Since 2017, Eramet has been a minority shareholder of PT Weda Bay Nickel. As a minority shareholder, Eramet does not have unilateral decision-making power within this joint venture. However, Eramet strives to promote best mining, environmental, and societal practices with its partner, in line with its values and commitments to responsible mining.
In accordance with the shareholder agreement concluded within the framework of this joint venture, the Eramet Group conducts annual technical reviews at the mine to identify any deviations from the IRMA responsible mining standards and request corrective measures, while conducting regular audits and exchanges. In the event of a proven or potential deviation from the IRMA responsible mining standard, we request explanations and the implementation of corrective actions from the Strand Minerals board of directors and PT Weda Bay Nickel management.
We further demonstrate our commitment by allocating considerable time from Eramet’s ESG teams at both the headquarters and in Indonesia to inform and guide our partners on environmental, social, and governance issues and to support PT Weda Bay Nickel’s efforts in managing risks related to safety, the environment, biodiversity, human rights, and community relations.
The Eramet Group will continue its positive influence efforts within PT Weda Bay Nickel as long as it remains a shareholder.
Although we do not control the decisions made by this joint venture, we are firmly committed to making a difference and bringing tangible improvements on the ground. This commitment has enabled the site to make significant progress.
Thus, while mining activities started at the end of 2019, Eramet obtained the controlling shareholder’s adherence to the IRMA (Initiative for Responsible Mining Assurance) transparency approach as early as 2022, the standard recognized as the most demanding in the mining sector internationally. The first internal IRMA self-assessments were carried out by PT Weda Bay Nickel in 2022 and 2023. Following these self-assessments, associated action plans were defined, and their deployment is monitored by both partners.
Significant progress has also been made in terms of safety at the mining site: after the fatal helicopter accident involving an aircraft.
From the beginning of the project, the O’Hongana Manyawa (or Forest Tobelo) communities were identified as potentially vulnerable and requiring special monitoring. A protocol based on international expertise governs interactions that occur either at the initiative of the O’Hongana Manyawa themselves or accidentally during PT Weda Bay Nickel’s operations. These protocols describe culturally appropriate behavior in case of unexpected encounters with the O’Hongana Manyawa to protect them. In place for several years, these protocols have allowed the development of respectful relationships with the few individuals contacted who may live or pass through or near the mining concession. An employee awareness program has also been in place for about ten years. PT Weda Bay Nickel has hired five Tobelo interpreters, from neighboring villages and accustomed to interactions with the Forest Tobelo, to facilitate exchanges with this group when necessary.
We also want to clarify that to date, none of the studies conducted by PT Weda Bay Nickel have confirmed the existence of O’Hongana Manyawa members living in voluntary isolation within the concession. On this subject, we contest the erroneous interpretation of PT Weda Bay Nickel’s studies. Excerpts published by some civil society organizations have been taken out of context and neglect the uncertainties raised by the authors regarding the possible presence of O’Hongana Manyawa groups in voluntary isolation. If the presence of groups living in voluntary isolation were demonstrated, Eramet would ask PT Weda Bay Nickel, through the Strand Minerals board of directors, not to contact or engage with them (for example, a process of Free, Prior, and Informed Consent), in accordance with international standards.
PT Weda Bay Nickel operates on a mining concession granted by the Indonesian government. Between 2008 and 2016, PT Weda Bay implemented a land acquisition or compensation plan for the use of the concession lands from individuals, with forests belonging to the state.
PT Weda Bay Nickel asked the international consulting firm Greencorp to conduct due diligence on land acquisition to technically, legally, and socially evaluate previous land acquisitions. Greencorp reviewed all available documentation and organized focus groups with community members and government representatives. The results of this research, received by the Eramet Group in April 2025, confirmed that PT Weda Bay Nickel’s program complied with Indonesian legal requirements, partially met IRMA standards (commitment made in 2022), and was partially aligned with IFC Performance Standard 5, Guideline on Land Acquisition and Involuntary Resettlement (established in 2012). The consulting firm made recommendations to address identified gaps, which are currently being reviewed by Eramet, who will advocate for their implementation with the Strand Minerals board of directors, if necessary.
