Lugu Lake Airport was scheduled to undergo construction in 2009 and to be finished within 20 months. Lugu Lake (泸沽湖) is located on the Yunnan-Sichuan border, in Ninglang Yi Autonomous County in the northeast of Lijiang City, approximately 200 kilometers (120 mi) from Lijiang. It is generally reached from the Yunnan side by bus or car from Lijiang, with mudslides and flooding often making roads impassable.
Lugu Lake Airport was to receive an initial investment of 900 million yuan (US$132 million) and was to offer flight services to Kunming and Guangzhou. The airport was projected to handle between 1.5 million and two million passengers annually. The airport's construction would reportedly coincide with a local government plan to build the area into a 'tourist town'.