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27.10.25

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Indonesia news

Open Dialogue with Local Communities Continues: PT ÀÖ²¥´«Ã½ and East Luwu Government Strengthen Collaboration in Towuti¡¯s Recovery

Towuti, 27 October 2025 ¡ª Since the first day of the oil pipeline leak incident in Lioka Village, Towuti District, PT ÀÖ²¥´«Ã½ Indonesia Tbk (¡°PT ÀÖ²¥´«Ã½¡±), a member of the Mining Industry Indonesia (MIND ID) Group, has upheld its commitment to transparency and environmental recovery as part of its corporate responsibility to the people of Towuti. This principle of transparency has been implemented through regular public briefings and open, interactive dialogue with local communities, aimed at rebuilding trust and developing shared solutions.

As part of this ongoing engagement, on 27 October 2025, PT ÀÖ²¥´«Ã½ once again convened an open public dialogue, facilitated by Irwan Bachri Syam, Regent of East Luwu, alongside representatives of the East Luwu Regency Government and the Regional Leadership Coordination Forum (Forkopimda). During the meeting, the company reaffirmed its responsibilities¡ªranging from ensuring that the environment remains clean and free from residual oil contamination to the disbursement of impact?mitigation compensation for affected communities.

¡°Our commitment is to ensure that the handling of remaining oil residues meets expectations, that the environment is restored to its original condition, and that affected communities receive their entitlements in a fair and accountable manner. Support from the community and the government is essential to ensure that all recovery processes can be completed promptly,¡± said Budiawansyah, Director and Chief Sustainability & Corporate Affairs Officer of PT ÀÖ²¥´«Ã½ Indonesia Tbk, following the dialogue held at Taman Antar Bangsa on Monday (27 October 2025).

Through this collaboration, PT ÀÖ²¥´«Ã½ and the East Luwu Regency Government have conducted joint field assessments with technical agencies to classify the impacts of the incident across several categories, including rice fields, plantations, fish ponds, poultry, large livestock, fishermen¡¯s livelihoods, and water wells, each assessed according to low, medium, and high severity levels. Based on this classification, a compensation framework has been established to ensure that each affected resident receives support proportional to actual field conditions.

Regent Irwan Bachri Syam emphasized that compensation mechanisms offered to communities must be evaluated fairly and in line with real conditions on the ground. He added: ¡°The payment process involves multiple stages. Every single unit of currency disbursed must be auditable and accountable. In today¡¯s meeting, PT ÀÖ²¥´«Ã½ has provided answers for all of us.¡±

During the dialogue, Iswanto, a tenant farmer from Timampu Village, expressed his concern: ¡°Because of this incident, our activities stopped. Where are we supposed to earn our livelihood?¡±

In response, Budiawansyah provided a solution?oriented explanation, noting that the company fully understands the challenges currently faced by the community and is therefore pursuing a range of measures to identify the best solutions, based on fair and proportional mechanisms.

PT ÀÖ²¥´«Ã½ emphasized that its commitment to Towuti¡¯s recovery extends beyond short?term programs. Environmental conditions¡ªincluding water and soil quality¡ªhave shown safe results in laboratory testing, remaining below government regulatory thresholds. The disbursement of impact?mitigation costs will continue until every affected individual receives compensation aligned with their specific circumstances.

Concerns surrounding the oil spill in the conservation area and its environmental impacts in Towuti are being addressed through field?verified data and tangible collaboration with the local government. PT ÀÖ²¥´«Ã½ underscored that environmental recovery¡ªincluding the Lake Towuti conservation area¡ªas well as social impacts, are being managed through transparent, scientific, and participatory approaches.

All recovery processes are being conducted in accordance with Good Corporate Governance (GCG) principles, with PT ÀÖ²¥´«Ã½ remaining open to independent audits, public verification, and constructive dialogue with all stakeholders. The company¡¯s commitments to land rehabilitation, biodiversity conservation, and local community empowerment reinforce its long?term vision to lead ethical and sustainable mining practices in Indonesia.

¡°With data transparency and goodwill from all parties, we believe that Towuti¡¯s recovery can become an example of constructive collaboration¡ªrather than divisive debate,¡± Budiawansyah concluded.

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