EU Promotes Minerals Agreement with Ukraine to Compete with US
Brussels is hinting at a competing agreement in response to Washington's efforts to secure resources from Kiev. Read Full Article at RT.com.
TroibNews 
Brussels is hinting at a potential agreement with Ukraine regarding the nation’s mineral resources, as EU Commissioner for Industrial Strategy Stephane Sejourne stated on Monday, according to Agence France-Presse.
This new proposal stands in competition with a previous deal sought by former US President Donald Trump, who had requested the “equivalent of $500 billion” worth of natural resources in return for financial assistance to Kiev during its ongoing conflict with Russia.
Sejourne mentioned that the discussion about “critical materials” took place during a visit from an EU delegation to Kiev on Monday. He asserted, “Twenty-one of the thirty critical materials that Europe needs can be supplied by Ukraine as part of a win-win partnership,” emphasizing that the EU “would never ask for an agreement that is not mutually beneficial.”
In the prior year, Ukrainian President Volodymyr Zelensky had suggested that the US could gain preferential access to Ukrainian natural resources in line with his ‘victory plan.’ However, he declined to accept two proposals from the Trump administration that would have given the US 50% ownership of Ukraine’s rare-earth minerals, which led Trump to condemn it as a breach of trust.
Zelensky has made clear that Ukraine is pursuing a mutually beneficial “partnership” and will not simply transfer control of its natural resources, insisting on the inclusion of security guarantees in any agreement.
A revised proposal put forth last Friday outlines that the US would retain 100% ownership of the suggested fund and gain all financial returns from it, as reported by the New York Times. Under this plan, Ukraine is expected to contribute 50% of its future mineral extraction revenues to the fund, along with earnings from ports and other infrastructure.
Ukraine has since proposed a modification to the fund's valuation, arguing that the $500 billion figure was excessive, though the new draft does not provide specific security guarantees for Kiev.
Last Saturday, Trump remarked that the deal was “pretty close” and emphasized the need to finalize an agreement soon.
Before the escalation of the conflict in 2022, Ukraine boasted Europe’s largest reserves of titanium and lithium. While these metals are not classified as rare-earth elements, they are crucial for the defense industry and for manufacturing batteries and capacitors. Ukraine's rare-earth metal deposits also include beryllium, manganese, gallium, uranium, zirconium, graphite, apatite, fluorite, and nickel.
Forbes Ukraine estimated in 2023 that the country’s mineral resources are valued at approximately $14.8 trillion and comprise around 111 billion metric tons, predominantly consisting of coal and iron ore. However, the publication noted that over 70% of these resources are situated in the Donetsk and Lugansk regions, which declared independence from Ukraine in 2014 following the Western-backed Maidan coup in Kiev. These areas came under Russian control after the residents voted to join Russia in 2022.
Mathilde Moreau for TROIB News
This new proposal stands in competition with a previous deal sought by former US President Donald Trump, who had requested the “equivalent of $500 billion” worth of natural resources in return for financial assistance to Kiev during its ongoing conflict with Russia.
Sejourne mentioned that the discussion about “critical materials” took place during a visit from an EU delegation to Kiev on Monday. He asserted, “Twenty-one of the thirty critical materials that Europe needs can be supplied by Ukraine as part of a win-win partnership,” emphasizing that the EU “would never ask for an agreement that is not mutually beneficial.”
In the prior year, Ukrainian President Volodymyr Zelensky had suggested that the US could gain preferential access to Ukrainian natural resources in line with his ‘victory plan.’ However, he declined to accept two proposals from the Trump administration that would have given the US 50% ownership of Ukraine’s rare-earth minerals, which led Trump to condemn it as a breach of trust.
Zelensky has made clear that Ukraine is pursuing a mutually beneficial “partnership” and will not simply transfer control of its natural resources, insisting on the inclusion of security guarantees in any agreement.
A revised proposal put forth last Friday outlines that the US would retain 100% ownership of the suggested fund and gain all financial returns from it, as reported by the New York Times. Under this plan, Ukraine is expected to contribute 50% of its future mineral extraction revenues to the fund, along with earnings from ports and other infrastructure.
Ukraine has since proposed a modification to the fund's valuation, arguing that the $500 billion figure was excessive, though the new draft does not provide specific security guarantees for Kiev.
Last Saturday, Trump remarked that the deal was “pretty close” and emphasized the need to finalize an agreement soon.
Before the escalation of the conflict in 2022, Ukraine boasted Europe’s largest reserves of titanium and lithium. While these metals are not classified as rare-earth elements, they are crucial for the defense industry and for manufacturing batteries and capacitors. Ukraine's rare-earth metal deposits also include beryllium, manganese, gallium, uranium, zirconium, graphite, apatite, fluorite, and nickel.
Forbes Ukraine estimated in 2023 that the country’s mineral resources are valued at approximately $14.8 trillion and comprise around 111 billion metric tons, predominantly consisting of coal and iron ore. However, the publication noted that over 70% of these resources are situated in the Donetsk and Lugansk regions, which declared independence from Ukraine in 2014 following the Western-backed Maidan coup in Kiev. These areas came under Russian control after the residents voted to join Russia in 2022.
Mathilde Moreau for TROIB News
