The dam site is located 3.2 kilometres (2.0 mi) mile below the confluence of the Mali River and the N'Mai River about 42 kilometres (26.1 mi) north of Myitkyina, the capital of Kachin State, in northern Burma. The source of both the N'mai and Mali Rivers is the Himalaya glaciers of northern Burma in the vicinity of 28° N. The easternmost of the two, N'mai river, is the larger stream and rises in the Languela Glacier north of Putao. It is unnavigable because of the strong current whereas the smaller western river, the Mali, is navigable, despite a few rapids.
The project location is in the politically unstable Kachin State. Since 1962, the Kachin Independence Army (KIA) has been waging war against Burmese military. Despite ceasefire in 1994, clashes and bomb explosions occasionally occur near the dam site. In 2011, clashes between Burmese military and KIA intensified and the Burmese military ordered airstrikes in Northern Kachin State.