The Company wishes to announce that Rahman Hydraulic Tin Sdn Bhd ("RHT"), an 80%-owned subsidiary, has received a directive from the Perak Department of Minerals and Geosciences ("JMG Perak") to temporarily suspend its mining operations with effect from 12 August 2026.
The directive follows a site inspection conducted by JMG Perak after an extreme rainfall event on 3 August 2026, during which approximately 60mm of rainfall was recorded within one hour. The extreme rainfall exceeded the maximum design intensity of 50mm for RHT's existing drainage and retention pond infrastructure, resulting in damage to certain drainage facilities and the retention ponds being overwhelmed.
Under normal operating conditions, RHT operates a closed loop water management system with no routine discharge of process water from its mining operations into the nearby river. Process water is retained and recirculated within the mine's reservoirs, while water quality is managed through lime dosing to neutralise acidity and regular sampling conducted at designated monitoring points within the mine.
RHT has commenced the necessary repair and upgrading works and is engaging with JMG Perak on a comprehensive remedial action plan. The temporary suspension will remain in effect until further notice from JMG Perak.
As the duration of the suspension is subject to clearance by JMG Perak, the financial impact on the Group cannot be determined at this juncture.
The Group's tin smelting operations, which form a separate core business segment, are not affected by the directive and continue to operate as usual.
This announcement is dated 18 August 2026.
