Trump's revised investment deal opens a pathway for ukraine's lithium
The Trump administration has provided the authorities in Kyiv with an updated version of the agreement concerning joint investments in Ukrainian mineral deposits, reported the portal Axios, citing its sources. Certain parts of the revised agreement that concerned Ukrainians have reportedly been removed.
Several associates of Ukrainian President Volodymyr Zelensky are encouraging him to accept the revised proposal regarding the extraction of rare earth metals, which the Americans are said to have presented. These associates hope that this way, they can avoid further conflict with Donald Trump, who can then justify continued support for Ukraine. According to Axios sources, an agreement with the USA now seems more likely.
According to a source from the portal, significant amendments have been introduced in the latest version of the agreement, ensuring its compliance with Ukrainian law.
The original document stipulated that 50% of revenue from the extraction of Ukrainian rare earth metals would be transferred to the United States, and the agreement itself would fall under the jurisdiction of New York courts.
Moreover, it was supposed to take precedence over other Ukrainian trade agreements. In the updated version of the agreement, certain parts that concerned Ukrainians have been removed, including the provision about the jurisdiction of New York courts.
Trump very frustrated
Last Sunday, Volodymyr Zelensky rejected the agreement presented by the American side. He said he had prohibited his ministers from signing it because it did not secure Ukraine's interests.
As noted by Axios, Ukrainians were disappointed that the original project did not include security guarantees. In response to these concerns, the portal quotes President's National Security Advisor Mike Waltz's statement on Fox News on Thursday.
Waltz suggested that the United States invest jointly with Ukraine in its economy and natural resources, becoming a long-term partner. He emphasized that this would give Ukraine the strongest security guarantee, far more valuable than additional military aid.
On Thursday, he stated that President Donald Trump is visibly frustrated with President Volodymyr Zelensky's rejection of the proposed joint investment agreement in Ukraine's mineral resources. He suggested that this frustration may be the reason behind the decision to halt arms supplies to Ukraine.
Ukraine has, among other resources, deposits of valuable lithium
Rare earth metals are crucial to several economic sectors, including the automotive, aerospace, and energy industries. Ukraine has, among other resources, large deposits of lithium, often referred to as white gold. This is used to produce batteries for phones, laptops, tablets, and even vacuums. Ukraine also has significant deposits of uranium, titanium, nickel, copper, and cobalt.
According to estimates from "Forbes," the total value of Ukraine's mineral resources reaches approximately 15 trillion US dollars, and its lithium reserves alone are estimated at around 500,000 tonnes. In the first version of the agreement, the USA demanded 500 billion US dollars worth of deposits from Ukraine in exchange for the war support it received from the Americans.
- Currently, most of the production of these elements is controlled by China, with some production being politically unstable and unfriendly to the US countries, such as those in Africa. In the event of a military or economic conflict, the United States could be deprived of access to these raw materials, and the significant impact of supply chain disruptions in seemingly minor matters became evident during the pandemic, explained recently in an interview with money.pl fuel expert Dawid Czopek.
