PM Shmyhal: Ukraine, US poised to sign mineral resources deal within 24 hours

Ukraine and the United States are expected to finalise and sign an agreement on mineral resources within the next 24 hours, according to Ukrainian Prime Minister Denys Shmyhal.

Speaking on Ukrainian television channel Rada, Shmyhal said both sides were in the process of completing the final details, Caliber.Az reports via foreign media. 

“As soon as all the remaining points are agreed, I hope the agreement will be signed within the next day,” he said.

Under the terms of the deal, Ukraine will allocate 50% of the revenues from all new mining licences and royalties into a joint investment fund with the United States.

Shmyhal also noted that the latest US military assistance package to Ukraine will be counted as Washington’s contribution to this joint fund.

"The mineral resources agreement with the United States will be an entirely equal partnership: the investment fund will operate on a 50/50 basis in terms of both governance and financing," Shmyhal told reporters.

According to the Prime Minister, contributions to the fund will be made in cash. However, the U.S. side will also be permitted to count new military aid to Ukraine as part of its contribution.

Shmyhal added that under the agreement, Ukraine will transfer 50% of the revenues from new mining licences and resource royalties into the joint fund.

"Ukraine retains full control over all its assets. That means subsoil, infrastructure, and natural resources are not part of, nor conditions for, this fund or the agreement," Shmyhal said.

"Ukraine will contribute by allocating revenues from new licences and royalties on mineral extraction. That will be our contribution—50% of which will go into this joint fund," he added.

By Aghakazim Guliyev