CEO of titanium Velta predicts real results of minerals deal with USA by 2035
Co-owner and CEO of the group of companies Velta with assets for the extraction of titanium-containing ores in Novomyrhorod (Kirovohrad region) Andriy Brodsky predicts real positive results of the agreement with the USA in the first 10 years from its signing in the case of joint projects based on existing enterprises, primarily in the titanium industry.
"I've recently saw an article in the Financial Times claiming that the Ukraine-US minerals deal 'will not yield any results until 2035'... As the owner of Velta, a company directly involved in titanium mining and processing, I simply cannot agree with such a pessimistic forecast!" Brodsky wrote on Facebook on Tuesday.
However, according to him, this does not mean that we will have to wait a whole decade to see the first results.
"Our experience at Velta proves the opposite. The key to quick success is to start with existing infrastructure and companies that are already operating. There are operating mining enterprises in Ukraine that can immediately take advantage of the new agreement and increase production. Do you want facts? Our Byrzulivsky titanium enrichment complex has been operating effectively for 13 years. It took us only 5 years from obtaining a license to launching the enterprise, and the mining and enrichment complex itself was built in 8 months," the CEO noted, adding that the company is currently preparing the Likarivske deposit for development:
"These are not just plans on paper - these are real objects, real people, operating infrastructure... I am convinced that the first projects within the framework of the Ukrainian-American agreement should be built on the basis of existing enterprises. Such an approach will allow us to demonstrate the effectiveness of our partnership much earlier than 2035," the CEO is confident.
According to him, it is important to understand that Ukraine has about 30 types of critical materials (CRM), which are recognized as strategically important. Deposits of titanium, graphite and other valuable minerals are located in Kirovohrad, Zhytomyr, Dnipropetrovsk, Poltava, Cherkasy, Vinnytsia, Lviv, Ivano-Frankivsk and Volyn regions - far from the front line. They can be safely developed today.
Brodsky also emphasized that the US imports 100% of titanium sponge for its aviation industry and medicine. At the same time, Russia and China control 70% of world production (about 150,000 tonnes annually).
"Is the US really ready to wait until 2035 to reduce this strategic dependence?" the head of the company asks.
He believes that since titanium is the only critical material that is already actively mined in Ukraine, it is logical to focus Ukraine's cooperation with the US primarily on it. At the same time, geological exploration, design and development of other important materials can be started.
"We are already conducting active negotiations with American investors who see real potential and are ready to invest. For the successful implementation of projects, only three things are needed: transparent rules of the game, insurance against war risks and state guarantees for investors. It is time to stop underestimating the potential of Ukraine! Our natural resources are the key to the economic reconstruction of the country. And this reconstruction begins not in the "bright future" of 2035, but now!" Brodsky summed up.
Velta was registered in April 2000. The main activity is the extraction and production of ilmenite concentrate.