. In 2019, PTAR milled report will meet the stakeholders’
Time Injuries (LTI) during 2019. 6.0 Mt of ore to produce 383kozs expectations.
This performance was achieved of gold, while maintaining a low
through the support of a robust unit cost of USD450/ounce. This
Occupational Health and Safety resulted in strong financial results Jakarta, April 2020
(OHS) system, training program, for the year with recorded a net
and leadership accountability. This profit after tax (NPAT) of USD215.8
achievement is in line with the zero million. The financial results made
fatality and zero Lost Time Injury a significant financial contribution
targets. to stakeholders, including to the
government through tax and royalty
We also convey our commitment payments of USD108.8 million.
to work with, support and enhance Muliady Sutio
communities surrounding the President Director
mining area as we grow together.
Laydown area, at which Sopo Nauli (management

centre) and some office buildings are located.
Company Profile
PT Agincourt Resources (PTAR) is an Indonesian mining company engaged

in mineral exploration and the mining and processing of gold and silver.
The Company’s sole operating site is the Martabe Gold Mine in Sumatra.
Corporate functions are managed from a headquarters in Jakarta.
PTAR’s majority shareholder (95%) is PT Danusa Tambang Nusantara,

owned by PT United Tractors Tbk (60%) and PT Pamapersada Nusantara
(40%). The remaining 5% of shares is owned by the Governments of South
Tapanuli Regency and North Sumatra Province through ownership of PT
Artha Nugraha Agung. During 2019, there were no significant changes in
the Company’s operational area, nor supply chain. [102-10]
PT Agincourt Resources (PTAR) [102-1]
Year of
Establishment
Legal Basis of Incorporation 14 April 1997

[102-5] [102-10]
Deed No. 281 dated 14 April 1997, made
before Notary H.M. Afdal Gazali, SH. This
Deed has been amended several times, the
last being Deed No. 19, dated 26 November
2019, made before Moeliana Santoso,
S.H., M.Kn., Notary at Tangerang Regency. Business Activities
The latest amendment was related to the [102-2]
change in ownership of PTAR Gold and Silver
by ASTRA since December mining
2018.
Shareholders [102-5] Corporate Office [102-3]

• PT Danusa Tambang Pondok Indah Office Tower,
Nusantara (95%) Suite 1201
• PT Artha Nugraha Jl. Sultan Iskandar Muda
Agung (5%) Kav. V-TA Pondok Indah,
Jakarta, 12310 Indonesia
(t) +6221 8067 2000
(f) +6221 7592 2818
Operational Area [102-4]

PTAR operates in one country.
Specifically, the Martabe Gold Mine
is located at Jl. Merdeka Barat
Km 2.5 Kelurahan Aek Pining
Kecamatan Batangtoru,
Kabupaten Tapanuli Selatan,
Sumatra Utara,
Indonesia 22738
Scale of Organization [102-7]
Description Unit 2019 2018

Number of Operations State 1 1
Number of Direct Employees 858 814
Number of Contractor Employees People 2,448 1,833
Total Workforce 3,306 2,647
Gold Poured 391,031 410,387
Ounce
Silver Poured 2,340,707 2,895,380
Total Sales 560.9 574.2
Gold 525 522
Silver Million USD 35 52
Total Capitalisation 575 579
Total Assets 767.4 709.8
Business Process [102-2]
Processing
Mining The process plant at the
Martabe Gold Mine is a
Mining activities in the field
conventional Carbon-in-
include clearing, surveying,
Exploration Leach (CIL) plant with a
drilling, blasting, grade
Exploration activities in capacity in excess of 5.6
control sampling, digging
the field are generally million tonnes of ore per
and trucking of waste rock
limited to small drill pads annum. The plant operates
and ore, ore stockpiling and
in addition to several camps continuously except for
pit dewatering. Waste rock
for workers. Material maintenance shutdowns.
from the pits is placed in
movement to the drill pads the Tailings Storage Facility Compared with some
is normally by helicopter, (TFS) embankment rather other methods of mineral
minimising disturbance due than in waste rock dumps processing, the process of
to ground travel. The pads as is done at most mines. gold and silver extraction
are rehabilitated following Mining is conducted by a from the ore is relatively
completion of drilling. mining service contractor, simple with the main steps
currently, PT Macmahon being: crushing, grinding,
Mining Services, utilising leaching, adsorption,
their own equipment. recovery of gold and silver,
and smelting to produce
dore bullion bars ready for
shipment.
Production at the Martabe Gold Mine requires utilisation of a wide range of inputs and yields a range of outputs in
addition to gold and silver. All of these inputs and outputs require careful management across various activities
such as transport, storage, handling, utilisation, collection, and disposal. The successful management of these
activities without significant incident since commencement of operations reflects the systematic application of
operational controls at the Martabe Gold Mine for risk mitigation.
Key Material Inputs and Outputs

Martabe Gold Mine 2019 [301-1]
Material Inputs
Blasting materials
Quantity:
3,081 tonnes Gold
Quantity:
Diesel fuel 13 tonnes
Quantity:
18 Ml
Mined ore
Quantity:
6 million tonnes Silver
Quantity:
Electricity 75 tonnes
Quantity:
132,782 MWh
Oils & lubricants
Quantity:
Overburden
45 tonnes
Quantity:
Grinding balls 7 million tonnes
Quantity:
9,578 tonnes Tailings
Quantity:
6 million tonnes
Reagent & Consumables
Quick lime
Quantity:
7,838 tonnes
Sodium metabisulphite
Emissions equivalent
Quantity:
Quantity:
5,304 tonnes
188,190 tonnes CO2
Cyanide
Quantity:
3,942 tonnes
Caustic
General waste
Quantity:
Quantity:
2,284 tonnes
2,700 tonnes
Hydrochloric acid
Quantity:
794 tonnes
Tailings flocculent
Quantity:
350 tonnes Industrial (B3) waste
Quantity:
Activated carbon 463 tonnes
Quantity:
294 tonnes
Hydrogen peroxide
Quantity:
420 tonnes
Other chemicals
Quantity:
34 tonnes Material Outputs
Supply Chain [102-9]
Numerous suppliers and service providers support • The transport of bullion from site to a refinery in
the operation of Martabe Gold Mine. Important Jakarta and subsequent delivery of gold and silver
examples of work done for PTAR include: to buyers is handled by a security contractor.
• The transport of goods purchased nationally and • Specialist advice and technical studies are
internationally is managed by a logistics services provided by various consulting companies.
contractor. • Important contracts for the purchase of goods
• Other major site contractors are involved in the include those for bulk chemicals, grinding media,
provision of medical, laboratory, site security, fuel, lubricants and spare parts.
camp administration and catering, geotechnical
engineering and drilling services.
Local Suppliers
PTAR has four supplier categories, these are:

1. Local-local; suppliers from 15 Directly Affected Villages (DAVs).
2. Local; suppliers from South Tapanuli, Padangsidimpuan, Central Tapanuli, and
Sibolga.
3. National; suppliers from other areas within Indonesia.
4. International; suppliers from overseas.
Suppliers mentioned in this report specifically means suppliers from 15 DAVs.
PTAR also has a policy to support local suppliers through preferentially purchasing
goods and services from local contractors subject to appropriate cost and quality criteria.
At the end of 2019, the Company had 638 active suppliers, of which 471 or 74% are local
and national.
Market Served [102-2] [102-6] National Association Membership [102-13]
PTAR is a mining company which operates exploration,

mining, as well as gold and silver processing activities. Association Role
Martabe Gold Mine, the main mining site, is located
in North Sumatra. Martabe Gold Mine bullion is
Association of Indonesian
refined in Jakarta by a state-owned refinery and then
Mining Professionals Chairman
exported by the Company and sold. Gold and silver (PERHAPI) North Sumatra
are commodities, and as such the Company does not
brand or advertise its product. Percent purity and
physical form granules are the primary customer Indonesia Mining
purchase specifications and therefore instances of Member
Association
out-of-specification products are extremely rare. The
main customers are banks located in Singapore.
Roy Ginting, Fidelis Sidauruk, Slamet Riyanto, Tarida Nasution,

and Bonni Simanjuntak from Mining Department at a preliminary
weekly planning meeting for the week ahead.
Sustainability Governance
The Board of Commissioners, as the highest governance

body, delegates the authority to manage all economic,
environmental, and social topics to the Board of Directors
collectively. All directors have responsibilities in maintaining
the economic, social and environmental performance
delegating this performance to functional areas. The official
We have a Steering responsible for decisions and impacts regarding economic,
Committee that has the environmental, and social topics is the Vice President Director
& Chief Executive Officer (CEO). The official reports regularly
task of coordinating and and are directly responsible to the highest governance body.
directing each function in [102-19] [102-20]
paying attention to certain

risk areas or operational
opportunities.
Several PTAR departments are also accountable for is carried out by shareholders and determined
Company-level sustainability: Community Relations, through a General Meeting of Shareholders (GMS).
Occupational Health and Safety, Environment, [102-23] [102-24] [102-27] [102-28]
External Relations, and Training and Development.
Employees in these departments comprised 18% of The due dilligence process for managing the
the entire Company workforce in 2019. To enhance economic, environmental, and social topics is
the knowledge of those related officials, training is conducted by internal control and audited by the
conducted on a regular basis. Throughout 2019, all of independent related parties depending on the topics
the Board of Commissioners of PTAR have participated under consideration. The economic performance
in training activities to increase collective knowledge is audited by an independent auditing firm, while
on economic, social, and environmental topics. for the social and environmental performance,
The Board of Commissioners is the independent the community, independent verifiers, and local
body which evaluates the performance of the Vice government are involved in managing the impacts
President Director & CEO in a regular meeting. surrounding PTAR’s location. The highest governance
The information of the regular meeting is disclosed body does not directly engage in identifying economic,
in the PTAR’s 2019 Annual Report page 94. The environmental, and social topics. [102-29]
chair of the highest governance body is not an
executive officer in PTAR. In accordance with To support our commitment to sustainable
regulations in Indonesia, the nomination and development, the Company conducts business at the
election process for Directors and Commissioners corporate level and at all sites in accordance with the
following guiding principles, including: [102-20]
Protection of basic
Risk Management human rights Respect for
Ethical business community cultures,
practices customs and values
Continual Continual Contribution to the Transparent, effective,

improvement of improvement of development of our inclusive and open
health and safety environmental local communities engagement with all of
performance at our performance our stakeholders
operations
PTAR’s guiding principles ensure that conflicts of interest are avoided or at least well managed, including cross-
board membership, cross-shareholding with suppliers and stakeholders, controlling shareholders, and related
parties. [102-25]
Steering Committee [102-22]
Contributions from a range of technical specialists • Acid Mine Drainage Management Steering
and team leaders across a number of departments Committee
are required to manage sustainability outcomes at the • Life of Mine Approvals Steering Committee
Martabe Gold Mine. A number of steering committees • Risk Management Committee Steering Committee
are therefore used to coordinate and direct efforts; • Safety and Chief Mine Officer (KTT) Steering
each targeting a specific area of operational risk or Committee
opportunity. These include: • Site Water Management Steering Committee
• Tailings Storage Facilities (TSF) Safety Committee
These committees are responsible to the Directors and are selected through a process determined by the highest
governance body, considering diversity and expertise, as well as approval at the Annual General Meeting of
Shareholders (AGMS).
Sustainability Governance Structure [102-18] [102-22]
General Meeting
Audit Committee
of Shareholders
Board of Remuneration
Commissioners Committee
Resources &
Board of Reserves Governance
Directors Committee
President Director
Vice President
Director & CEO
Director of Director of Director of Chief Director of

External Relations Finance Operations Geologist Engineering
Sustainability Roadmap and Milestones

We have a road map for sustainability and these are our milestones:
2014
Approval of first
Mine Closure Plan.
First reclamation
2019
guarantee approved. Obtained a Permit for Releasing
2016 the Remaining Processed Water
First organic farming into Batangtoru River from the
First Blue PROPER project. Regent of South Tapanuli which
Rating. 2018 is valid for five years (2019-2024)
For the sixth consecutive in supporting PTAR to maintain
Grand Mosque Company’s environmental
completed. year, the Integrated
Commencement Team established by commitment.
of biodiversity Decision of the Governor
offset studies. of North Sumatra
Hanging bridge Inaugurated the integrated
provides independent farming area at Batuhula Village.
completed. verification of Water
A total of 9.6 hectares The optimization included
Processing Plant (WPP) irigation system, hydrant pump
rehabilitated. discharge compliance.
Community Management and solar panels.
Plan completed.
Detailed waste rock An updated mine closure
characterisation and Hand over the construction of
Barani AMDAL plan is submitted to Batangtoru Subdistrict Office to
waste rock sealing government for approval.
studies. Addendum approved. the local government with total of
3,600 m2. The office complex also
completed with other facilities
Local employment A safety performance on such as fire station and libraries
passes 68%. par with the best results for children.
seen in the mining
industry.
Community health 2017 PTAR with PLN UIW North Sumatra
study completed. A record number of people UP3 Padangsidimpuan, inaugurated
from local communities operation of Martabe Substation
Stakeholder study Ongoing implementation MT-01 feeder with 10 MVA
are employed at the of the Company’s Gender transformer capacity. It is expected
completed.
Martabe Gold Mine, Diversity Program to help PLN to improve electricity
totalling 1,852 persons, or supports a record 28% supply to the people in Batangtoru
Fiscal and economic 74% of all employees. of PTAR superintendents and the surrounding areas.
impact study and manager roles being
completed. A major public filled by women.
infrastructure project PTAR succeeded in maintaining
the Sopo Daganak public no loss of work time due to
auditorium in Batangtoru, accidents. This achievement is in
2015 is completed with funding Approval of an AMDAL line with the zero fatality and zero
Gelar Pemberdayaan from PTAR. Addendum addressing occupational disease targets.
Masyarakat Berbasis a range of operational
Budaya (GPMB) improvements and
Award - CSR Best Environmental and social mining of the
Practice for Sustainable impact studies in support Tor Ulu Ala deposit.
Development Goals. of the Tor Ulu Ala prospect
are completed.
Batangtoru health clinic

completed.
Environmental
Social
General
Our Priority Support to Sustainable Development Goals (SDGs)
SDGs Priority Key Action Achievement

• Continual improvement of health • Zero occupational illness
and safety performance at our • 191,236 ton CO2eq Emission
operations Emitted
• Continual improvement of • USD1.09 million in support of
environmental performance in community development activities,
reducing pollution including health program
• Contribution to community health
• Training and education through • 1,160 hours of employee training

Marsipature Program, OHS and development and 16,913 hours
Program, and Community of OHS training
Development Program • 74% local emloyment
• Providing job creation
• Gender Diversity in workforce • 27.6% workforce filled by female

employees
• Payment of taxes and royalties

on sales of gold and silver to the
state amounted to USD21.3 million.
Based on article 14 paragraph C
and article 17 paragraph 3 of Law
no. 33 of 2004 concerning Central
• Improving economic performance
and Regional Financial Balance,
• Implementing non-discrimination
state revenue from royalties in
the general mining sector will
be distributed to the central
government by 20% and 80% to the
local government.
• Zero discrimination cases
• Diversity and equal opportunity in • Zero human rights violations

workplace • Zero gender pay gap
• Equal remuneration for male
and female employees based
on their skills, experience, and
performance
• Ethical business practices • Compliance with mine closure plan

• Transparent, effective, inclusive • Sign-off Code of Ethics and
and open engagement with all of Business Conduct by 100%
our stakeholders employees and suppliers
Sustainability Strategy
The Company’s sustainability policy documents its

sustainable development strategy.3 This policy was
developed as a result of reviewing two important
protocols for assessing progress in implementing
sustainable development. These are the United Nations
Sustainable Development Goals (SDGs)4 and the
International Conference on Material Modeling (ICMM)
10 Principles.5 As a result of the PTAR Sustainability
Policy, the Company is committed to conduct all its
business activities in accordance with the following
goals and principles:
• A sound system of corporate governance that
leads to ethical business practice.
• Applicable laws and regulations are fully complied
with.
• Well-developed management systems that result
in effective risk management.
• All new projects and significant changes to existing
operations, undergo full environmental and social
impact assessments.
• The safety and health of employees and local
communities is paramount, supported by the
continual improvement of health and safety
performance.
• The protection of biodiversity and prevention of
pollution is paramount supported by the continual
improvement of environmental performance.
• Protection of basic human rights within the
organisation and in its dealings with stakeholders.
• Respect for local communities’ cultures, customs
and values.
• Contributing to the development of local
communities. Upik Simamora, a member of the Farmer Women Group
• Engagement with all stakeholders in a (KWT) – Bina Persada showing her turmeric harvest.
transparent, effective, inclusive and open

manner.
indirect benefits for the community around the mining
area in the long term, while continuously striving to
Our Support for Sustainable Development achieve production targets. Programs that have been
Goals (SDGs) [102-12] planned in the CMP are aimed to help the community
to be socially and economically prepared in the post-
PTAR’s support for SDGs has been mapped mining period, when PTAR’s mining activities are no
accordingly with the material topics discussed in this longer held in Batangtoru.
Sustainability Report. Additionally, the Company also
has community development program mapping which On January 21, 2020 at the Jakarta Head Office, the
refers to SDGs within the Community Management PTAR management conducted a review of SDGs
Plan (CMP) year 2016-2020. CMP is a commitment support within the CMP and other relevant SDGs. This
document which states that the Company is not discussion resulted in six SDGs priorities that were
neglecting its responsibility to provide direct or linked to the main material topics, strategies and
activities of the Company.
3 www.agincourtresources.com
4 www.un.org/sustainabledevelopment/sustainable-development-goals
5 Sustainable Development Framework: ICMM Principles (2015)
Vision, Mission, and Sustainability Value [102-16]
vision To develop a long-term

sustainable business
generating positive outcomes
for all stakeholders.
To become a sustainable
world-class operation
delivering first-quartile
performance in the gold mission
industry.
Core Values
Excellence - Transparency -
Growth and value through energy, openness, listening,
added - for all our enthusiasm, and engagement, and
stakeholders. commitment. honesty.
Action - delivering
Respect - for and doing what we
people, culture, say we are going
and stakeholders. to do.
The highest governance body and senior executives • Site Water Management
approve and update the organization’s purpose, value • Waste Management
or mission statements, strategies, policies, and goals • Work at Height.
related to economic, environmental, and social topics
through consultation with stakeholders. [102-26]
Risk Management [102-11] [102-30] [102-31]
Precautionary Approach [102-11] Since 2014, PTAR has implemented an enterprise
risk management program. The implementation of
Management systems comprise those things that, when the enterprise risk management is under the Internal
used together, support continual improvement towards Audit Function. In order to identify and rank risks
predetermined targets and goals. These include: that are material to the achievement of business
collections of codes of practices, policies, procedures, outcomes, annual enterprise risk assessment
standards, databases, checklists, training materials workshops are held. Risks are assessed regularly
and other tools. Safety and environmental management against their consequences to issues such as safety,
needs are both disciplines that address related areas of environmental, community, government, reputational,
operational risk and are therefore readily met by a single financial, and compliance-related matters.
integrated management system, relying as they do on
many similar processes and controls. The highest management is involved during the
assesment and in evaluating the assessment’s results.
The controls are undertaken through PTAR Codes Risk management plans, with progress reported to the
of Practice of relevance to operational risk and management team in the form of risk management
sustainable development outcomes, which include: scorecards, are the way that the most significant risks
• Audits and Inspections identified by this process are addressed. The Enterprise
• Biodiversity Protection Risk Workshop is held annually by the Board of Directors,
• Emergency Management yet does not include the Board of Commissioners.
• General Workplace Safety Further information regarding risk management is
• Health, Safety and Environment (HSE) presented in the PTAR’s 2019 Annual Report page 97.
Management System
• HSE Accountability The key sustainability risks and opportunities
• HSE Compliance associated with the Martabe Gold Mine are where
• Hydrocarbon Management the Company’s efforts in managing sustainability are
• Incident Management directed. As regulations require, the environmental
• Industrial Hygiene Monitoring and Measurement and social risks associated with the Martabe Gold
• Job Safety Environment Analysis (JSEA) Mine have been systematically assessed in detail
• Managing Pregnancy Related Work Restriction in the project’s AMDAL and subsequent AMDAL
• OHS Management - Measurement, Monitoring, Addendum. These assessments include:
and Improvement • Original AMDAL (2008).
• Operational Risk Assessment and Control • AMDAL Addendum addressing relocation of the
• Permit to Work plant site and other changes (2010).
• Personal Protective Equipment • AMDAL Addendum addressing the Barani and
• Safe Tailings Disposal Ramba Joring prospects (2016).
• AMDAL Addendum addressing the Tor Ulu Ala
Key Impacts and Key Opportunities [102-15] prospect and various operational changes (2018).
The significant social and environmental impacts, risks and opportunities associated with the Martabe Gold Mine
are summarised as follows:
Key Impacts and Risks Key Opportunities

