Government publishes text of agreement with the US on subsoil: details

The Cabinet of Ministers of Ukraine has published the full text of the agreement on cooperation in the field of subsoil use signed with the United States government on 1 May in Washington.

According to the agreement, Ukraine retains sovereignty over its natural resources, and the document does not contradict the current legislation on state ownership, privatisation or the legal regime of property.

It also stipulates that the arrangements cannot conflict with Ukraine's obligations to the European Union or international financial organisations.

The agreement provides for the establishment of a joint investment fund for reconstruction. The Ukrainian side will invest in it the revenues received from the sale of licences and royalties for mineral extraction.

The document also stipulates that if Ukraine receives new military assistance in the form of weapons, technology or training, its cost will be taken into account as a US contribution to this fund.

The list of strategic resources covered by the agreement includes oil, natural gas (including liquefied natural gas), and dozens of rare earth and industrial minerals. These include lithium, cobalt, uranium, graphite, gold, copper, nickel, titanium, palladium, platinum, zinc, zirconium, as well as chemical elements required for the production of modern equipment and defence products.

Earlier, «Evropeiska Pravda» wrote that the document does not contain a number of provisions declared by the Ukrainian government. In particular, it does not set out the principles of the fund's management, nor does it mention the intention to reinvest all proceeds in the reconstruction of Ukraine over the next ten years. These conditions should be included in the next agreement, which is still being prepared by the parties.