In Indonesia, since 16 August 2007, CSR (Corporate Social Responsibility) is regulated under Article No. 74 of Law No.40/2007. This Article mainly regulates the Corporate Social and Environment Responsibility in a limited liability company particularly operating in extractive companies that are related with both direct and indirect exploitation of natural resources.

Up to the time this report is prepared, the Law still has not had an instrument to regulate its implementation. The draft of Government Regulation is still intensively being discussed.

In CSR context, the Company believes in implementation of CSR as one of business strategies in maintaining business sustainability. Similar to a number of world class companies, CSR has become an integrated part of the Company policy. CSR is no longer considered as a cost component but as an investment component, i.e. social investment.

As a business commitment, CSR in turn must aim to the improvement of added value for the satisfaction of all stakeholders, both external and internal, including shareholders as the major stakeholders of the Company.