The museum is located at the foothills of the northern hill, near the Pallava Narasimhavarmman inscription and the northern fort. It was established in 1979 to preserve sculptures, inscriptions and architectural artefacts scattered in Badami and its surrounding areas. The collection in the museum mainly comprises of pre-historic stone implements and sculptures, inscriptions and hero stones – a memorial commemorating the honourable deaths of a heroes in battle, dating from 6th to 16th century AD.