WASHINGTON: The US and Saudi Arabia signed a landmark peaceful nuclear cooperation agreement—known as a 123 agreement—alongside a bilateral safeguards agreement on Wednesday (local time), the U.S. Department of Energy announced.

Approved by President Donald Trump, the multi-billion-dollar deal establishes the legal framework for American companies to help build Saudi Arabia’s nuclear power program.

US Energy Secretary Chris Wright stated the agreement upholds top safety and nonproliferation standards while leveraging American technology.

According to sources familiar with the matter, the deal is not expected to require the most rigorous U.N. inspections or restrict Saudi Arabia from enriching uranium or reprocessing spent nuclear fuel.