Egypt Daily News – Ukraine has agreed to a deal to jointly develop its critical rare earth minerals, oil, and gas with the United States, a move the White House views as essential for reaching a ceasefire with Russia.
The Ukrainian Cabinet is expected to recommend signing the deal on Wednesday, according to sources who requested anonymity while discussing private deliberations. The White House did not immediately respond to a request for comment.
U.S. President Donald Trump pressured his Ukrainian counterpart, Volodymyr Zelensky, to accept the deal after it was first presented by Treasury Secretary Scott Bissett in Kyiv earlier in February. However, Zelensky initially rejected it, saying it did not provide security guarantees.
The sources stated that the minerals agreement does not include any security guarantees. However, U.S. officials argued that linking Ukraine to the United States through economic ties would provide a de facto security shield. A more detailed agreement is expected to be reached later.
The deal could give Trump a way to encourage his supporters to continue backing Ukraine, especially if Washington needs congressional approval to send additional aid while negotiations with Russia continue. Ukraine still relies on its allies in the U.S. and Europe for weapons and ammunition.
Trump has stated that he wants the equivalent of $500 billion in revenue from rare earth minerals, which are primarily used to produce high-strength magnets. However, despite reports of $10 trillion worth of mineral deposits, Ukraine does not have large reserves of internationally recognized economically viable minerals.
Apart from rare earth minerals, Ukraine has some commercial mines for critical metals like titanium and gallium. While these are important, they are unlikely to be worth the amounts Trump envisions.
Even if Ukraine had economically viable deposits, the West would still face a greater challenge. Most countries must send the rare minerals they extract to China for refining, as China dominates the processing of these materials.