There is no legislative or regulatory framework in Indonesia setting the conditions for implementing a Free, Prior, and Informed Consent (FPIC) process. Although Indonesia voted in favor of the United Nations Declaration on the Rights of Indigenous Peoples, it has not ratified ILO Convention 169, which is the only binding international instrument for protecting indigenous peoples’ rights. The O’Hongana Manyawa, who live in the forests of Halmahera Island, are currently not recognized by Indonesia as an indigenous people under international law, nor as a customary law community under the Indonesian constitution. As a responsible minority shareholder, Eramet has asked the majority shareholders of PT Weda Bay Nickel to conduct independent studies to verify, among other things, whether PT Weda Bay Nickel’s engagement protocols with the O’Hongana Manyawa comply with the highest international practices. Following these independent studies, and based on their conclusions, Eramet will advocate for the implementation of new engagement protocols reflecting the adjustments recommended by these experts, based on international standards, which may include obtaining the Free, Prior, and Informed Consent (FPIC) of the O’Hongana Manyawa.
As a responsible mining group, we are fully aware that the transformation of mineral resources impacts the environment, and we are doing everything possible to limit these impacts. Alignment with the ongoing IRMA standard across all Eramet Group sites requires an evaluation of critical habitats according to the IFC Performance Standard 6 methodology and the strict application of the impact mitigation sequence (avoid negative impacts on biodiversity as much as possible, reduce those that cannot be avoided, rehabilitate affected areas as soon as possible, and compensate for residual impacts). This standard covers aspects related to water management, biodiversity, and mining waste.
As part of its own IRMA preparation approach, promoted by Eramet to its majority partner, PT Weda Bay Nickel will constantly refine its biodiversity action plan (which follows the same principles) and aim for a net benefit on biodiversity. In 2023 and 2024, PT Weda Bay Nickel conducted surveys to update the critical habitat assessment. These additional studies allowed for better measurement and documentation of local biodiversity values and the definition of an avoidance, mitigation, and compensation program. Since mining operations are still recent, about 50 hectares were rehabilitated in 2024, and an additional 150 hectares are planned for 2025. As a minority shareholder, the Eramet Group closely monitors the implementation of these action plans and any deviations from the IRMA responsible mining standard, and requests corrective measures when necessary from the Strand Minerals board of directors and PT Weda Bay Nickel management.
It should be noted that, in accordance with local regulatory framework, no forest with conservation value under Indonesian law is included in the concession granted to PT Weda Bay Nickel. The nearest conservation forests are located 3 km and 31.5 km to the west and northeast of the area, respectively.
The health and well-being of the communities near our operational areas is a priority across all our sites. Eramet is committed to respecting international human rights standards, including the United Nations Guiding Principles.
Thus, Eramet has voluntarily included PT Weda Bay Nickel in its human rights risk mapping, just like all the Group’s subsidiaries and participations. Specific issues have been identified.
As previously mentioned, when Eramet becomes aware of potential or actual deviations from the IRMA responsible mining standard, we immediately demand explanations and corrective measures from PT Weda Bay Nickel through the Strand Minerals board of directors.
As a minority shareholder, Eramet cannot unilaterally decide to provide documentation belonging to PT Weda Bay Nickel.
That said, transparency remains a cornerstone of Eramet’s values. An important step was taken in 2022 when Eramet obtained the controlling shareholder’s adherence to the IRMA (Initiative for Responsible Mining Assurance) transparency approach, the most demanding standard in the international mining sector. The IRMA approach to responsible mining involves independently evaluating the social and environmental performance of mining sites worldwide using an internationally recognized standard developed in consultation with a wide range of stakeholders, including NGOs, affected communities, buyers, investors, mining companies, and unions. Following this commitment, PT Weda Bay Nickel conducted its first internal IRMA self-assessments in 2022 and 2023, after which a specific action plan was developed. It is currently being implemented and monitored regularly. An independent third-party audit commissioned by IRMA is expected to begin in 2026. Once the IRMA cycle is completed, audit reports will be published transparently by IRMA.
As part of our commitment to dialogue and transparency, we also actively respond to inquiries from civil society organizations and the media as promptly as possible. At the same time, we proactively publish data on PT Weda Bay Nickel’s ESG performance in our reference document.
Eramet continuously studies new exploration and resource development opportunities in Indonesia. As a listed company, we do not comment on market rumors regarding potential new operations. We will communicate any relevant information to the market as part of our regulatory obligations.