The Tigers, who currently sit in the Premier League relegation zone, are a win over Championship leaders Newcastle away from reaching the last four.
A two-legged semi-final will take Hull's amount of matches in January to six, potentially more depending on FA Cup progress, after playing six league games in December.
But rather than see the EFL Cup as a hindrance to their top-flight survival hopes, Phelan believes Hull should relish the opportunity to continue their progress in a competition that has already seen them beat Exeter, Stoke and Bristol City.
"Every game is another game. We have progressed in this cup and now we get to this stage it is important we maintain momentum," head coach Phelan said at a press conference.
"We have found ourselves progressing well in this competition, we are in the quarter-finals and we know if we get through this one there are two more games to be added to your calendar, when they come in January, after a busy Christmas.
"But all the players are looking forward to it. If you are in a cup competition and get that far, then you want to go as far as you possibly can. The team on the pitch will be giving it everything."
He told reporters: "The team that we play will be strong. I think we have got three or four players that have not played minutes up to now and going into December we need to get them out on the grass, so we will be using them.
"We should be in reasonably good shape, and be strong. There will be changes, but some of those changes are internationals. We will do our job and prepare the team to play a good Newcastle team."