Donegal County Council is proposing to develop a €6 million sea life centre which it hopes will attract 100,000 visitors to the region every year.
It has invited interested parties to tender proposals for the development to be submitted by February 4th.
The council has identified two towns which would be suitable to accommodate the venture, Buncrana and Bundoran. It has three potentially suitable sites in Bundoran and two in Buncrana.
The proposed development will be modelled on the successful Dingle Ocean World Centre in Co Kerry.
A feasibility study into the establishment of a sea life centre as a major visitor attraction in Co Donegal said it could be developed as a "profitable commercial operation" and would attract "a large number of visitors to the county".
It also said proposed sites would qualify for grant assistance under the Fáilte Ireland Tourism product development scheme.
The project could also be developed and managed effectively through the private sector where "market efficiencies and economies of scale can be fully exploited", the report added.
"As in the case of the Dingle aquarium the public sector can play an invaluable role in attracting private investors through providing a suitable site, grant supports and advice on planned and environmental issues."
Mr Paul McLoone, chief executive of the North West Regional Tourist Board, said yesterday another visitor centre would be beneficial in Bundoran.
"We feel that Bundoran is the show case of tourism for the north-west and all agencies concerned from the tourism product development board support us on this big time."
Mr Kevin O'Connor, programme co-ordinator for the proposed centre, emphasised how Donegal had suffered heavy job losses in traditional industries, most notably in textile and the fishing sectors.
He said there was enormous potential in Donegal's rugged Atlantic coastline.
Mr O'Connor said there should be a focus on building a brand image that could capture the imagination and hearts of city dwellers across Europe who craved a break from traffic jams, overcrowding and poor air quality.