Kyiv and Washington are close to finalizing a deal that would grant the United States access to Ukraine’s vast mineral reserves, Ukrainian Deputy Prime Minister Olga Stefanishyna announced on X. “Negotiations have been very constructive, with nearly all key details finalized,” Stefanishyna stated, adding that both sides aim to conclude the agreement swiftly.
The potential deal, first proposed by Ukrainian President Volodymyr Zelensky as part of his “victory plan” presented to Donald Trump last September, aims to secure continued US support for Ukraine amid its conflict with Russia. Former UK Prime Minister Boris Johnson hailed the deal as a “great prize” that could ensure long-term US commitment to Ukraine’s sovereignty.
Ukraine’s Rich Mineral ReservesUkraine holds approximately 5% of the world’s critical raw materials, including 19 million tonnes of proven graphite reserves—essential for electric vehicle batteries—placing the country among the top five global suppliers. Additionally, Ukraine possesses a third of Europe’s lithium deposits, vital for modern battery production, and accounted for 7% of global titanium output before Russia’s invasion. The country also has significant reserves of rare earth metals, used in defense systems, electronics, and renewable energy technologies.
However, Russia currently occupies territories containing resources valued at $350 billion, including 63% of Ukraine’s coal mines and half of its manganese, caesium, tantalum, and rare earth deposits, according to Canadian consultancy SecDev. Dr. Robert Muggah, principal of SecDev, emphasized that controlling these minerals provides Russia with economic leverage while depriving Ukraine of critical revenue.
US Strategic InterestsFor the United States, gaining access to Ukraine’s mineral resources aligns with efforts to reduce reliance on China, which controls 75% of the world’s rare earth production. Recent Chinese export bans on select rare earth minerals have heightened US concerns over supply chain vulnerabilities. White House National Security Advisor Mike Waltz stated that the agreement would strengthen economic ties between the US and Ukraine, supporting long-term growth.
Negotiation ChallengesDespite progress, negotiations have faced hurdles. Zelensky initially rejected a US proposal for a 50% share of Ukraine’s rare earth mineral revenues, a figure Trump justified as reflecting the scale of US aid to Ukraine. A revised US proposal sought full control over the resources, which Zelensky also rejected. Kyiv is advocating for joint exploration projects that would bring advanced mining technologies and investments to Ukraine, boosting job creation and tax revenues.
As talks near completion, the deal represents both an economic opportunity and a geopolitical strategy for both nations. However, its final terms—and their impact on Ukraine’s sovereignty and economy—remain under close scrutiny.
