Independence Group Sustainability Report 2019

Business Critical Risk Management is the process used by IGO’s Executive Leadership Team and Board to identify and manage those risks that pose the greatest threat to our business, including ESG risks. A central methodology is applied to categorise risk. As an outcome, any given risk will fall into one of five categories (‘very low’, ‘minor’, ‘moderate’, ‘major’ and ‘catastrophic’) based on consequential impacts related to health, safety, environment, community, reputation, financial loss or exposure and statutory compliance. As per the IGO Risk Appetite Statement, we will not take action, nor are any of our employees or agents authorised to take action or, through omission, permit circumstances in which IGO assumes or takes a risk that is assessed to fall within the IGO risk category of ‘catastrophic’. IGO may, subject to proper review and the implementation of appropriate controls, and subject to the appropriate level of authorisation, take risks categorised at a risk levels lower than ‘catastrophic’. We are less risk tolerant with regard to the management of occupational health, safety, environment and community (HSEC) risks, and impose a higher standard for these. Specifically, IGO will not permit or accept circumstances in which the potential HSEC risk is assessed to fall within the IGO risk categories of ‘major’ or ‘catastrophic’. Any risk that exceeds IGO’s approved thresholds is deemed a material risk and is subject to review by our Executive Leadership Team and Board. External factors and sustainability related risks affecting IGO are discussed in the 2019 Annual Report. TRANSPARENCY At IGO, we are committed to open and transparent dealings with all our stakeholders. Information on IGO’s operational, financial and sustainability performance is issued in a timely manner through a number of communication channels, including traditional media releases, ASX announcements, social media and community meetings. Where appropriate, we provide responses to stakeholder enquiries and remain an active participant in industry associations. During FY19, tax transparency, human rights and tailings management have been of specific interest to our stakeholders. Tax transparency During the year we released our first Tax Transparency Report for FY18, including detail on our approach to tax strategy and governance, effective tax rates and tax contribution summaries. Our Tax Transparency Report for FY19 will be published in November 2019 and made available on our website. Human Rights IGO support the United Nations Guiding Principles on Business and Human Rights (UNGPs). We support the general proposition that large businesses have a key role in combating modern slavery. We agree that no business should tolerate modern slavery or other serious abuses of human rights in their operations or across their supply chains. IGO is committed to upholding the fundamental human rights of all people we engage with in our business. We aspire to be a business which recognises and respects the rights and dignity of all people by putting in place policies and procedures which aim to stamp out unethical practices from within our global supply chains and by ensuring all our people are free to operate in an inclusive environment regardless of race, religion, marital status, political beliefs or experience. During FY19, we launched our Human Rights Policy, which clearly articulates our goals to undertake the following: • champion and promote a workplace culture which encourages diversity and inclusion without regard to factors such as sex, marital status, race, impairment, religion, political beliefs or social preference; • recognise and respect Aboriginal cultural heritage and work with Aboriginal communities affected by our operations in an open, transparent and collaborative manner to ensure we continue to deliver positive outcomes for all members of these communities; • not tolerate any form of forced labour or servitude including child labour and human trafficking; • comply with our obligations under the Australian Modern Slavery Act 2018 by undertaking risk assessments to identify those parts of our business and supply chains where there is a risk of modern slavery practices taking place and work with our suppliers to improve their standards; • prohibit all forms of corruption and bribery as well as all forms of retaliation, discrimination, harassment, intimidation against any person reporting a breach of this policy; and • focus on continued learning and development for all employees to ensure our business practices are consistent with our values to promote and uphold the rights and dignity of all people. We are actively aware of our obligations under the Australian Modern Slavery Act that establishes the requirement for modern slavery reporting on actions to address modern slavery risks and to publicly disclose this in an annual Modern Slavery Statement. We are currently taking steps to develop our first Modern Slavery Statement, which will be made available on our website in early 2020. Tailings dam management disclosure Tailing storage facilities are reservoirs or dams that store mine tailings. Mine tailings are the fine-grained waste rock material, suspended in a water slurry, that are discharged from an ore processing plant following the extraction of the desired metal or mineral. Inappropriate storage of tailings can lead to safety, health and / or environmental hazards. Given this, IGO supports the need for the public disclosure of tailings storage management practices. In FY19, IGO, like many other listed mining companies in the world, received a letter from the Church of England Pensions Board on behalf of a range of large funds managers seeking additional information regarding the management of our tailings storage facilities. Information related to IGO’s tailings storage facilities is published on our website . IGO SUSTAINABILITY REPORT 2019 — 25

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