Ukraine Signs Long-Awaited Minerals Deal With U.S.

Latest Developments

• Washington Gains Share of Revenue From Ukrainian Minerals: The United States and Ukraine signed a long-awaited agreement on April 30 that will channel half the Ukrainian government’s revenue from new natural resources projects into an investment fund jointly operated by both parties. Ukraine will retain full ownership of the relevant resources, which include oil and gas as well as 55 different critical minerals, among them lithium, uranium and titanium. Kyiv says the fund will be “jointly managed by Ukraine and the United States,” with neither party holding a “dominant vote,” and all profits will be “reinvested into Ukraine” for the fund’s first 10 years. The two sides left these details to be hammered out in follow-on technical negotiations.
• U.S. Committed to ‘Sovereign, Prosperous Ukraine’: U.S. Treasury Secretary Scott Bessent heralded the deal as a clear signal to Russia that the “Trump administration is committed to the peace process centered on a free, sovereign and prosperous Ukraine over the long term.” Kyiv hopes the deal will lead the United States to provide Ukraine with additional military aid, which will be counted as part of Washington’s contribution to the joint fund.
• Russian Attacks After Deal Signed: Fighting continued in the immediate aftermath of the deal’s announcement. A Russian drone and missile barrage targeted the Ukrainian port city of Odesa, killing two and injuring 15 people. The Kremlin has continued to dismiss U.S. and Ukrainian calls for an immediate, 30-day ceasefire. 

FDD Expert Response

“There are multiple reasons why this is a good deal both for Ukraine and the United States. It ties their economies closer together, underlines American support for Ukraine as an independent and sovereign nation, allows the United States to diversify its sources of critical minerals, and provides Ukraine with revenue to purchase American munitions, thereby boosting our defense manufacturing. Beyond that, the deal should be seen as a component of a broader strategy to halt the Russian war machine and send a message to Putin’s Axis of Aggressor partners in China, Iran, and North Korea.” — Clifford D. May, Founder and President

“Ukraine has delivered the agreement President Trump has been asking for. But he should remember that this deal will be worthless unless Ukraine can achieve the secure, durable peace needed to enable reconstruction. Washington and its allies must provide Kyiv with the military assistance it needs, now and after the war ends, to make that peace a reality.” — John Hardie, Russia Program Deputy Director

“The mineral deal marks a positive step in the right direction. With the ball now in Putin’s court, Trump should put pressure on Moscow to make a move towards a ceasefire. Given Putin’s skill in exploiting his opponents’ vulnerabilities, Washington has to brace itself for Moscow’s inevitable propaganda campaign, which will likely depict the United States as a nefarious ‘imperialistic’ and ‘colonial’ actor.” — Ivana Stradner, Research Fellow

FDD Background and Analysis

“Putin ‘has to be dealt with differently,’” by Clifford D. May

“How Trump Should Answer Putin’s Foot-Dragging,” by John Hardie

“On Crimea and Russia Sanctions Relief, Congress Has Leverage,” by John Hardie, Peter Doran, Matthew Zweig, and Nick Stewart

“Yes, step up the pace on Ukraine peace — with fresh consequences if Putin resists,” by John Hardie