Twenty-one years ago a newspaper article spruiked, "Territorians could be watching rockets blast into space within three years".

Chief Minister Michael Gunner said he had been trying to find a way to announce the revival of the idea to make the Territory a rocket-launching site that did not seem like déjà vu for long-term Territorians.

Mr Gunner revealed there were talks underway with the private sector and traditional owners on how to make the Top End home to an Australian space industry.

"It is quite serious – we actually joked about how we can actually present this in a way that's taken seriously," he said.

"There is an opportunity to access space from the Territory that we're working on."

While the idea has been around for decades, industry insiders believe this time is different.

Chair of the Space Industry Association of Australia, Brett Biddington, said it made sense because of the NTs remoteness and proximity to the equator.

"There have been several failed projects between the 1960s and today, but I'm aware of one project that's on the cards at the moment that I think has a very good chance of coming to fruition," he said.

"The closer you can get to the equator, if you launch to the east, you get the advantage of the Earth's own rotation around its axis.

"So you get the spin of the Earth giving an extra kick to your launch vehicle."

Launchpad 'not that sophisticated'

When it comes to the NT's plans, Mr Biddington said setting up a launchpad was not as sophisticated as one might think.

"Satellites and launch vehicles are getting less expensive all the time as a function of miniaturisation of satellites," he said.

"An actual launch site doesn't have to be very sophisticated.

"It's basically got to have a concrete pad, some control gear, it's got to have a building where we can mate the satellite or the probe to the rocket, and the capacity to fuel the rocket – so it's pretty basic infrastructure."

Mr Gunner said he had been hesitant to talk about the plans.

"I've been a bit cautious about talking about it before now because you want people to take it credibly, but we genuinely have an opportunity to send things into space from the Territory," he said.

"We're working through a process at the moment, and we'll be going out to consultation soon in and around that local area.

"We're having direct conversations with parties who are interested.

"It would be a private sector initiative, but the Territory Government is helping facilitate making it happen in the conversations around the land and how it's accessed."

Chance of rockets falling on towns 'minimised' by location

The remoteness of possible space base locations limited the possibility of spent rockets falling on populated areas.

"The remote location that is being postulated for this new initiative is indeed in an area where risk to people and property is absolutely minimised," Mr Biddington said.

The NT Government's renewed interest in getting in on the space industry comes just a week after the Federal Government's plans to start an Australian space agency came to light.

The Government is now reviewing Australia's space capabilities, with an expert panel to report on the feasibility of an agency by March next year.

Indeed Australia is lagging behind most other developed nations who already have space agencies.