PT Bumi Resources Tbk : | Monthly Update – February 2022

Bakrie Tower,12th floor

Komplek Rasuna Epicentrum Jl. H.R. Rasuna Said

Jakarta, INDONESIA 12940 Website:www.bumiresources.com

Corporate Information

Monthly Update Date

: February 2022 : March 31st, 2022

Markets:

Coal Prices in February increased to an average GCNEWC of $239.27/t for the month, up from an average of $227.00/t in January as demand continued to be strong and supply was still constrained due to the continued rains in Indonesia.

March prices jumped to over $400/t due to the Russia / Ukraine war giving concerns about reduced supply from Russia. Prices reduced back down after the initial spike, but still remain over $250/t towards the end of March.

The Chinese domestic market still has tight fundamentals with stocks low at power plants and the northern ports.

Further rain in Australia - New South Wales is reducing coal supplies to the Newcastle Port, tightening supply further.

Operations:

Realized prices in February increased to $82.9/t overall compared to $76.8/t in January. KPC realised prices in February, increased to $96.3/t versus $82.6/t as less domestic sales (capped at a benchmark price of $70/t) were part of the Sales mix, as compared to January. Arutmin's realised prices decreased to $56.7/t versus $65.5/t in January due to less high grade coal sales and more domestic sales to PLN.

Total sales increased in February despite the 28 day month to 5.7MT from 4.4MT in January as the export ban was lifted on both KPC and Arutmin. KPC sales were up at 3.8MT in February versus 2.9MT in January. Arutmin sales increased to 1.9MT in February versus 1.5MT in January.

Coal production also increased in February to 5.2MT versus 4.8MT in January. KPC production fell slightly to 3.4MT versus 3.5MT in January as rains continued in East Kalimantan. Arutmin's production increased to 1.8MT, up from 1.3MT in January.

Continued heavy rains, in March, in East Kalimantan have caused flooding in Sangatta where KPC is based, with record levels being experienced. This has reduced KPC's sales and production. We expect it to recover in the second quarter as rain levels will hopefully reduce.

The overall cash costs of production fell to $42.22/t versus $47.43/t in January, due to reduced fuel consumption, less tyres and AN (Ammonium Nitrate - Explosive) usage in February. KPC's costs

decreased from $50.68/t in January to $47.41/t in February and Arutmin's cash cost of production fell to $32.31/t in February from $38.77/t in January as less Higher Grade (HG) coal was produced. Overall year-to-date cash costs were at $44.73/t, with KPC's cash cost per tonne YTD, at $49.07/t, and Arutmin's YTD costs running at $35.05/t.

PLN / Antam total receivables reduced slightly to $229.5m in February from $235.6m in January as KPC and Arutmin sales remained high to PLN (payment terms are normally 60-90 days due to administration and umpire samples on quality often requested). Receivables above 90 days decreased to $44.5m in February, down from $67.0m in January.

COVID Update (Numbers from 1st March 2020 to 23rd March 2022):

• • Total Employees: 10,076 (incl. DARMA Henwa & BRMS and Pendopo)

• • Total Outsource Employees: 3.101 (incl. DARMA Henwa & BRMS and Pendopo)

• • Total Employees infected: 4.949 (Employees + Outsource Employees) 2020 - 2022

• • Total Employees recovered: 4.844 (Employees + Outsource Employees)

• • Percentage of employees infected: 37.58%

• • Fatalities due to COVID: 24

• • Total Employees fully Vaccinated: 99.58%

Mine site management at KPC and Arutmin continue to monitor the risk of onsite Coronavirus exposure with regular health screening of mine staff and contractors with preventative quarantining measures enforced where tests deem necessary. Overall production and productivity has remained largely unaffected by these measures throughout the pandemic.

CCOW Status:

Arutmin received its new mining license (IUPK) on 2nd November. The license is for 10 years and will be automatically extended for another 10 years if a downstream project has been constructed within 5 years of the issuance. The tax regime currently is the same as the CCOW except an additional 10% profit share has been added. Please note the land area was reduced based on mined out or undeveloped areas. This will have no material affect on production in the next 10 years.

KPC's extension to IUPK was issued on 9th March for a period up to 10 years, until 31st December 2031. It is in line with PT Arutmin's license above with the fiscal terms the same as PT Arutmin's. The land area has also been reduced but with no material affect on production plans in the next 10 years. Extension for another 10 years is available if a downstream project is constructed within 5 years of the issuance of the IUPK.

We expect the Royalty rates and Corporate tax rates to be confirmed shortly for all IUPK's. Estimates are for Royalty to increase from 13.5% for all coal sales, to between 24%-28% for export coal sales and non domestic PLN sales above $100/t (based on the HBA benchmark) and 14% for domestic sales to PLN. Corporate tax would follow prevailing rates, currently at 22%, down from 45% currently being charged.

Debt Repayment:

Bumi paid interest on Tranche A of $5.5 million in January, representing 7.5%, the Cash interest portion (6.5%) plus the accrued interest (1%) of Tranche A. Bumi also paid $95.9m in principal in January from Tranche A.

April's repayment will be affected not only due to lower Sales in Q1 versus Q4 of last year, but also due to the working capital affect of the export ban, corporate tax payment and the increased sales to PLN

(Receivables have increased). Due to an early declaration of dividends allowing a tax refund, our guidance for the principal repayment in April has increased to $63.6m. We expect to repay all of Tranche A by Q3 in 2022.

Balance as at 10 Jan 2022:

• • Tranche A Balance = $224.4m

• • Tranche B Balance = $882.0m

• • Tranche C Balance = $633.3m

• • CVR = $100.0m

We have appointed BCG to assist us for our discussions on debt restructuring with our lenders.

A business plan (including 3rd party consultant reports), will be available by next week. Lenders / Holders should contact BCG to discuss.

Operations:

Production for 2022. ⁃ KPC: 57MT - 60MT ⁃ Arutmin: 26MT - 29MT

Prices:

⁃ KPC: $100/t - $120/t

⁃ Arutmin: $60/t - $70/t Costs:

⁃ KPC: $37/t-$40/t

⁃ Arutmin: $27/t-$30/t

MCB Conversions:

All remaining year 4 conversions at Rp 73 based on the principal amount have been settled in Feb 22. Interest will be converted in to shares as soon as possible (see announcement published 29th March).

Year 5 principal conversions up to 18th February with a total of $41.47m or 6.86bn shares, have been processed and should be settled by the 28th March.

Year 5 principal conversions from 19th February to 11th March with a total of $61.8m or 10.22bn shares are now in process for conversion. We expect them to be issued by the 2nd or 3rd week of April.

The new reset price valid from 11th December 2021 is Rp80. This conversion price will apply until 10th

December 2022.

For further information, please contact:

Dileep Srivastava

Director & Corporate Secretary PT Bumi Resources Tbk.

Tel	(62-21) 5794 2080
Fax	(62-21) 5794 2070
email	[e-mail]
www.bumiresources.com