We refer to our announcements made on 10 October 2023, 11 October 2023, 20 June 2024, 10 October 2024 and 10 April 2025 pertaining to the Industrial Tree Planting Agreement (“ITPA” or “Agreement”) entered into between Focus Lumber Berhad (“the Company” or “FLB”) and Rakyat Berjaya Sdn Bhd (“RBSB”).

The Board of Directors (“the Board”) of FLB wishes to announce that the Plantation Development Plan (“PDP”) was approved by the Sabah Forestry Department (“SFD”) on 9 September 2025.

In addition, SFD has issued the Coupe Permit on 23 May 2024 for a period of fifteen (15) years and expires on 22 May 2039 which is subject to renewal until the end of the concession period. Notwithstanding the issuance of the Permit, commencement of operations remains contingent upon finalisation of the Environmental Impact Assessment (“EIA”).

However, commencement of work is still pending the approval of the EIA. The EIA has not yet been finalised due to ongoing discussions and revisions between Forming Plantation Sdn. Bhd. (“FPSB”) and the Environmental Protection Department (“EPD”), aimed at aligning the report with the EPD’s requirements and recent updates.

The Company expects to fulfil and comply with all requirements set by the SFD, RBSB and EPD within six (6) months, thereby enabling the commencement of harvesting activities.

In view of the above, the Company had vided its letter dated 7 October 2025, informed RBSB that the Company will commence the managing and planting under the Industrial Tree Plantation within the next six (6) months, i.e. by 7 April 2026.

The Company is currently constructing the access infrastructure to the designated area as stipulated in the ITPA.

This announcement is dated 8 October 2025.