U.S.-Ukraine deal could benefit Ukrainian greenfield companies with critical mineral licenses – expert

The prospect of implementing the recently signed Minerals Agreement with the United States could prove attractive for Ukrainian greenfield companies that already hold special permits for deposits of minerals deemed critical to the EU or the United States, according to NADRA.info founder Volodymyr Boiko.

Among such companies, Boiko cited the investment group BGV Group Management, owned by Hennadiy Butkevych, as well as businesses tied to Vitaliy Yakymenko and Oleksandr Nastenko.

"At the same time, for some extractive investors – like Ferrexpo and Black Iron – the agreement could serve as a real stress test. In the wake of preparations for international agreements, officials have effectively launched a new crackdown on 'dormant' licenses," Boiko told Interfax-Ukraine.

He believes that a reallocation of subsurface use rights is a likely scenario in the near future.

"One can only hope that the auditors show wisdom and don't shut down projects whose implementation was delayed due to objective circumstances beyond the control of the subsoil users," Boiko added.

He also suggested that the agreement with the United States could trigger a thorough audit of past activities in Ukraine's extractive sector.

"It's reasonable to assume the agreement could serve as a trigger not only for a review of dormant special permits held by private entities but also for a comprehensive public audit of all state-owned companies and enterprises in the extractive industry. This would include each special permit, production sharing agreement (PSA), or joint activity agreement, as well as every drilled or leased well and each management decision," Boiko said.

As reported, Ukraine and the United States signed a framework agreement on economic partnership on April 30. The document was signed by Ukraine's First Deputy Prime Minister and Economy Minister Yulia Svyrydenko and U.S. Treasury Secretary Scott Bessent. It provides for the establishment of a U.S.-Ukraine Reconstruction Investment Fund.

Ukrainian Prime Minister Denys Shmyhal has expressed hope that the Verkhovna Rada will ratify the signed agreement by May 8. The so-called "technical" agreements have not yet been signed or published.