Water Risk Assessment & Exposure We assess water-related risks across our construction sites and operating assets based on how water is used in our operations, supported by external references and local operating conditions. While external references such as the World Resources Institute Aqueduct tool generally classify the areas in which we operate as low water stress, this does not fully reflect operating conditions in Malaysia. In practice, water availability is influenced by factors such as reserve margins, raw water quality, treatment capacity, and short-term supply disruptions. Our exposure is therefore driven more by service reliability and system resilience rather than physical water scarcity. In Selangor and the Klang Valley, where a significant portion of our operations are located, supply conditions have become more sensitive in recent years due to tighter reserve margins, exposure to raw water pollution incidents, and higher demand during peak periods. At the same time, demand continues to increase due to urban growth, industrial activity and higher usage intensity, which places additional pressure on existing supply systems, particularly during periods of higher consumption. We rely predominantly on treated municipal water across our operations. Our water consumption is concentrated within Tropicana Golf & Country Resort (“TGCR”) , which are irrigationdependent and represent our most water-intensive operations. While TGCR is not a primary contributor to our revenue or profitability, it is where most of our water use sits and therefore where our exposure is highest. At TGCR, water consumption in FY2025 totalled 224.88 Mega Liter (“ML”), of which approximately 45.25 ML was sourced from groundwater, with the remaining majority supplied by treated municipal water. While groundwater provides some level of supplementation, TGCR remains largely dependent on treated supply for its operations. As a result, our water profile is characterised by a recurring dependence on treated water for non-potable uses, particularly irrigation. This creates ongoing demand on a shared public resource and gives rise to the following key risk considerations. The table below summarises water consumption by operational category. Risk Area Description Supply reliability Potential disruption to water supply due to system constraints, pollution incidents or tighter reserve margins, which may affect continuity of construction and operational activities. Operational impact at TGCR Reduced water availability may affect irrigation, turf condition and landscape quality at TGCR, requiring adjustments to maintenance and operating practices. Cost exposure Exposure to increases in water tariffs and operating costs, particularly at TGCR where water usage is concentrated. Policy, regulatory and demand pressures Evolving policies and increasing demand may result in tighter operating conditions, including potential restrictions and greater expectations to adopt alternative water sources. Reputational and stakeholder expectations Increased scrutiny on the use of treated water for irrigation and amenity purposes, particularly during periods of tighter supply. To date, we have not experienced any material disruption to our operations arising from water supply. Water-related risks are also not expected to have a material impact on our financial position or performance in the short to medium-term, reflecting our limited financial reliance on water-intensive assets relative to our core property development activities. However, given the concentration of water use at TGCR and its continued reliance on treated municipal supply, tighter supply conditions or sustained periods of higher demand may affect how this asset is operated over time and require us to adapt our operating approach accordingly. Water-related considerations may also be influenced by broader weather patterns, including prolonged dry periods and changes in rainfall distribution, as discussed in the Climate Change section of this Sustainability Statement. AR 2025 | SUSTAINABILITY 166
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