• Health and safety of employees and the • Fiscal6 and economic benefits
community in general • Local employment and employee
• Impacts on biodiversity development
• Loss of land productivity • Improvement of local community
• Pollution of surface water and services and community infrastructure
groundwater resources • Local business development
• Disruption of community values • Local government capacity-building
• Stakeholder uncertainty and concern • Support for community values
6 Fiscal benefits are funds provided to government from the Company including but not limited to taxes and royalties.
Stakeholder Definition and Engagement
PTAR conducted stakeholder mapping and analysis • Ensure regulatory bodies are supported in
during the exploration and construction phase in 2015 discharging their regulatory obligations, including
by undertaking a full research project. The Company the implementation of approval processes and site
will review and update its stakeholder mapping in inspections.
2020. [102-42] • Ensure that all government reporting requirements
are met in an accurate and timely manner.
PTAR always engages the significant identified • Facilitate the open reporting of stakeholders’
stakeholders based on our study in all the Company’s concerns and grievances about the Company’s
activities in accordance with each stakeholder group’s activities.
roles and needs. The identified stakeholders (such as
local government, media, civil society organization, and Many local stakeholders have a limited understanding
local community) have been included in this reporting of mining and the management of environmental and
process, especially as the main consideration to social impacts associated with mining operations
choose material topics, regarding economic, social, because the Martabe Gold Mine is the only mining
and environmental aspects. External Relations operation in South Tapanuli. To ensure local
Director with Community Relations-Community stakeholders have a good understanding of operations
Development Function provides consultation with at the Martabe Gold Mine, the Company runs an
all stakeholders, as well as being responsible for active broad-based communication program. Its main
including stakeholder engagement topics within components are:
director’s meetings. The stakeholder consultation is • A broad range of stakeholder groups were given
undertaken in the field and discussed with GMO and tours of the mine (1,014 participants in 2019).
Board of Directors. [102-21] • Publication of a bi-monthly magazine entitled
Tona Nadenggan (which translates to “the good
To maintain and strengthen the Company’s social message” in the local Angkola language), covering
licence to operate, effective stakeholder engagement matters that local stakeholders are likely to be
is essential. PTAR has been carefully managing interested in including: community development
stakeholder relationships since the Martabe project projects, environmental management and cultural
started. Its approach has been to take the following activities.
measures: • Publication of Saroha (which means “one heart”
• Understand the needs, concerns and aspirations in the Angkola language), a weekly newsletter for
of identified stakeholder groups. employees covering community-related topics.
• Build trust with all stakeholder groups by seeking • Maintaining the Company website (www.
active dialogue, including those in potentially agincourtresources.com) which includes access
marginalised groups such as women, the elderly to sustainability reporting and information on
and youth. community relations and community development
• Provide timely and accurate information about all activities.
aspects of operations at the Martabe Gold Mine to • Wide distribution of the Company’s Sustainability
stakeholders. Reports, in Indonesian, English and the Angkola
• Show patience in dealing with others and have languages.
genuine respect for their viewpoints, beliefs, • Distribution of media releases, media briefings
cultural values and practices. and site visits for media groups.
• Support the employment of local people as well as • Participation in a range of exhibitions, conferences
implementing fair and transparent processes for and workshops.
recruitment and procurement.
Stakeholder Engagement [102-40] [102-43] [102-44]

Stakeholder Engagement Significant Issues and Responses and Further
Stakeholders
Method and Frequency Stakeholders’ Needs Actions from the Company
Shareholder • General Meeting of • Update on the latest • Dividend distribution.
Shareholders twice a year operational performance • Result from the General
• Annual General Meeting every semester Meeting of Shareholders.
• Annual Report
• Returns and benefits
Employees • Weekly meeting • Remuneration and other • Rewarding employees every
• Safety briefing every day benefits (Inc recognition) year.
and safety forum every two • Training and Education • Training and education plan.
weeks • Occupational Health & Safety Regular training takes place
• Safety campaign every (OHS) throughout the year.
month • OHS Procedure: Golden Rule.
This operates continuously.
Local • Consultation through • Local employee involvement • Undertaking Five Pillars in
communities Martabe Consultative • Preference for the Community Empowerment
Committee (LKMM) every employment of locals Program (PPM). The program
month • Infrastructure donation and operates various activities
• Site Visits others throughout the year.
• Training and education • All job vacancies advertised to
• Environmental protection locals as and when vacancies
occur.
• Training and education for
local communities. This is
undertaken throughout the
year.
• Meeting all environmental
protection commitments on a
continuous basis.
National, • Meeting on regular basis • Tax and other contributions • Tax and contribution
regional, and • Discussion for community • Community development payments on time.
local government development activities • Compliance • Conducting PPM.
as well as • Submit reports to
agencies government regularly.
Suppliers • As necessary • Payment on time • Providing required

• Service and goods quality information at the early stage
of tender.
Contractors • Daily meeting • Occupational Health & Safety • Education and training as
(OHS) required.
• Working agreement • Business ethics
implementation on a
continuous basis.
Educational • Meeting as necessary • Internship • Provide internship
Institutions • Community study opportunity as needed
• Engage and report as
necessary
Media • Meeting and briefings as • Communication & • Provide news on a regular
required publications basis especially related
• Site visits • Press releases to important events and
• Training and education activities.
• Capacity building.
• Engagement.
Darryn McClelland (PTAR Operation Director) handling over rice

seed assistance to Rusli Nasution as representative
of P3A (Perkumpulan Petani Pemakai Air) and Farmers Group
at Pulogodang.
ECONOMIC
PERFORMANCE
We give priority to local

suppliers who have a good
reputation, especially those from
Padangsidimpuan or Sibolga to
become our partners.
Economic Value Generated and Distributed
General Management • Various other taxes at Central

Approach [103-1] [103-2] [103-3] and Regional government levels
such as land and building taxes.
Alongside environmental and • Dividends.
social performance, economic
performance is regarded as one One example is the five percent
of the three pillars of Sustainable ownership of PTAR by PT Artha
Development. The Martabe Gold Nugraha Agung (PTANA), which
Mine’s operation generates itself is 70 percent owned by the
a range of economic impacts South Tapanuli District Government
on local, regional and national and 30 percent owned by the North
economies. The net economic Sumatra Provincial Government.
impact is highly positive and is a This voluntary divestment by the
key contributor to the Company’s Company ensures the Regional
implementation of sustainable and Provincial Governments
development. There are two classes receive fiscal benefits from the
of financial contributions by the operation of the Martabe Gold
Company, namely fiscal (payments Mine. Under the agreement with
to government) and economic shareholders, PTANA allocates 40
(payments to the general public). percent of dividends to community
development projects in the area
The economic performance is surrounding the Martabe Gold Mine.
under the responsibility of Vice
President Director & CEO and
it is reported to the BOD every Economic Benefits [201-3]
month. To support transparency [201-4]
in meeting fiscal commitments, Significant economic benefits
the Company’s annual financial pass directly to the community
statements are audited by an through salaries, wages and other
independent accounting firm apart benefits to employees in addition
USD 7.7 million from internal audits. The annual to fiscal benefits. PTAR ensures
report containing these statements that salaries, wages and associated
are made available to the public on benefits meet or exceed government
Dividend yield from minimum requirements, are
the Company’s website.7
5% ownership of the in accordance with the PTAR
South Tapanuli Regency Collective Labour Agreement (CLA)
Government and the Fiscal Benefits [201-1] and are competitive both locally and
North Sumatra Provincial nationally. All of PTAR’s employees
Fiscal contributions by PTAR take (100%) are included in the CLA.
Government in PTAR.
the form of: [102-41]
• Corporate Income Tax.
• Royalties on gold and silver In addition to health cover for
sold. employees and dependents
• Personal Income Tax on fully funded by the Company, all
employee wages. national employees are enrolled in
7 www.agincourtresources.com
government social security and healthcare programs Subject to quality and price criteria being met, PTAR
as required by law. These provide for work-related also supports the Indonesian economy through the
accidents, death, provident fund and retirement preferential purchase of goods and services locally and
benefits. As stipulated under manpower laws, an nationally. It also makes direct financial contributions
employee who reaches retirement age is entitled to community development programs and projects
to receive severance pay, separation pay and other each year. The aim is to transfer the sustainability of
compensation. Employee pension contributions follow its business operations to local society. During 2019,
BPJS Employment provisions, which depend on the there was no significant financial assistance received
compensation received by each employee, PTAR does from government.
not have any other special pension contributions.
There are two types of pension program in PTAR: Results Achieved in 2019
[201-3]
1. Normal Pension. For employees who have reached In 2019, the operational performance of the Martabe
the age of 57 years old. Gold Mine was outstanding, with new production
2. Early Retirement. For employees who have benchmarks being achieved across a majority of key
reached the age of 50 years old who have worked operating metrics such as gold produced and All-in
for PTAR 10 years consecutively. Employees Sustaining Cost (AISC).
who meet such criteria may write a retirement
proposal to the management. This strong operational performance supported
exceptional financial results for the year. A Net Profit
Until the end of 2019, PTAR does not have any After Tax (NPAT) of USD215.8 million for the year was
education and training program regarding pension a record for the Company, reflecting both higher sales
preparation. [404-2] volumes and lower costs.
The strong operational and financial performance of

Financial Implications and Other Risks the Company in 2019 supported significant financial
and Opportunities Due to Climate Change contributions to its stakeholders. These included:
[201-2] [201-1]
• Tax and royalty payments to the government of
Climate change has been impacting the sustainability USD126 million. Additionally, the South Tapanuli
of all businesses, directly or indirectly, including District Government and the North Sumatra
mining industry. The heavy rainfalls can be considered Provincial Government received dividends through
as an impact of climate change which could interrupt the ownership of 5% of PTAR totalling USD7.7
operational activities. PTAR has prepared the million.
infrastructure and mining time plan, anticipating • Wages and benefits paid to PTAR employees
the raining season conditions. Throughout 2019, the and contract staff of USD29.0 million. As a non
rainfalls were still as anticipated, hence, there were listed company, we do not disclose specific fixed
no significant impacts due to climate change that or variable payments for the highest governance
have been identified. or senior executives. Similarly, we do not
present the compensation ratio, nor the total
annual compensation. The process determining
Business Sustainability remuneration is presented in the Company’s 2019
Annual Report. [102-35] [102-36] [102-37] [102-
To support ongoing improvement across all aspects 38] [102-39]
of the business, the Company operates a Margin • Payments for the provision of goods and services
Improvement Program (MIP). Since inception in 2013, by local suppliers reached USD11.4 million (the
the MIP has consistently delivered improvements in reduction in value from 2018 resulted from lower
asset utilisation and operational efficiencies, reflected diesel consumption following switching to PLN
by ongoing reductions in All-in Sustaining Cost (AISC).8 grid power rather than the use of site gensets).
Lower production costs result in lower ore cut-off
grades, adding to Ore Reserves and a longer mine life.
8 www.un.org/sustainabledevelopment/sustainable-development-goals
• Over USD1.09 million spent on community depletion. Contained Gold remained unchanged at
development programs (this value will rise and 4.5 million ounces. Whilst 2019 saw a slight decrease
fall from year to year depending on the value of in Mineral Resources to 206 million tonnes with
major infrastructure projects). 7.8 million contained ounces, exploration activities
during 2019 resulted in considerable upgrades to
2019 was another excellent year for exploration classifications of the known Mineral Resources at
at Martabe Gold Mine, continuing on from the Tor Ulu Ala, from Inferred to Indicated and Indicated
intensive drilling campaigns of 2017 and 2018. to Measured. Deep drilling undertaken as part of
Twelve diamond drill rigs were operational for the the Underground Sulphide Study has identified high
majority of 2019. Ore Reserves increased by 7.9% in grade mineralisation which will be further targeted in
2019 to 95 million tonnes, net of current year mining the 2020 drilling program.
Preference for Local Suppliers [102-9]
The Company has a carefully constructed supply

chain system to ensure a consistent approach to
PTAR Suppliers by Origin (2019)
determining the geographic origin from which PTAR
goods are sourced and the delivery terms under
which they are delivered. The Company’s ultimate 167
aim is to maximise the proportion of products and
services made close to its operations, particularly the
Martabe Gold Mine.
53
Given the remote location of PTAR’s site and the need

418
for reliable consistent re-supply, a dedicated logistics
strategy has been devised to support the project. The
strategy is in part driven by the nature, origin and
volumes of bulk goods needed to operate the mine
as well as the most effective routes and modes of
Other Areas in Indonesia Local
transport. To ensure the efficiency of this strategy and
Outside Indonesia
to ensure the overall total delivered cost of all goods
consumed at site is minimised, goods must be sourced Notes: Local suppliers are suppliers from 15 Directly Affected
and delivered using standardised methodology. Villages (DAVs).
Priority is given to sourcing from reputable established Proportion of Spending on

2017 2018 2019
local suppliers as long as local suppliers are able to Local Suppliers [204-1]
supply the goods on a basis that is competitive (price, Local % 10 6 9
quality, supply time, warranty and other commercial
National % 74 83 65
terms) compared to suppliers from other locations.
International % 16 11 26
Suppliers, especially for goods related to specialist
equipment, must also have appropriate original
NOTES:
manufacturer support and distributor/dealerships. - “Local suppliers” are those suppliers from 15 DAVs.
- “National suppliers” are those suppliers registered
If goods are not available locally on a competitive basis elsewhere in Indonesia.
then they are bought from elsewhere in Indonesia and
offshore suppliers.
A traditional dance to welcoming guests is performed

by local children who are trained and supported under
the PTAR Community Development program.
SOCIAL
PERFORMANCE
PTAR will develop the local

community competency by introducing
MARSIPATURE Program, which comes
from the Batak language, means
“Let’s Build”.
Gender Diversity and Equality
General Management company. It is acknowledged

Approach [103-1] [103-2] [103-3] by the Company that each
employee brings their own unique
To enhance diversity and equality capabilities, experiences and
in all of its activities, the Company characteristics to their work. The
has a Gender Diversity Policy diverse perspectives that result
No. MGT-GEN-CPO-00107-IE, and from this enhance organisational
has actively implemented a Gender strength, problem solving ability
Diversity Program since 2016. and innovation.
Having a more diverse workforce
provides competitive advantage as
well as making PTAR a stronger
Commitment to Gender Diversity Practices

Gender Diversity planning at PTAR includes the
following activities:
• Increasing female participation rates in all levels
of the organisation.
• Ensuring roles are gender neutral by reviewing
work practices so that barriers to diversity are
removed.
• Developing a more inclusive culture through
workforce engagement and alignment.
• Ensuring the Company Human Resources
framework supports gender diversity through
policy and training. This includes the removal of
gender pay gap issues, and practical policies to
support diversity.
• Leadership accountability and commitment for
27% the success of the Gender Diversity Program.
27% of our workers

are women and 28% of
Management Team are PTAR has examined some of the Embedded into the Company’s
women structural barriers to diversity in Human Resources (HR) Policy
the workplace and has set upon a framework are a number of
progressive approach to removing initiatives in support of gender
these barriers. Reviewing and diversity. Examples include
updating work practices, the a Harassment Policy, more
workplace environment, and attractive maternity and paternity
infrastructure represent key areas leave benefits, improvements to
of success. address gender pay gap issues,
and elimination of gender bias in
evaluation for promotion.
Also, through implementation of controls laid out during the year. Activities include a week-long
in the PTAR Code of Practice Managing Pregnancy- promotion and celebration of diversity leading up
Related Work Restrictions, the Company is committed to Kartini Day each year. With formal obligations
to the protection of pregnant employees and their and commitments to achieving participation rates,
pregnancies from workplace hazards. These controls contractors are also supporting the program.
support women remaining safely at work until delivery
is imminent.
Results Achieved in 2019
In addition, the Company has a Lactation Policy
providing nursing facilities for breastfeeding mothers In 2019 the Company’s total workforce comprised 674
during work hours to take home for their infant. The females (27%). Within the PTAR workforce, a total of
Paternity & Maternity leave policy provides fathers 28% of superintendents and managers were female.
14 days and mothers 4 months leave. Meanwhile, The recruitment process was reworked to ensure
the ongoing Anti-Harassment policy is an effort to a stronger focus on lifting the participation rates
eliminate discrimination, intimidation, threats or towards the targets in coming years. Special initiatives
harassment in the workplace. [401-3] in support of gender diversity included management
workshops, career planning workshops, and free
To raise awareness of gender diversity, the Company testing of employees for cervical and breast cancer.
engages the workforce regularly and consistently
Gender Equality
PTAR has provided minimum wages in accordance with the applicable regulations to
all employees and not to only significant locations of operation. The company applies
equal ratio payment of basic salary and remuneration between male and female to all
employees in the company. All employees (100%) have received more than the minimum
remuneration based on the Government regulations, especially in our significant location
of operation, which refers to the Martabe Mining area. [405-2]
Ardi Susanto teaching line boring to repair the mounting

bracket of mine haul truck to Rehuliani Sitepu
(PTAR Contractor) in Welding Bay area.
Local and National

Employment
To both maintain the Company’s social license to
operate and provide operational advantages, PTAR has
committed to providing local communities with access
to employment opportunities at the Martabe Gold
Mine. According to AMDAL, the Company has had the
goal of at least a 70% local workforce since the project
started. The percentage of senior management which
is defined as superintendent to director level reached
28%, while local employees have reached 74% at the
end of 2019. Local employees are defined as those
residing in South and Central Tapanuli.
Employee access to a wide range of training courses

and opportunities for government certification in
a range of skills including equipment operation, is
crucial in supporting local employment. The Company
also intends to maximise employment of its workforce
from within Indonesia.
PTAR will implement an employee development

program to improve work opportunities and future
career options for local employees. The strategy
of the program has been developed along with our
charter and guiding principles.
The program is called MARSIPATURE, comes from

the Batak language meaning “let’s build”. This has a
special meaning, because “Marsipature” itself is also
part of the original name of the “Martabe” site, which
is an abbreviation of “Marsipature Huta Na Be”.
The Marsipature program includes improvement,

training, and capacity-building programs to empower
local employees to access broader job opportunities
and careers.
Adelina Julfa (Production Department)
taking a leaching sample above the Leach Tank
in Processing Plant.
The implementation of the Marsipature programs involves each Department Head in deciding potential employees
to be included in the program as well as in determining each department’s target for gender diversity. The planning
for all training activities is conducted together with the Training & Development and Localisation Development
Department (LDD).
MARSIPATURE program has three main components:

