Closure Cost

Closure cost refers to the expenses associated with permanently shutting down a facility, such as a mine, factory, or hazardous site. This process involves cleaning up environmental impacts, dismantling equipment, restoring land, and ensuring safety and compliance with regulations. Closure costs are estimated beforehand to cover these activities, helping companies plan financially for the end of a facility’s life. Properly budgeting for closure ensures that resources are available to responsibly transition the site back to a safe and stable condition, minimizing long-term environmental and community impacts.