US Politically Recognizes Kurdish-led Administration

A US military vehicle near an oil well in northeastern Syria. AFP file photo
A US military vehicle near an oil well in northeastern Syria. AFP file photo
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US Politically Recognizes Kurdish-led Administration

A US military vehicle near an oil well in northeastern Syria. AFP file photo
A US military vehicle near an oil well in northeastern Syria. AFP file photo

US President Donald Trump’s approval for an American company to sign an agreement with the head of the Syrian Democratic Forces on oil investment in northeast Syria is a political step for “recognition” of a Kurdish self-administration in the region, a Syrian Kurdish official said.

The official considered that the US move would contribute to encouraging the Syrian Kurdish-controlled city of Qamishli to move further away from Damascus.

“The agreement has a huge political significance,” he said, considering it as a “recognition” of the Kurdish administration.

“It also limits concerns on a possible surprise US pullout from east of the Euphrates,” the official added.

Republican US Senator Lindsey Graham told the Senate on Thursday in the presence of Secretary of State Mike Pompeo that SDF General Commander Mazloum Abdi informed him during a phone conversation that the SDF has signed the deal with the American oil company.

In response, Pompeo noted that “the deal took a little longer than we had hoped.”

“We are now in implementation,” he said.

Asharq Al-Awsat learned that Abdi confirmed to Graham that the deal was made by Delta Crescent Energy LLC.

Graham had played a huge role in convincing Trump to keep US troops east of the Euphrates after he announced a partial troop withdrawal from Syria last year.

Trump said in October that a small number of US troops would remain in the area of Syria “where they have the oil,” a reference to oilfields in the Kurdish-controlled region.

“Oil is secured,” he said.

A few days later, Defense Secretary Mark Esper said: “We are now taking some actions... to strengthen our position at Deir Ezzor, to ensure that we can deny ISIS access to the oil fields.”

Under the new oil deal with the SDF, the United States was going to supply two refineries to the area of the Euphrates to produce around 20,000 barrels of oil per day and satisfy part of the oil-rich region’s needs.

Currently Syria produces around 60,000 bpd. Before the war that erupted in 2011, the country produced 360,000 bpd.

The US has expressed determination to stop both Damascus and Moscow from controlling oil reserves in northeastern Syria.

About 300 men working for a Kremlin-linked Russian private military firm were killed in US airstrikes in February 2018 near the Syrian town of Khasham.

"I can promise you that the 300 Russians who were in Syria and who took action that threatened America who are no longer on this planet understand that, too," Pompeo told the Senate Foreign Relations Committee on Thursday.

Analysts believe that the Trump administration wants to use the oil deal in addition to its latest sanctions on the Syrian regime to pressure Damascus and Moscow to accept several conditions, including “stopping support for terrorism and cutting military ties with Iran and its militias.”

Other conditions include stopping aggression on neighboring countries, giving up weapons of mass destruction, implementing UN Security Council Resolution 2254 to allow for the voluntary return of Syrian refugees and holding accountable those responsible for war crimes.

The new oil agreement is expected to anger Turkey, which rejects the formation of a Kurdish entity in northern Syria. Damascus is also expected to express reservations on the deal because it would worsen its economic crisis and would give Kurds the upper hand in any negotiations between them and the Assad regime.



US-Ukraine Minerals Deal: What We Know

FILE - President Donald Trump, right, meets with Ukrainian President Volodymyr Zelenskyy in the Oval Office at the White House, Feb. 28, 2025, in Washington. (AP Photo/ Mystyslav Chernov, File)
FILE - President Donald Trump, right, meets with Ukrainian President Volodymyr Zelenskyy in the Oval Office at the White House, Feb. 28, 2025, in Washington. (AP Photo/ Mystyslav Chernov, File)
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US-Ukraine Minerals Deal: What We Know

FILE - President Donald Trump, right, meets with Ukrainian President Volodymyr Zelenskyy in the Oval Office at the White House, Feb. 28, 2025, in Washington. (AP Photo/ Mystyslav Chernov, File)
FILE - President Donald Trump, right, meets with Ukrainian President Volodymyr Zelenskyy in the Oval Office at the White House, Feb. 28, 2025, in Washington. (AP Photo/ Mystyslav Chernov, File)

Washington and Kyiv have signed a new minerals deal that will see the United States invest in Ukraine's rare earth and other deposits as it seeks to reduce military aid to the war-torn country.

The deal came together after US President Donald Trump demanded compensation for US aid given to Ukraine under his predecessor Joe Biden's administration, and follows weeks of delays following a spat in late February between Trump and Ukrainian leader Volodymyr Zelensky, AFP said.

Here's what we know about the agreement -- which lacks any explicit security guarantees for Ukraine:

- What's in the deal? -

Under the terms of the deal announced on Wednesday, Ukraine and the United States will establish a joint Reconstruction Investment Fund.

The fund will be controlled by a company with "equal representation of three Ukrainian and three American board members," the US Treasury Department said in a statement.

The agreement covers 57 types of resources, including oil and gas.

If the United States decides to buy the resources, they will be given "first choice to either acquire them or designate the purchaser of our choice," the Treasury Department said.

The new fund "will receive 50 percent of royalties, license fees, and other similar payments from natural resource projects in Ukraine," according to the US Treasury.

Its profits will be invested exclusively in Ukraine for the first 10 years, after which profits "may be distributed between the partners," Kyiv said.

What resources does Ukraine have?

Ukraine holds about five percent of the world's mineral resources and rare earths, according to various estimates.

But work has not yet started on tapping many of the resources and a number of sites are in territory now controlled by Russian forces.

Ukraine also has around 20 percent of the world's graphite, an essential material for electric batteries, according to France's Bureau of Geological and Mining Research, and is a major producer of manganese and titanium.

It also says it possesses one of the largest lithium deposits in Europe, which is yet to be extracted.

Kyiv says "rare earth metals are known to exist in six deposits" and an investment of $300 million would be needed to develop a deposit at Novopoltavske, which it claimed was one of the world's largest.

Does Ukraine have to repay the US?

Trump demanded compensation for US aid given to Ukraine under his predecessor Joe Biden's administration.

But under the terms of the deal signed this week, Ukraine will not be asked to pay back the billions of dollars it has received from the United States since Russia's invasion of the country in February 2022.

New military aid from Washington will be counted as its contribution to the fund, according to the text of the agreement.

Ukraine said it will maintain full control over its subsoil, infrastructure and natural resources throughout the process.

Kyiv noted that the agreement does not impact its bid for integration with the European Union.

What does US support mean for Ukraine?

Ukraine has said any deal would need to include long-term and robust security guarantees that would deter Russia from attacking again.

But the text does not place any specific security obligations on the United States.

It simply says that the United States "supports Ukraine's efforts to obtain the security assurances necessary to build a lasting peace."

However, a US Treasury statement notably mentioned 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.

"This is win-win for both sides," US Treasury Secretary Scott Bessent told Fox Business on Thursday.

"I think this is a strong signal to the Russian leadership," he said.