Located 50 km south of Ölgii, in the heart of Bayan-Ölgii province, stands Lake Tolbo, which means "spot", stretching across an area of 185 km² at an elevation of over 2,000 metres.

Nestled in the Altai range, its waters are crystal-clear and pristine. The road leading to it passes near glaciers and, in winter, it is possible to travel across the frozen lake.

The lake witnessed the Battle of Lake Tolbo (1921) during the Russian Civil War, when the Bolsheviks allied with Mongolian forces defeated an army of White Russians. A commemorative plaque marking the victory can be seen today.