• Non-trades (semi-skilled) training program.
Improving skills of the existing local employees in the company.
• General soft skill training (for all employees as necessary).
• Martabe internship program (Trades) for local employees.
PTAR uses an intranet that can be accessed by all monthly, quarterly, and annually. The evaluation
employees which provides information regarding activities in PTAR consist of monitoring, determining
employment and diversity, as well as a media targets, reviewing target achievement, as well as
for socializing the company’s values and culture. discussing and implementing improvements to better
Information about the Marsipature program policy achieve the targets.
can also be accessed from the intranet. PTAR uses
the intranet to help all employees access information
more easily. Results Achieved in 2019
All activities supporting the Marsipature program At the end of 2019, 74% of the site workforce were
are also published in an internal magazine/bulletin local hires, this realization exceeds the AMDAL target
and local/national newspaper media. PTAR, also for hiring 70% local employees. A further 24% were
communicates information about the program to employed from other locations within Indonesia and
local and regional government through its Community 2% were expatriate hires. PTAR recruits employees
Relations and Community Development. based on the applicable employment regulations in
Indonesia. There is no forced labor or child labor in
The evaluation is implemented by PTAR through PTAR. Benefits provided for direct contract emloyees
monthly reporting on the Localisation Development under PTAR and permanent employees are the
Department. This includes the achievement of the same. Each employee is entitled to receive benefits
gender diversity program from each department, as based on their attendant lists and working activities.
well as a report of assessed results and solutions The benefits provided include transportation and
relating to barriers against the gender diversity accommodation. [102-8] [401-2]
program target achievement which is submitted
Occupational Health
and Safety
General Management Approach [103-1] [103-
2] [103-3]
Employee safety at the Martabe Gold Mine is the

main objective in the Company’s operations. With its
complex and diverse working environment, mining
operations have many risks, so the challenge is how
to prevent accidents. PTAR has a Collective Labor
Agreement (CLA) with the trade unions (SPSI) in the
organization that includes 100% of the articles related
to occupational health and safety (OHS). These articles
are mandatory and are aimed at protecting employees
from incidents and accidents in the mining industry.
The Company will take firm action against employees
who deliberately violate the OHS rules and who put
themselves or others in dangerous situations. [403-4]
The OHS basic rules in the CLA refer to the

Golden Rules, Take 5, the Job Safety Environment
Analysis (JSEA), and the Permit To Work System.
The Company communicates these rules through
socialization, training, and campaigns so that
employees understand their rights, obligations and
the consequences if they violate these rules. OHS
performance is closely monitored by the Chief of
Mine Operation below the on-site General Manager.
Three basic factors are essential to minimize the

risks of accidents at the Martabe Gold Mine. These Julianto (ERT Member), demonstrating First Aid
Rescue in a Slope Instability Emergency Drill
are workplace conditions, worker competency, and
worker behavior. Each is addressed in the PTAR HSE
Management System. This system addresses the risk
of workplace accidents through a range of operational • Take 5
controls. These include the following: The simplest safety procedure at the Martabe Gold
Mine is Take 5. As its name suggests, it takes less
• Golden Rules than five minutes to conduct a Take 5, comprising
To protect workers from the most common causes a simple checklist that every worker should
of serious accidents in the mining industry we complete before starting a job. Take 5 is designed
have developed simple safety rules called Golden to assist a worker to identify hazards associated
Rules. Everyone working at the Martabe Gold Mine with their work and the necessary controls so that
receives training in the Golden Rules before they the job can be done safely.
start work. Because these rules are mandatory,
any employee who knowingly breaches one of • Job Safety and Environmental Analysis (JSEA)
them and subsequently places himself or others So that work can be done safely, JSEA adopts
at risk faces a final written warning. A training a team-based approach to planning work. It
course, pocket book, posters and a pictorial is a step-by-step breakdown of a job into its
“comic book” are the mechanisms employed to component activities, the identification of any
support adoption of the Golden Rules. hazards associated with each of those activities,
and identification of the required controls to • Significant safety hazards.

ensure safety. Each worker must sign the JSEA • Vehicle accidents.
confirming they understand the hazards and • Fires within the area of operations.
prescribed controls. The JSEA is completed by the • Accidental chemical releases or improper
work team prior to the job being started. storage of hazardous chemicals.
• Unapproved land clearing.
• Permit to Work (PTW) System • Any inoperable safety system, fire control
In common use across the mining industry, system or pollution control equipment.
Permit to Work (PTW) systems are used to ensure
the safety of workers involved in the repair or By determining the causes of incidents and
modification of machinery and equipment. PTW implementing appropriate corrective actions we
systems are particularly effective when the work minimise the risk of recurrence. The underlying
concerned is conducted in process plants which causes of such events are often complex and
are complex and hazardous environments. cannot be determined easily. The investigation of
incidents follows a standard methodology at the
Signed by both the work crew and the area Martabe Gold Mine, supported by training and the
supervisor (or permit issuer) a PTW describes a set use of standard forms.
of controls for the protection of the workers against
uncontrolled releases of energy (e.g. electricity, or A server-based incident management system
liquids or gas under pressure). supports incident management. It facilitates
everything from the initial reporting of incidents,
PTAR’s PTW System represents industry leading e-mail notification of the management team,
practice. An isolation and lockout procedure is one implementation of incident investigations, through
of the key controls whereby workers are required to the tracking of corrective actions.
to place a personal danger tag and isolation lock
on equipment to prevent its unexpected starting or • Health
movement. The Site implements an occupational health
program focused on addressing the risk of health
• Active Safety Agreement (ASA) Program impacts resulting from hazards such as excessive
Unsafe behavior by the worker involved or by levels of noise, dust and metals, low illumination,
those around them result, at least in part, to and biological factors. Regular monitoring is
occupational accidents. Such behavior may conducted by industrial hygiene staff as the first
include failure to follow proper procedure, “taking step in establishing engineering, procedural
shortcuts”, ignoring risk or simply working and personal protective equipment controls on
without due care. The Active Safety Agreement workplace exposures.
(ASA) Program is used at the Martabe Gold Mine
to address unsafe behavior. An ASA is based on • Emergency Response Team
a structured conversation initiated by managers In case an emergency occurs, the site is prepared
with employees engaged in the work. The with a 24-hour standby Emergency Response Team.
technique is designed to encourage employees The team consists of 18 Emergency Response
to routinely consider the potential consequences personnel and three radio station operators.
of their actions and the importance of working Emergency Response Facilities are also available
safely. It is intended to promote “visible safety on site, such as an emergency station, clinic, fire
leadership” with participation in this program truck, rescue truck, rescue vehicle, ambulance
being mandatory for the site management team. and a variety of other rescue equipment used
to deal with different types of emergencies. To
• Incident Management ensure team skills are always sharp, the team
Accidents or “near misses” will always occur in a conducts a range of drills and exercises on a
mining environment as a result of organisational, regular basis. In 2019, the Emergency Response
environmental and human factors, irrespective of Team facility received a new Emergency Training
the controls in place to minimise risk. At the Martabe Ground, used for work-at-heights and confined
Gold Mine it is mandated that significant incidents space rescue exercises. The team has experience
are reported within 24 hours. These include: and rescue skills for all eventualities including:
• All work-related injuries or “near misses”. confined space, high angle, jungle, vehicle, water
• Work-related illnesses. and building rescue, and all types of fire.
Occupational Health and Safety Policy • New Safety Controls

Development of the PTAR HSE Safety Management
PT Agincourt Resources believes that the health and System continued in 2019, with the following
safety of all people associated with its operations additional Codes of Practice of relevance to
is fundamental to our long-term success as a Occupational Health and Safety being released:
mining company. The Company works rigorously to • Equipment Condition.
continually improve its health and safety performance • Management of HSE Training Needs.
in alignment with industry leading practice. Our goal • Managing Work Restrictions on Pregnant and
is zero accidents and incidents in the workplace. Nursing Employees.
• Monitoring and Managing Employee Health.
This is achieved by: • Scaffolding.
• Identifying, assessing and managing all health
and safety risks associated with our activities and • PTAR’s efforts to improve work safety management
the activities of our site contractors. in 2019 involved continuing the two management
• Ensuring committed leadership and a strong effort initiatives that had been implemented in
safety culture within the entire workforce. 2018, namely:
• Making available the resources, equipment,
Personal Protective Equipment (PPE) and training - Safety Refresher Training
necessary for our employees and site contractors This training was introduced to all PTAR
to work safely. employees and contractors in an effort to
• Fully integrating health and safety management strengthen employee skills and knowledge
outcomes as priorities within our planning and provide updated information on work
processes, from project feasibility to mine closure. safety procedures that have been updated and
improved from time to time. All employees are
To facilitate these outcomes, we implement an required to attend the annual HSE induction
integrated health, safety and environmental and critical work safety competencies, such
management system aligned with international as Working at Height and Basic Work Permits,
standards. These requirements are communicated which must now be refreshed and assessed
to all our employees and site contractors, and our every three years.
performance in managing health and safety shall be
reported annually for sustainability reporting. - Critical Control Safety Program
This Critical Control Program is constantly
being developed and improved based on
Results Achieved in 2019 advice from the results of field reviews and
management, including findings from the
• HSE Management System critical control checklist or nonconformities
The status of the PTAR HSE Management System at that are the responsibility of the Superintendent
the end of 2019, after over nine years of development, or Manager. In 2019 a total of 5,903 CCCL
is summarised as follows (not indicated are various were carried out, with the finding of 572 non-
databases and software systems). conformities in which the discrepancies were
immediately corrected before the critical work
Documents Contained within the PTAR HSE was carried out.
Management System
• Fit for Life
605 Fit for Life is an integrated program to improve
employee health. It monitors employee health
351 through regular Medical Check-Ups (MCU),
201 doctor’s counselling based on results of the MCU,
74 57
46 27 providing a gym schedule and exercise program
1 5 3
for employees and managing employees’ diet by
providing a Dietary Traffic Light System.
Code Forms Training Manuals Standard
of Practice Courses Operationing
Procedures
Total Added in 2019
Rudi Salim Sihombing, Dewi Hafsah Siregar,

and Erman Riatno (Emergency Rescue Team (ERT)
members) are doing height rescue simulation.
• Lost Time Injuries • Safety Key Performance Indicators (KPI)

Lost Time Injury Frequency Rate (LTIFR), is a Dashboard
key safety performance indicator in the mining PTAR measures safety management performance
industry. It is the ratio of lost-time injuries per by its departments by means of a balanced set of
one million man-hours, calculated as a 12-month safety Key Performance Indicators (KPIs). This
rolling average. In 2019 the site experienced zero provides motivation through the recognition of
Lost Time Injuries, and LTIFR was also zero. This results. The percentage of employees receiving
achievement continued the very low incidence work assessments in 2019 was 100%. The Company
of Lost Time Injuries experienced at the site has a further program to develop employees’
since commencement of operations. By industry careers after initial assessment thorugh relevant
standards it was also an outstanding result. training and education. [404-3]
The KPIs are presented in a monthly report called

Total Lost Time Injuries (LTI) the Safety KPI Dashboard. By the end of 2019, an
aggregate safety KPI score of 97% was achieved
3
across all departments compared with a target of
2 2 90%. This indicated a very high level of compliance
1 with the controls designed to minimise the risk of
0
0
incidents. These include:
0
• Implementation of incident investigations so
that the causes of incidents can be determined.
2013 2014 2015 2016 2017 2018 2019 • Minimising the risk of recurrence of incidents
by implementing corrective actions.
• Monthly Departmental HSE Committee
meetings take place every month without fail.
Lost Time Injury Frequency Rate (LTIFR) • Compliance with mandatory safety training
requirements.
0.45 • A workplace inspection program to ensure
0.30 0.34 workplaces are in good condition.
0.15 • Participation of site management in the Active
0.00
0.00 0.00 Safety Agreement (ASA) Program.
2013 2014 2015 2016 2017 2018 2019

Note: Per-one million man-hours
Safety KPI Dashboard

Performance December
No KPI Measure 2019 Trend
Rating Performance
0 Overall % Average Minimum 96% 97% 98% 96% 98% 98%
performance of Overall Target 90% 97% 98% 95% 96% 98%
96%
Performance of
Departments 98%
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
1 LTIs # of LTIs Average

Performance of
Departments 0 0 0 0 0 0
100% 0 0 0 0 0 0
2 MTIs # of MTIs N/A MTIs : 5

5
3
2 2 0 2 1
1 0 1 0 1
3 FAIs # of FAIs N/A FAIs : 1

5 5 5
4 2
3 1
2 2 2
0 1
4 High Risk # of High N/A High Risk

Incidents Risk Safety Incidents : 6 6
5 4
Incidents 0 1
2 0
2
1 1 0 1
5 Hazard # Hazards N/A Hazards

Reported Reported Reported : 2 20 25
15 11 6 11
7 12
8 6 7 2
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Des
6 Incident # Overdue Average

Investigations Safety Performance of
Incident Departments 0 1
0 1 1 0 0
Investigations 100% 0 0 0 0 0
Performance December
No KPI Measure 2019 Trend
Rating Performance
7 Corrective # All Overdue Average
Actions Corrective Performance of
Actions from Departments 6 5
Incident 100% 2 0 0 0
1 0 0 0 0 0
- Safety,
Incident -
Environment, Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Hazard/Non-
conformance
& HSE WCI
Events
8 Departmental # of Average 12 12 12 12 12 12
HSE Department Performance of 12 12 12 12 12 12
Committee HSE Departments
Meetings Committee 100%
Meetings Held
9 Workplace Quarterly Site average

Inspections Workplace Workplace 94% 94% 93% 91%
Inspection Inspection
Score Score (Target 91%
90%)
Q1-2019 Q2-2019 Q3-2019 Q4-2019
10 Safety % Mandatory % of total

96% 95% 96% 96% 98% 99%
Training Safety number of
96% 94% 93% 96% 97% 99%
Competencies Mandatory
completed Safety 99%
Competencies
completed
(Target 90%)
11 ASAs % Total ASAs % of total ASAs 128%

conducted Target YTD 118% 118% 118% 121% 122%
145%
against Target completed 123% 120% 118% 121% 122%
(Target 100%) 100%
12 CCCLs % completed % of total

against Target CCCLs Target 82% 91% 101% 101% 104% 101% 101%
YTD completed
(Target 100%) 100%
Jun Jul Aug Sep Oct Nov Dec
Extract from the PTAR Safety KPI Dashboard showing aggregate scores for the site as of December 2019.
PERFORMANCE OVERVIEW THE
DIRECTOR
DIRECTOR GOVERNANCE
Target, Strategy, and Achievement of Occupational Health

and Safety Implementation in 2019
Attempt and Strategy:

Target: Zero accidents • Develop a code of Achievement*:
conduct for occupational 2019: 3 serious accidents
health and safety that is 2018: 1 accident
approved by the Director 2017: 1 serious accident
of Operations so that
it becomes a general *) Based on accident definition
requirement that applies by Minister of Energy and
to all departments and Mineral Resources’ Decree
contractors. 1827 K/30/MEM/2018
• Create training and regarding Guidelines for
campaign programs Implementing Good Mining
Engineering Rules (page
to raise awareness
146).
regarding OHS.
Target: Zero Occupational Attempt and Strategy:

Illness Develop and run an Achievement:
occupational health 2019: 0 Occupational Illness
and industrial hygiene 2018: 0 Occupational Illness
program in accordance 2017: 0 Occupational Illness
with applicable laws and
regulations.
Dedi Saputra Ritonga (ERT member)

is doing a height rescue simulation.
97%
Aggregated safety KPI
scores in all departments
Syafitri Khairunisa (PTAR Contractor)

checking the electric system of a wheel loader.
Employees Training and Development
Training and development of employees is critical records. Safety training is critical in preventing
to the ongoing success of the Martabe Gold Mine accidents, and while the Company provides a variety
because most of the people commencing employment of safety training, there is a core group of safety
at the Martabe Gold Mine have no prior experience of competencies that is mandatory for all employees at
work in a mining or industrial environment. PTAR has the site.
a training and development policy No. TDV-TSY-CCP-
00037-EN Training and Assessment.
The training delivered to PTAR employees and site
contractors is of four main types: The Company’s commitment to employee development
• Health, safety and environment training. was maintained in 2019, the total hours of training
• Personal development training. for employees totalling 45,292 hours. Given the
• Technical skills training. importance of employee safety, a large proportion of
• Training for licenses to operate vehicles and the training delivered was safety training.
equipment.
To ensure they meet employees’ needs, most of the

course materials have been developed by PTAR and
the majority of this training is delivered on-site.
An on-line training management system is used to
manage PTAR employee training and assessment
Education and Training [404-1]
Average Hours
Training Topics Number of Participants Training Hours
of Training per Employee
Health, Safety, and
3,792 17,092 4.51
Environment
Moving Equipment 1,805 13,071 7.24
Specific Task 1,714 13,081 7.63
Development 135 1,160 8.59
Language 473 888 1.88
Total 7,919 45,292 5.72
Performance and Career Development Reviews [404-3]
All employees or 100%, receive regular job reviews and career development. This evaluation process includes the
categories of manager and above, general staff, and non staff.
Our Local Community
PTAR has helped us a lot in supporting our journalists’ activities and their capacity
to become professional journalists. Assistance is given in various ways. One of
these is through cooperating with the Journalists Association of Indonesia (PWI)
to conduct competency tests. With competence, journalists are able to publish
reliable and trusted news, providing information on which decisions can be made.
As reporters we are pleased when PTAR organizes community activities, from

