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The deal marks a breakthrough in Washington-Kyiv ties after they nadired following a public showdown between Trump and Ukrainian President Volodymyr Zelensky during their meeting at the White House in February.

After months of tense negotiations, the United States and Ukraine have signed an “economic partnership agreement” on the joint exploitation of Kyiv’s energy and mineral resources, which are vital for new technologies and largely untapped. The US will also establish an investment fund in Ukraine to spur its economic recovery from its war with Russia as part of the deal. 

The minerals deal has been the subject of tense negotiations for months since US President Donald Trump returned to the White House in January, and nearly fell through hours before it was signed. US President Donald Trump had initially demanded rights to Ukraine’s mineral wealth as compensation for an estimated $175 billion in aid provided to Ukraine since the beginning of the war.

After initial hesitation, Ukraine accepted a minerals accord as a way to secure long-term investment by the United States, as Trump tries to drastically scale back US security commitments around the world. It marks a breakthrough in Washington-Kyiv ties after they nadired following a public showdown between Trump and Ukrainian President Volodymyr Zelensky during their meeting at the White House in February.

Announcing the signing of the deal in Washington, Treasury Secretary Scott Bessent says it shows “both sides’ commitment to lasting peace and prosperity in Ukraine.”

This agreement signals clearly to Russia that the Trump administration is committed to a peace process centred on a free, sovereign and prosperous Ukraine over the long term,” Bessent said.

“And to be clear, no state or person who financed or supplied the Russian war machine will be allowed to benefit from the reconstruction of Ukraine.”

The Treasury statement notably mentions Russia’s “full-scale invasion” of Ukraine – diverging from the Trump administration’s usual formulation of a “conflict” for which Kyiv bears a large degree of responsibility.

What’s Inside US US-Ukraine Mineral Deal

According to Ukrainian First Deputy Prime Minister Yulia Svyrydenko, the accord allowed Kyiv to “determine what and where to extract” and that its subsoil remains owned by Ukraine.

Ukraine is rich in natural resources, including rare earth metals, which are used in consumer electronics, electric vehicles and military applications, among others. Global rare-earth mining is currently dominated by China, which is locked in a trade war with the US after Trump’s sharp tariff increases. Ukraine also has large reserves of iron, uranium and natural gas.

Svyrydenko said Ukraine has no debt obligations to the United States under the agreement, a key point in the lengthy negotiations between the two countries. 

The deal, she said, also complied with Ukraine’s constitution and Ukraine’s campaign to join the European Union, key elements in Ukraine’s negotiating position. It would ensure revenue by establishing contracts on a “take-or-pay” basis.

“Importantly, the Agreement sends a signal to global partners that long-term cooperation with Ukraine– over decades – is not only possible but reliable,” Svyrydenko said on X.

Ukraine Prime Minister Denys Shmygal  said on national television that the agreement with US was “good, equal and beneficial.”

In a post on Telegram, Shmygal later stated that the two countries would establish a Reconstruction Investment Fund with each side having 50 per cent voting rights. “Ukraine retains full control over its subsoil, infrastructure and natural resources,” he said.

Meeting a key concern for Kyiv, he said Ukraine will not be asked to pay back any “debt” for the billions of dollars in US weapons and other support since Russia invaded in February 2022. “The fund’s profits will be reinvested exclusively in Ukraine,” he said.

It would ensure revenue by establishing contracts on a “take-or-pay” basis, he added.

Ukraine’s first deputy prime minister, Yulia Svyrydenko, stated that the agreement would make no changes to the ownership of state-owned companies, including nuclear energy producer Energoatom and Ukrnafta, Ukraine’s largest oil producer.

Moreover, the income and contributions to the fund would not be taxed in the US or Ukraine, she said, “to make investments yield the greatest results”.

Per an earlier Reuters Report, a draft of the US-Ukraine agreement showed Ukraine secured the removal of any requirement for it to pay back the US for past military assistance, something Kyiv had staunchly opposed.

The draft did not provide any concrete US security guarantees for Ukraine, one of its initial goals.

Russia-Ukraine Peace Deal

The minerals deal and US peace efforts have been negotiated separately but reflect Washington’s approach to Ukraine and Russia. Trump has upended US policy by softening the US stance toward Russia and sometimes even blaming Ukrainian President Volodymyr Zelensky for the war.

US peace proposals have called for recognition of Russia’s claim to Crimea, which it seized from Ukraine in 2014, and potentially four other Ukrainian regions. Zelenskiy has said Kyiv would never do so because it would contravene Ukraine’s constitution.

Sam Altman said as the public benefit corporation (PBC) grows, the nonprofit’s resources will grow, so it can do even more.

Sam Altman-run OpenAI will continue to be overseen and controlled by the nonprofit and its ‘for profit LLC’ will transition to a public benefit corporation (PBC), giving the nonprofit better resources to support several benefits, the company has announced.

OpenAI was founded as a nonprofit, and is today overseen and controlled by that nonprofit.

