Following the Mongolian Revolution of 1990 and between 1994 and 1997 a further major upgrade of construction and air navigation was achieved with the assistance of the Asian Development Bank,[6] making the airport compliant with ICAO standards.

The US$50 million construction project was carried out by the successful bidder: a German / English joint venture of Philipp Holzmann and Wimpey Asphalt.

[8] The new airport significantly expands capacity, and is located at the Khoshigt Valley, 52 kilometres (32 mi) south of Ulaanbaatar city center.

[9] The airline Aero Mongolia has its head office on the third floor of the main airport building.

[19] The Air Accident Investigation Bureau Mongolia has its head office on the airport property.