cultural performances by local people and the processing of waste into fertilizer
to providing skills for women to work. Of course these activities will greatly help
the community, and we are therefore always ready to be a facilitator of information
between PTAR and its stakeholders.
sibuan (Chair of the Indonesian Journalists Association Tabagsel & Senior Journalist
Hairul Iman Ha
M.Ikom for Analisa Daily)
The local communities surrounding the Martabe operations. Local communities also contribute the
Gold Mine are, in many ways, the most important large majority of people working at the mine aside
stakeholder groups for PT Agincourt Resources. from being of key importance in determining the
Living and working closest to the mine, they are the Company’s social license to operate. The ongoing
people most likely to be affected by the Company’s performance and growth of the Company is made
day-to-day activities; and are the most important in possible through their direct and vital contributions.
terms of ongoing stakeholder support for Company
Fifteen villages span the sub-districts of Batangtoru A number of ethnic groups can be found in the
and Muara Batangtoru that are designated as Directly communities around the Martabe Gold Mine, all
Affected Villages (DAVs) in terms of being potentially originally from other areas of Indonesia. Most
affected by the Martabe Gold Mine’s operations. dominant and longest-established are three
In total, these villages support a population of interrelated groups known as the Angkola, Mandailing,
approximately 23,500. and Toba, often referred to collectively as Batak. The
majority of these are Angkolan, with Batangtoru
For these villages agriculture is the most significant being considered the cultural territory of Angkola,
employment sector, with the most widely grown with the Angkola language commonly used for daily
commodities being rice and corn. Cassava, sweet communication. Two other ethnic groups were also
potatoes, peanuts, soya beans and green beans important in the development of Batangtoru. These
are also planted. Some local people also work in, were the Javanese, who began arriving around 1906
or operate, rubber and oil palm plantations. After to work in rubber plantations, and the Nias, who
agriculture, trade and service industries are the began arriving around 1925.
next most important sources of employment with
Batangtoru and Muara Batangtoru supporting many In Batangtoru and Muara Batangtoru, local cultural
small retail businesses and other commercial institutions and customs have a strong influence on
enterprises such as banks and transport providers. everyday life and the resolution of social problems.
Kinship amongst the Angkola is patrilineal (meaning
Participation in elementary and secondary school the heads of families are male) with men often
in these local communities is high. There are also occupying customary roles such as village head and
opportunities for university education within the heads of other village institutions. A person’s family
region and province, as well as elsewhere in the group or clan strongly defines their social identity.
country. Locally there is a medical clinic and public
health centres (puskesmas), with major hospitals There are several types of land title in the local
being one to two hours away by road in Sibolga and area, namely customary or adat land owned by clans
Padangsidimpuan. collectively, privately-owned land, land owned by the
state and companies, and land donated for public
The socio-economic conditions within local religious purposes. Away from settlements, land
communities have been used as an important use is dominated by forests, plantations, gardens,
reference for the Company’s community development rice paddies and fish farming. Large areas of level
programs. These programs focus on health, land have made Batangtoru a strategic location
education, infrastructure, agriculture, and economic for plantations. Established in 1906, Batangtoru
development, as well as support for local cultural Plantation (PTPN III) is the oldest state-owned rubber
values and customs. enterprise in Sumatra.
We have a harmonious relationship with the people around us who are a part
of the PTAR family. We partner with the educational institutions and community
groups, especially those representing young people, to provide an understanding
of good mining practices and the benefits of mining products for life.
This understanding creates a sense of caring and helps protect the mining
area which is a vital national asset. We also highly appreciate the community’s
willingness and commitment to communicate with us as part of the stakeholder
engagement process. The resulting discussions are the key to maintaining unity
in supporting PTAR’s operational activities as one of Indonesia’s leading mining
companies.
Bayu Wicaksono (Stakeholder Relations Manager, PT Agincourt Resources)
Ifan Farianda (Community Development Department)

explaining the New Sub-District Office to the
community at the handover event.
Community Development
The process designed to create conditions of economic Affected Villages (DAVs) that span the sub-districts
and social progress for a community as a whole, with of Batangtoru and Muara Batangtoru. PTAR has
its active participation and initiative is referred to executed community development programs for
as community development. In the mining industry, 100% of the DAVs which are located in Ring 1 of the
community development programs are common, Company’s operational area. These communities
particularly where mining operations are located in are characterized by a range of socio-economic
rural or remote areas where there is limited access challenges that include: low education levels, high
to public services for local communities. Community unemployment, limited access to health care, and
development activities are essential to be undertaken dependence on agriculture as a source of wealth
in acquiring a social license. Hence, ensuring its most generation. All of those villages are included in
important stakeholders benefit directly from operation the community engagement, risk assessment and
of the Martabe Gold Mine is a commitment made by development programs. [413-1]
PTAR through its community development programs.
• Guiding Principles
• Scope Regarding the delivery of community development
The Company has a broad community development programs, PTAR has defined guiding principles
program which covers nearby villages (Ring 1), that reflect the Company’s Core Values. These
local surrounding includes Muara Batangtoru form the basis for the design and implementation
and South Tapanuli (Ring 2), as well as other of community development and community
regions in the national level (Ring 3). However, the relations programs by the Company, and can be
Company’s support for community development used to manage stakeholder expectations.
is focused on 15 villages categorised as Directly
PTAR Community Development Guiding Principles
Empowerment
PTAR community Good Governance
development Community
programs must be development
aimed at promoting Stakeholder
programs must Sustainable
community Values
be properly Development
empowerment and managed to ensure An introduction to
PTAR community
ensuring that there accountability, the history, culture
development
are processes in transparency, and socioeconomic
programs must
place to improve responsiveness, status of local
deliver benefits to
individual, group effectiveness, communities
stakeholders after
and community efficiency, around the Martabe
mine closure.
capacities to make equitability and Gold Mine.
purposeful choices inclusiveness.
and transform
these choices into
desired outcomes.
• Strategy and Framework can be revised when the Company finds a mine
As a mining company, PTAR also prepares a reserve and there are other mining development
Community Empowerment Program (PPM) Master changes.
Plan which is compulsory in accordance with
Minister of Energy and Mineral Resources Decree The Community Management Plan (CMP)
No. 1824 in 2018. The PPM Master Plan is valid addresses community development planning
throughout the 2018-2031 period in accordance over the period 2016 to 2020 and documents the
with the projected mine closure plan in 2028 and Company’s community development strategy. This
the post-mining period until 2031. The principles plan references a range of international guidelines
of the PPM Master Plan are based on the following and protocols, including Vision, Mission, and
reference sources: Goals.
• Internal policy (feasibility study, AMDAL, post

mining plan) Community Development Vision,
• Regional development policy Mission, and Goals
• Community’s needs
• The United Nation’s Sustainable Development
Goals • Vision: To improve livelihood
• The International Council on Mining and Metals through sustainable
(ICMM) Community Development Toolkit. development and respect for
• Strategic Community Investment Handbook local cultures, wisdom, and
from The International Finance Corporation values.
(IFC) • Mission: To further empower
• ISO 26000 (a management framework for local communities by initiating
companies implementing social responsibility) programs that deliver
sustainable and beneficial
After the master plan has been prepared by stating outcomes.
3 main objectives and 13 strategic programs, the • Goals: PTAR community
Company will conduct a review after 10 years based development programs
on global standards, sustainable development must deliver benefits to
goals, and AMDAL. The long-term plan (roadmap) stakeholders after mine
closure.
The CMP targets five main program areas for delivering support to our local communities based on local
socioeconomic factors, stakeholder consultation, special studies and industry benchmarking. These are:
economic development, education, health, community relations and infrastructure support.
The goals and contributing elements of the CMP
Program Area Goals Elements

Increased diversification and productivity of agriculture.
Economic Developing the local economy by Increased number and capacity of local suppliers and
Development supporting income diversification. contractors.
Development of vocational skills.
Improved quality and accessibility of education infrastructure
and facilities.
Improving access to high-
Education Improved quality of education delivery and management.
quality education.
Increased student participation, achievement and
competitiveness.
Improved quality of community services.
Improving the quality of Promotion of healthy life behaviors.
Health
community health. Improved prevention of infectious and non-communicable
diseases.
Increased awareness of PTAR operations
Community Promoting trust and respect Appropriate management of stakeholder concerns and
Relations between stakeholders and PTAR. grievances regarding PTAR operations
Respect, appreciation and preservation of local wisdom.
Improved accessibility and availability of facilities supporting
social and economic activities.
Supporting infrastructure development
Infrastructure Improvement of public and government facilities.
that contributes to quality of life.
Improved accessibility and quality of sanitation and hygiene
infrastructure.
We are grateful for PTAR’s presence which has helped develop the economy in
Batangtoru, South Tapanuli, both through providing employment opportunities
for local communities, as well as local tax and other contributions. PTAR’s CSR
assistance is prioritized for 15 villages and sub-districts around the mine’s
location through infrastructure development and health improvement. Support
includes: building a suspension bridge, agricultural irrigation, increasing organic
rice production and providing specialist doctors for the puskesmas (local clinics).
Besides playing a role in reducing unemployment, PTAR also pays attention

to the surrounding environment, through supervision and compliance with
environmental regulations, including the careful management of residual water
tua flows. PTAR works closely with the community to conduct water quality checks
H. Syahrul Mar
Pasaribu, S. H. on a regular basis. We continue to support the good relationship between PTAR,
the local government and the community to improve local residents’ welfare.
(Regent of South Tapanuli)
PTAR has contributed a lot to community empowerment, especially for 15 villages

around the mine in the District of Batangtoru and Muara Batangtoru. Several
programs from PTAR have begun to have an impact on the community, including
improving the quality of teaching staff, encouraging the formation of clean and
healthy living behavior in schools, and building infrastructure to support school
activities (school buildings and learning tools). In addition, PTAR also improves
public health through nutritional improvement programs for toddlers, elderly
gymnastics, as well as providing free medical treatment.
I really appreciate PTAR for all its assistance for the common good, not only for
certain individuals or groups. Hopefully PTAR can further improve the quality of
human resources and the potential of local labor for villages outside the mine’s
bara
M. Yamin Batu immediate area.
[Subdistrict Head of Batangtoru]
The Company maintained a very active community development program in 2019, ensuring that all local
stakeholders continued to benefit directly from operations at the mine. The Company has realized a budget of
USD1.09 million in support of programs targeting the key areas of health, education, local business development
and public infrastructure.
Community development assistance was focused on the continuation of existing programs, summarized as
follows:
• Health • Support for infants and toddlers recovering

PTAR has undertaken several activities on health from malnutrition.
issues: • Pharmaceutical Management Training for
• A free village medical service program puskesmas staff.
covering; infant health checks, pregnancy • Promoting the enhancement of puskesmas
examinations, and treatment of commonly services and providing Obstetrics, Gynecology
occurring diseases was provided with a focus and Pediatrician expertise through puskesmas.
on those in remote areas. • The delivery of coaching in clean and healthy
• An elderly health program named Elderly living at selected schools and the provision
Gymnastics plus additional nutritional support of handwashing facilities to support Global
through the provision of high calcium milk and Handwashing Day.
health checks were provided. • In collaboration with the District Health Office
• Staff made monthly visits to village Health of South Tapanuli, the commemoration of
Care Clinics (Posyandu) to provide supplies World AIDS Day
and assist in delivering services. • Continuing the Healthy Teenagers Development
• Assistance for the Tuberculosis Program using Program.
Community Volunteers to support the recovery • Support for Open Defecation Free (ODF)
of low-income tuberculosis patients. villages.
PTAR’s assistance to the Community-Based Total Sanitation (STBM) program at

the Batangtoru Community Health Center has been carried out since 2015. With
the support of PTAR, in collaboration with the Village PKK, Village Heads, and
Posyandu Cadres (at that time STBM cadres had not been formed), the community
wanted not to defecate carelessly or to be open defecation free (ODF). Until now,
there have been 1,465 family heads representing 32,000 residents who have
participated in ODF. As a result, improved sanitation and public environmental
health has been achieved in accordance with goal 6 of the SDGs and national
goals towards 100% access to sanitation.
We are currently in the process of declaration of ODF up to the District level.

Hopefully in 2021, all people will have proper bathing, washing, and toilet facilities.
As for our hopes, they are that PTAR will be able to uphold the other five pillars
of sanitation for the community, support the availability of infrastructure at the
Nurul Aida puskesmas, and assist in the existence of integrated service posts (posyandu)
for elderly, infants under five years old, integrated fostered posts (posbindu), and
healthy adolescents.
[Environmental Health, Community Health Center Batangtoru]
• Education • Improvement of Sopo • The Geology Department

PTAR has undertaken several Daganak facilities as a conducts a competency test
activities on education: culture and arts centre. to SMK 2 for mine geology.
• Support for Children’s • Support for the preservation In 2020, the Company has a
Reading Gardens in a total of of cultural and traditional target to hold open classes
14 Villages, which included music. related to K3. This activity is
training and comparative • Members of the Martabe part of the initiative to involve
studies to strengthen the Consultative Committee employees in schools.
capacity and creativity of (LKMM) received capacity-
those who operate TBAs. building training.
• Reinforcing children’s
creativity and character-
building by organizing
talent shows, children’s art Computer Lab in SMAN 1 Batangtoru is part of CSR
performances and dancing education programs run by PTAR.
classes.
• A series of training
activities and coaching for
teachers as part of a school
improvement program.
• The Martabe Prestasi
scholarship program
awarded 221 scholarships
for local students.
• Construction and renovation
of school facilities.
Since 2014, PTAR has provided a lot of assistance to SMKN 2 Batangtoru, including
mining geology equipment, lab rooms, visits to the mine, as well as industrial work
practice (prakerin) directly at PTAR. This school was set up after PTAR became
operational, so the children who enroll at this school are indeed hoping to work in
the mines. Currently PTAR is also assisting schools to improve advocacy and access
to schools by other industries such as the MOU between SMKN 2 Batangtoru and
United Tractors. PTAR itself is improving the curriculum so that it matches the
needs of the industrial world, increasing teacher capacity and improving facilities
and infrastructure, in particular, vocational heavy equipment engineering. The
impact of this program is that graduates of SMKN 2 Batangtoru have the abilities
and skills needed by industry and can compete in the world of work.
Nurlaili, S.Pd From the apprenticeship reports provided by students, this activity is successful
in bridging students’ understanding between what is taught in school with what
is needed in the field, even though the length of internship is limited. This year,
the school is preparing to collaborate with PTAR and United Tractors to support
government programs, namely the link and match between SMKs and industries
for the development of SMK capacity and excellence.
[Headmaster of SMKN 2 Batangtoru]
Since 2017, PTAR has provided assistance to SMPN 2 Batangtoru to increase the
capacity of teaching staff, in collaboration with the Kualita Pendidikan Indonesia
(KPI) Surabaya. We also invite other schools to participate in the training so that
they too can improve the quality of their education.
Alhamdulillah, I am very grateful because in the last three years the teachers have
changed their mindsets. In the past, they came to school only to teach and work,
but now they are aware and begin to teach sincerely, to the point where they teach
teaching to students. In addition, PTAR also provides ‘excellent service’ training to
serve parents, the community, students, and even fellow teachers. Subjects that
are trained include the culture of a smile, literacy and adiwiyata. We have been
selected as representatives to attend the Adiwiyata School at the Regency level. We
iM .Pd
Devi Anggreyn also hope to be elected to the provincial level. Hopefully this good program can be
improved continuously and developed for other schools.
[Headmaster of SMPN 2 Batangtoru]
My father is a oil palm agent and my mother is a housewife. I am one of eight

siblings. When I found out that there was a Martabe Prestasi scholarship program,
I immediately applied because there were still other siblings who had to pay school
fees. Finally I managed to get a Martabe Scholarship. I am increasingly excited to go
to college. Every semester we must maintain a cumulative achievement index (GPA)
of more than 3.0 by sending an academic report via Martabe Achievement e-mail.
This scholarship is very helpful in paying tuition and boarding fees, so that parents
only need to pay for the campus needs of IDR300,000 per semester.
My hope is that in the future the Achievement Martabe Scholarship will grow. We
scholarship recipients here have also taken the initiative to spread the benefits to
others, by holding literacy corners in the villages around the mine and trying out the
Asmaul Husna preparation of the Computer Based National Examination.
[Martabe Prestasi Scholarship Beneficiary, Mathematics Education

Department, State Islamic Institute (IAIN) Padangsidimpuan]
• Local Business Development • Both organic and conventional paddy breeding

PTAR has undertaken several activities to support and cultivation projects were provided support.
local business development: • Improvements to organic rice products and
• USD11.46 million worth of local goods and assistance in achieving certification.
services purchased. • Support for fish farming in a number of local
• Local suppliers and contractors received villages.
financial management training. • Improving the capacity of the local community
• The boards of five local cooperatives receive by providing Motorcycle Mechanic Training.
capacity strengthening. • Providing capacity-building and supporting
• Crops and fruit production as well as facilities and equipment to provide assistance
horticulture in general was supported. This to local businesses.
included: post-harvest activities, product
diversification, and marketing.
The beginning of our collaboration with PTAR was the establishment of a pilot
demonstration plot for the development of 1 ha of corn cultivation, in collaboration
with Grahatma Jogjakarta and monitored by the Forestry and Fishery Agricultural
Extension Center (BP3K) of the South Tapanuli Agriculture Office. Now, with PTAR’s
assistance, we know how to cultivate corn, including fertilization methods, how to
use tools, and good group management.
Previously, we could only produce a maximum of 1 ton / hectare of pipil corn, but
now we have increased yields to 6 tons / hectare. Seeing this result, more and more
friends are interested in corn cultivation. PTAR also helped us in establishing a
cooperative so that sales could reach the market as far away as Medan. At present,
three corn farmer groups have been formed in Batangtoru, one of them is the
Mukson Mulia Bakti Group with 33 members. We hope that our corn sales will continue to
reach a wider market.
[Corn Cultivation Farmer]
• Public Infrastructure • Community Relations

PTAR supported a total of 28 public infrastructure PTAR has undertaken various community relations
projects in 2019. These include: activities:
• Construction and renovation of public • 1,094 community members received a site tour
bathrooms, water purification facilities and to explain the Martabe Gold Mine’s operational
communal septic tanks in selected villages. activities and its approach to environmental
• Renovation of puskesmas (public health management.
clinics). • Surrounding communities received emergency
• Several villages received clean water facilities. assistance in fire extinguishing.
• Two villages received the Hydram Pumps and • Donations to 545 orphans during Ramadhan.
Solar Panels. • Active participation in a range of religious
• Road improvements in three villages activities and the celebration and
• A corn processing facility. commemoration of other national days
• Renovations of mosques and churches. • Sponsorship of sport and youth activities.
• Construction of local government offices as • Members of the Martabe Consultative
well as with other supporting facilities. Committee (LKMM) received capacity-building
• Gabion installation in the Garoga River training.
• Construction of a hanging bridge at Desa • 1500 Waru trees planted with the community
Sumuran on the banks of the Batangtoru River, initiating
• Army Hospital received a Sewage Treatment Disaster Risk Reduction activities.
Plan. • Achieving self-reliant villages by promoting
• Construction of irrigation channels the Village Good Governance program.
• Electricity installation for 500 low-income
households.
Muhayan Hasibuan (left), Nurhelida Ritonga (right).

