Yellowknife's biggest hotel is about to get bigger.

The owner of The Explorer Hotel says it's planning a 75-room expansion of the downtown hotel. That would bump up the total number of rooms to 262.

Doug Cox, the CEO of Touchstone Holdings, which owns the subsidiary that runs the hotel, says two additional conference rooms that could accommodate up to 100 people are also being considered.

Construction could begin this year, says Cox.

The Explorer last underwent an expansion in 2008, which increased the number of rooms to 187 from 127.

Cox says the Yellowknife hotel market grows by about 10 to 12 rooms a year.

He declined to cite the estimated cost of the expansion.

Another company, Nova Builders, says it still plans to build its own hotel on land located beside The Explorer.

"I don't care," said Mike Mrdjenovich, the owner of Nova Builders, of the Explorer's planned expansion.

Mrdjenovich says his hotel, which would have 180 to 200 rooms, would charge less than what the Explorer charges, making his venture still economic.