FOREST REHABILITATION AND ECOSYSTEM RESTORATION

A total of 25,874.5 hectares have been rehabilitated through the Innoprise-FACE Rainforest Rehabilitation Project (INFAPRO) and Innoprise-IKEA Tropical Forest Rehabilitation Project (INIKEA). Both projects became a model of forest rehabilitation in this region. They have benefitted locals through employment, enhanced skills and experience and capacity building. Both projects have been accredited with global standards.

---

INNOPRISE-FACE RAINFOREST REHABILITATION PROJECT (INFAPRO) - Where the Apes Roam Free

The Innoprise-FACE Rainforest Rehabilitation Project (INFAPRO) was initiated in July 1992 between Rakyat Berjaya Sdn. Bhd. a wholly-owned company of the Group and Face the Future (Forests Absorbing Carbon Dioxide Emissions) Foundation of the Netherlands. Through a Memorandum of Understanding, the project sought to plant trees to sequester carbon dioxide from the atmosphere.

The project aims to rehabilitate 25,000 hectares (out of the total area of 29,501 hectares) of a severely degraded forest with native species of dipterocarps, non-dipterocarps and forest fruit tree species through enrichment planting and tending of the natural regenerations existing in the logged forest. FACE-the-Future has also invested substantial funding into its research, training and development programme to establish techniques for nursery activities and a suitable planting regime in the field.

Located in the Ulu Segama Forest Reserve, buffering the world-renowned Danum Valley Conservation Area in Lahad Datu, Sabah, INFAPRO has successfully rehabilitated 11,864.5 hectares (47.5 per cent) into nine contracts from 1992 until 2022.

This area has exceptional biodiversity, with animal life comprising the Elephant, the Malaysian Bear, the Orangutan, the Clouded Leopard, and various bird species. Forest rehabilitation activities in this area contribute to the rehabilitation of food availability for primates and insects and, thus, the nutritional source for birds and reptiles.

INFAPRO was certified with the Voluntary Carbon Standards (VCS) by the United Nations Intergovernmental Panel on Climate Change (UNIPCC) in 2011 and the Forest Stewardship Council (FSC) in 2012. It is the first forest project certified by the VCS AFOLU (Agriculture, Forestry and Other Land Use) in Asia.

More than 15 technical reports and 35 publications were produced, and nine post-graduate studies were completed.

For more information on INFAPRO, please visit https://borneoforestheritage.org.my/infapro/

---

INNOPRISE-IKEA TROPICAL FOREST REHABILITATION PROJECT (INIKEA) - The Healing Nature

The Innoprise-IKEA Tropical Forest Rehabilitation Project (INIKEA) is a collaborative project initiated in 1998 by the Sow-A-Seed Foundation of IKEA, Sweden and Innoprise Corporation Sdn. Bhd., the investment arm of the Group.

The project’s primary objective is to enhance biodiversity and assist the recovery process of degraded forests through silvicultural treatments. Native tree species, particularly dipterocarps, non-dipterocarps, and wild fruit trees, have been planted to restore species lost due to logging and fires in 1982 and 1983.

The project is currently in its Fourth Phase (2015-2025), overseeing another 1,600ha to be rehabilitated with more research focus. Out of 18,500 hectares, the project has rehabilitated over 14,010 hectares (75.7 per cent) of forests. Ongoing activities include maintaining planted areas, including weeding, replanting, and road maintenance.

The Group works closely with the Sow-A-Seed Foundation and the Swedish University of Agricultural Sciences (SLU). The Sow-A-Seed Foundation and the Group jointly fund the project, while SLU provides research and technical assistance. The Group manages the project’s day-to-day operations.

INIKEA’s high standards for workers, community rights, and working conditions have impressed independent external auditors from the Rainforest Alliance (United States) when evaluating the project’s performance under its Smartwood Programme.

The project also achieved another milestone when IKEA awarded it the IWAY Certificate in April 2007. This much sought-after certificate is coveted by any IKEA partner for achieving high standards on issues related to the harsh environment, forestry, and social and working conditions, similar to ISO 1400-1.

