Italy's Eni and Algeria's state oil company Sonatrach have signed an initial agreement to fast-track the development of the North African nation's gas resources and green hydrogen potential.

The move marks the next step in Eni's plan to extract further gas from Algeria to replace Russian sources, and invest in renewable energy schemes that could drive the decarbonisation plans.

At a meeting in Rome today, Sonatrach chairman Toufik Hakkar and Eni chief executive Claudio Descalzi signed a memorandum of understanding aimed at accelerating the development of gas fields in Algeria and decarbonisation via green hydrogen.