Munich: Ukrainian President Volodymyr Zelenskiy has voiced strong reservations over a proposed minerals agreement with the United States, stating that the draft deal does not include the necessary security provisions for Ukraine. Meanwhile, sources have revealed that Washington has put forward a proposal seeking ownership of 50% of Ukraine’s critical minerals.
The negotiations highlight the complex diplomatic challenges Zelenskiy faces as he seeks to gain the support of Donald Trump while securing long-term security assurances from the United States, especially as Trump continues to push for an end to the war with Russia.
President Volodymyr Zelenskiy said a draft minerals deal with Washington did not contain the security provisions that Kyiv needed. Three sources said the US proposed taking ownership of half of Ukraine's critical minerals https://t.co/MYZiqx9ypx pic.twitter.com/ktTnNjw8cZ
— Reuters (@Reuters) February 16, 2025
U.S. Proposes 50% Ownership of Ukraine’s Critical Minerals
The proposal was presented by U.S. Treasury Secretary Scott Bessent during his visit to Kyiv on Wednesday. This followed Zelenskiy’s earlier outline of an agreement that could open Ukraine’s vast mineral resources to American investment, two sources familiar with the matter confirmed.
While Kyiv has not publicly disclosed the content of the talks, Ukrainian officials stated on Friday that they had submitted a revised draft of the agreement to their U.S. counterparts.
Addressing reporters about his concerns, Zelenskiy stated:
“It’s not in our interest today, not in (the) interest of (a) sovereign Ukraine.”
He emphasized the absence of clear security guarantees in the document:
“There are not very concrete things about security guarantees in this document. That for me is very important: the connection between some kind of security guarantees and some kind of investment.”
Zelenskiy’s government has made it clear that any economic deal must be tied to firm security commitments from the U.S. to prevent future Russian aggression once a peace settlement is reached.
Bessent, however, has defended the proposal, suggesting that it could serve as a “security shield” by strengthening economic ties between the U.S. and Ukraine.
Zelenskiy Declines to Sign Deal Amid High-Stakes Talks
Two sources confirmed that Zelenskiy refused to sign the U.S. draft on Wednesday, as it proposed giving Washington a 50% stake in Ukraine’s critical minerals. A third source characterized the U.S. request as “very bold”, extending to at least half of Ukraine’s strategic resources, including rare earth minerals, over an extended period.
A key point of contention was that the U.S. proposal reportedly contained no security assurances for Ukraine. According to the first two sources, Zelenskiy believes the draft was crafted by the U.S. embassy in Kyiv rather than being a fully negotiated agreement.
Trump, who has yet to commit to continuing military assistance for Ukraine, has stated that Washington should receive $500 billion worth of rare earth minerals in exchange for its support. The minerals at stake could include essential resources like titanium, uranium, lithium, and various rare earth elements.
Talks Continue Without a Deal
A high-level meeting between Zelenskiy and a U.S. delegation led by Vice President JD Vance at the Munich Security Conference on Friday ended without an agreement. Earlier that day, during a closed-door discussion with a bipartisan group of U.S. senators, Zelenskiy reportedly expressed frustration over the proposal.
One source, speaking anonymously, described Zelenskiy’s reaction:
“He felt he was being asked unreasonably to sign something he hadn’t had a chance to read. I don’t think he appreciated being given a take-it-or-leave-it thing.”
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During the discussion, Zelenskiy reiterated his own vision for a minerals deal, structured to align with Ukraine’s constitutional framework. Two sources familiar with the matter described the U.S. proposal as “one-sided.”
When asked if Zelenskiy viewed the proposal as unbalanced, Democratic Senator Brian Schatz responded, “I think that’s fair to say.”
Strategic Importance of U.S.-Ukraine Economic Ties
British Foreign Minister David Lammy, a strong supporter of Kyiv, weighed in on the debate, stressing that binding U.S. industry, business, and defense capabilities into Ukraine’s economic future would provide the strongest deterrent against Russian aggression.
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“That is what will make Putin sit up and pay attention, and that is what’s attractive to a U.S. president who knows how to get a good deal,” Lammy said.
As discussions continue, Ukraine faces a difficult balancing act—securing economic investment from its allies while ensuring that any agreement includes the security guarantees necessary to safeguard its sovereignty.
