The US has signed a deal with Kyiv to share profits from the future sale of Ukraine’s mineral and energy reserves, after months of tense negotiations.
The deal aims to provide an economic incentive for the US to continue to invest in Ukraine’s defence and reconstruction, as well as to address Washington’s concerns over the amount of aid it has already contributed.
Ukraine is believed to have vast reserves of critical minerals like graphite, titanium, and lithium. They are highly sought after because of their use in renewable energy, military technology, and infrastructure.
US Treasury Secretary Scott Bessent said it showed both sides were committed to lasting peace and prosperity in Ukraine.
The deal will also see the establishment of an investment fund to spur Ukraine’s economic recovery from the war.
According to the statement from the US Treasury on Wednesday afternoon, the newly created US-Ukraine Reconstruction Investment Fund recognises the “significant financial and material support” the US has given Ukraine since Russia invaded in February 2022.
The US Treasury secretary said in a video statement that the deal would help “unlock Ukraine’s growth assets”.
The language of the announcement shows much more solidarity with Ukraine than is usual for the Trump administration.
It refers to “Russia’s full-scale invasion” and adds that “no state or person who financed or supplied the Russian war machine will be allowed to benefit from the reconstruction of Ukraine”.
The Kremlin has not yet responded to the agreement.
Ukraine’s Deputy Prime Minister Yulia Svyrydenko, who flew to Washington to ink the deal on Wednesday, said in a post on X that the new fund would “attract global investment into our country”.
Listing the deal’s provisions, she said it would involve projects in minerals, oil, and gas, although the resources would remain the property of Ukraine.
The partnership will be equal, on a 50:50 basis, she added, and must be ratified by lawmakers in Kyiv.
Under the deal, the US would contribute new assistance to Kyiv, she added, including, for example, air defence systems.
