Saudi Arabia plans to enrich and export uranium
Saudi Energy Minister Prince Abdulaziz bin Salman has announced that the Kingdom plans to harness mineral resources, including the sale of uranium, for financial gain.
Speaking at a conference at the Dhahran Exhibition Centre in Dammam, the minister said the Kingdom will enrich uranium, market it and produce concentrated uranium oxide, used in the manufacture of nuclear fuel for reactors.
Saudi Arabia has a nascent nuclear programme and aims to expand it with the intention of eventually including uranium enrichment, a sensitive issue because of its relevance to nuclear weapons development. Riyadh has stated its aim to use nuclear power to diversify its energy sector.
However, the Kingdom has not set clear limits to its nuclear ambitions. In 2018, Crown Prince Mohammed bin Salman stated that his nation would develop nuclear weapons should Iran do so.
For its part, the UAE already has the Arab world's first multi-unit nuclear plant, but has formally committed not to enrich uranium or reprocess used nuclear fuel.
Last year, Riyadh announced its intention to remove the system of limited monitoring of its nuclear facilities by the International Atomic Energy Agency (IAEA), with the aim of implementing the full safeguards agreement by the end of 2024.
Although the Kingdom has not yet commissioned its first nuclear reactor, its programme remains under the framework of the Small Quantities Protocol, an agreement with the IAEA that exempts countries with limited nuclear capabilities from many reporting and inspection obligations.
The Saudi Energy Minister's announcement came during the ‘Iktva 2025’ forum at the Dhahran Expo Center, organised by Saudi Aramco in Dammam. This event, focused on supply chains in the energy sector, attracts numerous local and international players, and comes against the backdrop of historically rising uranium prices, driven by the growing demand for data centres that rely on artificial intelligence.
According to data collected by CNN, enriched uranium prices have reached 190 dollars per separation unit, a measure that reflects the effort required to separate uranium isotopes. This is a significant increase from 56 dollars per unit three years ago, according to UXC data.
Growing government and corporate interest in nuclear power as a carbon-free energy source strong enough to power industrial facilities and communities is driving demand for uranium.
Large tech companies such as Microsoft and Amazon are looking to use uranium to power their energy-intensive data centres, which are vying to dominate the market for generative artificial intelligence.
The Saudi minister stressed that the Kingdom is working to develop modern technologies and industries, with a primary focus on the petrochemical sector as a key pillar for the future.
He also announced that Saudi Arabia is developing a roadmap to strengthen cooperation with Egypt in the field of electricity.
For his part, the Egyptian Minister of Electricity and Renewable Energy, Mahmoud Esmat, assured last July that the electricity interconnection project with Saudi Arabia will be operational and connected to the unified grid before next summer.
During his meeting with the Saudi Energy Minister in Riyadh, Esmat stressed that ‘great efforts are being made by all parties to complete the electricity interconnection project between Egypt and Saudi Arabia’. ‘The goal is to start operations and connect the grid before next summer. To achieve this, a task force has been formed to resolve any problems or obstacles that may arise,’ he added.
The two countries are working together to break new ground and encourage private investment in renewable energy projects, especially in solar and wind. They are also committed to supporting cooperation in the transfer and exchange of know-how and modern technologies in areas such as electricity generation, transmission and distribution, according to a statement from Egypt's Ministry of Electricity.