One person is being checked by an ambulance crew as a precaution after an explosion in the kitchen of the Sherwood.
A Fire and Emergency NZ spokeswoman said firefighters initially responded to an automatic alarm activation at the Frankton Road hotel at 9am.
A 111 call then came in and a second Queenstown fire crew was dispatched.
"It appears there has been some sort of explosion, we believe in the kitchen area,'' the spokeswoman said.
"Something certainly went 'bang'.''
The explosion did not cause a fire, but it did blow out a window, she said.
No further details around the cause of the explosion or the extent of any damage were available.
The spokeswoman said one person was being checked by an ambulance crew, but did not appear to have serious injuries.
Fire crews were still on scene, and a fire investigator was being called.