[4] Kutubu lies in the Southern Highlands Province of Papua New Guinea, east of the Kikori River into which it drains, and about 50 km southwest of Mendi, the provincial capital.

The water of Lake Kutubu, fed by several streams originating mostly from underground sources,[4] is clear and reaches a depth of 70 m (230 feet).

The catchment is inhabited by two main ethnic groups, the Foe to the south and the Fasu to the north.

[6] The development has supported the local economy, and caused a general in-migration to the area, as well as ecological problems resulting from rapid population growth, including pollution, forest destruction and overfishing.

[12] The Lake Kutubu area is also included in the tentatively listed Kikori River Basin - Great Papuan Plateau World Heritage Site.