By continuing to implement strict health protocols, PT Chandra Asri Petrochemical Tbk held an Extraordinary General Meeting of Shareholders (EGMS) on 8 November 2021. The meeting which took place at Wisma Barito Pacific, Jakarta, was attended by the Board of Commissioners and Directors of Chandra Asri directly and virtually.
In the meeting, the plan to amend the articles of association was approved. The Company hereby intends to propose amendments to several articles in the Company's Articles of Association, namely Article 14 paragraph (1) regarding the Board of Directors and Article 18 paragraph (1) regarding the Board of Commissioners. The proposed changes are specifically regarding the maximum number of members of the Board of Directors and members of the Board of Commissioners to a maximum of 15 members of the Board of Directors and 15 members of the Board of Commissioners.
The plan to increase the composition of the Company's Board of Directors and Board of Commissioners was also approved by the shareholders. To support the Company's operational activities which are increasingly high and complex, as well as with the presence of new investors who have committed to contribute to the Company, the Company deems it necessary to add members of the Board of Directors and Board of Commissioners with a term of office of each member is 3 years.
Coral reefs are one of the ecosystems that are very influential on the condition of the sea to the coast. Damage to coral reefs can eliminate fish populations, change coastal profiles, reduce freshwater stocks on small islands, and have an impact on reducing the income of coastal communities. Seeing the importance of coral reef rehabilitation in marine waters, PT Chandra Asri Petrochemical Tbk in collaboration with the Sukarame Underwater Nature Group (KABL) and Experts from the Fisheries College LPSPL Serang, implemented the Coral Reef Transplantation Program in the Northern Waters of Panjang Island, Banten Bay, with the coordinates of -5,92057197355 South Latitude and 106, 16101297500 East Longitude. This program has been carried out since April 2020 as a form of Chandra Asri's contribution to the protection of marine and coastal ecosystems.
In this program, a total of 1,250 coral reef seedlings were transplanted on 25 rack units with the Shelf and Cast Hybrid System. Coral reef seedlings that were transplanted were Acropora sp. with a branching growth form consisting of 6 species, including Acropora carduus, Acropora cervicurnis, Acropora formosa, Acropora grandis, Acropora intermedia, and Acropora pulchra.
Monitoring the results of coral reef transplants is carried out every month to measure the growth rate of coral reefs on 25 shelf units. Measurement of growth was carried out using a simple random sampling method, in which the minimum total sample measured based on the Slovin formula was 125 samples. It shows positive results from coral reef transplantation activities, namely an increase in average height every month.
In addition to monitoring the average height, observations were also made on the Survival Rate (SR) indicator showing the survival rate of coral reefs, namely the percentage of the number of coral reefs that are still alive to the total number of coral reefs transplanted. The average survival rate (SR) of coral reefs is more than 90%. This shows that the implementation of coral reef transplantation is going well.
Coral reef transplants made as Artificial Coral Reef have become a living habitat for associated biota, both as a home for coral reef biota, a nursery ground for fish as well as a habitat for large fish and various megabenthos.
Marine biota found in coral reef transplant areas during monitoring in 2020 and 2021 included one seahorse (Hippocampus spinossisimus), stingray (Taeniura Lymma), jellyfish (Aurelia aurita), clam (Perna viridis), snail (Druplla sp.), starfish (Culcita sp.), rock fish (Synanceia verrucosa), reef fish (Epinephelus sp., Amblyglyphidodon curacao, Amblyglyphidodon curacao), Angle Fish, Nudi Branch, and Tetralia crab.
Shellfish (Bivalves) which are filter feeder biota can be an indicator biota for the presence of sedimentation in these waters. The presence of Bivalves can also help clean the surrounding seawater from dissolved sedimentary particles. Besides Bivalves, several Sponge, Algae, and other types of biota were also found.
