Ukrainian graphite mine's value overestimated by Trump

A graphite mine in Ukraine is drawing attention, particularly from U.S. officials. The Zavallivsky Graphite Mine, located about 300 kilometers south of Kyiv, holds around six million tonnes of valuable graphite, a crucial mineral for battery production. However, most of its equipment is outdated, dating back to the Soviet era. Valerii Kharkovets, the chief engineer of the mine, shared his concerns about the state of the operations. Before the ongoing conflict, the mine operated below its full capacity. Today, it only runs for about one month a year, as the costs have surged and workforce shortages persist. The mine needs significant upgrades to compete with foreign producers, especially from China. U.S. President Donald Trump has expressed interest in a mineral agreement with Ukraine, hoping to secure access to its rare minerals. However, there is no deal in place yet, and some Ukrainian officials worry it could be unfavorable. The U.S. is considering broadening the agreement to include various assets, which has raised concerns among Ukrainian leaders. Geologists recognize Ukraine as a country rich in critical minerals like lithium and titanium, but extracting them profitably is challenging. Older equipment and water accumulation in the quarry are major hurdles. While Trump estimates the value of Ukraine's mineral wealth could be up to $2 trillion, the National Association of Mining Industries estimates it at closer to $775 billion, based on more reliable data. As the war continues, there is hope that the Zavallivsky mine can eventually fulfill its potential, especially for European markets. Kharkovets believes a partnership with the U.S. could help revitalize Ukraine's mining sector, generating jobs and increasing tax revenue. However, there are still many uncertainties about the future, including the need for security measures given the proximity of operations to conflict zones.