Ukraine and the U.S. have reportedly reached a tentative agreement on a major mineral deal, reports the Kyiv Independent.
On Monday, the newspaper published the full text of the agreement, which it said it had received from a Ukrainian government source.
The deal with the U.S. has been a source of contention, with Ukrainian President Volodymyr Zelenskyy having rejected U.S. President Donald Trump’s initial proposals on the grounds that it did not provide security guarantees for Ukraine.
Reports indicate that the U.S. presented three proposals, with Ukraine rejecting the first two over the absence of security guarantees, even as Washington increased pressure to finalize an agreement.
Speaking to journalists on Monday, Zelenskyy said that the agreement was well received by Ukrainian officials but pointed out that it still lacks explicit security guarantees for Ukraine.
“The important thing is that the agreement mentions ‘partners,’ and this fund is Ukrainian-American, not American,” he said.
On the same day, U.S. Secretary of State Marco Rubio dismissed speculation that Zelenskyy would sign the deal during his trip to Washington on Friday, saying that the terms of the agreement were not yet finalized and negotiations were ongoing.
Trump, while announcing the Washington meeting, was vague about the possibility of U.S. security guarantees. “I’m not going to make security guarantees … very much,” he stated, adding that Europe would take on that responsibility.
He suggested that a U.S. presence in Ukraine’s mineral sector would itself serve as a deterrent, saying, “It’s automatic security because nobody’s going to be messing around with our people when we’re there.”
Trump also framed the deal as beneficial for Ukraine, stating, “It’s a great deal for Ukraine too, because they get us over there and we’re going to be working over there. We will be on the land.”
Also on Monday, The European Union said it had offered its own agreement on critical materials to Ukraine. “The added value Europe offers is that we will never demand a deal that’s not mutually beneficial,” Politico quoted Europe’s Commissioner for Industrial Strategy Stéphane Séjourné as saying.
Key Points Of the Ukraine-U.S. Draft Agreement
- Reconstruction Investment Fund: The U.S. and Ukraine will establish a joint Reconstruction Investment Fund, with details to be outlined in a separate Fund Agreement.
- Revenue Contributions: Ukraine will contribute 50% of revenues from future monetization of its natural resources, including minerals, oil, and gas, to the Fund.
- U.S. Financial Commitment: The U.S. has pledged a long-term financial commitment to Ukraine’s reconstruction, with joint management of the Fund by both governments.
- Exclusion of Adversarial States: The agreement explicitly states that nations or entities that have acted against Ukraine during the conflict will not benefit from its reconstruction. This clause aims to prevent adversarial states, particularly Russia, from profiting through indirect investments, supply chain involvement, or other financial channels.
- Parliamentary Ratification: Ukraine’s parliament must ratify the Fund Agreement before it can take full effect.
- Security Guarantees: The agreement does not currently contain explicit security guarantees for Ukraine, a sticking point in negotiations.
- Investment in Infrastructure: The Fund will invest in projects related to natural resources, infrastructure, and state-owned enterprises.
- Compliance and Sanctions: The agreement must align with Ukraine’s commitments to the European Union, international financial institutions, and ensure that it does not violate existing sanctions.
The deal comes as Russian President Vladimir Putin intensifies efforts to delay Trump’s push for swift negotiations, hoping to capture more Ukrainian territory and forcing Ukrainian troops out of Russian territory before any concrete peace talks begin.
