From the administrative point of view the project area is located in the territory of Bulunskiy ulus of the Republic of Sakha (Yakutia).
The project area is poorly populated. Indigenous population – the Yakuts and the Evenkis - are engaged in reindeer breeding, hunting, fur farming and fishery. Due to the general decline of the agricultural sector the ulus has a reserve of unskilled man power.
There are no year-round roads in the project area. Freight and personnel may be transported in winter via temporary motorways, and during the rest of the time - by air transport.
The nearest inhabited localities are the settlements of Siktyakh and Dzhardzhan. In the settlement of Siktyakh there is a tribal community. The distance from the settlement of Siktyakh to the site is 280 km by river and 90 km by air. In the settlement of Dzhardzhan there is an incoming base of OAO Nizhne-Lenskoye with commodities and materials warehouses, a hithe and a helicopter landing site. The distance from the base in the settlement of Dzhardzhan to the project area by air is 110 km, and by winter snow road, 230 km.

To the north of the project area, in the upper courses of the Daldyn river, there is a temporary settlement of Lunny, a base of the exploration crew of the Amakinskaya surveying company specialising in search and exploration of primary deposits of diamonds. The distance to the settlement of Lunny by winter snow road is 100 km, and by air, 60 km.
30 km downstream the Molodo river there is a base settlement of an exploration and operational site Molodo including an inhabited settlement, repair shops, warehouses of petroleum products and explosive materials.
The settlement of Zhigansk is the centre of Zhiganskiy ulus and is located on the Lena river at a distance of 300 km (by air) to the south from the project area. There is a hithe and an year-round airport there.

Northward from the project area at a distance of 350 km along a straight line there is the settlement of Tiksi, the administrative centre of Bulunskiy ulus with a seaport and an aviation group.
The climate of the region is sharply continental with a long (7-8 months) very severe winter and a short, rather often hot summer. The mid-annual temperature according to long-term researches of the meteorological station of Sukhana is negative (-13°C). Minimum winter temperature is -65°C, maximum summer temperature is +36°C. The annual air temperature amplitude is 101°C.
The annual precipitation reaches 235 - 250 mm including: 15 mm per month in the winter, 15 mm in the spring, 40 mm in the summer, and 30 mm in the autumn. The constant snow cover sets in the middle or the end of September and melts in the end of May - beginning of June. The freeze-up usually occurs in the first ten days of October, and in the end of May - beginning of June the rivers are freed from ice. Winds are quite often strong, in the winter mainly from the northwest, and in the summer from southeast. Average wind speed is 1.8 m/s.

Fauna and flora are typical for the tundra forest belt. In the spring to the north, and in the autumn to the south, the area is traversed by herds of wild reindeers and skeins of geese and ducks. There are wolfs, bears, valuable fur animals: sables, ermines, polar foxes, muskrats. In the rivers one may found whitefish, tench, taimen and other less valuable fish. The forest cover is mainly composed of Dahurian larch, spruce grows as a subordinated tree.