ExxonMobil has not ruled out paying compensation to local residents affected by flaring at Mossmorran.
However, the operator of Fife Ethylene Plant said it had received no formal requests for compensation payments from members of the public.
Fife Council’s co-leaders, who recently raised the issue with the petrochemical giant, indicated that talks about possible compensation were at an early stage.
The council’s Labour co-leader David Ross said: “We raised the possibility of compensation with Exxon when we met them.
“Their response was that they did not rule this out in principle. It is something we will be following up on again in due course.
“We are currently reviewing the current liaison arrangements with a view to revising these. These will include representatives from local communities and it would make sense to involve them in any discussions on compensation.
“We are also receiving reports from the companies, SEPA and possibly NHS Fife, which will assist in this process.”
Stuart Neill, external affairs manager for ExxonMobil, said there had been a “constructive discussion” between the company, Mr Ross and SNP co-leader David Alexander earlier this year.
“We will engage further on any formal proposals they might have,” he said.
“We remain focused on the main priority of local residents, namely addressing their concerns and frustrations caused by flaring.”