U.S. Signs Nuclear Deal Allowing Saudi Uranium Enrichment

The U.S. Department of Energy signed a nuclear cooperation agreement with Saudi Arabia on Thursday that allows the kingdom to build reactors using American technology and to enrich uranium on its own soil. The department described the pact as a peaceful cooperation agreement and said it would give U.S. companies "great access" to the Saudi nuclear energy program.

The department said a bilateral safeguards agreement was signed alongside the cooperation deal, and that the two documents create the legal basis for a partnership it valued in the multiple billions of dollars over decades, one it said advances economic and strategic goals including nuclear nonproliferation. The full text of the agreement has not been made public, according to the BBC, though U.S. media reports indicate it could permit Saudi enrichment in the future. Enriched uranium can fuel power plants but can also be used to make nuclear weapons.

The Saudi government issued its own statement calling the deal an extension of existing energy cooperation between the two countries. Reuters reported the deal has fueled fears in Israel that it could start a regional arms race.

The context

Washington has typically demanded that countries entering nuclear cooperation agreements accept so-called gold standard constraints that bar domestic enrichment. Experts cited by the BBC said allowing Saudi enrichment would be a first for the United States and could carry proliferation risks in an already unstable region. Foreign Policy reported that without those constraints, the pact could eventually allow Riyadh to develop a warhead.

The agreement arrives amid a months-long U.S.-Israeli conflict with Iran. Both countries have said one reason they attacked Iran in February was to prevent it from developing a nuclear weapon, an ambition Tehran denies. Saudi Arabia, a longtime U.S. ally, hosts several American bases that have been targeted by Iranian attacks, and Iran's Houthi allies in Yemen announced a maritime blockade against the kingdom two days before the announcement. In 2018, Crown Prince Mohammed bin Salman told CBS News that Saudi Arabia did not plan to acquire a nuclear weapon but would pursue one quickly if Iran built a bomb.

Why it matters

The deal breaks with decades of U.S. nonproliferation practice by omitting the enrichment ban Washington has usually required of partners. Analysts say that absence could open a path for Saudi Arabia to eventually build a warhead, and Reuters reported the prospect has stirred fears in Israel of a Middle East arms race. The stakes extend beyond security: the Energy Department framed the agreement as a commercial opening worth billions of dollars for American nuclear firms, and the signing comes as fighting between the U.S. and Iran escalates in the region.

What’s next

The agreement's text has not been released, so key questions remain about what enrichment activities it actually permits and under what conditions, according to the BBC. Watch for publication of the deal's terms, details of the bilateral safeguards agreement, reactions from Israel and other regional governments, and which U.S. companies move to participate in the Saudi program. How the escalating U.S.-Iran conflict affects implementation is also unclear.