The US and Saudi Arabia have signed a landmark agreement to co-operate on civilian nuclear energy, a deal long sought by Riyadh. The Department of Energy stated the "peaceful nuclear co-operation agreement" will establish a legal framework for a "decades-long, multibillion-dollar partnership," offering "great access for American companies" and furthering President Donald Trump’s "nuclear renaissance" initiative.

This development occurs amidst the US's ongoing war with Iran, a conflict that has significantly impacted Saudi Arabia and its regional allies through Iranian missile and drone attacks. Iran's actions have also disrupted the Strait of Hormuz, a crucial oil and gas export route, straining global oil reserves and increasing fuel prices.

The agreement aims to help Riyadh develop an alternative energy framework, potentially granting US companies a leading role in its nuclear program for over 30 years. This could include the construction of a uranium-enrichment facility, pending a joint study, according to individuals familiar with the arrangement.