UPDATE 2.45PM: Fire crews are still on scene at the Dululu Hotel, but have extinguished the blaze.
The extent of the damage is yet to be confirmed.
Crews are currently dampening down the area.
All people have been accounted for.
EARLIER: FIREFIGHTERS are responding to reports the Dululu Hotel is on fire.
A Queensland Fire and Rescue spokeswoman said four crews were on their way to the structure fire but it was unknown how involved the fire is at this point in time.
It is believed the Hotel, on the corner of Burnett and Liechhardt Highways, was not open for service at the time.
More to come.