Fine Gael leader Enda Kenny has said he intends to stay on to lead the party, even if it does not make it into Government.
Speaking at the count centre in Castlebar, Mr Kenny, who was elected on the first count, described his party's performance as spectacular.
He said that gaining over 20 seats is 'simply massive'.
Mr Kenny said he was not prepared to concede the election until he sees the final outcome.
The party is claiming that along with Labour and the Greens they could end up with 77 seats, against a possible 76 for Fianna Fáil.
As counting continues in the election, Fianna Fáil has 50 out of 166 Dáil seats, representing 41% share of the vote.
Fine Gael has 18 seats, Labour seven, the Greens three and Sinn Fein two.
He added that he has no regrets about the alliance with Labour, which he said had led to a serious challenge to Fianna Fáil and the PDs. It was the right thing to do he said.
Reaction to McDowell
Asked about Michael McDowell’s resignation from politics, Mr Kenny said it had been a bad election for the PDs and the Tánaiste had done the right thing.
He described Mr McDowell as a provocative and polarising figure in Irish politics and as leader of his party.
He wished Mr McDowell well, and thanked him for his contribution to the Dáil.