Today's Contents
Reporter's Notepad:
- List of cancelled USAID Ukraine contracts
Just The Facts:
- Ukraine agrees to 30-day ceasefire proposed by US; Russia still needs to accept
- US government-backed TechMet looks to develop major lithium project in Ukraine, CEO says
- Ferrexpo delays annual results as Ukrainian court orders corporate rights transfer
- Finland allocates €16 million in humanitarian assistance to Ukraine
- Iceland grants extra €2 million to Ukraine Energy Support Fund
Here's What They Think:
- SCMP: EU, China should partner for sustainable peace in Ukraine
- Newsweek: Trump's rhetoric has effect on European leaders
Sober Second Thought:
- Kakhovka dam collapse triggers Black Sea environmental crisis, study finds
List of Cancelled USAID Ukraine Contracts
Dear subscribers,
Briefly, we want to mention a LinkedIn post by Igor Rusnak, an independent expert and evaluator with the €20 million EU-funded Seeds of Bravery to support Ukrainian tech startups.
Igor posted a handy list of USAID contracts for Ukraine that were recently cancelled. He told Ukraine Rebuild Newswire that he compiled the list from a more general compendium published by Punchbowl News, here.
Below is the first of two pages from Igor's list:
He also listed five negative consequences, including for Ukrainian economic stability, governance, humanitarian aid, education and global stability, and suggested ways to mitigate them.
Blockbuster post, Igor.
And now on with the day's headlines ...
Ukraine agrees to 30-day ceasefire proposed by US; Russia still needs to accept
Ukraine has agreed to a US proposal to enact an immediate, interim 30-day ceasefire, subject to acceptance and implementation by Russia, the governments of the US and Ukraine said in a joint statement on Tuesday.
The statement followed a meeting between US State Secretary Marco Rubio and National Security Advisor Mike Waltz, and Ukrainian Foreign Minister Andrii Sybiha and the Head of Presidential Office Andriy Yermak in Saudi Arabia's port city of Jeddah.
The two governments also said in the statement that the US will immediately resume intelligence sharing and security assistance to Ukraine.
"We'll take this offer now to the Russians, and we hope that they'll say yes, that they'll say yes to peace. The ball is now in their court," Rubio told reporters after the meeting.
"Our hope is that the Russians will answer yes as quickly as possible so we can get to the second phase of this, which is real negotiations – not never-ending dialogue, talk forever, but real negotiations to end this conflict in a way that’s acceptable to both sides, sustainable, and that ensures the stability and security of Ukraine for the long term," Rubio said when asked about a potential deadline for Russia to respond.
The US and Ukraine also agreed on Tuesday to appoint negotiating terms and start talks immediately "toward an enduring peace that provides for Ukraine's long-term security," according to the joint statement.
"Once the agreements take effect, during these 30 days of silence, we, together with our partners, should have enough time to prepare all the aspects at the level of framework documents to ensure reliable peace and lasting security guarantees. Ukraine is ready for peace. Russia must also show whether it is ready to end the war – or continue it," Ukrainian President Volodymyr Zelensky said in his nightly address to the nation.
Lastly, the joint statement read that Presidents Zelensky and Trump agreed to conclude as soon as possible a comprehensive agreement to jointly develop Ukraine's mineral resources to "expand Ukraine's economy and guarantee Ukraine’s long-term prosperity and security."
On Monday night, Ukraine launched its largest drone attack on Moscow since the war began, sticking "a number of strategic objects of the Russian Federation involved in securing armed aggression against Ukraine," the General Staff of the Armed Forces of Ukraine said.
Among other objects, the Ukrainian army hit a production facility of the Moscow oil refinery, which is capable of processing 11 million tons of oil per year and supplies 40-50% of the needs of the city of Moscow in diesel and gasoline.
The Russian military reported shooting down 337 Ukrainian drones across 10 regions.
US government-backed TechMet looks to develop major lithium project in Ukraine, CEO says
TechMet CEO Brian Menell told the Financial Times the company plans to bid for the development of a major lithium project in central Ukraine, describing the lithium resources at the Dobra site as "very significant." The projects would involve the construction of a lithium mine and processing facilities.
While the US and Ukraine are moving forward with a proposed deal to jointly develop Ukraine’s mineral resources, Menell said that TechMet’s plans are not dependent on the agreement.
However, he noted that if the minerals deal is finalized, "it would certainly enhance our interest, and would create a framework that would justify doing more, bigger, quicker."
Menell also revealed that TechMet is exploring additional opportunities in Ukraine, including in titanium, uranium, and graphite. He added that the critical minerals deal "is positive, assuming it now happens, and assuming it is implemented in a way that is effective, which is not going to be easy."
The proposed deal could also establish a development fund that would reinvest proceeds from mining projects into Ukraine's reconstruction efforts, according to the Financial Times article.
