President Trump says Ukrainian leader Volodymyr Zelenskyy is ready to sign a deal with the U.S. to provide valuable minerals in exchange for what Ukraine is hoping will be additional military aid to help defend against Russia's advances, as the war in Ukraine enters its fourth year.
Zelenskyy described it as a preliminary step toward a broader agreement. "The priority is not to lose the U.S. as a main guarantor of security for Ukraine," he said.
A draft of the agreement calls for Ukraine to contribute half of all revenues from minerals, hydrocarbons, oil, natural gas "and other extractable materials" to a Reconstruction Investment Fund, jointly owned and managed by the U.S. and Ukraine to be "reinvested at least annually in Ukraine to promote the safety, security and prosperity of Ukraine."
The U.S. "supports Ukraine's efforts to obtain security guarantees needed to establish lasting peace," the agreement reads. However, it doesn't specify who would provide those guarantees or what shape they would take.
Ukraine — described by the World Economic Forum as "a key potential supplier of rare earth metals" — is believed to hold about 5% of global rare-earth metal reserves, a group of 30 substances classified as "critical raw materials" by the European Union.
"Ukraine is a significant player in a wide range of minerals that are of interest to the U.S.," said Robert Muggah, principal at SecDev, a geopolitical risk consultancy. However, he cautions that "the scale of extractable critical minerals in Ukraine is likely vastly overstated."
Muggah co-authored a report for the Center for International Relations and Sustainable Development (CIRSD), a public policy think tank, which found that most of Ukraine's mineral wealth is located in the "Ukrainian Shield," spanning territories like Luhansk, Donetsk, Zaporizhzhya, and Dnipropetrovsk — regions that are largely under Russian control.
The Center for Strategic and International Studies (CSIS) highlights that the war has decimated critical infrastructure, including nearly half of Ukraine's power-generation capacity. Mining, one of the most energy-intensive industries, faces major obstacles, with companies hesitant to invest in the face of ongoing security risks.
With these factors in mind, here's a look at five key minerals that may be involved as part of a deal:
Titanium
China is the world's largest producer of titanium, but Ukraine ranks among the top ten for proven reserves and accounts for 7% of global production. Other major suppliers include Russia, Mozambique, Australia, and Canada. The U.S. mines relatively small quantities of titanium in Nevada, Utah and Virginia.
The metal's strength-to-weight ratio and resistance to heat make it crucial for aerospace. For example, titanium is used in the F-35 Joint Strike Fighter's bulkheads and engine parts to withstand the high temperatures generated during supersonic flight. During the 1960s, the U.S. had to secretly source titanium from the Soviet Union to build the SR-71 spy plane.
Before Russia's invasion, Ukraine was a key supplier of titanium to the military sector.
In 2023, Ukraine sold its largest titanium producer to a private company that operates two major titanium mines in Dnipropetrovsk and Zhytomyr, according to the Kyiv Post.
Lithium
Chile, Australia and China are the leading producers of lithium, a metal vital for high-tech lithium-ion batteries used in everything from smartphones to electric vehicles. Lithium is also used in producing ceramics, glass, and alloys. Batteries alone represents 80% of total demand.
Ukraine holds one of Europe's largest lithium reserves, estimated at 500,000 tons, or approximately 3% of global total reserves. However, none of Ukraine's lithium is being mined at present. Mining would require hundreds of millions in investment.
Muggah notes that approximately 25% of Ukraine's lithium deposits are located in Russian-occupied regions, and the invasion has halted further investment in extraction. Ukraine's reserves are found in petalite ore, a more complex and costly material to extract than spodumene, the primary ore used by other lithium producers. According to Ukraine's Anticorruption Action Center, extracting lithium from petalite is a technologically intensive and capital-heavy process.
Graphite
China dominates graphite production, accounting for over 75% of the global supply, and also holds the largest reserves. Ukraine, however, is thought to have one of the largest graphite deposits in the world, though its production is minimal, contributing just 0.5% of global output in 2020.
Graphite is a key material in steel production and is used for things like brake pads, gaskets, and clutches in the automotive industry.
Nickel and Cobalt
Nickel, a silvery-white metal used in alloys like stainless steel, is critical in battery and jet engine production. The Democratic Republic of Congo is the largest producer of cobalt, an important metal used in rechargeable battery electrodes and a range of other commercial and industrial applications.
Nickel and cobalt are often found together in mining. Indonesia, Russia and Australia are among the top producers of nickel. In 2022, Ukraine ranked 69th in cobalt production, exporting just $41,400 worth of the metal.
Both cobalt and lithium are essential for electric vehicle production.
Ukraine's mineral reserves represent a significant but largely untapped resource. Given the ongoing conflict and its impact on infrastructure, securing long-term investments in these critical materials remains a challenge. However, with the potential to supply the U.S. and Europe with essential minerals, Ukraine's resources may play an important role in the global market for years to come.
Copyright 2025 NPR