China’s search for natural gas passed a landmark this week as the government launched its first tender offer for four shale gas blocks in southern China, underlining Beijing’s determination to move forward with developing unconventional gas resources.

China is the world’s largest energy consumer and Beijing is increasingly looking to natural gas to help power the country in coming decades. Shale gas, natural gas trapped in rock and extracted through a water-intensive process known as “fracking”, is believed to be abundant in China, although it is not yet being extracted there.

The tender offer, China’s first for shale gas, will not be open to foreign bids at this stage, a disappointment to foreign oil companies such as Shell and BP which have been circling China’s unconventional gas sector. The six groups competing for the tender are PetroChina, Sinopec, Cnooc, Shaanxi Yanchang, China United Coalbed Methane Co, and Henan Provincial Coal Seam Gas Development Co, Dow Jones reported, citing a government official.