<p>JAKARTA, Feb 27 (Reuters) - Palm oil company First Resources Ltd  (FRLD.SI)  paid $5.6 million to the Indonesian government “in connection with the land areas that have been handed over” to the government, the company said on Friday in its 2025 financial statements.</p>
<p>Here are some details:</p>
<ul>
<li>The Singapore-based company said it paid “administrative charges amounting to $5.6 million” to the Indonesian government last year related to land it was told to hand over to the state “arising from regulatory changes in spatial planning within the forestry sector.”</li>
<li>A government task force last year seized 4.1 million hectares of land where plantations are accused of operating illegally in forest areas, targeting major palm oil companies and smallholder farmers alike, and has said it will seize more land.</li>
<li>The Forestry Ministry had named First Resources units as having illegal operations.</li>
<li>First Resources said it may have to pay charges for areas that have been identified by the task force but not yet been handed over, though it cannot determine the amount for now. It did not say how much of its land had been seized and may still be seized.</li>
<li>First Resources said it produced 1.3 million tons of crude palm oil in 2025, up about 30% from 2024. It also produced 289,999 tons of palm kernel in 2025, up 32% from the previous year.</li>
<li>Indonesia is the world’s biggest producer of palm oil. It has a total of 16.8 million hectares of palm oil plantations.</li>
<li>Some 1.7 million hectares of the plantations seized by the task force were transferred to state-owned company Agrinas Palma Nusantara, transforming the firm from an infrastructure services company to the world’s largest palm oil company by area.</li>
</ul>

First Resources pays $5.6 million to Indonesia related to seized palm oil plantations