US-Ukraine minerals fund looks for manager as critical resources deal advances
The U.S. government’s development finance agency has started looking for a company to manage a joint U.S.-Ukraine investment fund, Ukraine’s Economy Ministry said in a July 15 press release.
The announcement is part of a critical minerals agreement signed by the U.S. and Ukraine on April 30, creating the joint U.S.-Ukraine reconstruction fund to develop projects in Ukraine’s natural resources — including oil and gas, lithium, graphite, critical minerals, and related infrastructure, and now, defense projects.
On May 13, Ukraine and the U.S. signed two additional commercial agreements to formally launch the fund, structured as a partnership between the U.S. International Development Finance Corporation (DFC) and Ukraine’s Public-Private Partnership Agency. While the two commercial agreements have remained confidential, the two sides have begun to release some their details.
According to the commercial terms, the fund’s governing board will include three representatives from each country, with all investment decisions requiring unanimous approval.
Initial capital will be drawn from 50% of royalties from new Ukrainian extraction permits, U.S. contributions, and Ukraine’s startup funding. Current U.S. military aid is classified as a conditional American contribution to the fund.
Profits generated during the fund’s first decade will be fully reinvested in Ukrainian projects across sectors such as mining, energy, oil and gas, and logistics. Income distribution between the partners will only be allowed after 2035, according to the agreement.
DFC has now issued a Request for Information (RFI), marking the first step in the selection of a fund administrator. While not a formal tender, the RFI signals the beginning of the technical evaluation process.
The chosen administrator will oversee the fund’s operational management, including accounting, documentation, transaction processing, and regulatory compliance. Candidates must demonstrate expertise in fund accounting, quarterly net asset value calculations, and financial reporting under U.S. or international standards, according to the RFI.
The RFI also specifies that applicants must have proven experience handling capital calls, distributions, and asset transactions — particularly in the natural resources and infrastructure sectors. Firms may be required to have a local presence in Ukraine or subcontracting arrangements, and must submit detailed fee proposals.
The final selection will be made by unanimous decision of the fund’s governing board, composed of three U.S. and three Ukrainian representatives.
This technical process runs in parallel with broader preparations for the fund’s first investments, expected to begin in late 2025. Prospective administrators have until July 27 to submit their responses.
In an interview with the Kyiv Independent, Economy Minister Yuliia Svyrydenko said she aims to launch at least three projects with the fund within 18 months. The pilot project is expected to be a lithium deposit in Dobra. Other project ideas Ukraine presented to the U.S. include a $2.7 billion modernization of the Kremenchuk oil refinery and a deepwater gas exploration project with Naftogaz.
On June 4, Svyrydenko said, that the fund could begin operations by the end of 2025.