Kanas Lake, located in the far north of Xinjiang Province in a region known as the Altai, is a magnificent turquoise lake surrounded by pristine alpine wilderness.
I went there on a 4-day tour from Urumqi. The trip to the lake was long and on a very bumpy road, but the vistas, ranging from desert to grasslands to alpine, were totally breathtaking. We overnighted in Buerjin before reaching the lake the next morning.
The Altai Region is wild and pristine, reminiscent of nearby Western Mongolia. Nomadic Kazakhs live in this part of China. There are many splendid viewpoints before you reach the lake proper.
Acomodation is in basic and crammed log cabins.
I recommend doing the longer boat trip on the lake, the scenery is simply magical. You can also climb up, or take the bus to the lookout point at Guanyu Pavillion. The views of the sea of clouds in the early morning are mesmerising and the lake will be revealed in all its glory once the clouds have disappeared.
The tour was very good value, but obviously didn't allow much freedom. If you prefer you can hire a vehicle from Buerjin, which will give you more flexibility.