Going forward, it will continue to be overseen and controlled by that nonprofit. Our for-profit LLC, which has been under the nonprofit since 2019, will transition to a Public Benefit Corporation (PBC)-a purpose-driven company structure that has to consider the interests of both shareholders and the mission,” the ChatGPT maker said in a statement.

The nonprofit will control and also be a large shareholder of the PBC.

“Our mission remains the same, and the PBC will have the same mission. We made the decision for the nonprofit to retain control of OpenAI after hearing from civic leaders and engaging in constructive dialogue with the offices of the Attorney General of Delaware and the Attorney General of California,” said OpenAI Board chair Bret Taylor.

Mr Altman said as the PBC grows, the nonprofit’s resources will grow, so it can do even more.

“We’re excited to soon get recommendations from our nonprofit commission on how we can help make sure AI benefits everyone-not just a few. Their ideas will focus on how our nonprofit work can support a more democratic AI future, and have real impact in areas like health, education, public services, and scientific discovery,” he wrote in a letter to employees.

“We want our nonprofit to be the largest and most effective nonprofit in history that will be focused on using AI to enable the highest-leverage outcomes for people,” he added.

He said this sets them up to continue to make rapid, safe progress and to put great AI in the hands of everyone.

“Creating AGI is our brick in the path of human progress; we can’t wait to see what bricks you will add next,” said Mr Altman.

In addition, the state has constructed 88 check dams in 24 districts, spending Rs 519 crore to improve water conservation and regulate flow for irrigation purposes.

Since assuming office in 2021, the Tamil Nadu government has undertaken large-scale rejuvenation and infrastructure initiatives to strengthen the state’s water resources and agricultural productivity. According to an official statement, the Water Resources Department has rejuvenated 917 lakes across 27 districts at an estimated cost of Rs 1,212 crore.

In addition, the state has constructed 88 check dams in 24 districts, spending Rs 519 crore to improve water conservation and regulate flow for irrigation purposes.

Under the Kalaignarin All Village Integrated Agriculture Development Scheme, the government has transformed 47,286 acres of fallow land into cultivable land in 10,817 village panchayats, with a total investment of Rs 786.86 crore.

These efforts have contributed to an increase in the state’s total irrigated area, which rose from 36.07 lakh hectares in 2020-21 to 38.33 lakh hectares in 2023-24.

Over the past four years, Tamil Nadu recorded a cumulative foodgrain production of 457.08 lakh tonnes, achieving an average agricultural growth rate of 5.66 per cent, the government noted.

To further improve water infrastructure, the state desilted 5,427 km of canals and 8,540 minor irrigation ponds. In addition, 2,382 new ponds and 2,474 borewells were created to support irrigation and groundwater recharge, the statement mentioned.

As part of its agricultural mechanisation programme, the government distributed modern farming equipment to 62,820 farmers, with an outlay of Rs 499 crore. These tools are aimed at enhancing efficiency and reducing labour dependency in farming operations.

The state has also recorded progress in the animal husbandry and fisheries sectors. Milk production has shown an upward trend, and Tamil Nadu continues to be one of the leading states in egg production.

To support the fishing community, 72 fish landing centres have been established for Rs 1,428 crore, as per the official statement. These centres are expected to boost marine infrastructure, improve post-harvest handling, and enhance the livelihoods of coastal fishermen.

The government said these integrated initiatives across irrigation, agriculture, and allied sectors are aimed at ensuring sustainable growth, improving rural livelihoods, and enhancing the overall resilience of the farming and fishing communities in Tamil Nadu.

In terms of safety recommendations, AAIB has said that SpiceJet should ensure that procedure for recurring defect monitoring and control is followed in letter and spirit.

Three years after turbulence in a SpiceJet flight resulted in the death of a passenger and injuries to many others, Aircraft Accident Investigation Bureau (AAIB) probe has concluded that poor crew resource management and decision-making as well as passengers not putting on their seat belts were among the probable causes for the accident.

In its final report into the accident that happened on May 1, 2022, the Aircraft Accident Investigation Bureau (AAIB) also recommended that aviation regulator DGCA should ensure that its officers follow the procedure laid in APM (Airworthiness Procedures Manual) for obtaining clearance from AAIB during de-registration of aircraft.

The recommendation has been made since the Directorate General of Civil Aviation (DGCA) deregistered the Boeing 737-800 aircraft involved in the accident and returned to the lessor without AAIB approval. As per norms, DGCA is required to check for clearance or closing report from AAIB if the aircraft has met with an accident before the aircraft is de-registered.

On May 1, the aircraft operated the flight SG 945 on the Mumbai-Durgapur sector encountered severe turbulence. Many passengers, not wearing seatbelts, were thrown off their seats and suffered injuries. One passenger later passed away while undergoing treatment and three passengers sustained serious injuries, according to the AAIB report.

There were 189 passengers and six crew members onboard the flight.

Mentioning the probable causes of the accident, AAIB said the accident was caused by poor Crew Resource Management (CRM) and decision-making on the part of the crew to penetrate bad weather and not maintain specified separation from turbulence-prone weather.

