We, Ukraine, can still secure “positive” mineral trade, officials say

US President Donald Trump’s hopes to ensure access to Ukraine’s rare earth minerals hit the wall on Saturday after President Voldymee Zelenki refused a bid on the ground because it focused on US interests. I bumped into it.

The outlook for an economic agreement in exchange for Washington’s support for a war-torn country has gained traction in recent days amid a wider deal talk to end the war, but Zelensky has so far The offer filed in the country said it would not provide him with specific security guarantees.

“In our view, we were not prepared to protect us, so we did not let the Minister sign an agreement. The United States proposes to take 50% of the ownership of Ukraine’s important minerals. Reuters reported, citing three people who are familiar with the issue.

Still, officials at the Munich Security Council say there is scope for negotiating a deal that is fascinating for both parties.

US Republican Sen. Lindsey Graham said on Saturday that such a deal could be a “game changer” to resolve the conflict and “nightmare” of Russian President Vladimir Putin.

“This mineral agreement between the US and Ukraine is a game changer because President Trump can go to Americans and say Ukraine isn’t a burden,” Graham said on Saturday.

“If this mineral agreement occurs, it’s a nightmare for Putin, because we have something to protect what we didn’t have before,” he added.

Ukraine has a vast deposit of valuable minerals that are important for the production of high-tech products. The Kyiv School of Economics estimates that the country hosts deposits of 20 of 50 key raw materials, including titanium, lithium and zirconium.

President Trump said he wants $500 billion worth of minerals from Ukraine to reduce his dependence on China, but Zelensky said exploitation needs to be tied to Ukraine’s security guarantees.

Democrat Sen. Chris Koons said on Saturday that the deal could be “positive” for both parties, subject to Kyiv’s security guarantees.

“If this is an investment opportunity for American companies and other European companies to be involved in mining and processing, it will allow them to become independent from Chinese sources of these strategic minerals. Ukraine’s future security…it’s It’s positive,” Coons said.

However, he added that there are several explanations of the “completely different” deal.

Existing US proposals focus on the use of Ukrainian rare earth minerals “as compensation” for funds already provided by the Biden administration, and payments for future support, according to the Associated Press. Officials reported that they were saying it on Saturday.

“The US has made that very clear, their foreign policy is a deal and there’s nothing else,” Binaifer Nowrojee, president of the Open Society Foundation, told CNBC Sunday. Despite this, she said Ukraine remains “a good place to negotiate.”

Ukraine has long been aiming to develop a critical mineral industry, and an agreement with the US can provide the support needed for capital-intensive work in mineral extraction and processing.

Nataliia Shapoval, head of the KSE Institute, is a think tank within the Kyiv School of Economics, compiling a database of key minerals in Ukraine, and if negotiations are made “in good faith”, the contracts will be mutually beneficial to both countries. I agreed to something.

“I want to believe that Ukraine wants a serious economically-based foundation for discussion with Putin. If there are more US investors in Ukraine, there will be more grounds for protecting Ukraine. There will be,” Chapoval told CNBC on a video call Thursday.

Still, she stressed that any agreement requires cooperation with a wide range of deals with Russia to end the fight, including more than compensation.

“If Trump doesn’t plan to use important raw materials as part of the negotiation framework with Russia, if we just think we want compensation for that help, then that’s what It’s a waste of time for everyone involved,” she added.