On 16 October 2021, PT Chandra Asri Petrochemical Tbk together with Kencana Hospital carried out a free COVID-19 vaccination program for the public in the Cilegon City, especially Cibeber District. This vaccination program is the second phase where the first phase was held on 11 and 18 September 2021. Located at the Chandra Asri Sports Hall, the second stage of the vaccination program was attended by more than 1,000 people. The Mayor of Cilegon, Helldy Agustian was also present at this vaccination program, expressed his appreciation for Chandra Asri's contribution in suppressing the spread of COVID-19 in Cilegon City.
Chandra Asri has held a COVID-19 vaccination program for 8 times which has been held in stages every month since August 2021 and has been attended by a total of more than 4,000 people. This vaccination program is a manifestation of Chandra Asri's commitment to supporting public health and safety, especially in the Cilegon City area in tackling the COVID-19 pandemic.
PT Chandra Asri Petrochemical Tbk held a Disaster Emergency Response socialization for the community in Mangunreja Village, Serang, Banten, which is the area around the location of Chandra Asri Site Office Pulo Ampel. The activity was carried out on 13 October 2021 as Chandra Asri's efforts in anticipating disasters by forming community preparedness to be able to save themselves and others.
Various potential disaster emergencies can occur in the village, especially tsunamis. This became the purpose for Chandra Asri in conducting emergency response activities in Mangunreja Village. This disaster preparedness exercise includes coordination, communication, and evacuation exercises involving stakeholders, namely the village government, volunteers, and the general public.
On 12 October 2021, PT Chandra Asri Petrochemical Tbk through its subsidiary PT Chandra Asri Perkasa and Aramco Trading Company (ATC) signed a memorandum of understanding (MoU) looking at potential opportunities for ATC in supplying feedstock to support the operations of Chandra Asri Perkasa, Chandra Asri’s second world-scale petrochemical complex. The signing was conducted virtually by the President Director of Chandra Asri, Erwin Ciputra, and the Chief Executive Officer of ATC, Ibrahim Albuainain.
Chandra Asri and ATC hope the MoU will lead to long-term collaboration between the two businesses in ensuring the availability of feedstock for the Chandra Asri Perkasa cracker facility.
PT Chandra Asri Petrochemical Tbk and PT Bank Negara Indonesia (Persero) Tbk signed a financing facility agreement using a new term loan scheme with balloon payments with a total value of USD 250 million or around IDR 3.5 trillion (using an exchange rate of IDR 14,310 per US Dollar) on 5 October 2021.
This financing scheme is divided into two facilities. First, the Term Loan 1 facility with a maximum of USD 150 million is used to finance bond buybacks and refinancing the company's existing debt with a tenor of seven years. Second, the Term Loan 2 facility with a maximum of USD 100 million, to finance the pre-operation necessities of the second global petrochemical complex (Chandra Asri Perkasa) with a ten-year tenor.
On 28 September 2021, PT Chandra Asri Petrochemical Tbk, represented by the Puloampel Site Office, won the 2021 Subroto Energy Efficiency Award organized by the Ministry of Energy and Mineral Resources. The awarding night was held virtually, coinciding with the 76th Mining and Energy Day.
Chandra Asri SO Puloampel is considered successful in carrying out special innovations in the Energy Management category in Industry and Building for the project "Energy Saving in Coal Boiler Operations with Innovations in Economizer & Air Preheater and Optimization of Coal Procurement with an Acceptance Ratio of 70% Fine and 30% Nut".
In this event, Minister of Energy and Mineral Resources Arifin Tasrif said that the Subroto Award is the highest in the energy and mineral resources sector given to stakeholders who have performed the best.
In connection with the input from stakeholders regarding several websites that take data from Chandra Asri's official website such as images and videos, we urge the entire community to be careful in receiving information from these irresponsible parties.
Based on this, the management of PT Chandra Asri Petrochemical Tbk announces that the official website of the Company, including our subsidiaries, can only be accessed at https://www.chandra-asri.com/. We DO NOT have any other website that uses the name of a certain Limited Liability Company (PT) as a representation of our Company.
