A fish processor's healed hand warts has alerted scientists to the herpes-fighting properties of the blue blood of the Tasmanian blacklip abalone.

Researchers have found the abalone from pristine bays along the state's coast contain potent anti-viral properties that chemical engineers and virologists have shown block the herpes virus's entry into cells.

Scientists have discovered the same protein that gives the blood its blue colour also has anti-viral properties.

Adrian Cuthbertson from Marine Biotechnologies Australia, which is working with University of Sydney staff and other researchers, said the potential of the abalone blood in developing a better treatment was a chance discovery.

"Initially we started out looking at the prospect of developing an immune support supplement, and that serendipitously led us to the discovery that it was effective on cold sores," he said.

Mr Cutherbertson said 10 years ago when the company was involved in abalone serum trials relating to cancer treatments, patients reported fewer cases of cold sore breakouts.

"Around the same time we had an employee responsible for loading and unloading abalone shell containers," he said.

"After a month of working with the shellfish, he found the viral warts which had plagued his hands for years disappeared."

Mr Cuthbertson said he then contacted chemical engineers at the University of Sydney and virus researchers at the Westmead Millennium Institute to work on the discovery.

Abalone properties inhibit herpes

Most herpes medication works to manage the symptoms, but the anti-viral properties found in abalone act as a preventative measure.

Professor Fariba Dehghan, director of the university's bioengineering research, said their study showed the particular abalone hemocyanin inhibited the herpes simplex infection.

She said hemocyanins had a primary function of collecting and delivering oxygen to tissues.

"We know once infection occurs the virus integrates itself into a body's nerve cells, where it lays dormant awaiting reactivation," she said

"When awakened it travels back along the nerve tracks to the surface where it takes the form of watery blisters and ulcers on the skin."

Professor Tony Cunningham from Westmead Millennium Institutes said researchers were confident they could develop a therapy to replace current treatments that shorten the disease but do not kill the virus.

"With the information we have now, we are hopeful that we can develop an anti-viral therapy that will prevent or reduce the recurrence of the virus and/or hasten healing of the lesions," he said.

Mr Cuthbertson said there was a potential for a boost to Tasmania's abalone industry when a commercial product was developed.

Sorry, this video has expired Abalone discovery leads to herpes treatment hope ( Richard Baines )

"In terms of the abalone industry for Tasmania, it has the potential to substantially increase the value of it - this is, if you like, the ultimate value-add process," he said.

"We've now got to the stage where there's every possibility that we can develop pharmaceutical drugs from some of the bi-products.

"We would be hopeful that in the next 18 months to two years that we've got some serious interest from pharmaceutical companies."

The anti-viral therapy's form is still unclear and researchers said it was possible it could be a cream, a nasal spray or a tablet.

The researchers said more than 70 per cent of Australians carried the herpes simplex 1 virus.

About 13 per cent carry the herpes simplex 2 virus, which can cause genital herpes.