Middle East Economic Digest reported that Abu Dhabi Gas Industries Company is studying the development of an offshore sour gas field and is unlikely to involve foreign firms in early planning. MEED reported that Gasco a unit of Abu Dhabi National Oil Company is conducting its own study on the potential for the offshore Hail sour gas field.

An executive close to Gasco said that "This is early work but no international contractors are being canvassed, which suggest the initial engineering and design may be done in house.”

The magazine without citing source added that "Although the Hail fields fall within the concession of the Abu Dhabi Company for Onshore Operations, development of the project is now expected to come under the remit of Gasco.”

MEED added that the field could produce up to 500 million cubic feet a day of sour gas, according to a conservative forecast.

Last month, Adnoc and ConocoPhillips signed a long expected deal to develop sour gas reserves within the onshore Shah field. That was one of the largest upstream projects in the past year open to international companies competing for limited access to the Middle East's oil and gas fields.