US President Donald Trump has formally approved a new civilian nuclear deal with Saudi Arabia that is expected to be worth tens of billions of dollars.
The 30-year deal gives US companies a chance to build the Gulf state's nuclear infrastructure, strengthening Washington's influence in the region.
One of the key components of the deal is a proposal to build a uranium enrichment facility in Saudi Arabia if a joint US-Saudi study finds it technically and commercially viable.
The facility would be built by US companies using special controls to ensure that sensitive technology is not transferred to Riyadh.
The Trump administration has insisted that direct US involvement will ensure that Saudi Arabia's nuclear program remains peaceful and prevent enriched uranium from being used to develop nuclear weapons.
In addition, spent fuel from the reactors will not be allowed to be reprocessed to produce weapons.
The deal is expected to be submitted to Congress soon and has the potential to spark debate. Some lawmakers fear the move could accelerate the spread of nuclear technology in the Middle East, especially at a time when geopolitical tensions in the region remain high.
Saudi Arabia, on the other hand, insists that its nuclear program aims to meet domestic energy needs and reduce its dependence on oil for electricity generation. With the use of nuclear energy, more oil production can be exported to increase the country's income.
However, concerns about the risk of nuclear weapons proliferation still exist. Crown Prince Mohammed bin Salman has previously stated that Saudi Arabia would take similar steps if Iran succeeded in obtaining nuclear weapons.
The statement continues to be a factor that triggers concerns among international observers.
If fully implemented, this agreement not only has the potential to revive the US nuclear industry, but also strengthen the strategic relationship between Washington and Riyadh and reduce the influence of Russia and China in the development of Saudi Arabia's nuclear sector.
However, its impact on the balance of power and security in the Middle East will continue to be the concern of the market and the international community.