Since 2005, 65 research projects have been approved and conducted at INIKEA, while in 2023 alone, 81 patrol activities were conducted in INIKEA.

In 2023, the Group and Sabah Wildlife Department jointly organised the first INIKEA Wildlife and Resources Survey. The survey was conducted to gather the current data on wildlife abundance and resource distribution, assess potential threats such as poaching, forest fires, and impacts surrounding land use, and identify opportunities for tourism development and key research questions for future explorations. In addition, the Group uses input from the survey to formulate the INIKEA Strategic Management Plan.

This effort proves fruitful, as recent sightings of wildlife, including Orangutans and Bornean Gibbons, Borneo Pygmy Elephants, and Hornbills, returning to the forests indicate the project’s success in rehabilitating the severely degraded forests.

For more information on INIKEA, please visit https://borneoforestheritage.org.my/inikea/

BIODIVERSITY AND PROTECTED AREAS

DANUM VALLEY CONSERVATION AREA - Borneo Wildlife Paradise

The Danum Valley Conservation Area (DVCA) is a 43,800-hectare Class 1 (Protection) Forest Reserve of undisturbed forest. As one of Southeast Asia’s largest and most intact lowland rainforests, it is widely regarded as one of the most crucial protected areas in the Old World tropics.

The Danum Valley Studies Centre (DVSC), operational since 1986, is situated on the edge of this expansive conservation area. It serves as a hub for research, training, environmental education, and nature tourism.

This pristine virgin rainforest is home to one of the most diverse ecosystems on the planet, making it one of the world’s most ecologically important forests. Researchers have documented at least 121 mammal species, including rare primates such as the Bornean Orangutan and Proboscis Monkey. Other large mammals include the Bornean Pygmy Elephant, Bornean Banteng, Bornean Sun Bear, Bornean Clouded Leopard, Bay Cat, Binturong and various species of Deer.

Additionally, 338 bird species have been recorded, including the Red-Crowned Barbet, eight Pittas (notably the Pitta nympha), and all eight Hornbills found in Borneo.

The rainforest also hosts a rich diversity of wildlife, with 73 fish species, 73 reptile species, and 56 amphibian species. Plant life is equally diverse, with 2,478 species identified, including at least 806 tree species, 15 orchid species, and seven pitcher plant species.

The DVCA’s activities are guided by the Danum Valley Management Committee (DVMC), which includes representatives from relevant State and Federal Government departments, institutions, academia, and NGOs.

In 1984, the DVMC partnered with the Royal Society of the United Kingdom to launch a long-term research programme under the Royal Society’s South East Asia Rainforest Research Partnership (SEARRP). This partnership led to the development of the Danum Valley Management Plan, which is part of the Long Term Forest Management Plan (1984 – 2032).

The multitude of research projects conducted has earned Danum Valley as one of the three leading rainforest research centres in the world, along with La Selva in Costa Rica and Barro Colorado Island in Panama.

As of 2023, 662 research projects have been completed or are currently underway at DVCA. These projects include 175 Post-Doctoral studies, 204 PhD projects, 103 Master’s theses, 46 Bachelor’s projects, and 34 other research initiatives.

Throughout 2023, 133 patrols were conducted within the DVCA, primarily focusing on the regular route between the DVSC and the gate at KM55.

For more information on DVCA, please visit danumvalley.my

---

MALIAU BASIN CONSERVATION AREA - Enchanting Lost World of Borneo

Maliau Basin Conservation Area (MBCA), also known as Sabah's Lost World, is a 58,840 hectares Class I (Protection) Forest Reserve and one of Malaysia's most exceptional wilderness areas with outstanding natural features such as the majestic seven-tiered Maliau Falls, breathtaking Takob-Akob Falls, Giluk Falls and many other spectacular waterfalls seamlessly warrants such an accolade.