Using clean water for washing hands
with soap under running water at Desa Telo.
Positive and Negative Impacts
PTAR realizes that the Company’s operational activities

are able to bring positive and negative impacts to the
surrounding community. The real positive impact is
the empowerment of the surrounding community,
through the recruitment of local employees and local
suppliers. In the long run, the community around the
mine is expected to be independent and to improve
their welfare and education.
On the other hand, the negative impacts of mining

operations are, for example, related to the diversion
of water from the mine which can make the
water sources of the community become turbid.
The mining process can also cause noise and require
land clearing. Seeing this potential negative impact,
the community relations - community development
(comrel-comdev) team always mitigates and
manages through communication to key community
leaders and the implementation of community
empowerment programs, so that the negative impact
is minimised and more than offset with strong positive
impacts. The potential negative impacts is one of the
challenges encountered during the implementation
of the community empowerment program. [413-2]
To measure community empowerment performance

activities, PTAR conducted a perception survey in
2016.In 2020, PTAR will conduct a perception survey
of the empowerment program again, either through
surveys or other measurements. Sapianun Siregar planting paddy seedlings
in Sipenggeng Village, one of the DAVs
that is supported by PTAR.
PTAR not only improves women’s competence and skills so that they may become
reliable local employees, but also conducts campaigns and promotions to enable
them to play their full role as women for their families. This is what distinguishes
PTAR’s approach from that of other mining companies. We work together to
improve women’s empowerment, both at work and within the family.
PTAR’s commitment is evident in providing equal employment opportunities

between men and women, especially for local women workers. The high level
of cooperation between PTAR and the local government in the area of women’s
empowerment, has resulted in the Company achieving first place in the Parahita
Ekapraya Award for the main Sumatra region, and middle place for the national
level award. In the future, we hope that PTAR will also support the protection of
Da mayanti
Dra. Tiurisma children, as they are our future.
[Head of the Women’s Empowerment and Children’s Protection Office of South

Tapanuli Regency]
Grievance Grievance Mechanism
Mechanism and Handling Procedure [102-33]
PTAR’s Guideline Procedure for All grievances are filed by a Senior Community
Grievance Handling Liaison Officer (SCLO) or Community Relations
staff who formally record a grievance on a
PTAR has a well-defined procedure for grievance Grievance Form.
handling, including giving advice, complaints
related to ethical issues, and any critical
2
concerns. It is handled by the Community
Relations Department, reported to the Board of The completed grievance form is forwarded to
Directors, which later reports to the Board of Community Relations Supervisor (CRS) and
Commissioners. The purpose of the Grievance within 36 hours the completed form is registered
Handling Procedure is to provide guidance in a Grievances Matrix. Where possible, urgent
in managing the grievances from the local cases are resolved quickly.
stakeholders related to the impact of Martabe
Gold Mining operations. [102-17] [102-33]
3
The guidelines cover admission procedures of
The CRS and Superintendent of Community
complaints, records/registrations, problem-
Relations (SCR) review and investigate the
solving mechanisms, and communication
grievance based on detailed information and
both internally and externally with the parties
make preliminary recommendations to the
involved. PTAR places great importance on
Community Relations Manager (CRM).
ensuring any grievances from either individuals
or groups regarding the impact of mining
operations are immediately responded to, well 4
documented, analysed, handled and answered
effectively and measurably so as not cause The CRS, SCR and CRM (the grievances
greater problems at some point in the future. ad-hoc team) will, if necessary, consult with
Martabe Consultative Committee (LKMM) as
A grievance is considered to be an issue the consultative agency regarding grievances to
submitted directly by local stakeholders to formulate preliminary recommendations.
the Company regarding the impact of mining
operations on socio-cultural life, the economy, 5
health, education, or the environment. The
communities to whom the Grievance Procedure
Conciliation is facilitated by LKMM in a formal
relates include: government agencies, citizens
meeting of community, tradition, religious and
either individuals or groups, community
or government representatives as appropriate.
institutions, and private institutions located in
Formal notes documenting the meeting are
DAVs and/or from Sub-district of Batangtoru
issued and signed by attending representatives.
and Muara Batangtoru.
If agreement is reached, the agreement is
captured on the grievance matrix and closed.
PTAR categorizes the types of complaints
that occur as a result of mining operations
are those that impact on socio-cultural life, 6
are economic, or relate to health, education
or the environment. The PTAR database
A formal final response from Martabe Gold Mine
ensures automatic archiving of all redundant
is provided to the grievant. Once this response is
documentation.
accepted the document is signed to legalize the
agreement.
To improve communication with the local community, Good communication is the key to a harmonious
the Martabe Consultative Committee (LKMM) was relationship between PTAR and the local community
formed. LKMM can be a medium of discussion and employees. This good relationship was marked
between the community and the company related by the complete absence of strikes throughout 2019,
to the impact of company operations, except for either by the community or employees which caused
land disputes. Land dispute complaints are filed disruption to the company’s operations for more
in accordance with applicable procedures. The than one week. The company’s area is adjacent to
company has its own mechanism for handling land the local communities (indigenous) and we have had
disputes, which is handled by the Land Acquisition such significant land acquisition processes since
Facilitation Team formed based on the Decree of 2008. Nevertheless, there are no disputes with local
the South Tapanuli Regent. In carrying out their communities regarding the land use or customary
duties, the Land Acquisition Facilitation Team works rights. The risk of community mining is also always
closely with PTAR’s Community Relations team. The a challenge for mining companies. However, there
process of land acquisition can be done through two is no community mining or artisanal mining near or
mechanisms, namely through the Land Acquisition adjacent to PTAR’s mining operations. In addition,
Facilitation Team and a personal mechanism through so far, no community has had to be resettled. [MM4,
legal channels. MM5, MM6, MM7, MM8, MM9]
Grievances During 2019 [102-34]
PTAR has always been responding to any issues

regarding local employees and local communities,
and therefore, developing their competencies and
engagement has been the main focus. Until the
end of 2019, any issues related to local employees
and communities were resolved. PTAR Community
Relations team would have several meetings with
the related parties if any issues arise. PTAR keeps
improving communications as we believe that good
communication is the key to a harmonious relationship
with the local employees and community.
Ilham Perwira and Ruslan Simamora

(Community Development Department) with assisted farmers
(Pahri Hasibuan, Masrayuni, and Mamat) at Aek Pahu organic
rice field, Napa Village - Batangtoru Sub-district.
ENVIRONMENTAL
PERFORMANCE
The Company maintained its

long-standing record of effective
environmental compliance
management and has complied with
environmental regulation, so there
were no incidents of non-compliance
throughout 2019.
Environmental Management Approach [103-1] [103-2] [103-3]
The Martabe Gold Mine’s compliance status. Accordingly,

operations are subject to a wide the Environmental Department
range of environmental laws and produces a monthly Environmental
regulations. A number of permits Compliance Report documenting
covering things like the discharge all compliance monitoring results
of treated water and the operation and associated regulatory limits
of temporary hazardous (B3) waste as well as the status of all required
storage facilities set more specific environmental permits.
compliance requirements for
the site. All of the environmental The accuracy and independence
perfomance is monitored by of water quality compliance data
Manager Environment who is ensured by implementing the
reports this performance to Senior following safeguards:
Manager – Health, Safety, and • Sampling is conducted
Environment (HSE). according to a standard protocol
by trained technicians to ensure
Under the conditions of the preservation of the sample
PTAR Environmental Policy, the prior to testing.
Company agrees to ensure full • A certified and independent
compliance with all applicable testing service provider
legal requirements. The located in Jakarta conducts all
compliance is verified regularly by analyses.
the process of evaluation as part of • To avoid unintended bias in
the environmental audit. reporting of data, a system of
sample identification is used
The site management team at the so that the sampling location
mine is supported by the PTAR Code is not known by the receiving
of Practice HSE Compliance which laboratory.
provides an overview of the main • To minimise the possibility of
HSE statutory requirements that sampling and analytic errors
apply to the Martabe Gold Mine, and (using sample blanks and
specifies who is accountable for duplicates), a formal QA/QC
managing compliance with these process is applied.
requirements. On the Company’s • An environmental monitoring
intranet there is a Legal Database database is used to manage all
BLUE PROPER and an Operating Conditions results.
Register. HSE compliance • A consultant expert in tropical
requirements across a range of key aquatic ecosystems regularly
The BLUE PROPER rating site activities are also documented reviews the water quality
from the Indonesian Ministry in a number of PTAR Codes of monitoring data. A visit is made
of Environment and Forestry Practice. to the site twice a year to audit
is a significant achievement water sampling practices.
in managing environmental It is clearly important that the
performance. Company’s senior management
remain well-informed of the
Company’s environmental
Environmental
Compliance
The Company maintained its
long-standing record of effective
environmental compliance
management in 2019. The company
has complied with environmental
legislation and there were no
incidents of environmental non-
compliance throughout 2019.
In 2019 in accordance with the
realization of the Work Plan
and Budget, the environmental
management and monitoring costs
incurred amounted to USD7.4
million. [307-1]
Suheri and Nurapni Harahap (Environment Department)

are conducting water sampling at Batangtoru River,
Telo Village - Batangtoru Sub-district.
Environmental Compliance Water Quality Control

The most important The control activities to ensure the accuracy and
environmental compliance independence of water quality were as follows:
requirements at the Martabe • Compliance with reporting requirements of
Gold Mine relate to a number of the permits and approvals that we are subject
key activities: to.
• Discharge of water from the • Compliance with limits on stack and
site generator emissions.
• Groundwater quality • The water quality limits for discharge from the
• Emissions (from generators Water Polishing Plant (WPP) were complied
and stacks) with and an unbroken record of discharge
• Handling, storage and compliance since we started operations was
disposal of hazardous waste continued.
• Placement of tailings • Requirements applying to the handling,
• Clearing of vegetation storage and disposal of hazardous (B3) waste
were complied with.
• The AMDAL Environmental and Social
Monitoring Plan (RPL) was the basis for our
compliance with environmental monitoring
and reporting.
• Compliance with reclamation guarantee
requirements.
Disposal of Tailings
At the Martabe Gold Mine a waste stream called The TSF at the Martabe Gold Mine consists of an
tailings, largely comprising water, ground rock, lime engineered embankment in a valley with tailings
and residual cyanide is produced by the process for being placed in the containment space provided
extracting gold and silver from ore. The Martabe Gold upstream of the embankment. Of conventional “rock-
Mine, like the large majority of gold mining operations, fill” downstream construction, the embankment itself
disposes of tailings in a Tailings Storage Facility (TSF). has several distinct internal zones each serving a
particular function.
Simplified Cross-Sectional View of the Martabe Gold Mine TSF Embankment
Tailings
Provided stability for the first stage of construction. The pit was not yet operating, so quarried rock
Rock Fill
was used.
Low permeability (clayey) material on the upstream face of the embankment. Designed to limit
Zone 1
seepage from the tailings into the embankment.
A sand filter layer. Designed to collect any seepage passing through Zone 1 and direct it to the base
Zone 2 of the embankment. Water building up in an embankment can reduce stability and lead to internal
erosion.
A second filter layer. Designed to separate the finer sand filter layer (Zone 2) from the coarser mine
Zone 4
waste (Zone 3) and prevent the sand from moving into the mine waste.
The structural zone of the embankment. Provides stability and forms the bulk of the earthworks.
Zone 3
Also provides a storage location for almost all waste rock from the pit.
Run-of-mine waste rock is used to progressively raise • Prevention of fauna death within the TSF itself.
the TSF embankment’s height in order to provide • Ongoing control of acid mine drainage in the
sufficient storage capacity for the ongoing production embankment.
of tailings. The embankment crest will have a height • Rehabilitation of the structure following closure to
of 112 meters above foundation (at centerline) and a a safe and stable condition.
length of 1,220 meters when completed.
The application of a diverse range of risk controls
The highest importance to the Company is the safety at the design, construction, operation and closure
of the TSF. Key goals in this regard therefore include stages of a TSF is required to minimise TSF risk. The
the following: controls include: design specifications, construction
methods, QA/QC programs, operational controls such
• No uncontrolled release of tailings or water as procedures, staff training, change management,
(through overtopping or damage to the condition monitoring and inspections, reviews and
embankment). audits. Of these controls, the most important can be
• Prevention of impacts on groundwater from summarized as follows.
seepage.
Martabe Gold Mine TSF

Key Risk Controls - TSF Design and Construction
• An international geotechnical engineering
consultancy, recognized for its expertise in this
field, has implemented the TSF design.
• “Downstream lifting” is the method used to
progressively construct the TSF embankment.
This enables the construction of a zoned rock-fill
embankment that is inherently more stable than
embankments built using the “upstream lifting”
method as used by some other mining operations.
Downstream lifting using engineered compacted
• Dam safety guidelines published by the zones of rock, clay and sand.
International Committee on Large Dams (ICOLD)
define the specifications for the design.
• A key performance criterion is recognized as Key Risk Controls - TSF Operation
embankment stability. The TSF has therefore been • All tailings are treated before leaving the process
designed to remain safe in the event of a Maximum plant to reduce cyanide to low levels (below 50
Credible Earthquake (MCE). mg/L). This ensures there is no risk to wildlife
• The design freeboard is equivalent to the Probable coming in contact with water held in the dam.
Maximum Flood (PMF). The Indonesian Dam These levels are as specified by the International
Safety Committee has reviewed and approved the Cyanide Management Code.9
TSF design. • Tailings are deposited in the TSF in thin layers
• The construction of the TSF is the responsibility onto a tailings “beach”. Each layer is allowed to
of the consultant engineer who is accountable for settle, drain and dry before being covered with a
ensuring that it is in accordance with the approved new layer of fresh tailings. This method offers a
design, and that a construction QA/QC program number of benefits that include increased strength
is in place to ensure appropriate standards. This of the placed tailings and destruction of residual
role is equivalent in function to the “Responsible cyanide with exposure to natural ultraviolet light.
Engineer” referenced in ANCOLD Guidelines on • Water held in the TSF pond is kept to a minimum.
Tailings Dams (ANCOLD 2012). This is because excess water held within the pond
• Construction QA/QC records are certified and of a TSF may increase the risk of overtopping,
safeguarded so that a permanent record of reduce the stability of the embankment, impair
compliance with the engineering specifications is tailings consolidation and increase seepage rates.
provided. Before release from site, excess water at the TSF
is removed by pumping to a Water Polishing Plant
Upstream lifting Method of TSF (WPP) for treatment.
Embankment Construction • For the detection of any changes that might
lead to unsafe conditions, a comprehensive TSF
monitoring program is in place. This includes
monitoring of water levels within the embankment,
embankment movement due to long-term
settlement or seismic activity, available freeboard,
seepage rates and surface erosion.
Upstream lifting using dried tailings to extend the wall.
9 The “International Cyanide Management Code For the Manufacture, Transport, and Use of Cyanide In the Production of
Gold” (Cyanide Code) was developed by a multi-stakeholder Steering Committee under the guidance of the United Nations
Environmental Program (UNEP) and the then-International Council on Metals and the Environment (ICME).
The Company engages expert consultants to conduct an Results Achieved in 2019

annual independent review of all aspects of TSF safety.
This is a final measure to ensure that the ongoing design, In 2019, a total of 6.15 million tonnes of tailings was
construction and operation of the TSF reflects industry placed in the TSF without incident and in accordance
leading practice. A TSF Stewardship Report is issued with operational requirements laid out in Code of
each month to ensure that the senior management Practice Safe Tailings Placement. Key outcomes in
team remains fully informed regarding TSF risk, and the this regard included:
status of action to further minimise risk. • Consistently good sub-aerial deposition of tailings
coupled with ongoing minimisation of TSF decant
pond volume, resulting in extended beaching of
tailings away from the embankment.
• Maintenance of a large spare freeboard to
accommodate storm inputs (typically in excess of
10 million cubic meters compared with a Probable
Maximum Flood of 5 million cubic meters).
• Ongoing cyanide detoxification at the process plant
prior to tailings discharge.
• No significant concerns identified in the TSF
condition monitoring program.
• No measurable impacts on local groundwater.
• Ongoing construction of the embankment in
accordance with the approved TSF design.
• Ongoing monitoring of TSF construction and
performance by the Company’s geotechnical
engineering consultancy.
• Implementation of a third annual independent
review of the safety of the facility conducted by TSF
experts.
Special initiatives implemented in 2019 to further

reduce TSF risk included:
• Completion of a rock extension to support the final

toe of the embankment.
• Installation of a new tailings deposition system to
improve control of tailings deposition and tailings
beach density.
• Planning of a significant drilling and
instrumentation program across the embankment
to augment condition monitoring.
• Commencement of use of satellite data (InSAR10)
to measure movement of the embankment.
• Review of the seismic hazard assessment applied
in the TSF design reports by a team of experts with
particular knowledge of Indonesian conditions.
Naili Fitriyah Ridwan (Maintenance Department)
monitoring a confined space area at the processing plant.
10 Interferometric Synthetic Aperture Radar, a technique used in remote sensing. This method uses satellite data to generate
maps of surface deformation, potentially measuring millimeter-scale changes in deformation over spans of days to years.
Salma Masti and Ardiansyah Marbun are doing

a description of the drilling core rock.
Disposal of Waste Rock
The second major waste stream at the Martabe Sealing potentially acid-forming rock so that the rate
Gold Mine requiring careful management to avoid of oxygen entry and hence the rate of acid production is
environmental impacts is waste rock, consisting of reduced to very low levels is the most commonly used
rock that must be mined to allow pit development but and successful way of managing AMD. The strategy of
that contains insufficient gold to warrant processing. achieving this sealing by the use of compacted layers
Almost all the waste rock to be produced under of rock or clay is being successfully implemented
the current mine plan at the Martabe Gold Mine is at the Martabe Gold Mine. Functioning as a barrier
utilized in the construction of the TSF embankment. to oxygen entry, rock known to be potentially acid
There has therefore been no need to dispose of waste forming is sealed within the TSF embankment
rock in large dumps as is the case at most other by up to two meters of compacted rock or clay. A
mining operations. Both tailings and waste rock complex geology featuring a range of rock types in
disposal requirements for the site are met by the TSF different states of weathering and containing variable
embankment’s fully engineered structure. quantities of sulphides makes the task of identifying
waste rock as Non-Acid Forming (NAF), Potentially
Due to the oxidation of naturally occurring sulphide Acid Forming (PAF) or some intermediate category
minerals contained in the rock, some of the waste is made more challenging at the Martabe Gold Mine
rock at the Martabe Gold Mine has the potential to due to relatively complex geological conditions, which
form acid when disturbed by mining. This is the case include several types of rocks in different weathering
for many metalliferous mines. When rainwater flows and contain various amounts of sulfides.
through it, such material may become acidic and
accumulate elevated levels of metals. If not properly
controlled, this process of Acid Mine Drainage (AMD),
may have significant potential to cause pollution.
A range of technical studies over a period of years The ongoing progress in implementing the site’s AMD
has been implemented by the Company in order to management program in 2019 included:
develop a best-practice AMD management program. • The effectiveness of the waste rock sealing strategy
The key milestones can be summarised as follows: was confirmed by data from three monitoring
• Detailed rock waste characterisation studies. stations installed in the TSF embankment. These
• Development of waste rock types or classes based results continued to indicate very low levels of
on geochemical and physical criteria. oxygen ingress through the sealing layer and no
• Production of life-of-mine waste schedules. indication of oxidation at depth in the embankment.
• Development of a sealing layer specification • An ongoing QA/QC testing program confirmed
based on sophisticated computer modelling with constructed sealing layers continued to meet
verification testing in the field. required compaction specifications.
• Progressive implementation of selective waste • In order to further investigate the geochemical
placement and sealing. characteristics of selected waste rock types,
• Performance measurement to validate waste “kinetic” tests were established at site (involving
sealing design and implementation. the regular application of water to containers
of waste rock and collection and analysis of the
The development of the site’s AMD management leachate).
program is the result of the role played by key • The life-of-mine waste rock schedule was updated
technical teams at the Martabe Gold Mine, including to include all four approved pits.
exploration, mine geology, mine planning, TSF • The toe of the TSF was completed including a final
construction and the environment. The results of this layer of growth media on which was established a
work have been documented in the Martabe Gold rapidly growing cover crop species.
Mine AMD Management Technical Manual. An overall • A drilling program on the embankment was
framework for AMD management at the site, this completed to provide samples for testing and
manual provides technical guidance for all aspects of validation of internal embankment conditions.
waste rock management. More detailed information • A waste characterisation program for the Ramba
on AMD management at the site can be found in Joring pit was completed.
several papers published on this topic.11 • A waste characterisation program for the
Tor Ulu Ala deposit was commenced, with 200
An AMD consultant with substantial international samples collected for detailed geochemical analysis.
experience is engaged by the Company to review waste • A grade control program was continued for the
rock management at the site on an ongoing basis. This three operational pits (Purnama, Barani, Ramba
ensures that the site is implementing industry best Joring), producing more than 1,000 samples per
practice in the management of waste rock. month for AMD testing.
• A three-month rolling waste schedule was refined
to ensure integration between the mine plan,
Results Achieved in 2019 waste rock production and the TSF embankment
build plan. Waste rock delivery is now embedded
In 2019 a total of 2,627,638 Bank Cubic Meter (BCM) as a priority for mine planning and operations.
of waste rock was placed in the TSF embankment
without issue and all waste rock identified as
potentially acid forming was progressively sealed by
compacted rock layers in accordance with the site’s
AMD management program.
11 Progressive rehabilitation — Martabe Gold Mine as a case study. 11th International Conference on Mine Closure, Perth.
A risk-based approach using process flow diagrams for operational waste rock classification — case studies.
Progressive Management of AMD Risk During Construction of an Integrated Waste Storage Landform – A Case Study at Martabe
Gold Mine, Indonesia. 13th International Mine Water Association Congress. Finland.
Integrated life of mine waste characterisation, scheduling, placement planning and quality control to achieve progressive
closure. 13th International Conference on Mine Closure, Perth.
Management of Hazardous Industrial Waste
Hazardous and toxic waste (B3 waste) is defined

under Indonesian Law No. 32/2009 on Environmental
Protection and Management as any waste that can
cause pollution or harm the health of humans and
other living organisms. A permit is required by any
party involved in the placement, storage, transport or
treatment of B3 waste. As is typical for all mines, the
Martabe Gold Mine produces a range of waste types
that are classified under regulation as B3 waste.
These include:
• Tailings.
• Waste oil and greases.
• Waste process chemicals.
• Used paint and chemical containers.
• Batteries.
• Computer and printer scrap parts.
• Medical waste from the site clinic.
PTAR has a permit to place tailings in the site’s Tailings

