The administration of President Donald Trump and the Ukrainian authorities have reached a “framework” agreement on rare minerals, according to the Financial Times. Under the deal, Ukraine will invest half of the proceeds from the sale of these minerals into a special fund managed by Americans.
Notably, the agreement does not include any mention of security guarantees, which Ukrainian President Volodymyr Zelensky had insisted on. The deal is expected to be signed soon at the White House, and the U.S. sees it as a first step towards peace.
After Zelensky rejected an earlier proposal for rare mineral control with the U.S., both sides agreed on a deal on February 24, which includes a provision for Ukraine to contribute half of the profits from rare minerals into a fund managed by the U.S.
This fund, conceptualized by Trump, would amount to about $500 billion in rare earth metals, which could help finance future U.S. military aid while covering previous costs. Trump stressed that the U.S. could not continue to provide large sums of money to Ukraine without receiving something in return.
While Zelensky had previously offered rare earth metals as part of a “Victory Plan,” it was unclear whether they would be exchanged for weapons or sold to the U.S. at preferential rates.
The agreement does not address Ukraine’s natural reserves, like those of Naftogaz and Ukrnafta, and no discussions on gas or oil are included. Despite Ukrainian demands for security guarantees in exchange for rare minerals, these provisions were excluded from the agreement.
The rare minerals deal is part of a broader agreement, as confirmed by Ukrainian Justice Minister Olha Stefanishyna, who led the negotiations for Kyiv. The deal is now awaiting approval from Ukraine’s parliament before it takes effect.
