US Tightens Fossil Energy Deal With Ukraine

Ukrainian President Volodymyr Zelenskyy. /ANTARA/Anadolu/py

JAKARTA - The United States (US) will tighten terms of agreement with Ukraine regarding fossil fuels, demanding full control of future funds.

Quoted from the ANTARA news agency, Sunday, February 23, Kiev received a new version of the agreement from US partners regarding the use of Ukraine's natural resources.

However, this new design is tighter than the first version previously brought to Kiev by US Treasury Secretary Scott Bessent.

In the latest draft, the US proposes full ownership of the future fund, with a contribution scheme in the ratio of 2 to 1.

In this case, Ukraine will account for two-thirds of production revenue in the future, while the US will account for a third in the form of military assistance it has previously provided, according to the report.

The US reportedly proposed the formation of a $ 500 billion fund, but Ukraine wants to renegotiate the amount.

The new draft deal includes not only mineral resources, but also gas and oil, while revenue from ports is not included in the deal, the newspaper reported.

On February 3, US President Donald Trump said Washington expected Ukraine to provide access to land resources in exchange for financial and military assistance.

Then, on February 14, The Washington Post reported that in a meeting with President Volodymyr Zelenskyy in Munich, US negotiators proposed that Ukraine sign documents that would transfer the rights to 50 percent of its mineral resources that had not been exploited to the US.

However, Zelenskyy rejected the deal on the grounds that it was unfavorable to his country.