US to announce landmark deal allowing Saudis to enrich nuclear fuel, reports say

The United States is preparing to announce a landmark 30-year agreement with Saudi Arabia that would permit the kingdom to enrich uranium for a civilian nuclear programme, according to reports from the New York Times and the Wall Street Journal. The deal, which is expected to be formally signed and announced on Wednesday, represents a significant departure from previous US policy in the Gulf region.

Under the terms of the arrangement, US companies would construct a uranium enrichment facility in Saudi Arabia, a move projected to generate billions of dollars for the American nuclear industry. This provision distinguishes the agreement from a 2009 deal with the United Arab Emirates, which prohibited domestic fuel production. Unlike that earlier arrangement, the new pact allows for domestic enrichment following a joint study with Washington, though Saudi Arabia would be barred from proceeding if the US objects to the outcome.

The agreement marks a notable shift in diplomatic strategy, as it does not require Saudi Arabia to normalise diplomatic ties with Israel, a condition previously sought by Washington. While the Trump administration has long linked nuclear cooperation to broader strategic plays involving Israeli normalisation and defence pacts, this deal proceeds without such prerequisites. The agreement is expected to be submitted to Congress in the coming days, although legislative approval is not required for its implementation.

The announcement comes amidst renewed conflict between the United States and Iran, with Tehran’s nuclear programme remaining a key point of contention during stalled talks. US lawmakers from both parties and Israeli officials have voiced strong opposition to the Saudi deal, fearing it could spark a nuclear arms race in the Gulf. Critics argue that a civilian programme could eventually be converted to develop nuclear weapons, a concern that has historically driven US non-proliferation efforts in the region.

US Secretary of State Marco Rubio declined to confirm the details of the deal while in Manila but dismissed proliferation fears. He stated that the US would not reach agreements with any country that lead to such risks. Meanwhile, regional tensions have escalated, with Houthi rebels threatening to blockade Saudi ports following recent exchanges of fire that have put a 2022 truce under threat. The rebels’ declaration has raised concerns about the potential disruption of crude oil supplies to international markets.