Ukraine’s Economy Minister, Yuliia Svyrydenko, has announced a series of major projects aimed at enhancing the country’s energy infrastructure and securing U.S. investment under the Minerals Deal. This landmark agreement with the United States, signed at the end of April, was initially designed to focus on Ukraine’s critical minerals but has since expanded to include funding for oil and gas, infrastructure development, and defense initiatives. The new projects, which include a deepwater gas exploration initiative and the modernization of Ukraine’s Kremenchuk oil refinery, are being submitted for consideration by U.S. partners, including the International Development Finance Corporation (DFC) and U.S. Treasury Secretary Scott Bessent.
The Kremenchuk oil refinery, a key target of Russian attacks, is a critical component of Ukraine’s domestic petroleum market. Svyrydenko emphasized the strategic importance of the refinery project, which is being submitted to the DFC with a requested investment of $2.7 billion. She stated that the project is both bankable and essential for Ukraine’s energy security, underscoring the need for foreign investment in the face of ongoing challenges. While the refinery is currently under frequent attack by Russian forces, Svyrydenko noted that there is no current plan for air defense in the project, although she expressed hope that U.S. companies involved in the project could influence U.S. government support for additional protective measures.
As part of the Minerals Deal, Ukraine is also progressing with the development of a lithium deposit in the Dobra region of Kirovohrad Oblast. This project is considered a pilot initiative under the investment fund created by the agreement. Svyrydenko highlighted the importance of the fund’s initial projects in demonstrating Ukraine’s capacity to attract and sustain international investment despite the ongoing war. The government has also committed to hosting the fund’s first official meeting in Kyiv at the end of July, a move that Svyrydenko described as crucial for showing investors that Ukraine remains a viable and operational business environment.
Despite progress on economic and infrastructure projects, Ukraine faces ongoing defense challenges. The U.S. has paused some planned air defense shipments to Ukraine due to concerns about depleting American stockpiles, though President Donald Trump has suggested that the U.S. may still send Patriot systems. Svyrydenko acknowledged that U.S. investment in Ukraine could increase the incentive for the U.S. government to provide additional protection, which would be vital for the safety of both Ukrainian and U.S. assets in the country. She emphasized that the continued operation of Ukrainian businesses and institutions during the war is a key reason for the investment, demonstrating the resilience of Ukraine’s economy and the importance of maintaining international partnerships for long-term stability and energy security.