Ukraine and the USA signed an agreement on minerals, — Svyrydenko

This was reported by Deputy Prime Minister Yuliya Svyrydenko.

The agreement stipulates the following:

1. Full ownership and control remain with Ukraine.

All resources on our territory and within territorial waters belong to Ukraine. The Ukrainian state determines where and what to extract. The subsoil remains under Ukrainian ownership — this is enshrined in the agreement.

2. Equal partnership.

The fund is created on a 50/50 basis. We will manage this Fund jointly with the USA. Neither party will have a prevailing vote, and this reflects the equal partnership between Ukraine and the United States.

3. National ownership is protected.

The agreement does not imply changes in privatization processes or the management of state companies — they will continue to belong to Ukraine. Companies such as "Ukrnafta" or "Energoatom" remain state-owned.

4. No debts.

The agreement does not include any mention of debt obligations of Ukraine to the USA. The implementation of the agreement will allow both countries to increase their economic potential through equal cooperation and investment.

5. The agreement complies with the Constitution and does not change the European integration course.

The document is consistent with national legislation and does not contradict any international obligations of Ukraine. Importantly, the agreement will signal other global players that cooperating with Ukraine is reliable in the long term – for decades.

6. The fund will be filled exclusively with revenues from new licenses.

This refers to 50% of funds from new licenses for projects in the field of critical materials and oil and gas that will be received by the budget after the creation of the Fund. Revenues from already started projects or planned budget revenues are not included in the Fund. The agreement refers to further strategic cooperation.

7. Legislative changes — only targeted ones.

For the Fund’s functioning, only changes to the budget code are foreseen. The Agreement itself should be ratified by the Verkhovna Rada.

8. The USA will help attract additional investments and technologies.

The Fund is supported by the US government through the DFC agency, which will help us attract investments and technologies from funds and companies both in the USA and the EU and other countries that support our fight against the Russian enemy. The transfer and development of technologies — is an important component of the Agreement, as we need not only investments but also innovations.

9. The agreement provides tax guarantees.

Revenues and contributions of the Fund are not taxed in either the USA or Ukraine to ensure that investments yield the maximum results.

How will the Fund work?

The USA contributes to the Fund. In addition to direct funds, they can also provide it with NEW assistance — for example, air defense systems for Ukraine.

Ukraine contributes 50% of the state budget revenues from NEW rent on NEW licenses on NEW sites. Ukraine may also make additional contributions, apart from this basic one, if deemed necessary. This is about cooperation for decades ahead.

Then the Fund invests in projects related to the extraction of minerals, oil, and gas, as well as in related infrastructure or processing. Specific investment projects for fund allocation will be jointly determined by Ukraine and the USA. Importantly, the Fund can invest exclusively in Ukraine.

Ukraine expects that for the first 10 years the profits and revenues of the fund will not be distributed but can only be invested in Ukraine — in new projects or reconstruction. These conditions will be further discussed.