[Translated by Business & Human Rights Resource Centre]

The invitation to respond (hereinafter referred to as the "invitation") sent by your organisation to our external contact email on 31 May 2023 has been received, and our response is as follows:

1. In response to the HPL coal power issue mentioned in your invitation

On 21 September 2021, at the General Debate of the 76th session of the United Nations General Assembly, President Xi Jinping announced that China will step up support for other developing countries in developing green and low-carbon energy, and will not build new coal-fired power projects abroad. This is what your organisation refers to as the "commitment not to develop coal power overseas".

What needs to be clarified is that the power facilities required by HPL are necessary for both production and living. HPL has obtained approval/registration documents from relevant departments such as the National Development and Reform Commission before September 2021. There is no violation of national policies.

It should be further pointed out that HPL's supporting power facilities have also obtained local approvals and permits in Indonesia, and are in compliance with local laws and regulations.

For the industrial park where HPL is located, we have equipped it with photovoltaic power generation facilities to make full use of the abundant source of local natural energy and practise the concept of green and sustainable development.

2. In response to pollution and other issues in relation to HPL mentioned in your invitation

We understand that PT Trimegah Bangun Persada, another shareholder of HPL, has answered your organisation's questions on environmental protection and local community relations. We have no objection to the content of its answers. We would like to stress that HPL has not caused damage to the local environment, and HPL attaches great importance to ensuring its operations are compliant with laws and regulations.

As a responsible listed company, Lygend Resources has always set high standards for itself. It recognises and complies with laws, regulations and local policies in China and Indonesia. Thank you for contacting us. We express our gratitude for your concern. If you have any further questions, please feel free to contact us.

Yours sincerely,

Lygend Resources & Technology Co., Ltd.

12 June 2023