The logo of the Algerian state-owned energy company, Sonatrach, during the World Gas Conference exhibition in Paris, France, June 2, 2015. (AFP)

Sonatrach, the state-owned energy company, signed several contracts with the French TotalEnergies worth around a whopping $740 million, Sonatrach said in a statement.

The Algerian company's CEO, Toufik Hakkar, and TotalEnergies head, Patrick Pouyanne, signed the multifaceted deal in Algiers.

The contracts will encompass hydrocarbon deals targeted at the exploitation of the Tin Fouye-Tabankort (TFT) II and South fields in the desert of southeast Algeria, liquefied natural gas, and renewable energy sources.

"The TFT II contract provides for development investments of around $332 million, making it possible to recover 43 billion cubic meters of gas, 4.3 million tons of condensate, and 5.7 million tons of LPG," the company's statement read.

"The development investments of the second contract, TFT Sud, are estimated at $407 million, allowing the recovery of 11.5 billion cubic meters of gas, 1.3 million tons of condensate and 1.6 million tons of LPG," it added.

The state-owned enterprise said the combined production of the two fields TFT II and TFT South will exceed a rate of production of the equivalent of 100,000 bpd in contrast to the 60,000 bpd current production rate.

Sonatrach and TotalEnergies will expand their joint work in the field of natural gas extraction, as the former looks to become a key supplier of gas to the French and European markets, which are still suffering from the sanctions they imposed on Russian energy sources.

Earlier, the Algerian government also finalized deals with the Italian energy company, Eni, to further bolster its market share of energy consumption in European countries.

Italian Prime Minister Georgia Meloni was accompanied by Eni CEO Claudio Descalzi, who traveled to meet with Sonatrach officials on June 23. At a joint press conference with Tebboune, Meloni stated, "Two agreements were signed between Eni and its Algerian counterpart, one to identify activities to reduce greenhouse gas emissions and the other to achieve an increase in energy exports from Algeria to Italy and potentially from Algeria to Europe."

According to Meloni, Eni and Sonatrach will study ways to facilitate the transport of gas and will work on a new pipeline to carry hydrogen.

She also mentioned expanding Algeria's capacity to produce liquefied natural gas (LNG) and laying an undersea electrical cable between the two states.