The United States is preparing to announce a major bilateral agreement with Saudi Arabia to establish a civilian nuclear energy programme within the kingdom.
The bilateral agreement, expected to span 30 years, could generate billions of pounds for the American nuclear technology sector.
Sources familiar with the negotiations report that the pact could allow American companies to build a domestic uranium enrichment facility on Saudi soil.
The expected announcement comes at a sensitive time, as American forces remain engaged in a wider regional conflict with Iran that began partly over concerns regarding Tehran's nuclear capabilities.
Diplomatic talks aimed at resolving the dispute between Washington and Tehran remain stalled.
The proposed framework will be submitted to the United States Congress for formal review, though legislative approval is not required for the measure to take effect.
Several American lawmakers and Israeli officials have raised strong objections to the plan.
Opponents argue that providing enrichment technology could allow the kingdom to develop nuclear weapons in the future.
Saudi leaders have maintained for years that the country has a right to develop peaceful nuclear infrastructure to diversify its energy grid.
American officials previously sought to combine nuclear cooperation with a broader diplomatic agreement, encouraging Saudi Arabia to normalise relations with Israel alongside a mutual defence pact.
The move follows an earlier nuclear accord signed in 2009 between Washington and the United Arab Emirates, although that agreement strictly prohibited local uranium enrichment.
Energy security concerns across the region escalated in May when an unmanned aerial vehicle struck an electrical generator outside the Barakah nuclear power plant in Abu Dhabi, causing a localized fire.
International security experts have warned that nuclear proliferation in the Gulf could trigger an arms race among regional rivals.
The security situation has been further complicated by threats from Houthi forces in Yemen, who announced plans to blockade Saudi shipping ports.
The blockade threat has sparked widespread concern across global commodity markets regarding potential disruptions to international crude oil supplies.