Chandra Asri is not responsible for material or immaterial losses suffered by the injured parties in connection with the misuse of data or information by such third parties. Therefore, we suggest that if the public gets a website outside the official Chandra Asri website that uses Company information, data, images, and videos, they can confirm it with us first by sending an email to corporate.comm@capcx.com
Thus, we convey this announcement to the attention of interested parties.
Jakarta, 28 September 2021
Management
PT Chandra Asri Petrochemical Tbk
Biodiversity is one of the important factors in the life and stability of ecosystems. Understanding the importance of managing the impact of its operational activities in the petrochemical sector, PT Chandra Asri Petrochemical Tbk is always committed to continuing to implement the Company's policies regarding Occupational Health & Safety, Environment, Quality, and Energy Management Systems in order to protect the environment. Through this policy, the Company also strives to prevent pollution, mitigate climate change, optimize the use of sustainable resources, and maintain the diversity of the surrounding ecosystem.
In the implementation of biodiversity protection, Chandra Asri has policies to support Environmental, Social & Governance (ESG) initiatives as well as special policies that have been directly approved and supported by the President Director. The policy is implemented by establishing the initial site for biodiversity conservation with the name Kehati Asri which is located in Gunung Sugih Village, Ciwandan District, Cilegon City. Through the maintenance of the Kehati Asri, the Company strives to continue to conduct an inventory of flora and fauna diversity.
Based on the Flora and Fauna Diversity Status Data of Kehati Asri in 2021, there are a total of 406 plants with 35 types of plants spread over an area of 7500 m2. This number increased compared to 2018 where there were only 324 plants and 23 types of plants on this land. As for the various animals released in the Kehati Asri, including 14 Javanese Bondol, 5 Cow Swallows, 2 Water Lizards, 4 Park Chameleons, 1 Garangan, and various other animals.
With the increase in the number of plants, types of plants, and animals in the Kehati Asri, the diversity of flora and fauna in the Kehati Asri continues to increase every year. Based on the 2021 Kehati Asri Diversity Index Graph, the flora diversity index has increased at 2.89. While the faunal diversity index was at 2.06 for the Aves family, 1.63 for the Herpetofauna family, and 1.1 for the Mammal family. Chandra Asri remains committed to continuing to increase this biodiversity index as a step to contribute to building a balanced ecosystem.
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As the Company's participation in improving the welfare and education of the community around the operational area, PT Chandra Asri Petrochemical Tbk held a Safety Inspector training program for the young generation in Mangunreja Village, Pulo Ampel, Serang. This Corporate Social Responsibility program which is engaged in Occupational Health and Safety (OHS) is carried out for 10 days, from 8 September to 21 September 2021.
The implementation of the Safety Inspector training which has been held since 2016 aims to increase the knowledge of the young generation in the field of OHS supervision to support government programs to make Indonesia an OHS culture.
PT Chandra Asri Petrochemical Tbk continues to contribute solutions to social, environmental problems, health, and nature conservation. This is following the sustainable development goals (SDGs). Chandra Asri's positive contribution received many appreciations from the 2021 Indonesia Sustainable Development Goals (ISDA) Award. The award was held at the JS Luwansa Hotel, Jakarta on 17 September 2021.
Chandra Asri is considered to be one of the companies that have Top Leadership. In addition, Chandra Asri also received The Most Committed Corporate for SDGs on Environment for his contribution to the environment through CSR programs in the environmental pillar.
When carrying out corporate responsibilities, Chandra Asri is committed to three principles: People, Planet, Profit by adopting an Environment, Social, and Governance (ESG) approach. Starting a sustainable business journey, Chandra Asri continues to improve performance and create a harmonious life with the surrounding community and environment.