Situated in the south-central part of Sabah, the virtually self-contained ecosystem is drained by the Maliau River, which flows out of a gorge in the southeast of the Basin and joins the Kuamut River. It eventually forms one of the headwaters of the Kinabatangan River, Sabah's most vital and significant waterway. Lake Linumunsut, Sabah's only non-oxbow lake, is in a lush lowland dipterocarp forest just outside and below the Basin's steep northern rim.

Maliau's unusual forest types include the rare montane heath forest and lowland and hill dipterocarp forests dominated by majestic Agathis trees. The flora of Maliau is distinct and diverse, including at least ten species of pitcher plants, Rafflesia tengku-adlinii, Rhododendrons and more than 150 species of orchids, several of which are new records for Sabah, including the striking necklace orchid Coelogyne odoardi, endemic to Borneo. MBCA is a tremendously valuable botanical resource. Over 1,800 species of plants are found here, including 41 species mentioned in The International Union for Conservation (IUCN) of Nature's Red List of Threatened Species.

MBCA has 91 rare mammals, including the Bornean Banteng, Clouded Leopard, Bornean Pygmy Elephant, and Proboscis Monkey. It is also home to over 278 bird species, including 20 Bornean endemics such as Bulwer's Pheasant, Bornean Bristlehead, Blue-Headed Pitta, and more than 53 amphibian species.

The Group carries out MBCA's day-to-day management on behalf of an inter-agency Maliau Basin Management Committee, which includes the Sabah Forestry Department, the Ministry of Tourism, Culture and Environment, Universiti Malaysia Sabah, and several other agencies.

In 1999, a joint project was established between the Group and the Danish Cooperation for Environment and Development (DANCED), which was then continued by the Danish International Development Assistance (DANIDA) to formulate the first MBCA Strategic Management Plan. Thus, securing the conservation of Maliau Basin for the benefit of Sabah, Malaysia and the international community are the establishment of the Maliau Basin Studies Centre (MBSC). As a result of the research activities and fieldwork from this project, a total of 57 Technical Assistance Reports have been produced under the DANCED/DANIDA collaboration.

The Centre offers a range of facilities for researchers, visitors, and Maliau Basin field staff. Basic accommodation options include research stations and satellite camps, which vary from camping areas to well-equipped permanent grounds. These are situated in and on the periphery of MBCA, including Agathis, Nepenthes, Ginseng and Belian all connected by a network of trails.

Since 1998, IKEA of Sweden has funded conservation and environmental education initiatives, leading to the creation of an EE complex that includes a hostel, classroom with junior laboratory facilities, research stations, suspension bridges, an observation tower, and the Maliau Skybridge, enhancing both research and local education programmes. They also provided funds to organise environmental education programmes for the schools surrounding MBCA from Keningau to Kalabakan.

MBCA's unique and biodiversity-rich forests, buffer zones and excellent facilities make it an ideal location for protected area management training.

Research activities in MBCA include the Stability of Altered Forest Ecosystems (SAFE) project, a collaboration between the Sime Darby Foundation and The Royal Society's South East Asia Rainforest Research Partnership (SEARRP), and other research collaboration activities with various institutions, such as Universiti Malaysia Sabah (UMS).

To date, over 436 research projects have been completed or are in progress, comprising Post-Doctoral (67), PhD (100), Masters (114), Bachelors (33), and others (122). The research covers various subjects such as flora, fauna, climate, hydrology, phenology, geomorphology, and community.

Throughout 2023, 208 patrolling and surveillance activities were carried out in MBCA to protect and manage the Danum Valley-Maliau Basin-Imbak Canyon (DaMaI) Rainforest Complex. This commitment underscores the importance of safeguarding this vital ecosystem for future generations.

In 2024, the Group and Sabah Wildlife Department jointly organised the Second Maliau Basin Wildlife and Resources Survey. The survey was conducted to gather the most current data on wildlife abundance and resource distribution within the Basin, enhancing ongoing conservation strategies. In addition, the Group uses input from the survey to update the third MBCA Strategic Management Plan.

