US-Ukrainian reconstruction investment fund sealed its first critical minerals
Photo: Mineral extraction at a quarry (Getty Images)
The US-Ukraine Fund has signed its first critical minerals deal and launched four additional projects worth a total of approximately $70 million, according to Reuters.
The fund was established under the US-Ukraine mineral resources agreement signed in April 2025 at the initiative of US President Donald Trump’s administration. Its activities cover five strategic areas, including critical minerals, defense, energy, and infrastructure.
Conor Coleman, head of investments at the US International Development Finance Corporation (DFC), told Reuters that the fund currently has projects totaling roughly $70 million.
According to him, these investments are intended to demonstrate US support for Ukraine amid the full-scale war and significant infrastructure damage.
"It's absolutely imperative for the Ukrainian people that we're investing now," Coleman noted.
Fund's first deal
The first project in the mineral sector involves an investment of approximately $30 million into a joint investment platform with BGV Group.
The company was founded by Hennadii Butkevych, who is also a co-owner of the ATB supermarket chain.
In the initial phase, the fund plans to focus on mining projects at early stages of development, specifically deposits located across various regions of Ukraine.
Priority resources include rare earth elements, uranium, beryllium, and zirconium. All of these are listed as critical minerals by the US.
"They are all on the US critical minerals list, so it ties in very well with what we're looking to do from a (US) administration priority (standpoint)," Coleman explained.
Fund also invests in energy
Two other new fund projects relate to Ukraine’s energy and heating sectors. Their implementation comes against the backdrop of intensified Russian attacks on energy infrastructure ahead of the heating season.
One of the projects will supplement nearly $100 million in financing that the DFC agreed to provide to DTEK, Ukraine’s largest private energy company.
The funds are earmarked for the creation of a new battery storage system. It will provide backup power supply for approximately 600,000 Ukrainian households for up to two hours.
The project also includes provisions for attracting additional capital should losses occur.
Another initiative involves the fund taking an equity stake in a combined heat and power generation platform. This is designed to facilitate the construction and operation of "energy hubs" that will help restore damaged electricity and heating supplies for Ukrainian households.
According to Coleman, the fund continues to seek additional capital to increase the volume of investments in Ukrainian projects.
In April 2025, Ukraine and the US signed an agreement establishing the United States–Ukraine Reconstruction Investment Fund.
The document provides for joint investment attraction for the development of Ukraine’s strategic resource deposits, including lithium, titanium, graphite, and uranium, as well as oil and natural gas.
