U.S.-Saudi collaboration on developing a nuclear energy program will be a top issue when Saudi Crown Prince Mohammed bin Salman visits the White House this week, senior administration officials told reporters Monday.
U.S. help in developing a Saudi civil nuclear program will be discussed with a long list of regional security concerns, including the disruptive influence of Iran in the region, the officials said.
“We continue to engage with our Saudi partners on their plans for a civil nuclear program, and possible U.S. supply of nuclear equipment, expertise and materials,” said one senior administration official on the call.
The official also noted that the administration this week will announce a new joint forum at the national security adviser level among the U.S., Saudi Arabia, and United Arab Emirates. The forum will discuss issues of strategic importance monthly. The UAE also is looking to develop a nuclear energy program.
The Trump administration has been holding talks with Saudi Arabia on supplying it with U.S. nuclear energy expertise to help it develop nuclear power. The development of nuclear has become a high-profile concern for the kingdom since it initiated an aggressive economic reform plan in 2016 to diversify its economy away from crude oil.
Sustained low oil prices have forced the oil-rich kingdom to seriously consider new sources of revenue, as its oil-fueled budget has been cut in half over the last three years. But it appears to be scaling back its plan for a public offering of its national oil company Saudi Aramco that could have raised as much as $100 billion. Government officials told the Wall Street Journal Monday that they will list the company only on the Saudi stock exchange before deciding whether to list internationally, such as on the New York Stock Exchange.
Critics of the Trump administration’s encouragement of nuclear power in Saudi Arabia say it runs the risk of nuclear weapons proliferation in the Persian Gulf. The crown prince said ahead of his U.S. visit that if Iran develops a nuclear weapon, so will the Saudis. A senior administration official said Monday that the president will listen to Salman’s concerns about Iran as the administration looks to make a decision on Iran sanctions in May.
It appears that any discussion on nuclear energy cooperation may have to be met by a discussion on the threat posed by Iran’s and Saudi Arabia’s ambitions to develop a nuclear weapon.
Trump’s meeting with the crown prince also will address the humanitarian crisis in Yemen, and energy issues there are also likely to also be discussed, since oil is transported into the country, which borders Saudi Arabia to the south.
Saudi Arabia has waged a war against Yemen’s Houthi rebels, which has resulted in collateral damage to the civilian population. Trump has asked for the Saudi regime to address the humanitarian crisis.
Trump also will be asking Saudi Arabia to increase its investment in the U.S., the senior official said. The president will be using the crown prince’s visit to advocate for Saudi Arabia to strike $35 billion in commercial deals for U.S. companies that would support 120,000 U.S. jobs.
Saudi Arabia is the country’s third largest source of foreign direct investment, which stands at $12.3 billion and supports more than 10,000 jobs. The senior official also pointed out that Saudi Arabia announced $20 billion in U.S. infrastructure projects, “which is a priority for this administration.”
Saudi Arabia last year became the sole owner of the largest oil refinery on the U.S. Gulf Coast.
