Ukraine and US reach agreement on mineral development amid security talks

Kyiv and the Washington have reached an agreement granting the US access to Ukraine's vast mineral resources, following a tense exchange between US President Donald Trump and Ukrainian President Volodymyr Zelensky.
While the specifics of the deal remain unclear, there are key questions about the financial stakes and whether the deal will include security guarantees for Ukraine. The deal could be signed by Trump and Zelensky in Washington this week, according to AFP.
A Joint Fund
Trump had previously demanded compensation for US aid provided to Ukraine during the Biden administration, specifically seeking $500 billion—four times the amount Washington has spent on aid since Russia's invasion in February 2022, which currently totals $120 billion, according to the Kiel Institute.
Zelensky rejected this demand, stating he wouldn’t agree to an accord that would burden future generations of Ukrainians with such a massive debt.
A Ukrainian source familiar with the negotiations revealed to AFP that this demand was removed in the latest draft of the deal. The new version suggests that the US and Ukraine will jointly develop Ukraine’s mineral resources, with the revenues directed into a US-Ukrainian fund.
"They removed clauses that weren’t acceptable to us, especially the $500 billion compensation," the source told AFP.
Security provisions
Ukraine has insisted that any deal include long-term, robust security guarantees to deter future Russian aggression. Zelensky had previously proposed exchanging access to Ukrainian natural resources for security assurances as part of his five-point Victory Plan, presented in October last year.
Ukraine continues to seek NATO membership, but this option has been ruled out by the US, as it remains a sensitive issue for Russia. The idea of deploying foreign peacekeeping troops during a ceasefire has also been rejected by the US, while European nations remain divided on the matter.
The draft of the agreement on mineral resources may contain a general reference to Ukraine's security, but without offering concrete guarantees. The Ukrainian source indicated that discussions are still ongoing, with a broad commitment to invest in a "stable and prosperous sovereign Ukraine," and mentions of "lasting peace" and US support for "security guarantees."
What Minerals?
Ukraine possesses about 5% of the world's mineral resources, many of which are untapped or located in areas under Russian control. The country is a significant producer of manganese (ranked 8th globally), titanium (11th), and graphite (14th), which is essential for electric vehicle batteries.
Ukraine holds 20% of the world’s estimated graphite resources, according to France's Bureau of Geological and Mining Research. It also claims to have one of Europe’s largest lithium deposits, though this soft metal is not yet being extracted.
Ukraine states that six known deposits of rare earth metals could be developed with an investment of $300 million. One of these, at Novopoltavske, is reportedly among the world’s largest. However, this site is currently under Russian occupation, and Moscow has made it clear that it will not relinquish control of territories seized since the 2022 invasion of Crimea, annexed in 2014.
Russian President Vladimir Putin has expressed support for US investments in these Russian-occupied regions.
The Shevchenko deposit, containing lithium, tantalum, niobium, and beryllium, lies near the front lines in Pokrovsk, an area where Russian forces have been gaining ground against Ukraine’s defenders.