The $1.2 billion Dublin-based firm counts the US International Development Finance Corporation, the Qatar Investment Authority, Mercuria and Lansdowne Partners among its shareholders, the Financial Times said. TechMet's investment partner in the Dobra lithium project is Ronald Lauder, a friend of US President Donald Trump.
The plan comes increased activity surrounding minerals in Ukraine.
As Ukraine Rebuild Newswire reported last week, US-based titanium miner Velta aims to create a "cluster" in Ukraine for mining and processing critical raw materials when the war ends and is in talks with several private investors and international finance institutions for backing.
Matthew Murray, chair of the board of advisers of Velta Holding, the parent of Ukraine-based Velta Llc, said his company is already creating a "vertically integrated structure" in Dnipro in eastern Ukraine to mine and process titanium.
From there, the company could create a "cluster" for titanium operations as well as for the processing of other critical raw materials (CRM), he said.
Ferrexpo delays annual results as Ukrainian court orders corporate rights transfer
Ferrexpo said it needs more time to finalize its full-year 2024 financial results due to recent developments in Ukraine and ongoing discussions with the firm's auditors concerning its subsidiary, Ferrexpo Poltava Mining (FPM).
Last week, the State Bureau of Investigation in Ukraine (SBI) said that a Kyiv district court had ordered the transfer of 49.5% of FPM's corporate rights to Ukraine's Asset Recovery and Management Agency (ARMA), according to Ferrexpo's separate release.
The court decision is linked to Konstantin Zhevago, a Ukrainian oligarch and former MP who is wanted in Ukraine over an alleged embezzlement case involving Finance & Credit Bank, his former bank that collapsed in 2015. Ferrexpo, however, said in a press release last week that Zhevago does not own shares in FPM and that Finance & Credit Bank was never part of the Ferrexpo Group.
In 2023, a Ukrainian court ordered the seizure of a 50.3% stake in the Poltava, Eristivskiy, and Bilanivskiy mining plants, which were linked to Zhevago through Ferrexpo. This ruling followed compensation claims related to the bank’s collapse.
Ferrexpo said in a filing on Tuesday that it would provide updates regarding the finalization and release of its annual results "as appropriate."
Separately, in early February, the company disclosed that a $3.76 billion civil claim had been filed against FPM over alleged illegal mining activities and the sale of waste products.
Finland allocates €16 million in humanitarian assistance to Ukraine
Finland's Ministry of Foreign Affairs said it will allocate €16 million in humanitarian assistance to Ukraine as part of a broader €36.5 million aid package supporting refugee crises in Africa and the humanitarian situation in the Middle East.
The funds will be distributed through various UN agencies and the International Committee of the Red Cross, the ministry said, adding that the humanitarian situation in Ukraine has deteriorated particularly on the front line.
“Finland has supported Ukraine’s humanitarian needs since the first day of Russia’s war of aggression and will continue to do so also in the future. The need for humanitarian aid in Ukraine is enormous, and our assistance is important,” said Ville Tavio, Finland's minister for foreign trade and development.
Additionaly, the ministry said in a press release that more funding for humanitarian assistance will be allocated later this year through Finnish civil society organizations.
Finland is the fifth largest provider of military, humanitarian, and financial assistance to Ukraine in terms of percentage of GDP, amounting to about €2.5 billion or about 0.9% of GDP, according to the Kiel Institute for the World Economy.
Iceland grants extra €2 million to Ukraine Energy Support Fund
Iceland is contributing an additional €2 million to the Ukraine Energy Support Fund, bringing the total contribution from a nation of less than 400,000 people to over €5.6 million, according to the Ukrainian government.
The €1 billion Fund was established in 2022 as a joint initiative of Ukraine’s Minister of Energy, German Galushchenko, and European Commissioner for Energy, Kadri Simson, under the Energy Community Secretariat.
It helps Ukrainian energy companies restore facilities damaged by Russian attacks, carry out repairs, and install new capacities, the government said.
Iceland's previous contributions have been used to buy equipment for fuel and energy sector enterprises in the Donetsk, Zaporizhzhia, and Kherson regions.
"The funds are used to purchase equipment that helps power engineers restore what was destroyed by the enemy and bring light and heat back to Ukrainian homes. We are grateful to Iceland for its support and another contribution to Ukraine’s energy sustainability," Galushchenko said.
Other donors to the Fund include European Union member states, the UK, the US, and international organizations, according to a government press release.
SCMP: EU, China should partner for sustainable peace in Ukraine
The European Union and China should join their strengths in developing a sustainable peace in Ukraine and their partnership could lay the ground for a more balanced and multipolar world, Winston Mok, a private investor and former private equity investor, wrote in an op-ed for the South China Morning Post.
Mok argued that security guarantees for Ukraine should not be provided by the West only, but should also include China as this would have a stronger impact in restraining Russia. "As Russia's most important economic partner, China is uniquely positioned to nudge Russia towards peace," Mok wrote.
