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The U.S.-Ukraine Mineral Deal Is Now In Peril: What We Know

February 28, 2025
in News
The U.S.-Ukraine Mineral Deal Is Now In Peril: What We Know
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An anticipated deal for Ukraine to hand over natural resources revenues to the United States abruptly fell apart during an explosive shouting match in the Oval Office on Friday, in a dramatic rupture in relations between the two wartime allies.

Mr. Trump and Vice President JD Vance castigated Mr. Zelensky for not being grateful enough for U.S. support, and sought to strong-arm him into making a peace deal. As voices were raised and tempers flared, Mr. Trump threatened to abandon Ukraine altogether if Mr. Zelensky did not go along.

The planned signing of the U.S.-Ukraine agreement did not happen, and Mr. Zelensky left the White House grounds without answering reporters’ questions.

What happened in the Oval Office

The explosive televised shouting match was unlike any seen in the Oval Office between an American president and a foreign leader.

Talking over the Ukrainian leader, Mr. Vance told Mr. Zelensky that it was “disrespectful” for him to come to the Oval Office and make his case. He demanded that Mr. Zelensky thank Mr. Trump for his leadership. Mr. Trump jumped in and told the Ukrainian leader, “You’re not really in a good position right now” and “You’re gambling with World War III.”

“You’re either going to make a deal or we’re out,” Mr. Trump added. “And if we’re out, you’ll fight it out and I don’t think it’s going to be pretty.”

Mr. Zelensky’s hurriedly arranged visit to Washington on Friday was meant to smooth over a rift with Mr. Trump, who has effectively sided with Russia while falsely blaming Ukraine for starting the war and calling Mr. Zelensky a “dictator.”

Minutes after the shouting match, Mr. Trump seemed to call off the rest of the visit.

“I have determined that President Zelensky is not ready for Peace if America is involved, because he feels our involvement gives him a big advantage in negotiations,” he wrote on Truth Social. “I don’t want advantage, I want PEACE. He disrespected the United States of America in its cherished Oval Office. He can come back when he is ready for Peace.”

For President Zelensky, wrapping up a deal with the Trump administration for a share of Ukrainian natural resources would have opened the way for more consequential talks on U.S. military backing and on the terms of a possible cease-fire with Russia.

Terms of the agreement

The mineral deal that is now in jeopardy would have created a U.S.-controlled fund that would receive revenue from Ukraine’s natural resources, according to a draft reviewed by The Times:

  • Ukraine would have contributed to the fund half of its revenues from the future monetization of natural resources and associated infrastructure, such as liquefied natural gas terminals and port infrastructure

  • The fund would not draw on revenue from existing mines, oil wells or other natural resources businesses.

  • The fund would be designed to reinvest some revenues into Ukraine.

  • In a second phase, the two countries would need to negotiate a more detailed plan to set up the fund. Zelensky has said Ukraine’s Parliament would need to ratify this second agreement. “This is important to me,” Mr. Zelensky said. “Between the first step and the second step, we need to understand where we stand with the United States.”

Security guarantee

The draft vaguely referenced security guarantees, but did not signal any specific U.S. commitment to safeguarding Ukraine’s security — a provision Kyiv has vigorously pressed to include as the war with Russia enters its fourth year.

A copy of the agreement obtained Wednesday by The New York Times included a sentence stating that the United States “supports Ukraine’s effort to obtain security guarantees needed to establish lasting peace.” Previous drafts did not include the phrase.

“I’m not going to provide security guarantees beyond very much,” Mr. Trump said during his first cabinet meeting on Wednesday. “We’re going to have Europe do that.”

What Ukraine wants

As Mr. Zelensky prepared to meet with Mr. Trump on Friday morning, he had two things on his mind: getting a seat at the negotiating table with Moscow and assuring safeguards against future Russian aggression.

Mr. Trump has offered Mr. Zelensky no role as yet in talks with Russia that opened this month in Saudi Arabia. Mr. Zelensky has said he will accept no deal without Ukraine’s involvement.

The Ukrainian leader has made clear that the agreement on natural resources — which would grant half the country’s future revenues from oil, natural gas and mining to a fund that is controlled in part by the United States — is not an end in itself. He is seeking continued American support.

The post The U.S.-Ukraine Mineral Deal Is Now In Peril: What We Know appeared first on New York Times.

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