Key Highlights
- According to Eric Trump, there were no operations involved in the process and he rejected the claims outright.
- Reports suggested that Trump-related companies were involved in a mining operation for minerals.
- This deal was part of an initiative to lessen dependency on foreign supply chains.
Eric Trump, son of US President Donald Trump, has rejected allegations that he was involved in or managed the business affair between his family and the massive tungsten mining operation in Kazakhstan.
In a statement posted on X on Friday, Eric Trump stated, “I had no involvement in this transaction and have always been a passive investor with no management role in this vehicle. Any suggestion to the contrary would be both inaccurate and defamatory.”
The denial follows a report by the Financial Times, which stated that a shell corporation backed by Donald Trump Jr. and Eric Trump had reached a deal to merge with an entity involved in a critical minerals project. The project reportedly received up to $1.6 billion in backing from the U.S. government to mine tungsten in Kazakhstan.
The report further alleged that the Trump brothers first acquired a stake in the U.S. construction corporation, Skyline Builders, in August 2025 through a special purpose corporation operated by a subsidiary of Dominari Securities. The amount invested was undisclosed.
On October 31, Skyline announced plans to invest $20 million for a 20% equity interest in Kaz Resources, a subsidiary company of the New York-based mineral resource investment firm Cove Capital. Kaz Resources has strong ties with Cove Kaz Capital, which operates the tungsten mine.
Timing raises concern
The timing of this event has raised many questions. According to reports from September 2025, during a conversation with President Donald Trump, President Kassym-Jomart Tokayev of Kazakhstan said his country intended to give the contract for the tungsten mine to the American firm Cove Kaz Capital.
On November 6, Cove Capital and Kazakhstan’s National Mining Company announced plans to embark on an initiative that involves developing the largest untapped tungsten deposit in the world, namely the Katpar and Upper Kairakty deposits in Central Kazakhstan. Such a move was expected to assist in addressing America’s dependency on China for important minerals necessary for defense and military technology.
This week, a merger between Cove Kaz Capital and Kaz Resources took place with Skyline Builders. The new entity would be known as Kaz Resources and intends to be listed on Nasdaq. Official sources denied the involvement of any individuals related to Donald Trump.
Legal dispute
Separately, a dispute involving the founder of Tron, Justin Sun, and the Trump-endorsed company known as World Liberty Financial (WLFI) has turned into an official lawsuit in the U.S. federal court.
On April 19, Sun sued World Liberty Financial LLC in a federal court in California over a multimillion-dollar investment that had been made based on fraudulent activity. He alleged that the DeFi platform was “on the brink of bankruptcy” and accused the company of wrongful freezing of his WLFI tokens, denying him voting rights, and threatening to burn them.
In a statement posted via X, Sun claimed that he made a genuine effort to settle the case without resorting to a lawsuit, and he took pains not to involve President Trump in the case, as he was a big fan of President Trump.
Dissociating from claims
The strong denial by Eric Trump highlights the efforts made by the family to dissociate themselves from any indication that they actively manage their investments. The two have been known to portray themselves as passive investors in several investments, including earlier investments in cryptocurrencies and real estate.
Questions arise concerning any conflict of interest owing to the family’s indirect investment in a venture that benefits from U.S. As events unfold, market analysts will be following the progress of the newly listed companies on the Nasdaq exchange and the performance of $TRUMP, $WLFI, and others.
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