Storage Facility (TSF) and permits for temporary B3
waste storage facilities at site. All B3 waste, with the
exception of tailings, is transported to a commercial
off-site licensed waste processor.
The importance of B3 waste management means that

the Company has in place a number of controls to
ensure correct practices are followed. These include:
• Setting out the mandatory requirements for B3 Tuti Hayani - HDPE Welder trainee
waste management at site, the PTAR Code of tightens bolts on a HDPE welding machine.
Practice Waste Management applies to all PTAR
and site contractor employees.
• The PTAR Workplace Condition Inspection (WCI)
program specifies the scope of the B3 waste Results Achieved in 2019
management requirements.
• A PTAR training course for B3 waste management A total of 463 tonnes of site waste classified as B3
is available. Waste was produced at the Martabe Gold Mine in
• New employees are informed about the key B3 2019. B3 waste management requirements such
waste management requirements during the site as labelling, temporary storage in permitted site
HSE Induction and are also covered by the site facilities, and delivery to a licensed waste processor
HSE poster program. for treatment were successfully implemented without
• A monthly Environmental Compliance Report for incident.
senior management informs them of any B3 waste
non-compliances, and the status of contracts with In support of more efficient management of B3 waste,
B3 waste transport and processing contractors. an additional two temporary waste storage facilities
• At the PTAR daily production meeting, the were constructed and a total of five temporary waste
remaining capacity in the site’s temporary B3 storage facilities permitted in 2019. Approved in May
waste storage facilities is reported. 2018, the AMDAL Addendum describes the use of
waste oil in blasting as is the practice at other mine
sites in Indonesia. PTAR will therefore be able to
implement this practice when required.
Novi Anggraini from Mining Department is observing

the catchment area at Purnama Pit.
Site Water Management
In the wet tropics, the management of site runoff utilised for irrigation, domestic washing, bathing
water is a common requirement for open-cut and ablution purposes.
mines. So that the risk of non-compliance and/or • The significant biodiversity values of downstream
downstream environmental impacts are minimised, a waterways need to be protected.
number of factors need to be taken into account in the
development of mine water management systems: At the Martabe Gold Mine all of these factors are
• Rainfall on the exposed large areas of soil and important:
disturbed rock which typically result from surface
mining will mobilise sediments and sometimes
metals and acidity. This means that site runoff Site Water Balance Model
water may require treatment before it is released
from the site. A water balance model is the first step in successful
• Mineral processing plants generally require large water management at a mine site. This is a key tool for
amounts of water. This is particularly true for gold developing a site water management strategy as well
mines where their extraction process is based on as specifying the water management infrastructure
a rock slurry. required that includes: ponds, structures, pumps, and
• Pits and site infrastructure such as TSFs can piping systems.
disrupt natural catchments which results in a
significant reduction of clean water flow available Specialist consultants have developed the Martabe
for users downstream. Gold Mine’s complex site water balance model that is
• Local rural communities treat waterways and local used for planning purposes. This ‘probabilistic’ model
groundwater as important resources; typically, takes into account the wide natural variability of local
rainfall by running many simulations of different storm events. It integrates the results to produce estimates of
water accumulation at given levels of likelihood.
The water balance modelling done in the planning stage for the Martabe Gold Mine found that the site would have
a net positive water balance. This means that water would need to be discharged during operations.
Martabe Water Balance Upgrade
Realistic Case
To WPP, Reducing Stored volume WDS1
Diversion Cap.
Reclaim to process plant 0 m3 h-1
WDS3 WDS2
Runoff goes
Diversion Cap. Diversion Cap.
to TSF
250 m3 h-1 0 m3 h-1
Contact water Runoff goes
going to TSF to TSF TSF Decant
ROM catchment Obj: 600,000 m3
Overflow goes to TSF
Process plant pad ~450 m3 h-1
WDS5 catchment Runoff goes
Purnama PIT to TSF
Pump cap. 500 m3/hr TSF Dens : 1.35 t/m3
GW:4 lt/min Tailings flows
WDS4 catchment
Syaiful dump area
Catastrophic
WDS bypass Eventual
goes to SD1 Overflow
Process Plant
2017 Tailings Overflow goes
WDS - RWT Eventual Barani
5.0 Mt/yr flow below SD2
Cp : 46% feed Runoff
(BSD)
2018 - 2024 RWT

5.5 Mt/yr cap 5,900 m3
Cp : 47% Average WPP sludge
Supplementary
(40 m3/hr)
~65,000 m3/mon raw water
Depends on water quality cap: SD1

WPP Assumed: 0 m3/hr 1,500 90,000 m3 / 80% full
2017 m3/hr
3,000 m3/hr
2018 - 2024 WPP sludge
3,300 m3/hr (40 m3/hr)
Reagents
~0 m3/hr Depends on water quality cap: SD2
Average: 20% of SD2 inflow 1,000 m3/hr 102,365 m3 / 20% full
Batangtoru Aek Pahu

Discharge Discharge
Fresh Water (normally used / eventual)

Discharge Water (normally used / eventual)
Process / Contacted Water (normally used / eventual)
Emergency Water (normally used / eventual)
Site Water Management System
The site operates a carefully designed water management system, in recognition of the importance of water
management. The operation is prescribed by Code of Practice Site Water Management.
Water Management System

The Water Management System is operated to achieve the following objectives:
• Minimising the risk of non-compliant releases from site (exceedances of water quality
limits prescribed by Ministerial Decree No. 202/2004).
• Minimising the risk of environmental impacts on downstream waters, including the
protection of aquatic biodiversity.
• Ensuring the continuity of raw water and process water supply to the process plant sufficient
to meet its production needs.
• Minimising water held in the TSF continuously.
Runoff from the process plant area, the TSF and meets quality standards in accordance with
embankment and most areas disturbed by mining the criteria of Minister of the Environment Decree
cannot directly leave the site. Rather the water flows No. 202/2004.
to the TSF or to large water management ponds • The University of North Sumatra continued to
as a result of the water management system. This monitor the condition of streams and rivers
approach ensures control over the quality of water surrounding the site under a River Health
leaving the site. Monitoring Program that has been running since
2014. Under this program, aquatic life at sites in
the Batangtoru River was surveyed in 2019 and
Results Achieved in 2019 met the quality standards.
• Equipment to allow continuous flow monitoring
During 2019, water at the site was managed in was installed at a water quality compliance point
accordance with the requirements of the site water in the Aek Pahu stream (located downstream of
management system without significant incident. Key the TSF and associated sediment ponds).
outcomes included:
• Although high rainfall can disrupt mining
operations, good run-off management of water The use of water for supporting
has succeeded in controlling the balance of water facilities in the PTAR office which
flowing back into the water body. In 2019, PTAR is is channeled from ground water
estimated to have managed around 20,887,747 m3 reaches 125,073 m3. The use
of rainwater runoff. of water for plant operations
obtained from spring reaches
• Although in the PTAR operational process there
906,144 m3 and from reuse of
is water flowing back to the Batangtoru River, but
treated water from TSF reaches
throughout 2019 no body of water was adversely 5,748,576 m3.
affected. PTAR has ensured that water that has
flowed into water bodies has been treated in WPP
Site Rehabilitation
PTAR is committed to progressive rehabilitation. This means that land is rehabilitated as it becomes available,
rather than waiting for the mine to close. In situations where the surface is not ready for final rehabilitation, such
as haul road batters, a temporary cover of legumes may be used to stabilise the site, minimising erosion due to
rainfall.
Martabe Gold Mine undertakes the general steps in the rehabilitation of disturbed areas
which are similar to that at most other mines. They are:
• Reshaping of the area to achieve a design slope.
• Installation of runoff control structures such as contour drains.
• Spreading of topsoil over the area.
• Application of fertiliser.
• Spreading of seed (usually a mixture of legumes).
• Hand planting of tree seedlings.
• On-going maintenance including weeding and additional fertiliser applications.
A plant nursery has been established at the mine to for the 4 pit and TSF mRL 377 tailings dams with a
support the site rehabilitation program and provide guaranteed mine cover value of USD28.3 million. All
an ongoing supply of native tree species for planting. (100%) PTAR operational areas already have a mine
Another important part of the site rehabilitation closure plan. [MM10]
program is topsoil management. The placement of
thin layers of topsoil over the final surface areas being
rehabilitated can yield a significant improvement in Results Achieved in 2019
the number of plant species present and the rate of
seedling growth. This benefit is because the topsoil Rehabilitation of mining areas in 2019 was carried
contains seed and root stock of native species, bacteria out in accordance with the approved 2012-2017
involved in the breakdown of organic plant material, Reclamation Plan. If there is an area that has been
and fungi that assist with nutrient uptake as they form finalized and is not reused, then recounturing,
associations with tree roots. For this reason, in areas reshaping, and topsoil stocking processes will
being cleared, soil is stripped and stored in temporary be carried out, followed with rehabilitation and
stockpiles for later use in the rehabilitation program. revegetation activities on that area. Rehabilitation of
the mine area in 2019 was carried out on the walls of
The management of mine rehabilitation is carried the TSF dam of 1.08 Ha and the former emplacement
out and integrated between departments by involving area of 2.78 Ha. The target of land reclamation in 2019
land planning and management by the Department of in accordance with the 2017-2021 Reclamation Plan is
Mines and plant planting and care by the Department 3.6 Ha and has been realized at 3.86 Ha.
of the Environment. PTAR is committed to carry out
mine rehabilitation in accordance with the 2017-2021 PTAR does not have operational areas that intersect
Reclamation Plan and to plan mine closure as required with protected areas. During 2019, an additional
by the Government. The PTAR Mine Closure Plan was 3.86 Ha of disturbed area was rehabilitated, increasing
approved in 2014 for the Purnama pit mining area the total area rehabilitated and revegetated to
and the TSF mRL 360 tailing dam with a guaranteed 20.32 Ha. 35.5 Ha in total had been stabilized with
mine cover value of USD23.4 million. In 2019, PTAR cover crops by the end of the year. A total of 2,886
submitted a revision of the mine closure documents seedlings were planted during the year, with 5,828
seedlings representing 45 species available in the site
nursery at the close of the year. [304-3] MM2
Rehabilitated Disturbed Area
3,640
2,939
2,886
20.32
17.67
13.1
4.57
3.86
0
2017 2018 2019 2017 2018 2019 2017 2018 2019
Additional Total Rehabilitated Total Seedlings

Rehabilitated Disturbed Area (Ha) Planted
Disturbed Area (Ha)
Mine Closure
Disturbed areas at the Martabe Gold Mine will be licensed waste processor. The site’s concrete
returned to a safe, stable and productive state when foundations will either be broken up or covered
mining and processing has been completed and all with rock and soil.
mineable reserves having being utilized. This stage of • The surface of the TSF embankment will be
operations is referred to as mine closure. revegetated after being covered with layers of rock
and soil.
• The scheduled mining of the various pits will
Mine Closure Strategy attempt to ensure that completed pits can be
backfilled with waste rock from active areas of
An approved Mine Closure Plan (MCP) documents the mining before to final rehabilitation takes place.
closure strategy for the site, which can be summarised • Areas which may potentially be contaminated like
as follows: workshops and chemical storage areas will be
• Detailed technical studies will be completed surveyed using soil sampling and remediated as
during operations according to the closure study required before rehabilitation.
timetable reviewed and updated annually. • Most haul roads and tracks will revegetated after
• The process plant and associated infrastructure being ripped by bulldozer. The main haul roads
such as offices and workshops will be removed which connect the pits and the process plant area
after completion of processing. Any remaining will be retained to allow for follow-up work and
chemicals will be collected and delivered to a inspections.
• To allow for the ongoing treatment of mine water A detailed estimate of mine closure costs documented
until all sites are fully rehabilitated, some water in the MCP is the basis of the value of the closure
management infrastructure including the WPP bond. PTAR has an approved mine closure plan for the
will remain operational for a number of years after Martabe Gold Mine, and is implementing closure bond
closure. payments in accordance with this regulation. With
• A small workforce shall be maintained at the site every significant expansion of activities at the site, the
for some years after completion of operations to plan is subsequently updated. The original MCP for
support the necessary closure activities. As an the site was submitted in 2014. A revision taking into
added measure, an environmental monitoring account the Ramba Joring, Barani and Tor Ulu Ala pits
program will be maintained at the site by the and TSF expansion to RL 360 was submitted in 2019.
Company until relinquishment.
There are examples around the world where Results Achieved in 2019
mining companies have completed operations with
insufficient funds remaining to properly implement In 2019 a document revision taking into account the
mine closure due to the level of funds required Ramba Joring, Barani and Tor Ulu Ala pits and TSF
to close a mine. The Indonesian government, like expansion to RL 360 was submitted to the Ministry of
many around the world, has implemented a system Mining.
to address this risk. Under government regulation
MEMR 18/2008, every mining company in Indonesia
must pay an annual closure bond during operations
based on estimated mine closure costs. These funds
become available for use by the company when mines
are closed.
Longser Butar-Butar, Minhajul Abidin (Community Development Department),

with Syawaluddin Siregar and Mujur Siregar, the farmers who use solar power
pump irrigation supported by PTAR in Telo Village.
Looking Forward
Sustainable development will remain the main guiding

principle for the management of the Martabe Gold Mine
in all operations and towards mine closure. The mapping
of priority support towards sustainable development
goals has been carried out and will be a concern for
achievements in line with PTAR’s activities.
For 2020, PTAR will continue the sustainability strategy

road map by carrying out a number of key activities:
1. Improved occupational safety and health throughout

the Martabe Gold Mine, continuing innovative
applications in overcoming the risks of major safety
hazards, called the Critical Controls Program.
2. Maintaining a harmonious relationship with the
community and all stakeholders. The involvement
In 2020, PTAR will and role of the Company will also be continued
continue to support through various community developments in the
the Sustainable fields of education, health, community relations, local
economic development and infrastructure assistance,
Development Goals
with support emphasized through the Community
(SDGs) and continue Development and Empowerment Master Plan.
implementing 3. Conduct social mapping and measure the impact of
the sustainability activities, for example through community satisfaction
surveys or Social Return on Investment (SROI).
strategy road map by
4. Launch of the Biodiversity Strategy and Implementation
undertaking a number Plan that will provide a systematic framework for
of mapped activities. managing biodiversity impacts and risks associated
with the Martabe Gold Mine operation.
5. Increase the provision of employment opportunities
for local communities and implement gender diversity
initiatives to increase employment opportunities for
women at all levels of the organization.
6. Optimizing operational and financial performance
of the Martabe Gold Mine and continuing active
exploration programs with the aim of supporting the
Company’s sustainable growth with benefits for all
stakeholders.
7. Maintaining environmental protection and compliance
with the environment.
We hope that we can convey all the

achievements of these activities in the 2020
Sustainability Report.
Report Profile
PTAR publishes a Sustainability Report annually. This Sustainability Report has been prepared in
The previous Sustainability Report was published on accordance with regulations and standards namely
October 15th 2019. The 2019 Sustainability Report GRI Standards 2016: Comprehensive Option and GRI
covers the sustainability performance for the period Specific Disclosure Mining and Metal. [102-54]
of January 1 – December 31, 2019. Entities included
in this report are PTAR, which covers activities in The 2019 Sustainability Report has been prepared in
Martabe Gold Mine site and head office in Jakarta. accordance with reporting principles and considering
This Sustainability Report does not include other the new material topics that have been determined.
entities since PTAR does not have any subsidiaries. Material topics were determined during a discussion
The financial statements submitted in this report among the Company’s internal stakeholders, involving
have been audited by Tanudiredja, Wibisana, Rintis & the highest executive position on January 21st, 2020.
Rekan. [102-45] [102-50] [102-51] [102-52] Material topics were chosen considering the high
priority issues faced by the Company in 2019. PTAR
The material topics discussed in the 2019 Sustainability has also ensured the conformity of the report content
Report are adjusted to the company’s strategy and our with SDGs-mapping and the community development
priority support for sustainable development goals. programs plan in the CMP document. [102-32] [102-
Therefore, there are some changes to the disclosed 46]
information in this report, including additions or
adjustments of information in accordance to newly-
defined material topics. [102-49]
Sustainability Report Information: [102-53]
Jakarta Office: Martabe Gold Mine:

PT Agincourt Resources PT Agincourt Resources
Wisma Pondok Indah 2 Suite 1201 Martabe Gold Mine
Jl. Sultan Iskandar Muda Jl. Merdeka Barat Km 2.5
Kav V-TA, Pondok Indah Kelurahan Aek Pining,
Jakarta, Indonesia 12310 Batangtoru, Tapanuli Selatan,
Sumatra Utara 22738
rdono
Katarina S. Ha
Corporate
Senior Manager
Co m m un ica tions
E-mail: [email protected]
The material topics for PTAR’s 2019 Sustainability Report determined from focus group discussions. [102-47] [103-1]
Material Topic
and Sustainable Boundary to
Material Issues and Why They are Material
Development Goals Stakeholder
(SDGs)
Economic Performance
One focus of the Company’s business activities Internal:
is to achieve economic performance targets. Shareholders, Employees
Through mining activities at Martabe, PTAR’s
economic performance has been able to have a
positive economic impact on the local, regional External:
and national economy. In addition, good Government, Financial
economic performance has also become the Service Authority (OJK),
main source for the Company to maintaining Media, Community
sustainable development activities. Organizations (NGOs)
Environmental Internal:
Compliance Operations at the Martabe Gold Mine are Shareholders, Employees,
subject to a number of environmental laws and Contractors
regulations in Indonesia. PTAR always ensures
ownership of permits for the activity of disposal
External:
of treated water, the operation of temporary
Government, Media,
storage facilities for hazardous waste, and
Community Organizations
other activities that have direct or indirect
(NGOs), Local Community
contact with the environment.
Rehabilitation and Mine

