Ukrainian President Volodymyr Zelenskyy visited Washington, DC, today, February 28th, to discuss a potential agreement regarding U.S. access to Ukraine’s rare earth mineral deposits. News about the potential deal arose earlier this week as President Trump sought financial returns for previous and continued American support of Ukrainian efforts to stave off a Russian invasion.
Under the proposed agreement, which has been emphasized as a ‘framework’ by President Zelenskyy, Ukraine would contribute “50% of all revenues earned from the future monetization of all relevant Ukrainian Government-owned natural resource assets” to a newly created “Reconstruction Investment Fund.” Representatives of the U.S. and Ukraine would manage the fund with the intent of attracting “investments to increase the development, processing, and monetization of all public and private Ukrainian assets.” This includes Ukraine’s rare earth and oil and gas sectors – thereby opening the opportunity for the U.S. to access, and benefit from, rare earth mineral deposits within Ukraine.
In response to the announcement of this potential deal, Abigail Hunter, executive director of SAFE’s Center for Critical Minerals Strategy, released the following statement.
“SAFE is closely monitoring the U.S.-Ukraine minerals-for-aid deal, recognizing its intent to bolster supply chain security and drive economic integration. The real test lies in turning ambition into action: Will the deal deliver the investment, buyers, and infrastructure Ukraine needs to transform resources into new production? Can the United States expand processing capacity to absorb new Ukrainian supply, build the energy infrastructure to power that processing, and reform permitting to make it all possible? Success will also hinge on how both countries navigate low pricing, oversupply, and market manipulation—potentially by leveraging tariffs and allied coordination. Ultimately, transparency, a holistic supply chain strategy, and strong coordination with the private sector will determine whether this agreement achieves lasting benefits for both nations.”
This month, SAFE’s Energy Security Leadership Council (ESLC) sent a letter urging the White House to establish a Minerals Czar to lead a “whole-of-government approach asserting American dominance of critical mineral supply chains imperative to the national and energy security of the United States.” In the letter, the ESLC stressed that a key function of the Mineral Czar’s role could be “balancing domestic and international efforts to maximize benefits to American interests and competitiveness.” This potential deal further highlights the necessity of a formal Mineral Czar position within the White House.
Read the full letter here.