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US Proposes Expansive Minerals Deal with Ukraine
Revised Agreement Without Security Guarantees
The Trump administration has proposed a new minerals deal with Ukraine, expanding the original terms significantly. According to sources familiar with the negotiations and a summary of a draft proposal obtained by Reuters, the updated proposal does not include future U.S. security guarantees but requires Ukraine to allocate all income from its natural resources to a joint investment fund.
Expanded Terms Beyond Initial Negotiations
The new proposal exceeds the terms discussed prior to last month’s Oval Office meeting between U.S. President Donald Trump and Ukrainian President Volodymyr Zelenskiy. Treasury Secretary Scott Bessent has been leading negotiations for the United States, though he has not responded to requests for comment.
U.S. Seeks Financial Stake in Ukraine’s Future
President Trump has stated that the minerals deal would help secure a peace agreement by giving the U.S. financial interests in Ukraine. He also views it as a means for the U.S. to recover some of the tens of billions of dollars provided in financial and military aid since Russia’s invasion three years ago.
Official Responses to the Proposal
National Security Council spokesperson James Hewitt declined to confirm the specific terms but described the deal as a step toward strengthening U.S.-Ukraine relations. The Ukrainian Ministry of Foreign Affairs has not yet commented. Zelenskiy acknowledged that the U.S. has proposed a “major” new deal, but noted that the terms are still under review. He also mentioned that Washington is “constantly” adjusting the terms but emphasized that Kyiv does not oppose the deal.
Key Financial Terms of the Proposal
- The U.S. would have first rights to purchase resources extracted under the agreement.
- Ukraine would be required to repay all U.S. aid provided since 2022, plus a 4% annual interest rate, before gaining access to fund profits.
- The joint investment fund would be managed by the U.S. International Development Finance Corporation (DFC).
- The board overseeing the fund would have five members: three appointed by the U.S. and two by Ukraine.
- Funds generated would be converted into foreign currency and transferred abroad.
Comparison to Earlier Proposals
A previous version of the deal proposed that Ukraine contribute 50% of profits from state-owned natural resource extraction and collaborate with the U.S. to develop its mineral sector. The latest proposal expands on these terms, shifting more financial control to the U.S.
Next Steps in Negotiations
Treasury Secretary Bessent recently told Fox News that the U.S. has sent a “completed document for the economic partnership” and hopes to finalize discussions and secure signatures in the coming week.
If accepted, this agreement would mark a significant shift in U.S.-Ukraine relations, prioritizing financial returns over long-term security commitments.
“US Proposes Expansive Minerals Deal with Ukraine” “US Proposes Expansive Minerals Deal with Ukraine” “US Proposes Expansive Minerals Deal with Ukraine” “US Proposes Expansive Minerals Deal with Ukraine”