Police urge drivers on the Lasseter Highway in the Yulara area to drive with care following a fatal crash early this morning.

Senior Sergeant Melinda Edwards said the incident, involving two vehicles 15km east of Yulara Resort, was reported to Police at 6:35am today.

"A male, believed to be the driver of one of the vehicles, has died as a result of the crash and a female passenger has been taken to Yulara Health Clinic to be medically assessed for suspected internal injuries.

"Another woman, from a separate vehicle, has also been taken to the Yulara Health Clinic with suspected leg injuries.

"Major Crash Investigators are working to determine the circumstances surrounding the crash. 

"The Lasseter Highway is blocked in both directions and will remain so for several hours. Drivers are urged to obey all traffic direction in place until the scene is safely cleared." 

A file will be prepared for the coroner.

The road toll for this year now stands at 23 compared to 29 for the same period last year.