68% of surveyed companies continue to invest in Ukraine’s subsoil

04/ 09/ 2025

Despite the challenges of war, businesses maintain their interest in Ukraine’s subsoil. 78% of respondents consider the sector attractive for investment, and the majority — 68% — continue investing even during this period. At the same time, 16% of enterprises refrain from investment, while the share of those undecided has grown from 13% to 16% compared to last year. An important signal for investors was the establishment of the Reconstruction Investment Fund between the governments of Ukraine and the United States. The average assessment of its impact on the development of the subsoil use sector stands at 3.3 out of 5. These are the findings of the survey “Subsoil Use in the Context of War and Development Prospects”, conducted by the European Business Association among its member companies in the subsoil use sector. View the presentation While in 2022–2024 many companies were forced to practically halt operations, the situation has somewhat improved now. 42% of enterprises have partially resumed activity, 20% have fully recovered, 22% did not experience a negative impact from the war at all, and only 16% still remain completely inactive. By comparison, last year 21% of companies reported a complete halt in operations. The financial situation of companies in the subsoil sector has also improved slightly compared to 2024: the share of companies that lost over 50% of their revenues fell from 34% to 26%, while the number of those that maintained stable revenues grew from 16% to 24%. However, in 2025 revenues increased in only 4% of companies. Between 2023 and 2025, 50% of companies invested up to USD/EUR 10 million in the subsoil use sector. Meanwhile, 8% reported investments exceeding 15 million, and 6% invested between 10–15 million. Over a third of respondents (36%) made no investments during this period. Ukraine has significant resource potential — the average score from respondents was 3.96 out of 5. At the same time, integration into the EU common market in the field of critical raw materials received an average score of 3.42. The average rating of the regulatory environment, according to survey participants, stands at 2.82. Similar sentiments are reflected in the assessment of the legislative framework: almost half of respondents (48%) believe it requires substantial improvement to be harmonised with EU standards. Only 16% noted that the legislative framework is close to EU standards, compared to 18% in 2024. The main challenges cited by businesses are staffing and regulatory factors. 72% of companies face difficulties due to the mobilisation of key staff and a shortage of qualified personnel. The second-largest challenge is cooperation with authorities without taking into account the specifics of martial law and ensuring the interests of foreign investors (42%). This is followed by high risks for international investment and difficulties with operational planning, particularly due to the extension of special permits and/or the inability to convert them (both at 40%). Other barriers identified by respondents include problems with energy supply (32%), lack of access to ports and complicated logistics (24%), the impact of sanctions policy (20%), and even corruption-related factors in the sector (18%). Respondents also note that proximity to the frontline and restrictions on product exports remain additional wartime challenges for companies. For the growth of the sector, businesses expect above all a quality regulatory environment (64%) and protection of property rights (60%). Staffing is also critical: 52% stressed the need for qualified specialists. Other expected incentives include tax benefits (48%), access to markets (36%), foreign investment and legislative stability (both at 34%). Svitlana Mykhailovska. Deputy Director of the European Business Association. Ukraine′s extractive industry has strong investment potential, resilient businesses, and the support of international partners. The challenges of war are not only obstacles but also opportunities to improve the regulatory environment and accelerate integration with European markets. This creates a foundation for an optimistic outlook: investment and the development of subsoil use remain an important driver of Ukraine′s economic recovery and strategic cooperation with international partners. Dmytro Kashchuk. Business Development Director of the Geological Investment Group and Head of the EBA Subsoil Use Committee. The survey results highlight contrasting trends in Ukraine′s subsoil sector. On the one hand, the war has led to significant losses, halts in operations, and declining revenues. On the other hand, the industry remains attractive for investment, and companies continue to commit funds. The main barriers remain regulatory issues, lack of incentives, and staffing challenges. If these issues are resolved, Ukraine could become a significant player in the European critical raw materials market and deepen its cooperation in international markets. For reference: The “Subsoil Use in the Context of War and Development Prospects” survey has been conducted by the European Business Association since 2023. This year, 50 companies operating in the subsoil use sector took part in the survey, which ran from 6 to 18 August 2025.

