U.S.-Ukraine Critical Minerals Deal Finalized—Here’s What’s Inside

The United States and Ukraine have finalized the terms of a bilateral agreement on critical minerals. The preliminary document outlines the framework for future investments and development licenses rather than current extraction.

The deal is positioned as part of Ukraine’s broader reconstruction efforts and economic security strategy, with Washington and Kyiv aiming to ensure that adversarial states do not benefit from Ukraine’s post-war recovery.

Negotiations on the agreement have been ongoing for months, evolving from initial proposals that sparked controversy. U.S. President Donald Trump had pushed for a resource-for-aid exchange, suggesting Ukraine should provide rare earth minerals in return for continued U.S. assistance.

However, Kyiv rejected terms that would have compromised its economic sovereignty. The final version of the agreement establishes a reconstruction investment fund, with Ukraine committing a share of future revenues from mineral extraction, while the U.S. pledges contributions to support infrastructure and economic recovery.

The agreement, expected to be signed in Washington in the presence of Presidents Volodymyr Zelenskyy and Donald Trump, marks a significant step in Ukraine’s effort to secure strategic partnerships for post-war reconstruction. However, questions remain about the security guarantees Ukraine has sought to tie to the deal.

The full text of the U.S.-Ukraine Minerals Deal

BILATERAL AGREEMENT ESTABLISHING TERMS AND CONDITIONS FOR A RECONSTRUCTION INVESTMENT FUND

WHEREAS the United States of America has provided significant financial and material support to Ukraine since Russia’s full-scale invasion of Ukraine in February 2022;

WHEREAS the American people desire to invest alongside Ukraine in a free, sovereign, and secure Ukraine;

WHEREAS the United States of America and Ukraine desire a lasting peace in Ukraine and a durable partnership between their two peoples and governments;

WHEREAS the United States of America and Ukraine recognize the contribution that Ukraine has made to strengthening international peace and security by voluntarily abandoning the world’s third-largest arsenal of nuclear weapons;

WHEREAS the United States of America and Ukraine wish to ensure that those states and other persons that have acted adversely to Ukraine in the war do not benefit from the reconstruction of Ukraine following a lasting peace;

NOW, THEREFORE, the Government of the United States of America and the Government of Ukraine (each, a “Participant”) hereby enter into this Bilateral Agreement Establishing Terms and Conditions for a Reconstruction Investment Fund to deepen the partnership between the United States of America and Ukraine, as set forth herein.

1. The Governments of Ukraine and the United States of America, with the aim of achieving lasting peace in Ukraine, intend to establish a Reconstruction Investment Fund (Fund), partnering in the Fund through joint ownership, to be further defined in the Fund Agreement. Joint ownership will take into consideration the actual contributions of the Participants as defined in Sections 3 and 4. The Fund will be jointly managed by representatives of the Government of Ukraine and the Government of the United States of America. More detailed terms pertaining to the Fund’s governance and operation will be set forth in a subsequent agreement (the Fund Agreement) to be negotiated promptly after the conclusion of this Bilateral Agreement. The maximum percentage of ownership of the Fund’s equity and financial interests to be held by the Government of the United States of America and the decision-making authority of the representatives of the Government of the United States of America will be to the extent permissible under applicable United States laws.

   • Neither Participant will sell, transfer, or otherwise dispose of, directly or indirectly, any portion of its interest in the Fund without the prior written consent of the other Participant.

2. The Fund will collect and reinvest revenues contributed to the Fund, minus expenses incurred by the Fund, and will earn income from the future monetization of all relevant Ukrainian Government-owned natural resource assets (whether owned directly or indirectly by the Ukrainian Government), as defined in Section 3.

3. The Government of Ukraine will contribute to the Fund 50 percent of all revenues earned from the future monetization of all relevant Ukrainian Government-owned natural resource assets, defined as deposits of minerals, hydrocarbons, oil, natural gas, and other extractable materials, and other infrastructure relevant to natural resource assets (such as liquified natural gas terminals and port infrastructure) as agreed by both Participants, as may be further described in the Fund Agreement.

   • For the avoidance of doubt, such future sources of revenues do not include the current sources of revenues that are already part of the general budget revenues of Ukraine.

   • Timeline, scope, and sustainability of contributions will be further defined in the Fund Agreement.

   • The Fund, in its sole discretion, may credit or return to the Government of Ukraine actual expenses incurred by the newly developed projects from which the Fund receives revenues.

   • Contributions made to the Fund will be reinvested at least annually in Ukraine to promote the safety, security, and prosperity of Ukraine, to be further defined in the Fund Agreement. The Fund Agreement will also provide for future distributions.

4. Subject to applicable United States law, the Government of the United States of America will maintain a long-term financial commitment to the development of a stable and economically prosperous Ukraine. Further contributions may be comprised of funds, financial instruments, and other tangible and intangible assets critical for the reconstruction of Ukraine.

5. The Fund’s investment process will be designed to invest in projects in Ukraine and attract investments to increase the development, processing, and monetization of all public and private Ukrainian assets including, but not limited to, deposits of minerals, hydrocarbons, oil, natural gas, and other extractable materials, infrastructure, ports, and state-owned enterprises as may be further described in the Fund Agreement.

   • The Government of the United States of America and the Government of Ukraine intend that the investment process will lead to opportunities for distribution of additional funds and greater reinvestment, to ensure the sufficient supply of capital for the reconstruction of Ukraine as set out in the Fund Agreement.

   • The Participants reserve the right to take such action as necessary to protect and maximize the value of their economic interests in the Fund.

6. The Fund Agreement will include appropriate representations and warranties to ensure that any obligations the Government of Ukraine may have to third parties, or such obligations that it may undertake in the future, do not sell, convey, transfer, pledge, or otherwise encumber the Government of Ukraine’s contributions to the Fund or the assets from which such contributions are derived, or the Fund’s disposition of funds.

7. The Fund Agreement shall be ratified by the Parliament of Ukraine according to the Law of Ukraine “On International Treaties of Ukraine.”

8. The Fund Agreement will pay particular attention to control mechanisms that ensure compliance with sanctions and other restrictive measures.

9. The text of the Fund Agreement will be developed without delay by working groups chaired by authorized representatives of both governments.

10. Security guarantees: The Government of the United States of America supports Ukraine’s efforts to obtain security guarantees needed to establish lasting peace. Participants will seek to identify any necessary steps to protect mutual investments, as defined in the Fund Agreement.

11. This Bilateral Agreement is binding and will be implemented by each Participant according to its domestic procedures. The Government of the United States of America and the Government of Ukraine commit to proceed forthwith to negotiate the Fund Agreement.

Signed on 25 February 2025 in English and Ukrainian languages, both texts are equally authentic.