Newsweek: Trump's rhetoric has effect on European leaders
In fear of the US potentially withdrawing its support, European politicians, ministers, and heads of state are now engaging in tough discussions about the continent's need to take greater ownership of its security, Daniel R. DePetris, a Newsweek columnist, wrote in an op-ed.
Confronted with US President Donald Trump's unpredictability, European leaders are beginning to implement policies that seemed unimaginable just months ago, such as freeing up the budget for defense even if this would lead to higher deficits, DePetris noted.
Kakhovka dam collapse triggers Black Sea environmental crisis, study finds
More than 50% of the northwestern Black Sea was affected by the destruction of Ukraine's Kakhovka Dam in June 2023, with sediment and chlorophyll-a concentrations skyrocketing to over 50 times normal levels, a study conducted by a group of scientists from the UK, Ukraine, Romania, and Bulgaria revealed.
The floodwaters resulting from the dam collapse carried industrial waste, agricultural chemicals, sewage, and heavy metals, transforming water quality in coastal regions such as Odesa, with the water's transparency dropping from 7 meters to just 0.4 meters in some areas, while chlorophyll-a concentrations peaked at 23.7 mg/m³—90 times higher than normal, as per the study.
The scientists warned that these changes may lead to long-term damage to marine ecosystems, as pollutants settle in the seabed and continue to spread throughout the Black Sea, and that the region's recovery could take years if not decades.
The sudden influx of pollutants and reduced oxygen levels could lead to biodiversity losses, particularly among endangered fish species such as sturgeon and European eel, according to the study. The disaster also affected 1.5 million hectares of agricultural land, and up to 1 million people faced drinking water shortages.
Beyond sediment and nutrient overload detected by satellite imagery following the dam's collapse, the study raised concerns about heavy metal contamination. Water samples taken after the dam breach showed high concentrations of copper (Cu), zinc (Zn), and arsenic (As), along with petroleum residues and chlorinated organic compounds.
Some heavy metals exceeded environmental safety limits, posing potential risks to marine organisms and human health. Unlike nutrients, heavy metals do not degrade over time and can bioaccumulate in fish and shellfish, leading to long-term contamination of the food chain, the scientists noted.
The Kakhovka Dam, constructed between 1950 and 1956, was the last and second-largest reservoir on the Dnipro River cascade. Before its destruction, it held 14.4 billion cubic meters of water and played a crucial role in supplying drinking water, irrigation, hydroelectric power, and industrial cooling.
When the dam was breached on June 6, 2023, an estimated 90% of its water drained, flooding 630 square kilometers of land downstream, including four cities and dozens of villages. Water levels at the Kherson hydrological station surged from 0.31 meters to 5.68 meters above sea level by June 8. The flooding wiped out 20,000 tons of fish resources and devastated key spawning grounds, as per the study.
War-Time Food Fraud
Mikhail Malkov, head of the Agrarian Committee at the Ukrainian Business & Trade Association, said in a social media post that the disruption in exports and economic stability created by the war in Ukraine has led to an increase in food fraud.
"Fraudsters exploit these gaps by mislabeling grains, adulterating oils, and falsely certifying products as organic or Ukrainian-grown. Smuggling and counterfeit food imports have also surged, thus both Ukrainian and European authorities are ramping up investigations and enforcement efforts to combat food fraud."
5 Lessons Nova Post Learned
Viacheslav Klymov, the co-founder of Nova Group, published a social media post outlining five lessons learned in the 24-year history of express delivery company Nova Post.
The lessons include "There's no 'perfect time'-act here and now," as well as "A crisis is not a setback - it's an opportunity," "mistakes are a necessary part of growth," "Always have a strategy but stay flexible" and "Invest in technology and self-development—no matter what."
Consultancies Wanted
Nefco, the development finance institution known as the Nordic Green Bank, called for consultancies to submit proposals related to the construction of a biogas facility, reconstruction of a wastewater treatment plans and preparation of a sludge management.
The project is funded by Denmark and the objectives are "to ensure the reliable and efficient operations at the Lviv Wastewater Treatment Plant," Nefco said. The deadline for applications is March 17.
Japanese Interest in the Reconstruction
UkraineInvest, the state investment promotion agency, recapped a Japan-based webinar held yesterday that drew almost 400 representatives from Japanese businesses interested in investing in Ukraine.
"Participants, including executives from leading global companies such as ITOCHU Corporation, Mitsubishi Corporation, Marubeni Corporation, Sojitz Corporation, Nippon Express, Fujikura Ltd. and others, gained an in-depth insight into Ukraine's key investment opportunities, the regulatory framework and the comprehensive investor support provided by UkraineInvest."
URN Daily: Sense Bank and Ukrgasbank for sale? And US seeks to cancel $4.7 billion of Ukraine's debt
