In an effort to persuade communities of the benefits of fracking, the process of extracting gas by the hydraulic fracturing of rock using high pressure liquid, firms will offer £100,000 of benefits for each exploratory well.
Mr Cameron said:
"Companies have agreed to pay £100,000 to every community situated near an exploratory well... If shale gas is then extracted, 1% - perhaps as much as £10 million - will go straight back to residents."
He also claimed a thriving shale-gas industry could create tens of thousands of jobs.
More top news
A heartbroken lover is trying to win back his/her partner by leaving a series of love messages on lamp posts through Milford in Godalming.
Police are appealing for information after a cat was shot in the face with an air riffle.
Tuesday morning's forecast for the east of the region