Saudi Arabia and US announce nuclear deal to boost energy security
Saudi Arabia and the US have signed a landmark nuclear deal, paving the way for the Kingdom to develop a cooperative nuclear power programme using US technology.
The agreement, signed by US Secretary of Energy Chris Wright and Saudi Arabia's Minister of Energy and Minister of Industry and Mineral Resources His Royal Highness Prince Abdulaziz bin Salman bin Abdulaziz, establishes the legal framework for US companies to participate in Saudi Arabia’s nuclear energy programme.
The deal, known as a “123 Agreement”, will now be submitted to the US Congress for review before it can enter into force.
According to the US Department of Energy, the agreement, alongside a bilateral safeguards agreement, will support cooperation on the peaceful use of nuclear energy while strengthening commercial ties, energy security, and nuclear non-proliferation.
US export of nuclear technologies
The Department said the agreement would provide “great access” for American companies in Saudi Arabia’s nuclear programme, creating opportunities for US industry and supply chains while helping the Kingdom meet its growing energy demand.
In a press statement, Saudi Arabia said the agreement follows the visit of the Crown Prince and Prime Minister His Royal Highness Prince Mohammed bin Salman bin Abdulaziz Al Saud, to the US in November last year.
The statement added that the agreement aims to “enhance cooperation between the two countries in the peaceful uses of nuclear energy and to facilitate the exchange of expertise, knowledge, and technologies, contributing to strengthening bilateral cooperation in accordance with the highest international standards of nuclear safety, nuclear security, and non-proliferation.”
The US Department of Energy said the agreement complies with the non-proliferation requirements set out in the US Atomic Energy Act and maintains high standards of nuclear safety and security.
“These agreements reflect our two nations' shared commitment to strengthening US-Saudi commercial relations, delivering prosperity at home and security to our allies abroad,” Secretary Wright said in a statement. “Rest assured, these agreements uphold the highest standards of nuclear safety and non-proliferation, while relying on the world’s best nuclear technology and scientists, designed right here in the United States.”
A decades-long nuclear partnership
The agreement is expected to support the potential deployment of US-designed AP1000 nuclear reactors in Saudi Arabia over the coming decades, with the US stating that the project would be a “multi-billion-dollar partnership”.
However, analysts have noted that feasibility studies, licensing, and construction timelines mean any commercial reactors would likely take years to become operational.
The agreement will now be reviewed by the US Congress, which has 90 legislative session days to object before it can take effect.
UAE: the Gulf’s nuclear pioneer
Saudi Arabia is the second GCC country to strike a deal with the US in order to develop its nuclear programme. The UAE remains the Gulf region’s pioneer in civilian nuclear energy, having become the first Arab country to operate a commercial nuclear power plant. The project has also demonstrated how Gulf states can diversify their energy mix while reducing carbon emissions.
In 2012, the UAE began its nuclear programme by constructing the first reactor for Barakah Nuclear Energy Plant's Unit 1, entering service in 2020.
The facility's all four APR-1400 reactors came online in 2024, and are now fully operational, making Barakah the largest single source of electricity in the UAE. Together, the reactors generate around 40 terawatt-hours of carbon-free electricity annually, supplying approximately 25% of the country's power needs.
According to Barakah's operator Emirates Nuclear Energy Company (ENEC), the nuclear plant prevents up to 22.4 million tonnes of CO2 emissions each year, supporting the UAE's net-zero ambitions and broader energy transition goals.
