The Chancellor could hand further tax breaks to the oil industry
The Chancellor will establish a new expert panel to examine how to throw another lifeline to the beleaguered sector.
Mr Hammond is expected to announce the move in his first Budget statement tomorrow.
The UK Government plans to publish a discussion paper on how to help the North Sea oil and gas sector.
More than 100,000 workers are feared to have lost their jobs following the collapse in prices.
Experts will aslo study at how taxation can assist sales of oil and gas fields to keep them productive for longer.
Industry body Oil and Gas UK has already called for more to be done to "facilitate the transfer of assets in the basin and so stimulate additional investment".
Scottish Finance Secretary Derek Mackay has also been demanding action from the Chancellor.
Earlier this month, the SNP minister wrote to Mr Hammond, calling on him to "'step up to the plate" and improve decommissioning tax relief for the North Sea sector.
Mr Hammond has already used his Autumn Statement to give Holyrood an extra £800million to stimulate Scotland's ailing economy.
Derek Mackay has demanded that Mr Hammond 'step up to the plate' on the issue
This he said would give a "very significant" boost to the Scottish Government's capital budget over the next five years.
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Spending in areas such as education and skills south of the border will give the Edinburgh administration an "important uplift in its budgets" through the Barnett formula.
The UK Government argues this shows the "benefits of the Union" with UK’s "stability" underpinning the investment.
Latest official figures show North Sea oil has posted a loss for the taxpayer for the first year in its history.
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Philip Hammond will deliver his Autumn Statement to MPs at the House of Commons detailing the government's spending and taxation plans today
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Philip Hammond reads through his Autumn Statement in his office in 11 Downing Street
The Treasury put £24million more into investment and decommissioning than it got back in petroleum revenue tax (PRT) in 2015/16.
It is the first time that the oil balance sheet has been in the red since records began in 1968/69.
Mr Mackay said it was encouraging the UK Government had "finally listened" on "the failings of the decommissioning tax regime".
More than 100,000 oil workers are feared to have been made redundant
But he called on the Chancellor to provide some "financial relief" for public services arguing with the prospect of Brexit it was "the wrong time for austerity".
Additional spending cuts at this time could be "disastrous", Mr Mackay added.
He said: "The cuts already planned by the UK Government mean that by 2019-20, the Scottish Government's discretionary budget will be £2.9 billion (9.2%) lower in real terms than it was in 2010-11.
"Any change in spending must be seen against the context of the huge cuts we are already facing."