The Stanhope Beach Resort and Conference Centre is closed and under a boil-water advisory after a test indicated a small amount of E. coli in one of its wells.
Management at the resort said the entire hotel has been shut down while a cleaning company disinfects it.
Public Health Officials said they issued a boil advisory late Wednesday afternoon.
The Health Department sampled the water after a gastrointestinal illness outbreak that made more than 200 people sick last weekend and found a small amount of E. coli.
Officials said there is no indication the outbreak and E. coli are linked.
Heather Morrison, the province's Chief Health Officer, said the amount of E.coli was not enough to make anyone sick and a second a test has already come back clean.
"However we do not lift the boil water advisory until there are two sets, all-clear of any E. coli. There's no indication at this point in time that the well water is a source of the norovirus outbreak just because we issued the boil water advisory," Morrison said.
It will likely be Monday or Tuesday before officials have results from a third test and the boil order can be lifted.
The resort's last guests checked out Thursday morning, said Paul Murphy, the company vice-president of finance and corporate counsel.
"We are now allowing ServiceMaster to complete their work which is a complete disinfection of the property. We have taken measures with respect to the well, as well, to eliminate the presence of any E.coli," he said.
Management said they're not sure when they will be able to reopen the resort.