Despite the challenges of war, businesses maintain their interest in Ukraine’s subsoil. 78% of respondents consider the sector attractive for investment, and the majority — 68% — continue investing even during this period. At the same time, 16% of enterprises refrain from investment, while the share of those undecided has grown from 13% to 16% compared to last year.

An important signal for investors was the establishment of the Reconstruction Investment Fund between the governments of Ukraine and the United States. The average assessment of its impact on the development of the subsoil use sector stands at 3.3 out of 5.

These are the findings of the survey “Subsoil Use in the Context of War and Development Prospects”, conducted by the European Business Association among its member companies in the subsoil use sector.

View the presentation

While in 2022–2024 many companies were forced to practically halt operations, the situation has somewhat improved now. 42% of enterprises have partially resumed activity, 20% have fully recovered, 22% did not experience a negative impact from the war at all, and only 16% still remain completely inactive. By comparison, last year 21% of companies reported a complete halt in operations.

The financial situation of companies in the subsoil sector has also improved slightly compared to 2024: the share of companies that lost over 50% of their revenues fell from 34% to 26%, while the number of those that maintained stable revenues grew from 16% to 24%. However, in 2025 revenues increased in only 4% of companies.

Between 2023 and 2025, 50% of companies invested up to USD/EUR 10 million in the subsoil use sector. Meanwhile, 8% reported investments exceeding 15 million, and 6% invested between 10–15 million. Over a third of respondents (36%) made no investments during this period.

Ukraine has significant resource potential — the average score from respondents was 3.96 out of 5. At the same time, integration into the EU common market in the field of critical raw materials received an average score of 3.42.

The average rating of the regulatory environment, according to survey participants, stands at 2.82. Similar sentiments are reflected in the assessment of the legislative framework: almost half of respondents (48%) believe it requires substantial improvement to be harmonised with EU standards. Only 16% noted that the legislative framework is close to EU standards, compared to 18% in 2024.

The main challenges cited by businesses are staffing and regulatory factors. 72% of companies face difficulties due to the mobilisation of key staff and a shortage of qualified personnel. The second-largest challenge is cooperation with authorities without taking into account the specifics of martial law and ensuring the interests of foreign investors (42%). This is followed by high risks for international investment and difficulties with operational planning, particularly due to the extension of special permits and/or the inability to convert them (both at 40%).

Other barriers identified by respondents include problems with energy supply (32%), lack of access to ports and complicated logistics (24%), the impact of sanctions policy (20%), and even corruption-related factors in the sector (18%).

Respondents also note that proximity to the frontline and restrictions on product exports remain additional wartime challenges for companies.

For the growth of the sector, businesses expect above all a quality regulatory environment (64%) and protection of property rights (60%). Staffing is also critical: 52% stressed the need for qualified specialists. Other expected incentives include tax benefits (48%), access to markets (36%), foreign investment and legislative stability (both at 34%).

Svitlana Mykhailovska Deputy Director of the European Business Association

Ukraine′s extractive industry has strong investment potential, resilient businesses, and the support of international partners. The challenges of war are not only obstacles but also opportunities to improve the regulatory environment and accelerate integration with European markets. This creates a foundation for an optimistic outlook: investment and the development of subsoil use remain an important driver of Ukraine′s economic recovery and strategic cooperation with international partners.

Dmytro Kashchuk Business Development Director of the Geological Investment Group and Head of the EBA Subsoil Use Committee

The survey results highlight contrasting trends in Ukraine′s subsoil sector. On the one hand, the war has led to significant losses, halts in operations, and declining revenues. On the other hand, the industry remains attractive for investment, and companies continue to commit funds. The main barriers remain regulatory issues, lack of incentives, and staffing challenges. If these issues are resolved, Ukraine could become a significant player in the European critical raw materials market and deepen its cooperation in international markets.

For reference:

The “Subsoil Use in the Context of War and Development Prospects” survey has been conducted by the European Business Association since 2023. This year, 50 companies operating in the subsoil use sector took part in the survey, which ran from 6 to 18 August 2025.