Global Review: Financial assurance governance for the post-mining transition

This report outlines the current state of—and global leading practices in—mine closure financial assurance to support post-mining transition governance for IGF members.

By Raina Hattingh, Rob Stevens, Matthew Bliss on August 31, 2021

Governments worldwide are struggling with the impacts and associated human and financial resources needed to manage a multitude of existing orphaned or abandoned mines. This, together with the knowledge that many operating mines are nearing closure and have the potential to generate further long-term liabilities if not adequately reclaimed, has placed renewed urgency on identifying and implementing the most appropriate processes, approaches, and mechanisms for accurately determining a site’s closure costs and the required financial assurance.

This report has been compiled in support of the Intergovernmental Forum on Mining, Minerals, Metals and Sustainable Development’s (IGF’s) continued effort to promote, train, and support its member governments around international good practices on the post-mining transition. It provides the outcomes of a review of publicly available information and engagement with industry players on the approaches followed across various global country leaders in determining closure costs and the associated financial assurances, as well as key instruments and mechanisms used to make provision for this assurance.

Report details