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Martabe mine and Tapanuli orangutan

16 May 2023

This is an updated statement to one made on 18 January 2023 to reflect recent developments, including changes to the KBA, as defined below.

At Jardine Matheson, we strive to operate all our businesses responsibly. We are steadfastly committed to balancing business growth with social well-being and environmental sustainability in the communities where we operate. We take action to minimise the impact that our businesses have on biodiversity and to ensure we are doing all we can to promote sustainable practices.

The recognition in 2017 of the Tapanuli orangutan as a distinct species of great ape found in the Batang Toru Ecosystem (BTE) in Sumatra, Indonesia, is of critical significance. We see it as our responsibility to support the long-term preservation of this species.

The Martabe gold mine location

The Martabe gold mine – operated by our subsidiary, PT Agincourt Resources (PTAR)a  – is located on the southwest edge of the BTE. The BTE is estimated to cover approximately 150,000 hectares and overlaps with the Batang Toru Key Biodiversity Area (KBA)b , which covers 170,000 hectares and is an area of significant importance for biodiversity.

Both the BTE and the KBA comprise predominantly Protected Forestand conservation land, which cannot be developed. Both BTE and KBA also contain limited areas of land which can be used for various development purposes, including mining activity. 

Since the beginning of operations at Martabe, the mine’s operating footprint has been located outside the original KBA boundary. However, due to a recent extension of the KBA boundary, the new KBA boundary now overlaps with a small part of the mine’s current operations. Since becoming aware of the revision in January 2023, Jardines, Astra, UT and PTAR have been working together to understand the basis for these changes and any potential impact on Martabe’s future development plans. 

Protecting biodiversity has always been an imperative of PTAR. The company has conducted comprehensive surveys around the mine throughout its period of operation and has taken measures to minimise the impact of the mine on local biodiversity. More recently, biodiversity efforts have specifically focused on the Tapanuli orangutan and actions to support the long-term preservation of this species. These initiatives are detailed below.

1. Established a Biodiversity Advisory Panel (BAP) comprising independent experts
2. Conducted an "Orangutan Impact Assessment Study"
3. Third party engagement
4. Pursued broader orangutan conservation initiatives

Continuing to operate the mine safely and responsibly

To continue to operate the mine safely and responsibly, PTAR will need to develop some additional land in 2023. This primarily comprises work on the existing Tailings Storage Facility and around the mine pits, and the construction of a new Tailings Management Facility and an access road. Importantly, the work will also ensure land safety and protect water quality for the thousands of people who live and work in the mining community and neighbouring Batang Toru district.

Pre-development surveys were carried out in July and November 2022 under the supervision of the BAP. The surveys are designed and controlled by the BAP and, depending on the outcomes, recommend prudent mitigation practices to minimise the impact of clearing activity on biodiversity. Further inspections will be carried out by a team of trained mine personnel prior to this work commencing to check for the presence of species classified as endangered, including the Tapanuli orangutan.

At Jardine Matheson, we are responsible owners of our businesses. We will continue to maintain a high bar for biodiversity management and conservation at our Martabe mine. This is both a collective and shared responsibility of our relevant subsidiaries, PTAR, United Tractors, Astra International and Jardine Cycle & Carriage. Engaging with scientists, NGOs and other stakeholders in the Batang Toru area, we will play our part in promoting the long-term preservation of the Tapanuli orangutan great ape species.

For more information, please refer to the following resources:

  1. Download statement on the Martabe mine and Tapanuli Orangutan (PDF version)
  2. Infographic overview of Martabe mine’s operational footprint, development, and steps taken to protect the Tapanuli Orangutan
  3. Access the PTAR website on managing biodiversity

Related documents: 

Please contact [email protected] for queries.

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PTAR is a mining company based in Indonesia that is engaged in the exploration, mining, and processing of gold and silver ore. PTAR is indirectly majority owned by Jardine Matheson through its subsidiaries, Jardine Cycle & Carriage, PT Astra International Tbk and PT United Tractors Tbk. United Tractors Tbk owns 95% of the shares in PTAR, with the remaining shares owned by a regional state-owned enterprise. PTAR holds the concession for and operates the Martabe gold mine in Sumatra.

The KBA was a boundary formally recognised in 2006 by a partnership of multiple non-governmental conservation organisations including: IUCN, WWF Wildlife Conservation Society, Rainforest Trust, Critical Ecosystem Partnership Fund, Global Wildlife Conservation, Global Environment Facility, Conservation International, BirdLife International, American Bird Conservancy, Amphibian Survival Alliance and Royal Society for the Protection of Birds.

The Batang Toru “Protected Forest” area was a formal designation by the Government of Indonesia and tabled in the Ministry of Environment and Forestry decree II in 2014.

Biodiversity Advisory Panel scientist biographies:

  • Dr. Rondang Siregar is a Senior Biodiversity and Conservation Planning Consultant at Daemeter Consulting. Dr Rondang has been working on Biodiversity and Conservation issues for over 20 years, focusing on primate and habitat conservation, orangutan rehabilitation/reintroduction, human and orangutan conflict resolution, wildlife/orangutan trade, protected area, ecotourism, mining and biodiversity and climate change. She was formerly a member of the IUCN Primate Specialist Group, Co-Vice Chair, Section for Human-Primate Interactions.
  • Dr. Suci Utami Atmoko is a Professor at the National University (UNAS) in Indonesia. She has studied orangutans for nearly 30 years and made a significant contribution to several internal scientific literatures on orangutans. She is a member of the IUCN Primate Specialist Group.
  • Dr. Puji Rianti is a Lecturer and Researcher at the Bogor Agricultural University in Indonesia. Dr Puji has been working in Biodiversity and Conservation issues for close to 15 years, focusing on primate and habitat conservation, orangutan rehabilitation/reintroduction, human and orangutan conflict resolution, wildlife/orangutan trade and ecotourism.
  • Dr. Onrizal is an Associate Professor at the University of North Sumatra (UNSU) in Indonesia. He has extensive experience (>25 years) in tropical forest ecology and biodiversity conservation.