---

IMBAK CANYON CONSERVATION AREA - The Bornean Hidden Valley

The Imbak Canyon Conservation Area (ICCA), situated north of Maliau Basin, spans an area of 27,599 hectares. In the northern part of the Canyon, a captivating expanse of lowland forest unfolds, cradled by the embrace of towering sandstone ridges that soar to heights of up to 1,000 meters. Contrasting this, the southern domain reveals a rugged mountainous terrain dominated by the majestic pinnacle of Gunung Kuli, proudly standing at an elevation of 1,527 meters.

ICCA has different types of Forests: lowland dipterocarp forest and rare lower montane heath forest, a lower altitude version of kerangas of Maliau Basin, with its particular magical world of small, slender trees, pitcher plants and orchids.

The area is rich in flora and fauna, including medicinal plants. Imbak Canyon is an essential botanical gene bank for conservation and future forest rehabilitation. As a pristine forest, it also forms a vital component in the biodiversity corridor linking the Maliau Basin to the south and Danum Valley to the east. It is also one of the headwaters for Sabah's longest river, the Kinabatangan.

Imbak Canyon stands apart from Danum Valley and Maliau Basin due to its proximity to local communities: the nearest village, Kg. Imbak lies 30 kilometres from the Canyon, and the Sungai, Murut, and Rumanau ethnic groups predominantly inhabit the surrounding area.

In 2009, ICCA was upgraded to a Class I (Protection) Forest Reserve by the Sabah State Legislative Assembly. The Group manages, the day-to-day management of ICCA on behalf of an inter-agency Imbak Canyon Management Committee including the Sabah Forestry Department, Ministry of Tourism, Culture and Environment, and several other government agencies.

The Group and PETRONAS Imbak Canyon Conservation Partnership, established in 2010 aims to promote ICCA as a Centre of Learning for the indigenous community. The focus is on biodiversity conservation, gene-bank conservation as well as the exploration of pharmaceutical and biotechnological potentials. Under the partnership, eight programmes were initiated namely Environmental Education, Public Awareness, Community Outreach, Research, Ethno-forestry Survey and Documentation, Capacity Building, the formulation of ICCA's first Strategic Management Plan and the establishment of the Imbak Canyon Studies Centre.

Imbak Canyon boasts an impressive plant biodiversity, with over 796 species documented. The Canyon is also a sanctuary for 81 mammals, including iconic species such as the Bornean Clouded Leopard, Leopard Cat, Marbled Cat, Proboscis Monkey, and Bornean Pygmy Elephant.

Among its rich biodiversity, 26 species within the canyon are listed under the International Union for Conservation of Nature's (IUCN) Red List of Threatened Species. The area is a haven for birdlife, hosting 245 bird species, characterised by a unique blend of lowland and montane species. The species includes five bird species endemic to Borneo, six species of Pittas, all eight hornbill species native to Borneo, and 20 Flycatchers. The canyon also supports a vibrant aquatic ecosystem, with 22 fish and 155 species of amphibians.

ICCA is conserved both for its function as a gene-bank as well as in helping to protect the quality of our river system. The grounds for protecting ICCA also include biodiversity value (particularly botanical) of forest over typical and ecologically limiting soils. This was illustrated by the discovery in 1992 of a new species of keruing, Dipterocarpus megacarpa.

A total of 86 studies in ICCA have been completed or are in progress, comprising Post-Doctoral (3), PhD (12), Master's (16), Bachelor's (37), and others (18). The research explores various topics such as flora, fauna, climate, hydrology, geomorphology, and community.

Throughout 2023, ICCA conducted 39 patrolling and surveillance activities to protect and manage the Danum Valley-Maliau Basin-Imbak Canyon (DaMaI) Rainforest Complex. This commitment underscores the importance of safeguarding this vital ecosystem for future generations.

In 2024, the Group and Sabah Wildlife Department jointly organised the Second Imbak Canyon Wildlife and Resources Survey. The survey was conducted to gather the most current data on wildlife abundance and resource distribution within the Canyon, enhancing ongoing conservation strategies. In addition, the Group uses input from the survey to update the First ICCA Strategic Management Plan.