Closure Internal:
PTAR recognizes the importance of conducting Shareholders, Employees,
responsible mining operations and returning Contractors
mining areas to safe, stable and productive
conditions after mining. Mining rehabilitation
and closure activities always ensure the External:
restoration of ecosystems. Government, Community
Organizations (NGOs),
Media, Local Community
Occupational Health
and Safety Mining operations have many potential hazards Internal:
in the work environment, so aspects of work Employees, Contractors
health and safety require special attention from
the Company. PTAR is committed to continuing
to pay attention to workplace conditions, External:
workforce competencies, and employee Government, Media
behavior through the HSE Management System.
In 2019, PTAR succeeded in maintaining the
achievement of zero Lost Time Injury.
Gender Diversity
Gender diversity is one of PTAR’s strengths Internal:
compared to companies in similar industries. Employees, Contractors
PTAR is one of the few mining companies that
has a large workforce of women. PTAR also has
policies that support gender diversity. External:
Government, Media
Material Topic
and Sustainable Boundary to
Material Issues and Why They are Material
Development Goals Stakeholder
(SDGs)
Local Community
Internal:
Every year, PTAR carries out various corporate
Shareholders
social responsibility activities, specifically
related to community development in 15 DAVs.
Community development activities have been External:
planned through the Community Management Government, Media, Local
Plan for the 2016-2020 period. Community Community, Community
development programs are generally carried Organizations (NGOs)
out in the mining industry, especially if mining
operations are located in rural or remote areas
where the community still has limited access to
public services.
Indirect Economic Impact

Mining operations by PTAR are able to bring Internal:
indirect economic impacts to stakeholders, Shareholders, Employees
including shareholders, employees,
government, the community, and others.
Indirect economic impacts include the External:
distribution of dividends, royalty from sales Government, Local
of gold and silver, salary and employee Community
benefits, benefits from local procurement of
goods and services, and various community
empowerment programs.
Internal:
Employment PTAR is very concerned about aspects of Shareholders, Employees,
employment, starting with the recruitment Contractors
process. PTAR workers always receive
benefits and remuneration in accordance with
regulations, training and self-development, External:
as well as a safe and comfortable work Government, Local
environment to support their productivity. Community
In addition, the Company also ensures the
local employment in Company’s activities in
accordance with the Company’s needs and the
competencies of prospective workers.
Note: High Priority Issues Medium Priority Issues
Independent Assurance Statement

Independent Verification and Assurance [102-55] [102-56]
PTAR’s 2019 Sustainability Report has been verified by an independent party through an assurance process from
Social Responsibility (SR) Asia, which operates in India and conducted by its Indonesian representative. PTAR
Management has approved and ensured that there is no conflict of interest in the selection of the independent assuror.
Appendix I: Performance in Numbers
Category: Company Profile

Aspect: Information on Employees
Number of Employees Based on Employment Status and Gender [102-8]

2019 2018 2017
Description Gender
Total % Total % Total %
Male 641 75 634 78 630 79
Permanent
Female 217 25 180 22 163 21
Employees
Total 858 100 814 100 793 100
Male 508 96 266 94 342 93
Outsource
Female 23 4 16 6 24 7
Employees
Total 531 100 282 100 366 100
Total 1,389 1,096 1,159
Number of Employees Based on Age Group [102-8]

2019 2018 2017
Age Group
Under 25 54 6.29 33 4.05 44 5.55
26 – 30 131 15.27 126 15.48 137 17.28
31 – 35 151 17.60 162 19.90 154 19.42
36 – 40 178 20.75 179 21.99 176 22.19
41 – 45 139 16.20 131 16.09 119 15.01
46 – 50 110 12.82 109 13.39 103 12.99
Above 50 95 11.07 74 9.09 60 7.57
Total 858 100.00 814 100.00 793 100.00
Number of Employees Based on Educational Level [102-8]

2019 2018 2017
Educational Level
Postgraduate 20 2 17 2 17 2
Graduate 296 34 284 35 274 35
Diploma/Associate Degree 45 5 43 5 42 5
High School 436 51 409 50 399 50
Junior High School 34 4 33 4 33 4
Primary School 14 2 14 2 14 2
Total 858 100 814 100 792 100
Number of Employees Based on Position [102-8]

2019 2018 2017
Position
Division Head 14 1.63 12 1.47 9 1.13
Unit Head 23 2.68 23 2.83 26 3.28
Specialist 56 6.53 51 6.27 41 5.17
Staff 765 89.16 728 89.43 717 90.42
Total 858 100.00 814 100.00 793 100.00
Category: Sustainability Governance

Aspect: Diversity of Governance Bodies and Employees
Numbers of Management and Committee Based on Age Group and Gender [405-1]
Directors Commissioners
Age Group
Male % Female % Male % Female %
Under 30 0 0 0 0 0 0 0 0
31-40 2 40 0 0 0 0 0 0
41-50 2 40 0 0 1 16 0 0
Above 50 1 20 1 100 5 84 1 100
Total 5 100 1 100 6 100 1 100
Category: Economy
Aspect: Economic Performance
Direct Economic Value Generated and Distributed [201-1]
Description Unit 2019 2018 2017

Total Economic Value Generated -
USD ‘000 571,670 574,197 484,438
Revenues (A)
Total Economic Value Distributed (B) USD ‘000 378,915 437,727 363,166
Total Operating Cost USD ‘000 240,861 269,366 274,860
Wages and Benefits to Employees
USD ‘000 28,172 29,018 28,295
and Directors
Community Investment USD ‘000 1,099 1,308 1,771
Total Payments to Government USD ‘000 141,861 126,399 77,845
• Royalties Expense 21,356 21,301 2,698
USD ‘000
• Tax Expenses 118,551 103,419 73,745
• Other Taxes 1,953 1,680 1,401
Total Economic Value Retained (A-B) USD ‘000 192,756 136,470 121,272
Notes:
• Economic Value Retained = Economic Value Generated - Economic Value Distributed.
• Amounts include revenue and costs determined on an accrual basis, consistent with the audited financial statement.
• Operating costs related to expense recognised in the financial statements. They exclude employee wages and benefits,
payments to government, and community investment.
• Dividends totalling of USD82.4 million were paid in 2019. Whereas 5% of the total dividends were paid to PTANA,
which is owned by South Tapanuli District Government and North Sumatra Provincial Government.
Infrastructure Investments and Services Supported [203-1]

Total Community Investment USD 1,094,700 1,306,668 1,770,589
Community Relations Investment USD 58,041 57,506 47,001
Community Development Investment USD 561,347 657,262 749,196
Health USD 129,514 260,545 281,195
Education USD 248,300 237,450 244,681
Local Business and Economic
USD 166,736 132,731 199,259
Development
Social and Cultural Identity USD 4,569 5,267 8,316
Community Support USD 12,228 21,269 15,745
Public Infrastructure USD 130,234 109,649 158,163
Special/Signature Projects USD 345,078 482,252 816,229
Total Projects Number 24 34 48
Total Duration of Projects Days 980 1,824 2,515
Notes:
- 2017: Converted from IDR, with USD 1 = IDR 13,569.
- Investments have been provided in the form of cash and in-kind. Pro bono contributions have not been included in this table.
Category: Social
Aspect: Social Performance
Wage for Entry-Level Employees Based on Gender in Comparison with Regional Minimum Wage [202-1]

PTAR Male Minimum Wage vs Local
Ratio 1.0 1.0 1.0
Minimum Wage
PTAR Female Minimum Wage vs Local
Ratio 1.0 1.0 1.0
Minimum Wage
Notes:
- Data above is only applicable for PTAR’s National employees
- Wage ratio only presents basic payment, excluding other benefits
Communication and Training Anti-corruption Policies and Procedures [205-2]

Sign-off PTAR Code of Ethic and Business Conduct
All Employees Number 843 796 780
Senior Management Number 31 26 25
Staff Number 431 722 710
Workforce % 99.7 99 99
Sign-off PTAR Suppliers Code of Conduct
Service Providers % 100 100 100
Notes:
- Anti-corruption policies and procedures are described in the company’s Code of Ethics and Business Conduct.
- Clauses related to anti-corruption are included within the General Terms and Conditions for Suppliers.
- Anti-Corruption is covered during the HR Induction presentation. Employees are required to sign the Code of Conduct as part of
the HR Induction.
Numbers of New Employees and Turnover Rate [401-1]

New Employees [401-1]
2019 2018 2017
Male Female Male Female Male Female
59 54 31 25 52 35
113 56 87
Employees Turnover Rate [401-1]
2019 2018 2017
7.81% 5.90% 6.05%
Return to Work and Retention Rates After Parental Leave [401-3]

Entitled to Parental Leave Number 564 550 538
Parental Leave Taken Number 62 49 50
Return to Work After Parental Leave Number 61 49 50
Still Employed Twelve Months After
Number 61 49 50
Return to Work
Retention Rates After Parental Leave % 100 100 100
Management and Achievement of the Implementation of Occupational Safety and Health (OHS) of PTAR in 2019
[403-3]
Risk Prevention Attempt Achievement

Injury and Fatality Identify and control the hazards and risks of each job. 2019: 3 serious accidents
Establish the safe work methods and programs as 2018: 1 site accidents
follows: 2017: 1 serious accident
• Golden Rules (Basic Rule).
• Take 5 * Restatement of 2018 Report which
• JSEA – Job Safety Enviro Analysis has been presented 0 (zero) and
• Permit to Work because there is difference in
• ASA Program – Monitoring OHS Culture calculation, in this report, it is
• License System (SIMPER) restated to 1 (one). [102-48]
• Controlling access to working location (ID Badge).
Occupational Illness Manage industrial hygiene monitoring programs that 2019: 0 Occupational Illness
include monitoring workplace and personal noise, 2018: 0 Occupational Illness
dust, vibration, radiation, ergonomics, light intensity, 2017: 0 Occupational Illness
exposure to metals, chemicals and other parameters of
interest.
Health Programs for Employees

Participants
Description
2019 2018 2017
Socialization
14 Training topics 23 Training topics 16 Training topics
Health Advisory
4,104 participants 3,461 participants 3,487 participants
10 activities conducted by 10 activities conducted by 11 activities conducted by
Health Talk
doctors doctors doctors
Prevention
MCU Reguler 1,436 1,303 1,251
Participants
Description
2019 2018 2017
Heavy metal examination through urine is done every month and through blood every three
Heavy Metal Examination
months with as many as around 28 samples.
Treatment
In-clinic treatment 4,348 4,781 5,155
Representatives for OHS Committee in 2019 [403-1]

Total of PTAR
Description Total Percentage
Employees
Safety Committee Department (Komite 12 686 80%
Keselamatan Departemen – P2K3)
Chief Mine Officer (KTT) Safety Steering 1 18 60%
Committee
HSE Forum 1 161 100%
Level and Number of Work Accident Events [403-2]
No Description 2019 2018 2017

PTAR’s Operational Activities
Work Accidents 1 1 0
Small 0 0 0
1
Serious 1 0 0
Fatal 0 0 0
2 Injury Rate (IR) 0.43 0 0
3 Lost Day Rate (LDR) 0 0 0
4 Absentee Rate (AR) 107.17 79.37 143
Partner Company’s Operational Activities
Work Accidents 2 0 1
Small 0 0 0
1
Serious 2 0 1
Fatal 0 0 0
2 Injury Rate (IR) 0.38 0 0.21
3 Lost Day Rate (LDR) 0 0 0.85
4 Absentee Rate (AR) 41.52 42.46 71.62
Notes:
- Based on accident definition by Minister of Energy and Mineral Resources’ Decree 1827 K/30/MEM/2018
Health and Safety Topics Covered in Formal Agreements with Trade Unions [403-4]

Coverage of Health and Safety Topics in
% 100 100 100
Formal Agreements with Trade Union
Notes:
- Data applies for PAR employees.
- A Collective Labour Agreement is in place between PTAR and the Trade Union within the Organisation, which includes relevant
health and safety articles.
Ratio of Basic Salary and Remuneration of Women to Men [405-2]

All Employees % 100 96 91
All Staff (General Staff, Managers &
% 100 88 86
Above)
Non-Staff % 100 95 95
Notes:
- Data applies for PTAR National employees. Gender pay gap reviews have been conducted and recommendations implemented.
Differences in remuneration generally exist as a result of differences in skills, experience and length of service.
Category: Environment
Aspect: Environmental Performance
Materials Used [301-1]
Raw Materials Unit 2019 2018 2017

Ore tonne 5,890,000 5,572,308 5,353,388
Associated Process Materials
Process Reagents tonne 21,177 19,310 19,754
Grinding Media tonne 9,578 9,312 8,393
Oils and Lubricants tonne 45 43 38
Other Chemicals tonne 34 59 47
Notes:
- All materials listed above are considered non-renewable (most residual material being lost the TSF).
Recycled Materials Used [301-2]

Percentage of Input Materials that are
% 0.01 0.01 0.01
Recycled
Notes:
- Worn mill liners are returned to the supplier for recycling.
Energy, Water, and Paper Use [302-1]
45,277,888
18,005,134
515,288
478,014 15,389,988
127,015.9 125,073
2,824 80,241 120,392
2,754 2,742
2017 2018 2019 2017* 2018 2019 2017 2018 2019 2017* 2018* 2019*
Paper Consumption Electricity Water Consumption Fuel Consumption

(Ream) Consumption (m3) (Litre)
(GigaJoule)
*) Note :
Electricity Consumption (GigaJoule) Diesel Fuel Consumption (Litre)
2017 : Electricity usage is still generated with a 32MW generator. The data above is generated from PTAR’s diesel and biodiesel total consumption
PTAR converted into electricity source provided by PLN throughout the year.
starting from October 2017.

Water Withdrawal by Source [303-1]

Total Volume of Water Withdrawn
m³/y 16,125,073 16,120,392 16,126,737
Martabe Gold Mine
Surface water m³/y 0 0 0
Wetland m³/y 0 0 0
River m³/y 0 0 0
Lake m³/y 0 0 0
Ocean m³/y 0 0 0
Groundwater m³/y 125,073 120,392 126,737
Rainwater m³/y 16,000,000 16,000,000 16,000,000
Waste Water m³/y 0 0 0
Municipal Water Supply m³/y 0 0 0
Public/Private Water Utilities m³/y 0 0 0
Notes:
- Rainwater input is as predicted for an average year based on site water balance modelling. It cannot be directly measured.
- Groundwater withdrawal is metered.
Water Sources Significantly Affected by Withdrawal of Water [303-2]

Reduction of Flow Aek Pahu Stream Due
m³/h 1,826 1,826 1,826
to Catchment Interception by the TSF
Notes:
- This is the average reduction of flow to the Aek Pahu stream as determined by site water balance modelling, and represents water
intercepted by the TSF and sediment ponds. This water is released to the Batangtoru River after treatment at the Water Polishing Plant.
- The water source has no Protected Area Status.
Water Recycled and Reused [303-3]

Volume Water Recycled m3/h Up to 451 Up to 451 Up to 451
Percentage of Water Recycled % Up to 60 Up to 60 Up to 60
Volume Water Reused m /h
3
0 0 0
Percentage Water Reused % 0 0 0
Notes:
- These are the percentages and total volume of water recycled by transfer from the TSF to the process plant for an average year as
determined by site water balance modelling.
Sites Owned Adjacent to Protect Areas or Areas of High Biodiversity Value [304-1]

Number of Sites Owned, Leased,
Managed in, or Adjacent to Protected
number 1 1 1
Areas and Areas of High Biodiversity
Value Outside Protected Areas
Separation at Closest Point km 4 4 4
Size of Operational Site km2 4.96 4.79 4.60
Notes:
- Site has nil subsurface and underground land.
- Mine footprint approximately 4 km at closest point to protected forest.
- The majority of the landscape within the mining footprint before construction was forest, degraded forest, plantation, cleared land
and tracks. Due to the close proximity of villages, townships and extensive plantation areas the area had experienced significant
previous disturbance including the presence of numerous walking tracks used by workers to access rubber plantations.
Land Disturbed and Rehabilitated MM1

Total Disturbed Land at the Beginning of
Ha 464.7 449.7 377.0
the Year
Area Disturbed Ha 16.61 19.6 73.3
Area Rehabilitated Ha 3.88 4.6 0.6
Total Disturbed Land at the End of the
Ha 477.43 464.7 449.7
Year
Direct Green House Gases (GHG) Emissions [305-1]

Total Direct GHG Emissions tonne CO2 eq 72,015 66,008 143,064
Fuel Consumption tonne CO2 eq 42,790 40,297 34,899
Electricity Consumption (Own Power tonne CO2 eq 6,811 1,935 87,747
Plant)
Refrigeration Use tonne CO2 eq 4,888 5,609 4,920
Chemical Use tonne CO2 eq 4,611 4,048 4,068
Blasting tonne CO2 eq 1,419 470 367
Land Clearing/Revegetation tonne CO2 eq 11,497 13,649 11,064
Notes:
- Based on data from the Martabe project.
- The IFC Carbon Emissions Estimation Tool 2014 was used to calculate the GHG emissions.
- For fuel and electricity consumption the following gasses were included: CO2, CH4, N2O.
Energy Indirect Green House Gases (GHG) Emissions [305-2]

Total Energy Indirect GHG Emissions tonne CO2 eq 116,176 125,228 2,988
Electricity Purchased From PLN tonne CO2 eq 113,794 122,667 164
Domestic and International Flights tonne CO2 eq 2,382 2,561 2,824
Notes:
- The IFC Carbon Emissions Estimation Tool 2014 was used to calculate the GHG emissions, meeting the “location based” component
of GRI Standards GHG reporting.
Other Indirect Green House Gases (GHG) Emissions [305-3]

Other Relevant Indirect GHG Emissions
number 0 0 0
Identified
GHG Emissions Intensity [305-4]

tonne CO2 eq per
Overall GHG Emissions intensity 491 466 411
1000 oz Au
Total GHG Emissions tonne CO2 eq 188,190 191,236 146,052
Total Direct GHG Emissions tonne CO2 eq 72,015 66,008 143,064
oz Au tonne CO2
Total Energy Indirect GHG Emissions 116,176 125,228 2,988
eq
Total Gold Produced oz 383,493 410,000 355,000
Notes:
- Calculated based only on gold production (excluding silver).
Water Discharge by Quality and Destination [306-1]

Total Planned Water Discharges m³/ annum 12,697,027 17,405,748 14,666,974
Water Polishing Plant (WPP) to the
m³/ annum 12,641,770 17,339,551 14,666,974
Batangtoru River
Site Sewage Treatment Plant to Aek
m³/ annum 55,257 66,197 N/A
Pahu Stream
Notes:
- Discharge from the Water Polishing Plant is fully permitted under Indonesian law.
- Discharge from the site Sewerage Treatment Plant is fully permitted under Indonesian law.
- All water is discharged into natural waterways rather than being directly provided to other parties for use.
- Volumes shown are metered volumes.
- Release of general site runoff water is not included in the above table.
Total Amounts of Overburden, Rock, Tailings, and Sludges MM3

Overburden tonne 6,476,519 6,059,445 5,332,293
Tailings tonne 6,156,368 5,572,205 5,254,981
Sludges tonne 0 0 0
Notes:
- Amounts of tailings are calculated as the weight of dry tonnes milled less the weight of precious metals extracted.
Waste by Type and Disposal Method [306-2]

