The swish beachfront Bali restaurant that was destroyed by fire while packed out for its evening dinner service is wildly popular with Australians and is well-known as one of many island hubs for Aussie expatriates.

Seminkyak institution Chez Gado Gado was packed to the brim Sunday evening when flames took over and left diners and staff running for their lives in what has since been described an “absolutely terrifying” ordeal.

Brisbane couple Hannah Shepherd and Jase Jackson had just received their meals when they heard a bang before seeing a “fire ball” hydrogen balloon drifting up to the ceiling.

As chaos and panic broke out across the restaurant and hundreds of people rushed for the exists, the couple made a run for it. Within two minutes, the entire establishment had “gone inferno”, Ms Shepherd said.

“It was really, really scary,” the newly engaged woman said.

She detailed smoke being so thick it was impossible to see through the crowds, making it difficult to see if everyone had made it out safely in time.

The couple comforted a distraught employee who was arriving for her shift before making a swift walk back to their accommodation at nearby Double Six, the partner hotel of Chez Gado Gado.

“We just can’t believe it happened,” Ms Shepherd said.

Another Australian woman dining at the restaurant, which predominantly serves Pan-Mediterranean cuisine, recalled the scary moment fire took hold.

“I was inside, a family celebrating a birthday had balloons, believed to be hydrogen and that was the initial cause. Big fireball flew to the ceiling and the thatched roof didn’t stand a chance,” she said.

It’s understood everyone escaped to safety before fire gutted the 30-year-old restaurant with local fire crews taking more than two hours to extinguish the blaze.

The cause has not been determined, but some have linked the explosion of a helium balloon to the fire, while others argue it wouldn’t have taken much for the restaurant’s thatched roof to go up in flames.

Australian hospitality mastermind Robert Marchetti is connected to the venue through the company that owns it, Double-Six Hotel, Seminyak, which runs a swanky hotel 500 metres up the beach.

He was hired ahead of the hotel’s 2014 opening as its partner and creative director for its food and beverage offerings and stood aside afterwards before pivoting to focus on QT Perth in 2018.

Among the travellers to share their heartbreak at the tragedy is Melbourne couple Sue and Chris, who had planned to dine at Chez Gado Gado but decided on a different restaurant on a whim.

“It’s a decision that has left us feeling incredibly grateful, because we were only just down the road when we saw the flames. The night could have been so very different had we gone to Chez Gado Gado,” their post to Facebook read.

“It is heartbreaking to think that this iconic restaurant is no more. The speed and devastation of the fire was truly horrific. Over so many years, Chez Gado Gado has been a favourite of ours — a place where we enjoyed beautiful food, wonderful company, magical sunsets and so many special moments. It was more than just a restaurant; it was part of our Bali memories.”

Another traveller detailed her fun evening quickly turning bad.

“From great food and cocktails to a very unexpected end to our evening. We were dining on the rooftop at MoonLite Kitchen, one of my favourite retreat restaurants, when suddenly there was a gust of smoke, followed very quickly by flames,” she wrote to Facebook.

“Within moments we were being evacuated down the back stairs and onto the beach, where we stood watching as the iconic and much-loved Chez Gado Gado restaurant went up in flames.

“A very sad night for Seminyak, the owners, staff and everyone connected to this beautiful restaurant.”

The restaurant has been remembered fondly for its relaxed atmosphere and direct water views, with its thatched roof, fresh food, ample happy hour offerings and cocktail list adding to its icon status on the Seminyak tourist beach strip.

Social media pages for the business before the tragedy feature tables packed with tourists soaking up the ambience.

No official statement has been distributed by the restaurant or its parent company, Double Six.