Below is the publication of February 18, 2025 of the weekly bulletin of our business collection in Ukraine. To get the biggest news in business and technology from Ukraine directly to your box, agree here.
Ukraine's natural resources — We'll take them all please
It all seemed to go first. President Volodymyr Zelensky had deceived Republicans and US President Donald Trump with a sweet deal in Ukraine’s “Critical Minerals”. Trump seemed to take the bait, telling the world that he would make a deal with Ukraine on “rare lands and other things” in exchange for support.
Then Trump comes out saying that in fact, he would like the US to be paid for the $ 350 billion he had given Ukraine for its war effort – a number that does not correspond to reality. US aid for Ukraine since the beginning of the occupation is about $ 100 billion, most of which have gone to pay the US for weapons sent to Ukraine.
Trump also claimed at the time that Kyiv was “essentially agreed” for a $ 500 billion resource agreement. “I told them that I want the equivalent of the rare $ 500 billion land (minerals), and they have essentially agreed to do so,” the US president said in an interview with Fox News on February 10th.
For the public, the deal seemed to be quickly turning into Ukraine – the country that was occupied – asking them to pay damages for an ally.
The floods seemed to be opened when US Treasury Secretary Scott Bessent appeared in Kyiv with a memorandum with a page of the style of understanding with the terms of the agreement proposed by the US.
While the content of the agreement was not revealed to the public, what we discovered very soon was that Bessent asked Zelensky to sign in the country, but the Ukrainian President refused, wanting more time to review the agreement, and respectively because the document did not mention No security guarantees in exchange for Ukraine resources.
In the coming days, the reports emerged with the details of the proposed agreement.
Here’s what we know: The Trump administration is reported to be seeking a 50% interest in all natural resources of Ukraine – not only critical minerals, but valuable natural resources such as oil and gas, as well as potentially port shares and other critical infrastructure, by creating an investment joint fund
The agreement would give the US half of Ukraine’s profits from the extraction of resources and the sale of new licenses, as well as the advantage in purchasing Ukrainian mineral exports, reported the New York Times and other exits, citing Ukrainian officials and Europe.
The Telegraph received a copy of the memorandum, reporting that it clearly stated that the proposed agreement covers the “economic value associated with Ukrainian resources”, including “mineral resources, oil and gas resources, ports, other infrastructure (as dropped agree)
Current and previous Ukrainian officials have expressed serious concerns about the agreement, with what it calls it “colonial” in comments to AP, and saying that Zelensky should not sign it. They see him bold that the US would come seriously and ask Ukraine to give up so much when the victim of this war is.
An area that seems to have more irritated officials, according to sources, is the part of the oil and gas of the proposed agreement. Deposits of underdeveloped critical minerals – beautiful, but gaining action in the massive oil and gas sector of the country? Not so fast. The oil and oil giant is one of the country’s largest companies and taxpayers, making a profit of over $ 500 million in the first nine months of 2024.
Zelensky and his team are said to have come up with a counter -proposal, but it is unclear where the counter -counter stands.
One thing to keep in mindAs some of my interlocutors have mentioned, it is that the agreement submitted by Bessent is only the first offer. And remember that this is all primary enough for the Trump course, who likes to swing for fences in negotiations to benefit as many of them as possible. Both sides will keep it out, likely to meet somewhere in the middle, they say.
It’s not just about what both sides want. Ironing details of a deal like this will not happen overnight. For one, Ukrainian natural resources belong to the Ukrainian people, according to the country’s Constitution – no President can hand them over without parliament by ratifying some kind of agreement.
Also unclear what jurisdiction will regulate any possible joint enterprise future. The document adopted by Bessent proposes that the agreement “governs with New York Law, regardless of the principles of conflict of laws”, as the Telegraph revealed. People are not completely sure why New York was chosen, and think this is just another layer for what still has to be chosen.
But some in the business world do not see the possibility of an agreement to create joint enterprises in such serious terms.
