The Environment Agency has given permission to reinject water produced during gas extraction at a borehole in North Yorkshire.
Third Energy UK Gas can take water produced from one layer of rock and inject it into another via the Ebberston Moor borehole.
That allows the company to explore for gas at the site.
The Environment Agency examined the project to ensure all controls and procedures respect the environment, including groundwater and drinking water supplies.
The decision follows two open consultations on the proposals, allowing the public to raise any local environmental concerns.
A spokesperson for the Environment Agency said: “As a regulator of onshore oil and gas exploration and development in England, the Environment Agency’s role is to ensure that these activities are carried out in a way that does not harm people or the environment.
“Our role in ensuring environmental protection continues throughout the lifetime of an operational site so we will continue to monitor this operation to ensure that Third Energy is working within the conditions set out in the permit.”
A consultation on Third Energy’s shale gas application near Kirby Misperton in North Yorkshire was launched yesterday.