“Due to insufficient time for securing the cabin, the cabin crew could not ascertain if all passengers had seat belts ON. Passenger not complying with seat belt instructions led to avoidable injuries as aircraft encountered severe turbulence,” the report, which has now been made public, said.

While emphasising that the primary goal of CRM is enhanced situational awareness, leadership, assertiveness, decision-making, flexibility, adaptability, and communication, AAIB said the cabin crew stated to have not been briefed about bad weather at the time of pre-departure briefing.

“They were informed of expected turbulence by the cockpit crew when the aircraft started to descend.

“As it was the month of Ramadan, many fasting passengers were on board. They had not eaten their meals and were waiting for sunset time to start eating, hence the tray tables were not closed. Cabin crew would have required sufficient time to secure the cabin and ensure that all passengers have their seat belts fastened and tray tables are closed,” AAIB said.

Further, it said that due to lack of information about bad weather during the pre-departure briefing they carried out their duties as routine.

Information on weather during pre-departure briefing would have increased cabin crew’s situational awareness and would have helped them to plan and adapt according to the situation, AAIB noted.

In terms of safety recommendations, AAIB has said that SpiceJet should ensure that procedure for recurring defect monitoring and control is followed in letter and spirit.

“DGCA, airport operators and airlines should conduct campaigns to raise awareness about the importance of seat belts amongst passengers travelling by air,” it added.

Tamil Nadu Chief Minister MK Stalin said states should not have to struggle to get the funds due to them.

The Niti Aayog meeting on Saturday, in which the Prime Minister urged all states to work together towards the goal of a developed India, also saw some opposition chief ministers raise issues affecting their states, with their main grievances boiling down to the sharing of resources. 

While Tamil Nadu Chief Minister MK Stalin pushed for the Centre to share more funds with states, his Punjab counterpart argued that his state had no water to share with Haryana. 

Mr Stalin, whose government has been locked in a face-off with the BJP-led Centre over the three-language clause in the National Education Policy and has approached the Supreme Court claiming that over Rs 2,000 crore was being withheld from the state because of that, urged the Union government “extend non-discriminatory cooperation” to all states, including Tamil Nadu.

Speaking at the 10th Governing Council of the Niti Aayog, the DMK chief said, “It is not ideal for states in a federal democracy like India to struggle, argue, or litigate to receive the funds rightfully due to them. It hinders the development of both the state and the country.”Making a case for the states’ share of divisible tax revenue to be increased to 50%, the Tamil Nadu Chief Minister pointed out that the 15th Finance Commission had recommended that 41% of divisible tax revenue be shared with states. Over the past four years, he claimed, only 33.16% of the Union Government’s gross tax revenue had been shared.

“Meanwhile, the share of expenditure expected from state governments in centrally sponsored schemes continues to rise, which further strains the finances of states like Tamil Nadu. On the one hand, reduced tax devolution from the Union affects state finances. On the other hand, higher contributions required for central schemes impose additional burdens,” he said. 

Proposing that the states’ share be increased to 50%, the DMK chief urged the Centre to seriously consider the demand. He also praised Prime Minister Narendra Modi’s vision to make India a developed country and achieve a $30 trillion economy by 2047.

Yamuna Water

Punjab Chief Minister Bhagwant Mann, whose government is in a dispute with Haryana over the sharing of water from the Bhakra-Nangal Dam, emphasised at the meeting that his state is facing a shortage and has no water to give. 

The Aam Aadmi Party leader argued that, given the situation in Punjab, a Yamuna-Sutlej-Link (YSL) canal should be considered for construction instead of the Sutlej-Yamuna-Link (SYL) canal.

According to a statement, the chief minister said the Ravi, Beas, and Sutlej rivers are already in deficit and water should be diverted from surplus to deficit basins. He also asserted that Punjab has repeatedly requested to be included in negotiations for the allocation of Yamuna’s water as a pact under the Yamuna-Sutlej-Link project – signed between the erstwhile Punjab and Uttar Pradesh on March 12, 1954 – which had entitled Punjab to two-thirds of the Yamuna’s water.

The agreement did not specify the area to be irrigated by Yamuna, he said, adding that, before the reorganisation, the Yamuna, like the Ravi and Beas, flowed through Punjab.

He pointed out that while apportioning the river water between Punjab and Haryana, the Yamuna was not considered, whereas the waters of the Ravi and Beas were.

Citing a 1972 report by the centrally-constituted Irrigation Commission, Mr Mann said that it states that Punjab (post-1966, after its reorganisation) falls in the Yamuna River Basin, and therefore, if Haryana has a claim over the waters of Ravi and Beas rivers, Punjab should also have an equal claim on Yamuna’s water.

The Niti Aayog meeting was attended by most chief ministers, barring West Bengal’s Mamata Banerjee, Karnataka’s Siddaramaiah, Kerala’s Pinarayi Vijayan, Puducherry’s N Rangasamy and Bihar’s Nitish Kumar.

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