Fire crews were called to the Heartland Hotel Queenstown, on Stanley St, at 5.25am.
Scenic Hotels Queenstown area manager Brett Inkster said guests left a butane gas canister, for camping, on an induction hob in one of the family rooms.
"Obviously, the element must have been on and the canister exploded."
He said there was no fire, as such, but there was minor damage to the kitchen area.
No-one was hurt. Guests on the other side of the family room were moved to sister hotel Scenic Suites.
"It was an oversight by the guests staying. We can’t understand why you would bring a gas canister into a room and put it in a kitchen area on top of an element," he said.
"It wasn’t purposely done or maliciously done. It was purely an accident."
The guests left Queenstown yesterday, Mr Inkster said, and the hotel would seek compensation for the damage.
"We hope to have the room back online by early next week."
Fire southern communications centre shift manager Andrew Norris said two volunteer crews from Queenstown station attended.
The incident was dealt with quickly and they left after 15 minutes, he said.
Mr Inkster said the hotel had been busy from the end of last ski season until now.
"It’s just unfortunate this incident happened. It’s the first one of its kind we’ve had."
