This paper presents a new approach for registering and integrating range images where these two processes are merged and performed in a common volumetric representation. The proposed approach allows both simultaneous and incremental registration where matching complexity is linear with respect to the number of images. This improvement leads to incremental modeling from range image acquisition to surface reconstruction. It is shown that the approach is tolerant to initial registration errors as well as to measurement errors while keeping the details of the initial range images. The paper describes the formalism of the approach. Experimental results demonstrate performance advantages and tolerance to aforementioned types of errors for free form objects.