Both Ukrainian President Volodymyr Zelensky and US President Donald Trump have confirmed that the former will visit the White House on Friday (Feb 28) to sign the minerals deal. 

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Trump is demanding to strike a deal with Ukraine to give access to its rare earth minerals as compensation for receiving aid of billions of dollars from the US under the presidency of former president Joe Biden amid war.

Zelensky said that revenues generated under the resources deal would be deposited in a fund shared by Ukraine and the US. He added that Kyiv would not be “a debtor” over war aid provided to his country under the Biden administration.

Ukraine also said it wants security guarantees. However, the US president said that he will not be making “security guarantees to Ukraine beyond very much,” suggesting European nations take that responsibility because of geographical proximity.

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What does the deal include?

The draft agreement seeks the establishment of a “reconstruction investment fund” that will be managed by both the US and Ukrainian governments.

According to the deal, Kyiv would contribute 50 per cent of the revenues from the future state-owned natural resources projects into the fund, and the money will be reinvested in other developments.

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The deal will exclude existing “deposits, facilities, licenses and royalties” related to Ukraine’s natural resources, Prime Minister Denys Shmyhal said.

“We are only talking about future licenses, developments, and infrastructure,” he said.

The draft agreement not only includes minerals and rare earths but also covers Ukraine’s other natural resources, including oil and gas. It will also include other infrastructure linked to those sectors, like ports or LNG terminals.

(With inputs from agencies)