Half of Ukraine’s future revenue from its natural resources, including minerals, oil and gas, will go into a fund co-owned by the United States, as part of the new bilateral agreement between the two countries, Ukrainian media has reported.
Volodymyr Zelenskyy, Ukraine’s president, called the deal a “framework agreement” but said it “can be a big success.”
U.S. President Donald Trump said that the deal would be signed by both parties on Friday in Washington.
While the apparent agreement does not give Ukraine any security pledges in the case of a peace deal with Russia, the deal – published in full by the Kyiv Independent website – notes that the U.S. “supports Ukraine’s efforts to obtain security guarantees needed to establish lasting peace.”
At the heart of the document is the joint U.S.-Ukrainian fund, dubbed the Reconstruction Investment Fund. It will collect revenue from Ukraine’s natural resources but will reinvest in Ukraine, too, according to the text.
Details around how the fund will work are to be set out in a future treaty, which would need to be ratified by the Ukrainian parliament.
Although light on detail, this agreement is key to Kyiv’s push to win over Trump’s robust support as the U.S. president strives to clinch a rapid end to the war with Russia that Ukraine’s supporters fear could come at the expense of its national interests.
Trump has been pushing for the U.S. to have access to Ukraine’s resources in return for financial and military support provided during the last three years of conflict.
Ukraine resources to fuel fund
Ukraine, under the terms of the deal, will give the fund 50% of “all revenues earned from the future monetization of all relevant Ukrainian Government-owned natural resource assets,” the document, as published by the Kyiv Independent, says.
These assets are defined in the text as “deposits of minerals, hydrocarbons, oil, natural gas and other extractable materials” as well as related infrastructure, such as liquefied natural gas terminals and ports.
The fund will apparently reinvest the money mainly, but not exclusively, in those same industries, with the aim of increasing “the development, processing and monetization of all public and private Ukrainian assets.”
The deal notes that the “timeline, scope and sustainability” of Ukraine’s contribution to the fund would be set out in a future agreement.
It also says that the agreement does not apply to current sources of revenue which “are already part of the general budget revenues of Ukraine.”
‘Not a final agreement’ – Zelenskyy
“It is too early to talk about money in the final agreement with the U.S.,” he said. “This is a framework agreement.”
He added: “Ukraine will allocate funds to the fund from new revenues, but for now, there is nothing to reimburse or contribute. That’s because there is no final treaty on the Fund yet.
“That agreement will be more complex and serious, covering partnerships, finances, and obligations. Unlike the current deal, the next treaty will require ratification by the Ukrainian Parliament.”
Despite these reservations over the financing of the deal, Zelenskyy added that the agreement “can be a great success” although that depends on conversations with Trump.
He also said that he would be pushing for security guarantees for Ukraine to be included in any further bilateral agreements with the U.S.
Recognition of US aid
While concrete security guarantees are absent, the bilateral agreement – as printed in the Kyiv Independent – is described in the document as a key aspect of a future peace settlement for Ukraine.
Its preamble also recognizes that the U.S. “has provided significant financial and material support to Ukraine since Russia’s full-scale invasion of Ukraine in February 2022.”
Washington and Kyiv “desire a lasting peace,” the document says, adding they wish to ensure that countries “that have acted adversely to Ukraine in the conflict do not benefit from the reconstruction of Ukraine following a lasting peace.”
