The Northern Territory's shale oil and gas potential has geologists excited.

The shale industry is in its infancy in the Territory, with only a handful of gas wells drilled so far, however a reserve known as the Beetaloo Sub-basin, within the McArthur Basin, has encouraged further exploration.

The sub-basin is situated about 500 kilometres south-east of Darwin.

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Northern Territory Geological Survey director Ian Scrimgeour said signs were positive.

"A lot of new information is coming out about the geology and the scale of the potential for shale gas in that area," he said.

"It's a really exciting developing area."

Mr Scrimgeour said the region had attracted the attention of four energy companies, but admitted the NT needed to convince more companies to come.

"The Territory does suffer from a lot of natural disadvantages, around remoteness and infrastructure," he said.

"There's also a real lack of appetite for risk in the financial markets, and a lot of the Territory is inherently high risk exploration because not a lot of exploration has been done."

He said the recent resurgence in gold exploration in Tennant Creek and Tanami was evidence of the Territory's potential.

"The bidding war that's going on for Tanami Gold's project, Northern Star and Metals X are both putting bids in to get involved in that project, shows there's suddenly a lot of interest in gold in the Territory again."

The NT's shale oil and gas potential was the main talking point at a geoscience exploration seminar in Alice Springs.