ADVERTISEMENTKyiv and Washington announced that they have signed an agreement for the exploitation of minerals, gas and oil in Ukraine.
This agreement aims to create an environment conducive to the continuation of economic growth of the two countries, via an American-Ukrainian investment fund.
“With the United States, we create a fund that will attract global investments in our country”wrote Ioulia Svyrydenko, Ukrainian minister of the Economy, on X.
The agreement has many variables, which the minister has detailed in a long series of messages.
All land and sea resources located on what is defined as Ukrainian territory will remain under the control and property of Ukraine.
Kyiv also reserves the right to determine what to extract and where, stressing that the basement remains the property of the State, a term inscribed in the agreement.
The fund must be created equally and will be managed jointly by Ukraine and the United States. None of the parties will have a majority vote, which testifies to a real egalitarian partnership based on mutual gain, cooperation and respect.
The agreement will not impose any change in the classification of legal recordings of companies. Companies such as Ukrnaftta and Energoatom will remain public.
The agreement does not mention any Ukrainian financial obligation to the United States.
He intervenes after US President Donald Trump has given up on demanding that the agreement served to reimburse Washington the billions of dollars in aid already paid since the start of the Russian invasion of Ukraine in February 2022.
Ukrainian Prime Minister Denys Chmyl praised the agreement, describing it as successful, because the American president had previously demanded the equivalent of $ 500 billion (442 billion euros) on rare land revenues.
The implementation of the agreement will allow the two countries to strengthen their economic potential thanks to common cooperation.
No interference with the integration of the EU
The agreement is in accordance with the Ukrainian Constitution and does not change the course of European integration. The document complies with national legislation and does not contradict any of Ukraine’s international obligations.
-Kyiv says hoping that this agreement will show other countries that Ukraine is a reliable world player and that it will underline its intention to cooperate with its partners and conclude long -term agreements for the decades to come.
50 % of funds from new licenses for projects in the field of rare materials, petroleum and gas, will be transferred to the budget after the creation of the fund.
ADVERTISEMENTRevenues from projects already underway or budgetary income is not included in the fund.
The agreement also obliges Washington to help attract more investments and technologies to Kyiv. The fund will be directly supported by the United States government through its International Development Finance Company (DFC).
Technology has been emphasized as an important element of the agreement, because Ukraine considers that it is important to obtain not only capital, but also in innovation.
The income generated by the fund will not be taxed
Fund’s income and contributions will not be imposed in the United States or Ukraine, so that investments produce the best possible results for both parties.
ADVERTISEMENTThe two countries will contribute to the funds. Ioulia SvyryDenko specifies that in addition to direct funds, Washington can choose to provide additional support in the form of weapons, such as air defense systems.
Kyiv will also make its share of work and, if necessary, will pay a contribution greater than the 50 % agreed to income generated by new rents and new licenses.
The Common Fund will then invest capital in minerals related projects and other natural resources, as well as in related infrastructure.
Specific investment projects must be decided jointly by Ukraine and the United States. However, the agreement stipulates that these investments must be made exclusively in Ukraine.
ADVERTISEMENTUS Treasury Secretary Scott Bessent said in a video published on X that “This partnership allows the United States to invest alongside Ukraine, to unlock Ukraine growth assets, to mobilize American talents, capital and governance standards that will improve Ukraine’s investment climate and accelerate the economic resumption of Ukraine.”
The two countries claim that the agreement is designed as a long -term joint investment, planned to last decades.
