The latest talks took place on 1 September. It follows a memorandum of understanding to develop the field, which was signed by the two governments in June 2007.

Tehran’s Oil Minister Gholamhossein Nozari told Iran’s official energy news agency Shana on 2 September that he had agreed with Mohammed bin Hamed bin Seif al-Rumhy to set up a technical committee to follow up on previous co-operation agreements.

In April Tehran signed an agreement with an unnamed Omani company for the development of the Kish field. That deal is expected to produce 1 billion cubic feet a day (cf/d) of gas (MEED 7:4:08).

The National Iranian Oil Company (NIOC) has previously forecast production of 3.5 billion cf/d from the field, with about 75 per cent of all gas reserves understood to be recoverable.

Demand for gas is high in the sultanate and is forecast to reach 3.8 billion cubic feet-a-day (cf/d) by 2010, well above the planned supply of 2.6 billion cf/d, according to the Oil & Gas Ministry.