Photo Source: JPNN.com
On 15 September 2021, PT Chandra Asri Petrochemical Tbk has successfully completed its Pre-Emptive Rights Issue, the Limited Public Offering III which has obtained an effective statement from the Financial Services Authority (Otoritas Jasa Keuangan). All new shares issued was fully subscribed and the Company has successfully raised additional capital of IDR15.5 Trillion or USD1.1 Billion, to close one of the largest rights issue ever done in the Indonesia Stock Exchange to date.
After the rights issue, the Company's total outstanding shares increased by 3,794,366,013 shares (from 17,833,520,260 to 21,627,886,273 shares). The composition of public shares is approximately 8.2%, fulfilling the free-float requirements of the Indonesia Stock Exchange. The standby buyer underpinning the successful transaction was PT TOP Investment Indonesia, a subsidiary of Thai Oil Public Company Limited (Thaioil), the flagship refiner of PTT Public Company Limited (PTT).
To support Indonesia's young generation, on 13 September 2021, PT Chandra Asri Petrochemical Tbk provided scholarships for Diploma (D3) and Undergraduate (S1) levels for six outstanding students around the operational area.
Those who were selected have been accepted as students, there are D3 Electronic Engineering Study Program in PGRI Banten Polytechnic, S1 Management Study Program in Untirta Serang, S1 Industrial Engineering Study Program in UNSERA Banten, S1 Islamic Civilization History Study Program in UIN SHM Serang, and S1 Informatics Engineering Study Program in UNSERA Banten.
Chandra Asri hopes that providing this educational scholarship can prepare students to face real work in the future, with the pieces of knowledge obtained during lectures. So that they are also ready to contribute to the family and society.
To increase the effectiveness of disaster management, especially related to the Company's gas pipeline, PT Chandra Asri Petrochemical Tbk held a routine Community Awareness activity on 9 September 2021 for the community in Purwakarta District. This activity is the third implementation carried out in 2021, after previously being held in Mangunreja District and Ciwandan District. This activity aims to provide residents with an understanding of the Company's gas pipelines that are close to their settlements and also provide insight into disaster mitigation.
Held at the Purwakarta Village office, this Community Awareness activity also presented three new materials to the surrounding community, including B3 and Non-B3 Waste Management, Community Water Resources Management, and Community Energy Resource Management and Emission Reduction. These materials are a form of Corporate Shared Value provided by the Company to the public.
In conducting operational activities, it is not uncommon for several impacts to arise from the ongoing production process. Chandra Asri as a company that prioritizes the health and safety of employees and the surrounding community, continues to make efforts to routinely inspect and maintain assets, identify and monitor risks, and invest in the best technology to minimize environmental and social impacts. One of them is by operating the Enclosed Ground Flare (EGF), a smokeless flare technology at our petrochemical complex in Cilegon, Banten.
As a solution for handling exhaust gases at start up process and if there are problems during operational activities, EGF comes with the ability to burn residual hydrocarbon gases using a closed combustion method so that it does not cause heat and air radiation. Through EGF, the exhaust emissions released also meet environmental quality standards. When starting the EGF construction in 2018, Chandra Asri has chosen the design with the maximum capacity available from all the EGF manufacturing companies worldwide in that year.
From an environmental perspective, EGF is designed to carry out the combustion process completely so that no hydrocarbons from combustion are discharged into the air. From a social perspective, the advantage of the technology over a conventional flare lies in its ability to reduce noise while eliminating flame and smoke.
In the context of Eid al-Adha 1442 H, PT Chandra Asri Petrochemical Tbk with MUI Banten again distributed their contribution in providing 40,450 Sacrificial Meat Containers. This hygienic, reusable and recyclable packaging was given to the community around the Chandra Asri Site Office and various areas in the Banten Province, cattle villa, and several mosques around Jabodetabek.
