37 minutes
PETALING JAYA: TDM Bhd said 1,201 hectares of land belonging to its subsidiary PT Rafi Kamajaya Abadi (PTRKA) has been affected by fire in Indonesia.
The affected areas are known as North 2 Estate at NB2 -Tapang Ria, NB3 - Kemantan, NB7 - Kancing, and NB8 – Kayan. The fire was extinguished.
TDM told Bursa Malaysia that the sealing off of the affected areas is a normal procedure by the Indonesian authority to ensure the affected areas are secured and the investigation can be carried out accordingly.
“From the beginning of dry weather in early August, PTRKA has been on high alert and has put in place measures to manage and control fire incidents in the operating areas. This includes maintaining equipped firefighting teams to deal with the dry weather, strong wind and the risk of fire.
“Over the last couple of weeks, PTRKA has been able to contain fires that have occurred in the areas. Report to local authorities, including a police report, had been made on fire incidences.”
According to TDM, the Indonesian Ministry of Environment and Forestry (MEF) had visited the affected area last Friday.
“Clarifications had also been made to the visiting authorities from MEF. On the same day, signboards indicating that these areas had been sealed off for investigation purposes were erected at three locations. We have yet to receive any official written notification from MEF on the matter.”
Nontheless, the group stressed that it is strictly governed by the “no burning” policy.
“TDM practices the Roundtable on Sustainable Palm Oil (RSPO) principles and is strictly governed by the ‘no burning’ policy that there shall be no use of fire in the preparation of new planting, replanting or any other developments.
“We wish to reiterate that, since 2016, there is neither new development nor land clearing activities been carried out within our area of operation,” it explained.
TDM said PTRKA had been working and will continue to work closely with local authorities, fire brigade and villagers in monitoring hot spots and joint operations for fire-prevention and fire-fighting purposes.
TDM is assessing the actual financial and operational impact on PTRKA and the group arising from the fire incident and will make an immediate announcement once determined.
At 2.35pm, its shares were unchanged at 17.5 sen on 546,200 shares done.
