The value of Ukraine’s mineral resources could be as high as $15 trillion, but it may take 10 to 20 years from initial geological exploration to commercial production.
Kseniya Orynchak, Executive Director of the National Association of Extractive Industries of Ukraine, shared this estimate in an interview with LB.ua.
“According to the State Geological Service, the total value of Ukraine’s mineral resources could reach $15 trillion. However, these figures are approximate and depend on many factors, including global mineral prices, production volumes and field development costs,” she said.
She also noted that such estimates might be overstated due to the lack of modern geological research and difficulties in accessing some deposits.
Orynchak added that it typically takes 10 to 20 years from the initial geological exploration to the start of commercial production.
“We need to understand that our mining industry is stagnating. We do not have the funds to develop this sector on our own. And it is very expensive. Geological work alone costs between $3 million and $10 million – just to confirm the presence of deposits. Whether they exist or not. Then you need between $10 million and $30 million to ‘drill’ and start production… And only after 7, 8, 10 or even 20 years, depending on the mineral, will you begin to see a return on investment,” Orynchak explained.
Read the full interview today on LB.ua.
- As Ukraine prepares an agreement on joint investments in mineral resources with the US, it must assess their potential and value. According to Deputy Prime Minister Yuliya Svyrydenko, approximately $350 billion worth of mineral resources are located in territories currently occupied by Russia.