This sacrificial meat container is a type of thin-walled packaging made from one of Chandra Asri's products, Polypropylene (PP) HI50TN. The raw materials used have been certified Halal by the Indonesian MUI, SNI, and meet the applicable national and international regulations so that they are guaranteed to be safe for use by the public.
In producing this packaging, Chandra Asri collaborates with PT Dadap Plasindo, a company producing plastic packaging products in Indonesia.
Continuing the support of 210 tons of liquid oxygen which was previously distributed to various hospitals in Jakarta and Banten, PT Chandra Asri Petrochemical Tbk handed over 100 tons of liquid oxygen to the Provincial Government of Special Capital District of Jakarta. Through the Association of Regional Hospitals (ARSADA), this aid will begin to be distributed on 27 July 2021 in stages over the next two months to various Regional General Hospitals (RSUD) and Regional Special Hospitals (RSKD) in Jakarta.
The handover ceremony was held virtually and witnessed directly by the Governor of Special Capital District of Jakarta Anies Baswedan. On this occasion, Anies Baswedan expressed his appreciation to Chandra Asri for its contribution in handling the pandemic situation.
PT Chandra Asri Petrochemical Tbk continues to invest in environmentally friendly technologies to gradually transition to renewable energy to address issues in the Environmental, Social, and Governance (ESG) aspects. On 22 July 2021, Chandra Asri and TotalEnergies have completed the construction of the second phase of a solar PV (photovoltaic) rooftop installation as per target for Chandra Asri’s plant in Cilegon, Banten. This facility is built to power 15% of the needs of Chandra Asri’s warehouses, laboratory, and office buildings with green power. The site is one of the largest petrochemical facilities in Indonesia and one of the first long-term solar contracts for Chandra Asri.
The facility has been using solar energy since August 2019, and this second solar installation increases the solar power capacity by more than 50% - significantly increasing cost savings and reducing carbon footprint, with an estimate of 1,080 tons of CO2 emissions avoided annually, comparable to removing 230 cars from the road or planting 18,000 trees annually. With a capacity of 1,153 kWp, this facility will generate around 1,500 Megawatt-hours (MWh) of renewable electricity annually.
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As a commitment to contribute to patients and hospitals currently in need of medical treatment, PT Chandra Asri Petrochemical Tbk has provided 210 tons of liquid oxygen for hospitals in DKI Jakarta and Banten. This liquid oxygen aid began to be distributed on 15 July 2021.
In supplying the liquid oxygen, Chandra Asri cooperates with PT Air Liquide Indonesia (ALINDO), a gas supplier company for industry and health. This liquid oxygen will be distributed mainly to Chandra Asri's Corporate Social Responsibility (CSR) reference hospital.
The liquid oxygen aid, which is supported by the Ministry of Industry, is planned to be distributed to several units of Mayapada Hospital in DKI Jakarta and other hospitals in Jakarta and Banten which are members of the Indonesian Regional Hospital Association (ARSADA).
As part of the distribution of this aid, a total of 120 tons of liquid oxygen was handed over to hospitals in Banten on 19 July 2021. This aid will be distributed in stages over two months and has been received directly by the Governor of Banten, Dr. H. Wahidin Halim as Chair of the COVID-19 Handling Task Force in Banten.
Continuing its commitment as a growth partner for the people of Banten Province, on 14 June 2021, PT Chandra Asri Petrochemical Tbk inaugurated the Tangkilsari Bridge in Cimanggu District, Pandeglang Regency. The construction of the third bridge by Chandra Asri took about three months and already completed in 2020 with cooperation between the Company, the Indonesian Village Volunteer Foundation (Yayasan Relawan Kampung Indonesia), the local government, and the local community.
Chandra Asri's concern in the construction of the Tangkilsari Bridge was appreciated by Mrs. H. Irna Narulita S.H, M.M as the Regent of Pandeglang who was also attend the inauguration ceremony. According to her, the Tangkilsari Bridge will provide smooth mobility for the community and will certainly have an impact on social, economic, health and education.
