INDEPENDENCE GROUP NL SUSTAINABILITY REPORT 2018

BEYOND COMPLIANCE STATUTORY COMPLIANCE IGO has a governance process for identifying statutory non‑ compliance as well as non- conformance with IGO policies and procedures. This process includes systematic audits to objectively verify conformance with our sustainability standards and legal obligations. Our operations have continued to update legal compliance registers in FY18 to improve this process. In FY18, IGO received no fines or non-monetary sanctions. As at the time of publication, IGO is not involved in any material litigation. In FY18, IGO received four notices from the Western Australian Department of Mines, Industry Regulation and Safety. These required various modifications to our systems to further improve workforce safety. All corrective actions associated with these improvement notices are either complete or on target for completion by the due date. In FY18, IGO received no improvement notices in respect of environmental performance at any of our operations. In FY18, IGO’s internal processes identified a range of minor non- compliances with our policies and procedures. While these are important to the effective management of our business at an operational level (and corrective actions are pursued to completion), none were regarded as material from the perspective of IGO as a whole, nor were any material to our external stakeholders. STAKEHOLDER FEEDBACK In FY18, IGO received no material or re-occurring complaints from any of our stakeholders in respect of nuisance or harm that we were seen to have caused. The public stakeholders with which we continue to be most actively involved, and those that provide IGO with most feedback, are the Traditional Owners of the land on which we operate and our host pastoralists. IGO endeavors to be responsive to concerns raised, and we are confident that we have established positive and effective working relationships. Modern Slavery refers to institutional slavery that continues to exist in present day society. It is estimated that over 20 million people are victims of modern day slavery. In June 2018, the Modern Slavery Bill 2018 was introduced to the Australian Parliament. The Bill seeks to establish a requirement that certain large businesses and other entities in Australia make annual public reports (Modern Slavery Statements) on their actions to address modern slavery risks in their operations and supply chains. In line with the UN Guiding Principles on Business and Human Rights (UN Guiding Principles), IGO supports the general proposition that large businesses have a key role in combating modern slavery. No business should tolerate modern slavery or other serious abuses of human rights in their operations or supply chains. Subject to there being constraints on the administrative and cost burden of compliance, IGO would welcome the introduction of legislation that has the effect of requiring the publication of a Modern Slavery Statement that includes: 1. The entity’s structure, its operations and its supply chains. 2. The modern slavery risks present in the entity’s operations and supply chains. 3. The entity’s policies and process to address modern slavery in its operations and supply chains and their effectiveness (such as codes of conduct, supplier contract terms and training for staff). 4. The entity’s due diligence processes relating to modern slavery in its operations and supply chains and their effectiveness. In anticipation that a variant of the existing Bill will receive bipartisan support and become law, IGO is currently reviewing its circumstances to map out how we might rapidly achieve compliance. MODERN SLAVERY IGO SUSTAINABILITY REPORT 2018— 33