The U.K. government cleared the path for shale development by approving incentives among other steps. Now, companies are lining up in pursuit of a piece of the region’s estimated 26 trillion cubic feet (Tcf) of technically recoverable shale gas.

The Oil & Gas Authority (OGA), the region’s oil and gas regulator, said on Dec. 17 that it awarded 159 onshore blocks—about 75% of which are shale oil or gas blocks— in its latest onshore licensing round. The round, launched in July 2014, received 95 applications from 47 companies as the oil and gas sector continues to cope with the prolonged downturn, depressed commodity prices and a supply-demand imbalance.

The number of exploration licenses awarded includes 27 blocks that were awarded in August 2015. All of the blocks awarded will be incorporated into 93 onshore licenses, OGA said, noting no new licenses were awarded in Scotland or Wales.

“This round enables a significant amount of the U.K.’s shale prospects to be taken forward to be explored and tested,” OGA Chief Executive Andy Samuel said in a statement. “Upon acceptance of these offers, applicants will be issued with licenses and will be able to begin planning their future strategies for exploration activities. These will be subject to further local planning, safety, environmental and other authorizations.”

Companies that won exploration and development rights include Alkane Energy, Arora Energy Resources Ltd., Cuadrilla Resources, GDF Suez E&P U.K., Hutton Energy, IGas, Southwestern Energy Ltd., Total E&P U.K. and Island Gas Ltd. But the big winner was INEOS Upstream Ltd., which walked away with 21 shale gas licenses solidifying its role as one of the region’s biggest shale gas players.

The licenses awarded bumped up INEO’s acreage from 300,000 to 1 million, with most of the new licenses located in the North West, North Yorkshire and East Midlands areas.

“The U.K. government has demonstrated it is determined to move forward with this exciting new industry,” INEOS Chairman Jim Ratcliffe said. “This is the start of a shale gas revolution that will transform manufacturing in the U.K. INEOS has the skills to safely extract the gas and we have already committed to both fully consult and to share the rewards with the local communities. ”

Cuadrilla, one of the region’s most active shale drillers, added 16 exploration licenses Dec. 17 to the two it previously secured in August, gaining ground across the Cleveland and South Cleveland basins as well as the Gainsborough Trough in South Yorkshire. Activity in these new exploration license areas next year will be centered on desktop studies for the most part, Cuadrilla CEO Francis Egan said in a statement. “This will give the company a very detailed understanding on the geology deep underneath the license areas, helping to assess where exploration sites can subsequently be located,” he said.

News of the licenses was delivered a day after British legislators agreed to allow hydraulic fracking for shale gas extraction to a depth of at least 1,200 meters beneath national parks. The region’s push to develop its shale resources comes as nearby France and Germany have banned the use of fracking due to environmental concerns. Similar concerns have also slowed progress in the U.K., where regulators have remained steadfast in their efforts to lure investors to grow production and meet domestic energy needs.

Earlier this year, U.K. authorities approved a fast-track process of shale gas development applications. The legislation took aim at slow-moving councils known for failing to make decisions on such applications within the mandated 16-week timeframe. The move gave the U.K. government’s communities secretary authority to intervene and approve, or deny, shale exploration permits. The government also has the right to reside over appeals on a case-by-case basis.

“Alongside conventional drilling sites, we need to get shale gas moving,” Energy Minister Andrea Leadsom said. “As the Task Force for Shale Gas report found earlier this week, with the right standards in place fracking can take place safely. Now is the time to press ahead and get exploration underway so that we can determine how much shale gas there is and how much we can use.”

The U.S. Energy Information Administration estimates the U.K. has about 26 Tcf of shale gas and 700 million barrels of shale oil and condensate in its Carboniferous and Jurassic shale regions alone. Figures from the British Geological Survey show the U.K.’s Bowland Basin could hold an estimated 40 Tcm (1,329 Tcf) of gas in place, while Midland Valley could contain an estimated 2.4 Tcm (80.3 Tcf) of gas in place plus 6 Bbbl of oil.

The U.K. government also awarded licenses for conventional assets in the round.

Velda Addison can be reached at vaddison@hartenergy.com.