Many of them welcome the idea of American knowledge, expertise and management that entering business with Ukrainian companies-some of which, especially state-owned, have fallen for years, underdeveloped and poorly managed, or in some unfortunate cases, owned by oligarchs with shade and breeding bases for corruption.
Stay tuned, as there will certainly be more.
Defense tech — Changing tides
The beginnings of the Ukrainian weapons are finally seeing a flow of funds from Western investors who have long been intrigued by the Ukrainian defense technology sector, but have so far kept their money abroad destroyed by the country, the industry reporter of industry Defense Cough Post writes in its last.
PitchBook Financial Analysis Firm provided independent Kyiv with data showing a quadrup in the upper capital capital agreements in the beginning of Ukraine after the flattened market in 2022 and 2023 after the occupation of Russia.
The total value of the dollar remains low – just less than $ 20 million from PitchBook’s accounting, and $ 40 million according to the Ukraine government. But with most of these new deals coming in the late 2024, a dam can explode.
Western investors have so far been reluctant to hand over to these Ukraine firms. But pressure on Europe to expand its military muscles may be changing it.
“We are increasingly interested in all the time,” says Deborah Fairlamb, who runs a US -registered fund but focused on Ukraine, Green Flag VC. “There have been thousands of questions from governments across the country.”
Read the full article here.
And in case you have lost -Post has also collected a list of 10 Ukrainian drone manufacturers, producing unmanned air vehicles, ranging from first persons produced mass produced (FPV) to very secret UAVs with deep strokes that we We believe they are the biggest game in the city.
Check here.
What else is happening
Director of the Ukrainian People’s Casino on the Internet banned on enterprise connections with Russia
The State Bureau of Investigation of Ukraine (SBI) has arrested the director of the People’s Casino online PIN-up on ownership and its alleged Russian business in Russia, the agency announced in a press release on February 14th. An ongoing investigation into the company earlier revealed that he revealed that it was its true owners being Russian citizens. Owners who allegedly collected personal data and information about the location of PIN-up users, including Ukrainian military personnel.
German Drone manufacturer Quantum Systems plans to double the production in Ukraine
Quantum Systems, a German drone manufacturer operating two plants in Ukraine, plans to double its drone production in the country, the Ministry of Strategic Industries of Ukraine announced on February 14th. Last year the company promised to supply Kyiv with 500 discovery drones by the end of 2024. Meanwhile, Ukraine is set to take 6,000 HX-2 Drones Empowered by him by the Munich Helsing-based Defense Firm. HX-2, a pushed electric precision ammunition with a range of up to 100 kilometers, is equipped with artificial onboard intelligence, providing sustainability against electronic warfare.
European Business Association calls for Ukraine to declassify mineral deposit data
The European Business Association (UBA) urged the Ukrainian government to declare its information on mineral deposit data in a statement published on 13 February. The association argued that current restrictions hinder international agreements and discourage investment. Currently, information on sources such as gold, lithium, titanium and platinum is classified as a secret or “for official use”, limiting Ukraine’s ability to engage with global partners.
EU-Ukraine Agri-Trade reaches a record $ 17 billion in 2024
The agricultural trade between Ukraine and the EU reached $ 17 billion in 2024, exceeding the previous record of $ 16.5 billion in 2022 by 3%, the Agrarian Economic Research Institute (IAE) reported. The volume of trade is the highest since the EU-Ukraine Association Agreement was signed in 2014, said Mykola Puhachov, Deputy Director of IAE. Agricultural expert Oleg Niivievsky told Kyiv Independent that exports were likely to rise due to price increases.
Europe in the children’s ‘chart’ in talks on Ukraine, says Rheinmetall’s chief
European countries have found themselves in “a special children’s table” in Ukraine negotiations due to insufficient investment in their protection, said Armin Papperger, the chief executive of Rheinmetall you do not invest, if you are not strong, they Treat as children, ”Papperger said, adding that over the past 30 years, Europe has considered it acceptable to invest about 1% of GDP in “If parents have dinner, children should sit at another table,” he said.
Who started the war in Ukraine?
US President Donald Trump claimed on February 18 that Ukraine “should have never started” the war.
