• US reduced the aid estimate to Ukraine from $300 billion to $100 billion.
• Negotiations focus on joint investment in Ukraine's mineral resources.
• Ukraine insists past US aid should not be recognized as debt.
• A memorandum to record the progress is anticipated soon.
• The deal aims to generate economic growth for both nations.

Negotiations between the United States and Ukraine regarding a minerals deal are reportedly making significant advances, with both sides working on an agreement that would allow the US preferential access to Ukraine's natural resources. A senior official emphasized that the discussions are progressing quickly, following earlier setbacks caused by a confrontation between President Donald Trump and Ukrainian President Volodymyr Zelensky, which previously stalled the talks, according to India Times.

The Trump administration has revised its estimate of aid provided to Ukraine since the onset of the Russian invasion, lowering it from $300 billion to $100 billion. This new figure aligns more closely with Ukraine's own assessment of over $90 billion. As part of the proposed minerals deal, Washington seeks a platform for profit-sharing, viewing it as compensation for the aid extended to Ukraine under the previous administration of President Joe Biden, as reported by South China Morning Post.

Ukrainian officials have expressed their determination not to recognize previous US military aid as debts, asserting that financial commitments should be reconsidered in the context of the new deal. Deputy Prime Minister Yulia Svyrydenko stated that technical teams have thoroughly collaborated on the agreement, indicating that there would be an imminent signing of a memorandum to formalize the progress achieved so far, as noted by Reuters.

The proposed minerals deal entails the establishment of a joint investment fund, where revenues generated from the exploitation of natural resources would be diverted. While the specifics of the fund’s size remain unspecified, the US intends for wartime spending on Ukraine to contribute to this financial vehicle, a move Kyiv negotiators have been pushing back against, according to South China Morning Post.

As both teams continue to refine the terms, Ukraine’s aspiration to join the European Union complicates matters further, posing potential conflicts with EU regulations. Svyrydenko confirmed that the discussions will focus on specific investment projects in future meetings, with legal teams collaborating closely to finalize the agreement, emphasizing its expected role in fostering economic growth for both nations, as stated by Reuters.