ESG

Krakatoa Resources is committed to advancing its portfolio of critical mineral assets in a manner that balances environmental stewardship, community engagement and strong governance.

Our ESG approach is embedded in how we explore, develop and operate, aligning with global expectations for critical mineral supply.

The Company’s ESG Policy Suite is aligned with the International Finance Corporation’s (IFC), part of the World Bank Group, ESG Standards.

Krakatoa is committed to continuously improving ESG performance as projects advance, ensuring that development is:

  • Environmentally responsible
  • Socially beneficial
  • Governed with integrity

This approach supports sustainable growth while delivering value for shareholders, stakeholders and the broader economy.

Environmental

Krakatoa is focused on reducing environmental impact at every stage of the project lifecycle, from early exploration through to development.

Key priorities include minimising land disturbance through targeted exploration programs, protection of local ecosystems and waterways, progressive rehabilitation of disturbed areas.

Critical mineral projects are often located in environmentally sensitive regions, making proactive environmental management essential to maintaining social licence and avoiding costly delays.

Krakatoa integrates environmental considerations and long-term sustainability.

Key Environmental Management areas addressed within Krakatoa’s ESG Policy Suite include:

  • Applying the mitigation hierarchy: avoid, minimise and rehabilitate
  • Preventing pollution, including management of hazardous materials
  • Protecting water resources and preventing contamination
  • Minimising land disturbance and progressively rehabilitating exploration areas
  • Conserve biodiversity and avoid impacts to critical habitats

Social

Krakatoa is committed to building strong, transparent relationships with local communities, stakeholders and governments across its project areas.

Our social responsibility framework focuses on early and ongoing stakeholder engagement, supporting local employment and regional economic development, and respecting cultural heritage and land access agreements.

Under its ESG Policy Suite, Krakatoa commits to:

  • Respecting the rights, culture, and livelihoods of local and Indigenous communities
  • Avoiding or minimising land access impacts and compensating fairly where required
  • Maintaining transparent and respectful engagement with stakeholders

Governance

Effective governance is fundamental to Krakatoa’s ability to deliver projects responsibly and generate sustainable shareholder value.

Governance principles include operating under an experienced Board and Management with technical and capital markets expertise, transparent reporting aligned with ASX and regulatory requirements, and ethical business practices and compliance frameworks.

Strong ESG performance is increasingly recognised as a driver of long-term value, improving access to capital and reducing project risk.