Risk of labor actions and demonstration
decrease stock prices at Indonesia Stock Exchange or other Stock Exchange and also suppress the rupiah exchange rate
against other currencies. This condition could negatively impact the financial, operating results and business prospects
of the Company.
D RISKS ASSOCIATED WITH THE NATURE 1. Risk of accidents, weather changes and natural disasters
that could cause negative impact on the operational performance of the Company and its subsidiaries
Location of Indonesia which is on three convergence of Earths crustal plates, which are Eurasian continent plate, of India-
Australia continent plate and the pacific ocean plate gives rise to a geological structure that has a wealth of mining
potential which has been recognized worldwide. But Indonesian archipelago has worlds most active volcanic activity, which
makes Indonesia is prone to seismic activity that could cause earthquakes and tsunamis. Those natural events could bring
loss to the Company. The Company has implemented adequate safety standards in
the implementation of mining operations. However, in the implementation of its business activities, there is still
possibility of risks of occupational accidents, including the risk of fire, explosion, trade embargo, labor disputes, social
and environmental
problems, unanticipated
geological
conditions, landslides, weather changes including heavy rain and natural disasters such as high waves, earthquakes and
other natural phenomena. Accidents, weather changes and natural disasters can
negatively impact business activities, financial condition and business prospects of the Company.