United States and Ukraine Ink Mineral Agreement: Key Partnership for Strategic Minerals
Revised Article:
- editorial note: This is a breaking story*
Ukraine and the United States have finally inked a significant minerals agreement on April 30, signifying the establishment of a joint investment fund in Ukraine. First Deputy Prime Minister Yulia Svyrydenko made the announcement.
"I want to express my gratitude to everyone who worked towards this agreement and made it valuable. Now, the document is set up in a way that ensures success for both our nations - Ukraine and the United States," Svyrydenko revealed.
Svyrydenko traveled to Washington, D.C. on April 30 to sign the framework agreement on behalf of Ukraine. The document was signed with U.S. Treasury Secretary Scott Bessent in attendance.
The minerals deal's signing followed intensive negotiations that occasionally turned heated. The initial plan to sign the agreement in late February fizzled out following a highly publicized White House spat between President Volodymyr Zelensky and U.S. President Donald Trump.
U.S. officials viewed the agreement as a testament to Washington's ongoing commitment to Ukraine.
"This agreement demonstrates clearly to Russia that the Trump Administration is dedicated to a peace process centered on a free, sovereign, and prosperous Ukraine long term," Bessent expressed in a U.S. Treasury press release.
The agreement doesn't permit any "state or individual who financed or supplied the Russian war machine" to profit from Ukraine's reconstruction, Bessent clarified.
Shortly before the deal was signed, Prime Minister Denys Shmyhal announced that the Ukrainian government had approved the agreement.
"Thanks to this agreement, we will be able to attract substantial resources for reconstruction, initiate economic growth, and receive the latest technologies from partners and a strategic investor in the United States," Shmyhal stated.
The "Reconstruction Investment Fund" will be jointly managed by Kyiv and Washington in an equal partnership, with both sides contributing to the fund. According to Shmyhal, future military aid from the U.S. can count as contributions to the fund, but prior assistance is not included.
"The agreement does not entail any debt obligations," Shmyhal emphasized.
Ukraine will retain "full control over subsoil, infrastructure, and natural resources," the prime minister assured. The establishment of the fund won't obstruct Ukraine's path to membership in the European Union.
Svyrydenko confirmed these stipulations in a social media post, adding that Ukraine's state-owned businesses such as Energoatom and Ukrnafta will retain their state ownership, and the agreement aligns with Ukraine's Constitution.
The fund will exclusively be funded with revenues from newly issued licenses. According to Svyrydenko, 50% of funds from new licenses for projects in the field of critical materials and oil and gas will go to the budget after the Fund is created.
"Revenues from projects already launched or budgeted revenues are not part of the Fund. The agreement refers to future strategic cooperation," she clarified.
The fund's income and contributions won't be taxed in Ukraine or the U.S., she added.
As part of the agreement, the U.S. will aid in attracting additional investments and technologies to Ukraine, Svyrydenko revealed.
According to the Washington Post, which reviewed the latest version of the deal, the agreement does not provide any concrete security guarantees to Ukraine. Instead, it emphasizes a "long-term strategic alignment" between the two nations and pledges U.S. "support for Ukraine's security, prosperity, reconstruction, and integration into global economic frameworks."
The deal includes no mention of the Russian-occupied Zaporizhzhia Nuclear Power Plant (ZNPP), the Washington Post reported. U.S. officials have previously suggested taking control of the facility as part of a future peace deal.
Shmyhal earlier on April 30 stated that the framework agreement, once signed, would be submitted to the Verkhovna Rada for ratification.
Reports suggested that the deal faced a last-minute hurdle on April 30, as disagreements over final terms raised doubts about whether the agreement would be signed, as per the Financial Times.
- The Ukrainian-American minerals agreement, signed on April 30, indicates a setup for a joint investment fund, intended to attract substantial resources for Ukraine's reconstruction and initiation of economic growth.
- In the same context, the Reconstruction Investment Fund, managed equally by Kyiv and Washington, will exclude any state or individual who financed or supplied the Russian war machine from profiting from Ukraine's reconstruction.
- As the framework agreement is being ratified by the Verkhovian Rada, the U.S. will aid in attracting additional investments and technologies to Ukraine, fostering a long-term strategic alignment between the two nations and supporting Ukraine's integration into global economic frameworks.
