It heads south for roughly 1 kilometre (0.62 mi) before curving due eastward near the edge of the Assiniboine River valley.
The highway goes through switchback, immediately having an intersection with PR 264 south of Kelloe, to enter the town of Shoal Lake.
It curves northward as it travels past some golf courses along the coast of Shoal Lake to have an intersection with The Drive, which provides access to downtown and PTH 21.
[3] The section of the route between Shoal Lake and Birtle was originally part of PTH 16, which was then known as Highway 4.
When the current section of PTH 16 was opened to traffic in 1958, the highway was extended to Shoal Lake.