Provisions and events after the reporting period

During the year Peterlee acquired an iron ore mine at a cost of $6 million. In addition, when all the ore has been extracted (estimated ten years’ time) the company will face estimated costs for landscaping the area affected by the mining that have a present value of $2 million. These costs would still have to be incurred even if no further ore was extracted.
How should this $2 million future cost be recognised in the financial statements?

A Provision $2 million and $2 million capitalised as part of cost of mine
B Provision $2 million and $2 million charged to operating costs
C Accrual $200,000 per annum for next ten years
D Should not be recognised as no cost has yet arisen

I know that A is the correct answer. My question is: how do you account for provision in the first year and further.
Cash is down by 6 m. fixed assets are up by 6 m. So how do you account for provision?