Ukrainian officials have announced that Kyiv is now ready to sign a framework agreement with the US to jointly develop its mineral resources, including oil and gas. The deal comes after the US dropped its earlier demand for a right to $500bn in potential revenue from exploiting Ukraine’s resources a proposal that had provoked outrage in Kyiv and other European capitals.
According to Olha Stefanishyna, Ukraine’s deputy prime minister and justice minister who led the negotiations, the revised agreement establishes a fund into which Ukraine will contribute 50% of the revenues from the future monetisation of its state-owned mineral resources, including oil, gas, and associated logistics. Importantly, this fund will not cover resources already contributing to government coffers, such as those from Naftogaz and Ukrnafta.
While the final text lacks explicit security guarantees a key demand from Ukraine in exchange for agreeing to the deal the officials argued that the more favourable terms signal a broadening of ties with the US, aimed at bolstering Ukraine’s prospects after three years of war. The agreement is seen as a stepping stone toward a larger strategic framework, with Ukrainian leaders hinting that it could pave the way for further discussions on security and economic cooperation.
The deal, dated February 24 and currently awaiting final ratification by Ukraine’s parliament, leaves several crucial details to be ironed out in follow-up negotiations, including the size of the US stake in the fund and the terms of joint ownership. Ukrainian officials have stressed that no revenues will change hands until the fund is fully established, providing time to resolve any remaining issues.
The framework agreement comes at a time when Ukraine seeks to solidify its long-term relationship with Washington, following a period during which the US was its primary military aid donor. The agreement also represents a shift in the Trump administration’s earlier, more aggressive proposals, and is seen by Ukrainian leaders as part of a larger picture that could include enhanced US economic support.
White House press secretary Karoline Leavitt emphasized that it is “critical that this deal is signed,” while Ukrainian officials have hinted at a potential signing ceremony at the White House in the coming weeks.