Total Hazardous Waste tonne 463 529 523
Recovery tonne 230 257 279
Landfill (off-site) tonne 233 272 244
Total Non-Hazardous Waste tonne 2,700 1,613 1,532
Composting tonne 0 0 11
Incineration tonne 0 0 42
Landfill tonne 2,700 1,613 1,479
Notes:
- On-site tailings disposal data is excluded, which is documented in MM3.
- A monthly tally of waste delivered from site is maintained by the Environmental staff. Off-site disposal is regulated by contract. All
hazardous waste is disposed by licensed waste disposal companies subject to regulation by government.
Significant Spills [306-3]

Total Number of Spills Number 3 6 11
Total Volume of Spills Litre 235 1,428 329
Oil:
• Soil Litre 50 118 78
• Water 0 0 0
Fuel:
• Soil 0 305 230
Litre
• Water 0 0 0
Waste:
• Soil 0 0 0
Litre
• Water 0 0 0
Chemical:
• Soil 0 5 20
Litre
• Water 0 0 1
Other:
• Soil 0 0 0
Litre
• Water 0 1,000 0
Notes:
- All spills must be recorded in the Company’s incident management system.
- No significant impacts resulted from spills that occurred and all spills were fully cleaned-up.
- 180 L fuel spill does not touch the ground but enters the oil trap.
- 5 L chemical spill does not touch the ground.
Transport of Hazardous Waste [306-4]
Weight of Transported, Imported, Exported, or Treated Waste Deemed Hazardous

Transported and Hander Over to Third
tonne 462 529 522
Party
Imported tonne 0 0 0
Exported tonne 0 0 0
ton
Treated 0 0 0
tonne
Shipped Internationally % 0 0 0
Notes:
- All waste identified under regulation as hazardous or toxic (B3) waste is transported off-site to a licensed waste processor.
Water Sources Significantly Affected by Withdrawal of Water [306-5]

Identified Water Bodies and Related Habitats that are Significantly Affected by Water Discharges and/or Runoff
Water Body and Related Habitats Number 0 0 0
Size N/A N/A N/A N/A
Protected Status N/A N/A N/A N/A
Biodiversity Value N/A N/A N/A N/A
Notes:
- Impacts on receiving waters are assessed by means of an independent monitoring program conducted by the University of North
Sumatra.
Appendix II: GRI Standard Content Index [102-55]
General Standard Disclosures
Disclosure Remarks Page

Organizational Profile
102-1 Name of the organization 7
102-2 Activities, brands, products, and services 7
102-3 Location of headquarters 7
102-4 Location of operations 7
102-5 Ownership and legal form 7
102-6 Markets served 10
102-7 Scale of the organization 8
102-8 Information on employees and other workers 29, 74-75
102-9 Supply chain 10, 24
102-10 Significant changes to the organization and its supply chain 6, 7
102-11 Precautionary Principle or approach 18
102-12 External initiatives 16
102-13 Membership of associations 10
Strategy
102-14 Statement from senior decision-maker 4
102-15 Key impacts, risks, and opportunities 18
Ethics and Integrity
102-16 Values, principles, standards, and norms of behavior 17
102-17 Mechanism for advice and concerns about ethics 49
Governance
102-18 Governance structure 13
102-19 Delegating authority 11
102-20 Executive-level responsibility for economic, environmental, and social topics 11, 12
102-21 Consulting stakeholders on economic, environmental, and social topics 19
102-22 Composition of the highest governance body and its committees 13
102-23 Chair of the highest governance body 12
102-24 Nominating and selecting the highest governance body 12
102-25 Conflicts of interest 12
102-26 Role of highest governance body in setting purpose, values, and strategy 18
102-27 Collective knowledge of highest governance body 12
102-28 Evaluating the highest governance body’s performance 12
102-29 Identifying and managing economic, environmental, and social impacts 12
102-30 Effectiveness of risk management processes 18
102-31 Review of economic, environmental, and social topics 18
102-32 Highest governance body’s role in sustainability reporting 67
102-33 Communicating critical concerns 49
102-34 Nature and total number of critical concerns 50
General Standard Disclosures

102-35 Remuneration policies 23
102-36 Process for determining remuneration 23
102-37 Stakeholders’ involvement in remuneration 23
102-38 Annual total compensation ratio 23
102-39 Percentage increase in annual total compensation ratio 23
Stakeholder Engagement
102-40 List of stakeholder groups 20
102-41 Collective bargaining agreements 22
102-42 Identifying and selecting stakeholders 19
102-43 Approach to stakeholder engagement 20
102-44 Key topics and concerns raised 20
Reporting Practice
102-45 Entities included in the consolidated financial statements 67
102-46 Defining report content and topic Boundaries 67
102-47 List of material topics 68
102-48 Restatements of information 33
102-49 Changes in reporting 67
102-50 Reporting period 67
102-51 Date of most recent report 67
102-52 Reporting cycle 67
102-53 Contact point for questions regarding the report 67
102-54 Claims of reporting in accordance with the GRI Standards 67
102-55 GRI content index 70, 85
102-56 External assurance 70
Omission
The information of the regular meeting to evaluate the governance body is disclosed
102-28
in the PTAR’s 2019 Annual Report page 94.
The highest management is involved during the assessment and in evaluating the
102-30 assessment’s results of risk management. Further information regarding risk
management is presented in the PTAR’s 2019 Annual Report page 95.
The process determining remuneration is presented in the Company’s 2019 Annual
102-36
Report page 78.
Topic-Specific Disclosures: Economic

Management Approach
103-1 Explanation of the material topic and its boundary 22
103-2 The management approach and its components 22
103-3 Evaluation of the management approach 22
Economic Performance
201-1 Direct economic value generated and distributed 22, 23, 75
201-2 Financial implications and other risks and opportunities due to climate change 23
Topic-Specific Disclosures: Economic

201-3 Defined benefit plan obligations and other retirement plans 22, 23
201-4 Financial assistance received from government 22
Market Presence
202-1 Ratios of standard entry level wage by gender compared to local minimum wage 76
202-2 Proportion of senior management hired from the local community 3
Indirect Economic Impacts
203-1 Infrastructure investments and services supported 76
Procurement Practices
204-1 Proportion of spending on local supplies 24
Anti-corruption
205-2 Communication and training about anti-corruption policies and procedures 76
Omission
Due to PTAR’s policy as a non-listed company, PTAR does not disclose about estimated
201-3 value of liabilities, separate fund to pay pension liabilities, percentage of salary contributed
by employee or employer, as well as level of participation in retirement plans.
Due to PTAR’s policy as a non-listed company, PTAR does not disclose aspects
201-4 regarding tax relief and tax credits, subsidies, grants, awards, royalty holidays, as
well as financial assistance, incentives, or other benefits received by the company.
PTAR is not yet able to provide information regarding the entry-level of other
202-1
employees or contractor’s wage ratio.
Topic-Specific Disclosures: Environmental

Management Approach
Materials
301-1 Materials used by weight or volume 9, 79
301-2 Recycled input materials used 79
Energy
302-1 Energy consumption within the organization 80
Water and Effluents
303-1 Interactions with water as a shared resource 80
303-2 Management of water discharge related impacts 80
303-3 Water withdrawal 81
Biodiversity
Operational sites owned, leased, managed in, or adjacent to, protected areas and
304-1 81
areas of high biodiversity value outside protected areas
304-3 Habitats protected or restored 63
Topic-Specific Disclosures: Environmental

Emission
305-1 Direct (Scope 1) GHG emissions 81
305-2 Energy indirect (Scope 2) GHG emissions 82
305-3 Other indirect (Scope 3) GHG emissions 82
305-4 GHG emissions intensity 82
Effluents and Waste
306-1 Waste discharge by quality and destination 82
306-2 Waste by type and disposal method 83
306-3 Signidicant spills 83
306-4 Transport of hazardous waste 84
306-5 Water bodies affected by water discharges and/or runoff 84
Environmental Compliance
307-1 Non-compliance with environmental laws and regulations 53
Topic-Specific Disclosures: Social

Management Approach
Employment
401-1 New employee hires and employee turnover 77
Benefits provided to full-time employees that are not provided to temporary or part-
401-2 29
time employees
401-3 Parental leave 77
Management Approach
Occupational Health and Safety
403-1 Occupational health and safety management system 78
403-2 Hazard identification, risk assessment, and incident investigation 78
403-3 Occupational health services 77
Worker participation, consultation, and communication on occupational health and
403-4 30
safety
Training and Education
404-1 Average hour of training per year per employee 38
404-2 Programs for upgrading employee skills and transition assistance programs 23
Percentage of employees receiving regular performance and career development
404-3 33, 38
reviews
Topic-Specific Disclosures: Social

Management Approach
Diversity and Equal Opportunity
405-1 Diversity of governance bodies and employees 75
405-2 Ratio of basic salary and remuneration of women to men 27, 79
Local Communities
Operations with local community engagement, impact assessments, and development
413-1 40
programs
413-2 Operations with significant actual and potential negative impacts on local communities 48
Omission
Until the end of 2019, PTAR does not have any education and training program
404-2
regarding pension preparation.
GRI Sector Specific Indicator Under G4 Aspect

Biodiversity
Amount of land (owned or leased, andmanaged for production activities or extractive
MM1 81
use) disturbed or rehabilitated
The number and percentage of total sites identified as requiring biodiversity
MM2 management plans according to stated criteria, and the number (percentage) of those 63
sites with plans in place
Effluents and Waste
MM3 Total amounts of overburden, rock, tailings, and sludges and their associated risks 82
Labor/Management Relations
MM4 Number of strikes and lock-outs exceeding one week’s duration, by country 50
Indigenous Rights
Total number of operations taking place in or adjacent to indigenous people’s
MM5 territories, and number and percentage of operations or sites where there are formal 50
agreements with indigenous people’s communities
Local Communities
Number and description of significant disputes relating to land use, customary rights
MM6 50
of local communities and indigenous peoples
The extent to which grievance mechanism were used to resolve disputes relating to
MM7 land use, customary rights of local communities and indigenous peoples, and the 50
outcomes
Artisanal and Small-scale Mining
Number (and percentage) of company operating sites where artisanal and small-
MM8 scale mining (ASM) takes place on, or adjacent to, the site; the associated risk and the 50
actions taken to manage and mitigate these risks
Resettlement
Sites where resettlements took place, the number of households resettled in each,
MM9 50
and how their livelihoods were affected in the process
Closure Planning
MM10 Number and percentage of operations with closure plans 63
Appendix III: Glossary
General Terms
A standardized way to measure the cost of gold production introduced by the World Gold
All-in Sustaining Cost (AISC) Council in 2013. It includes direct mining and processing costs (cash costs) plus mining
lifecycle costs related to sustaining production from exploration to closure.
Biodiversity The variety of plants and animals within an eco-system, and the way they live and interact.
Biodiversity offsets are measurable conservation outcomes resulting from actions
designed to compensate for significant residual adverse biodiversity impacts arising
Biodiversity Offsets from project development and persisting after appropriate avoidance, minimization and
restoration measures have been taken.
Providers of services to an organization or company based upon agreements written in a
Contractors contract.
Sustainability governance can be defined as the system of rules, practices and
Sustainability Governance processes by which a company is directed and controlled in implementing business which in
line with the Sustainable Development Goals.
Downstream Waters Rivers, streams and lakes that receive flow from a defined area.
One of the key regulatory approvals required in Indonesia for a mine to proceed. The
Environmental Impact AMDAL consists of several documents including the Terms of Reference, Environmental
Assessment (AMDAL) Impact Statements (AMDAL) and Environmental Management and Monitoring Plans (RKL
& RPL).
Haul Roads Roads designed for use by large dump trucks at mine sites.
A work related injury that causes the employee to miss the next regularly scheduled
Lost Time Injuries (LTI) work shift.
Lost Time Injury Frequency A ratio of the number of LTIs per million hours worked: LTIFR = LTIs X 1,000,000 / total
Rate (LTIFR) hours worked.
The quantity of gold or silver in defined deposits for which there are reasonable
Mineral Resource prospects for eventual economic extraction. A mineral resource is determined from
exploration and sampling.
A plan that documents all the rehabilitation, revegetation and other activities that are
Mine Closure Plan needed to make a former mine site safe, stable and productive to an agreed standard
following mine closure. Includes tabulation of costs associated with mine closure.
The economically mineable part of the mineral resource. It is the ore reserve that
Ore Reserve determines mine life, together with production rate.
Reaction of a material typically due to exposure to oxygen and water (rust is a result of
Oxidation oxidation).
Plant Nursery A facility where trees and plants are propagated and grown to a size good for planting.
Processing Plant The facility where ore is processed to extract metals such as gold and silver.
Raw Water Clean water (e.g. rainwater runoff or water from streams or rivers).
The process of reclaiming land disturbed by mining activities to a safe, stable and
Rehabilitation productive state.
Basic wage or salary plus any additional amounts paid to employees such as bonuses,
Remuneration overtime and special allowances.
Dams used to hold water for a period to allow sediments (fine soil and rock particles)
Tailings Dams to settle out.
A refers to a local community’s acceptance or approval of a company’s project or

Social license to operate ongoing presence in an area.
Sub-aerial Tailings The systematic deposition of tailings in thin layers, allowing each layer to settle, drain
Deposition and partially air-dry before covering with an additional layer.
Organizations or people that provide a product or service used by another organization
Suppliers or company.
Method of extracting minerals located near the surface of the ground, by mining from
Surface Mining an open pit (as opposed to underground mining using shafts and tunnels).
Development which meets the needs of current generations without compromising the
Sustainability ability of future generations to meet their own needs.
The fine rock slurry that remains after the minerals of value has been recovered in a
Tailings processing plant.
A structure for the permanent storage of tailings (typically comprising an embankment
Tailing Storage Facility (TSF) or wall enclosing the tailings).
TSF design freeboard
The spare capacity required in a TSF to safely accommodate an extreme rainfall event.
allowance
Rock mined from a pit that contains insufficient mineralization for treatment and has
Waste Rock no economic value.
A calculation of total water held within a system or structure taking into account water
Water Balance inflows and water outflows over time.
The facility at the Martabe Gold Mine that removes any contamination from site
Water Polishing Plant processing water so that it is safe to release.
GRI Terms
Information about a company and its relationship with its stakeholders reported in its
Disclosures sustainability report.
Disclosures that set the overall context for a sustainability report, providing a description
General Disclosures of the organization and its reporting process. They apply to all organizations irrespective of
their identified material aspects.
An international not-for-profit organization promoting the use of sustainability reporting
Global Reporting Initiative
as a way for companies and organizations to become more sustainable and contribute to a
(GRI) sustainable global economy.
Description of where the impacts occur for a material topic, and the organization’s
Boundary involvement with those impacts.
Indicators GRI reporting requirements dealing with specific issues of the material aspects.
Those aspects of an organization that reflect its significant economic, environmental
Material Topic and social impacts; or that substantively influence the assessments and decisions of
stakeholders.
Stakeholders are defined as groups or individuals that can reasonably be expected
to be significantly affected by an organization’s activities, products, and services; and
Stakeholders whose actions can reasonably be expected to affect the ability of an organization to
successfully implement its strategies and achieve its objectives.
Feedback Form
The 2019 Sustainability Report of PT Agincourt Resources provides an overview of financial and sustainability
performance. We are looking forward to receive any inputs, criticisms and suggestions from you after reading
this Sustainability Report by sending an email or sending this form by mail.
Your Profile
Name (optional) : ……………………

Institution/Company : ……………………
Email : ……………………
Phone/Mobile : ……………………
Stakeholder Group to which you belong:

o Shareholder
o Employee
o Government
o Media
o Supplier
o Local Community
o Contractor
o Educational Institution
o Other, please state :
..........................................................................
Please select your answer according to questions below
YES NO
1. The report is comprehensible. ☐ ☐
2. This report is useful to you. ☐ ☐
3. This report describes the Company’s performance in sustainability development. ☐ ☐
Please give an assessment level to material aspects which you deemed as important for the sustainability
of PT Agincourt Resources
(Score 1=Least Important To 6=Most Important).
Economic Mining Rehabilitation Indirect Economic
Gender Diversity
Performance and Closure Impact
Environmental Occupational
Local Communities Employment
Compliance Health and Safety
Other suggestions or information that you want to submit related to the report
.....................................................................................................................................................................................
.....................................................................................................................................................................................

Thank you for your participation.
Kindly send this feedback form to the address below:
PT Agincourt Resources [102-53]
Wisma Pondok Indah 2 Suite 1201
Jl. Sultan Iskandar Muda
Kav V-TA, Pondok Indah
Jakarta, Indonesia 12310
email: [email protected]
PT Agincourt Resources
Pondok Indah Office Tower, 12th floor, Suite 1201
Jl. Sultan Iskandar Muda Kav. V-TA
Pondok Indah
Jakarta 12310, Indonesia
www.agincourtresources.com
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Unity

Diversity represents the power of PT Agincourt

We empower diversity, especially by providing training

We believe this diversity is the foundation for us to grow

Economic performance, alongside environmental and

Economic Value Generated and

26 Gender Diversity and Equality

Sustainability Performance Overview

Gold 12.8 12.6 Silver 90.1 75.3

58.24 138.03 141.86 191,236

2017 2018 2019 2017 2018 2019

Net Profit (USD Million) Wages and Benefits to Biodiversity Conservation

Lost Time SMKP Minerba Total Training Percentage of Percentage of Local

1 Lost Time Injury Frequency Rate (per one million man-hours).

We have maintained a very

Message from the Director [102-14]

Dear respected stakeholders,

as required. We are committed The company maintains a

Laydown area, at which Sopo Nauli (management

PT Agincourt Resources (PTAR) is an Indonesian mining company engaged

PTAR’s majority shareholder (95%) is PT Danusa Tambang Nusantara,

PT Agincourt Resources (PTAR) [102-1]

Legal Basis of Incorporation 14 April 1997

Shareholders [102-5] Corporate Office [102-3]

Operational Area [102-4]

Scale of Organization [102-7]

Description Unit 2019 2018

Business Process [102-2]

Key Material Inputs and Outputs

Reagent & Consumables

Supply Chain [102-9]

PTAR has four supplier categories, these are:

Suppliers mentioned in this report specifically means suppliers from 15 DAVs.

Market Served [102-2] [102-6] National Association Membership [102-13]

PTAR is a mining company which operates exploration,

Roy Ginting, Fidelis Sidauruk, Slamet Riyanto, Tarida Nasution,

The Board of Commissioners, as the highest governance

paying attention to certain

Continual Continual Contribution to the Transparent, effective,

Steering Committee [102-22]

Sustainability Governance Structure [102-18] [102-22]

Director of Director of Director of Chief Director of

Sustainability Roadmap and Milestones

Batangtoru health clinic

Our Priority Support to Sustainable Development Goals (SDGs)

SDGs Priority Key Action Achievement

• Training and education through • 1,160 hours of employee training

• Gender Diversity in workforce • 27.6% workforce filled by female

• Payment of taxes and royalties

• Diversity and equal opportunity in • Zero human rights violations

• Ethical business practices • Compliance with mine closure plan

The Company’s sustainability policy documents its

transparent, effective, inclusive and open

Vision, Mission, and Sustainability Value [102-16]

vision To develop a long-term

Key Impacts and Risks Key Opportunities

Stakeholder Definition and Engagement

Stakeholder Engagement [102-40] [102-43] [102-44]

Suppliers • As necessary • Payment on time • Providing required