The aim of this document is to enhance understanding of the various types of closure cost estimates as they relate to mine closure, enabling consistent understanding and communication across the industry, between industry disciplines and with external stakeholders.
- Several types of cost estimates are used to characterise the financial aspects of closure. As understanding of these approaches vary, consistent communication and engagement within companies and with external stakeholders is challenging and limits the industry’s ability to benchmark performance. It is important for mining companies to make clear distinctions between the different types of cost estimates as they serve different purposes.
- The document defines and contextualises the key concepts related to closure costing, accounting and reporting requirements and the purpose of each. The document is intended to provide general conceptual guidance across a wide range of factual circumstances.