For more information on ICCA, please visit https://imbakcanyon.my

---

TALIWAS RIVER CONSERVATION AREA - A Refreshing and Rejuvenating Rainforest Eden

Taliwas River Conservation Area (TRCA), previously known as Taliwas Camp by the Sabah Forestry Department, is located about 36 kilometres from Lahad Datu town, 24 kilometres to the west of Silam Coast Conservation Area, and 45 kilometres to the east of Danum Valley Conservation Area.

TRCA encompasses a large forested area stretching from Sungai Segama to the adjacent Sapagaya Forest Reserve (including Bukit Silam) and the Kawag-Gibong Virgin Jungle Reserve (VJR) near the coast. This expansive area, covering 9,546 hectares, is home to a rare blend of ultramafic and lowland forest.

In the mid-1970s to 1980s, some areas within TRCA were treated either with agroforestry techniques or silvicultural treatments through girdling and enrichment planting by the Sabah Forestry Department before its management was handed over to the Group in 1991.

Today, TRCA is one of the earliest silviculturally treated areas enriched with dipterocarps. Managed by the Group for research, education, training, and ecotourism, the area was upgraded to a Class 1 (Protection) Forest Reserve in 2012.

To further bolster its research and educational initiatives, the Group established the Taliwas River Studies Centre (TRSC) as a hub for activities at Taliwas. The Centre features several infrastructures and facilities, including a nursery and a dipterocarp tree arboretum. Research activities at TRSC have been integrated with recreation and ecotourism initiatives to optimise the Centre’s use.

The easily accessible Taliwas Falls, and the beautiful and serene Pandan Lake, frequented by birds, mammals, and Reptiles create an idyllic outdoor retreat. The soothing, refreshing jungle air, crystal-clear waters, and abundant fish in the Taliwas River make it an ideal destination for families and school retreats focused on outdoor recreation, such as picnics and camping, environmental education, and team-building activities.

With its diverse flora, tranquil lake, and pristine river, TRCA offers visitors a delightful experience. Guests can observe various wildlife, including birds, mammals, and reptiles, while discovering unique plant species.

In 2022, the Group organised the Taliwas River Scientific Exploration to assess the biodiversity, natural resources, and potential of the TRCA. The insights gained from the exploration will contribute to the formulating of strategic plans and guiding ongoing conservation initiatives in the area.

Throughout 2023, 83 patrols were conducted within the TRCA, primarily focusing on the route from TRCA to gate KM55.

For more information on TRCA, please visit https://taliwasriver.my

---

SILAM COAST CONSERVATION AREA - Where the Wildlife of Land and Sea Meet

The Silam Coast Conservation Area (SCCA) is situated within the Coral Triangle and the Sulu Sea. Its coastal forest borders the Darvel Bay, one of the world’s most biologically diverse marine regions and a designated Priority Conservation Area of the Sulu-Sulawesi Marine Eco-region. SCCA spans approximately 8,167.56 hectares and includes the Tumunong Hallu, Bangkuruan Mangrove Forest Reserves, and the nearby Tabun and Saranga islands.

To date, 100 tree species have been documented in the area. Additionally, approximately 63 types of mangroves and associated species have been identified, some rare in Malaysia.

Preliminary wildlife assessments have revealed a variety of resident and migratory birds, with about 60 bird species observed, alongside 25 mammal species. Notable species include the Long-Tailed Macaque, Western Tarsier, Barking Deer, Rusa Unicolour, Great Slaty Woodpecker, White-Bellied Sea Eagle, Rainbow Bee-Eater, Otter, and Pacific Swallow, including the endangered Proboscis Monkey.

The area boasts stunning beaches, with certain sections covered in mangrove trees. The montane ultramafic forest ecosystem of Mt. Silam lies to the rear, while the surrounding crystal-clear waters and magnificent coral reefs enhance its appeal. This combination makes SCCA, located just 15 kilometres from Lahad Datu town, an ideal location for marine-based environmental education and recreational activities, offering visitors a range of activities such as hiking, trekking, bird-watching, snorkelling, kayaking, and event hosting.

Several developments have occurred in SCCA since the Group began to manage it in 2003 as a conservation area. These include the construction of the Shell Silam Coast and Reception Building, staff quarters, researcher’s quarters, jetty, resting hut, public washroom, viewing platform, and staircase for trekking and hiking. Besides infrastructure, SCCA has also established several trails, such as the coastal and five-peak trails.

Throughout 2023, SCCA rangers conducted 15 comprehensive patrols and surveillance activities within SCCA and its surrounding areas, extending their efforts to the proposed marine boundary of the conservation area. In addition to these patrols, SCCA staff also monitor the rehabilitation plot at Tumunong Hallu to ensure its preservation and recovery.

In 2024, Yayasan Sabah Group signed a Memorandum of Agreement with Denmark's Preferred by Nature (PbN). The partnership aims to restore the ecological balance of the SCCA through forest restoration initiatives, ensuring the preservation of the area for future generations.

For more information on SCCA, please visit https://silamcoast.my/

PATROLLING (ENFORCEMENT & MONITORING)

In 2017, the Group signed an agreement with the Sabah State Government (through the Sabah Forestry Department) and the Sabah Environmental Trust (SET) to enhance the protection and management of the Danum Valley-Maliau Basin-Imbak Canyon (DaMaI) rainforest landscape in Sabah.

Under this agreement, a dedicated patrol team was formed to enforce regulations and monitor the area actively. This proactive strategy seeks to establish the DaMaI area as a sustainable and superior management landscape in Sabah as a World Heritage Site.

As part of this partnership, specialised training programmes are implemented to improve the effectiveness of the patrol teams. These programmes include Spatial Monitoring and Reporting Tool (SMART) training and integrating tools like Wildlife Protection Solutions (WPS) Watch and EarthRanger for enhanced data accuracy. These efforts include regular data collection using the SMART system, equipping rangers with necessary tools, setting up and maintaining camera traps, and developing an ongoing monitoring system with regular patrols.

Since the MoU, 817 patrols have been carried out, leading to 66 arrests within the DaMaI area, covering an impressive 323,282.94 kilometres.

ENVIRONMENTAL EDUCATION

Sabah Nature Club (SNC) is an Environmental Education programme contributing to the Group’s commitment to nature conservation. As the first of its kind in Sabah and Malaysia, SNC was officially launched on 7 October 1988 as an extracurricular school activity. The programme aims to enhance the engagement of both teachers and students, with support from the Sabah Education Department, to foster environmental awareness and education among students.

SNC organises various environmental education activities, including Nature Orientation Courses, Sustainable Development Courses for community leaders, and environmental awareness camps and talks. These activities are conducted at Sabah’s conservation areas, such as Danum Valley, Maliau Basin, Imbak Canyon, Taliwas River, Silam Coast, and other rehabilitated sites.

Since its inception, SNC has grown into Malaysia’s largest youth-based environmental movement, with 45,072 accumulated memberships and 201 registered Club members.

For more information on SNC, please visit https://www.yayasansabahgroup.org.my/snc2/index.html

HOSPITALITY AND RECREATION

Visitors to the conservation and rehabilitated areas managed by the Group can experience the rainforest in its undisturbed and rehabilitated state, with diverse and unique flora and fauna. Activities offered to visitors are jungle trekking and waterfalls viewing (which includes the majestic seven-tier Maliau Waterfall or the 80 feet wide Imbak Waterfall), listening to the distinctive "jungle symphony" at different times of the day, bird watching, mammal watching, crystal clear river swimming, nature photography or merely looking at the majestic huge trees and marvel at the amazing view of the tropical rainforest canopy.

Besides providing accommodation and related facilities for researchers, the Danum Valley, Maliau Basin, Imbak Canyon, Taliwas River, Silam Coast, INIKEA and INFRPRO Projects offer several types of accommodation for visitors, resthouses, hostels and camping grounds. Other facilities include a conference room, mini-theatre, EE complex and nature gallery.