diff --git a/electron/src/config.ts b/electron/src/config.ts
index 4cbad037..a131f8d4 100644
--- a/electron/src/config.ts
+++ b/electron/src/config.ts
@@ -1,4 +1,5 @@
 import { app } from "electron";
+import path from "node:path";
 
 const disabledFeatures = ["HardwareMediaKeyHandling"];
 app.commandLine.appendSwitch("disable-features", disabledFeatures.join(","));
@@ -9,6 +10,7 @@ app.setName("shapez-ce");
 // This variable should be used to avoid situations where the app name
 // wasn't set yet.
 export const userData = app.getPath("userData");
+export const executableDir = path.dirname(app.getPath("exe"));
 
 export const pageUrl = app.isPackaged
     ? new URL("../index.html", import.meta.url).href
diff --git a/electron/src/index.ts b/electron/src/index.ts
index c2459977..111e0b42 100644
--- a/electron/src/index.ts
+++ b/electron/src/index.ts
@@ -3,7 +3,8 @@ import path from "path";
 import { defaultWindowTitle, pageUrl, switches } from "./config.js";
 import { FsJobHandler } from "./fsjob.js";
 import { IpcHandler } from "./ipc.js";
-import { ModsHandler } from "./mods.js";
+import { ModLoader } from "./mods/loader.js";
+import { ModProtocolHandler } from "./mods/protocol_handler.js";
 
 let win: BrowserWindow | null = null;
 
@@ -25,10 +26,14 @@ if (!app.requestSingleInstanceLock()) {
 // files if requested. Perhaps, use streaming to make large
 // transfers less "blocking"
 const fsJob = new FsJobHandler("saves");
-const mods = new ModsHandler();
-const ipc = new IpcHandler(fsJob, mods);
+const modLoader = new ModLoader();
+const modProtocol = new ModProtocolHandler(modLoader);
+const ipc = new IpcHandler(fsJob, modLoader);
 
 function createWindow() {
+    // The protocol can only be handled after "ready" event
+    modProtocol.install();
+
     win = new BrowserWindow({
         minWidth: 800,
         minHeight: 600,
@@ -87,8 +92,6 @@ function openExternalUrl(urlString: string) {
     }
 }
 
-await mods.reload();
-
 app.on("ready", createWindow);
 app.on("window-all-closed", () => {
     app.quit();
diff --git a/electron/src/ipc.ts b/electron/src/ipc.ts
index 8d23bd14..43a6b0d4 100644
--- a/electron/src/ipc.ts
+++ b/electron/src/ipc.ts
@@ -1,14 +1,14 @@
 import { BrowserWindow, IpcMainInvokeEvent, ipcMain } from "electron";
 import { FsJob, FsJobHandler } from "./fsjob.js";
-import { ModsHandler } from "./mods.js";
+import { ModLoader } from "./mods/loader.js";
 
 export class IpcHandler {
     private readonly fsJob: FsJobHandler;
-    private readonly mods: ModsHandler;
+    private readonly modLoader: ModLoader;
 
-    constructor(fsJob: FsJobHandler, mods: ModsHandler) {
+    constructor(fsJob: FsJobHandler, modLoader: ModLoader) {
         this.fsJob = fsJob;
-        this.mods = mods;
+        this.modLoader = modLoader;
     }
 
     install(window: BrowserWindow) {
@@ -24,8 +24,10 @@ export class IpcHandler {
         return this.fsJob.handleJob(job);
     }
 
-    private getMods() {
-        return this.mods.getMods();
+    private async getMods() {
+        // TODO: Split mod reloads into a different IPC request
+        await this.modLoader.loadMods();
+        return this.modLoader.getAllMods();
     }
 
     private setFullscreen(window: BrowserWindow, _event: IpcMainInvokeEvent, flag: boolean) {
diff --git a/electron/src/mods.ts b/electron/src/mods.ts
deleted file mode 100644
index ce57596d..00000000
--- a/electron/src/mods.ts
+++ /dev/null
@@ -1,74 +0,0 @@
-import { app } from "electron";
-import fs from "fs/promises";
-import path from "path";
-import { switches, userData } from "./config.js";
-
-const localPrefix = "@/";
-const modFileSuffix = ".js";
-
-interface Mod {
-    file: string;
-    source: string;
-}
-
-export class ModsHandler {
-    private mods: Mod[] = [];
-    readonly modsDir = path.join(userData, "mods");
-
-    async getMods(): Promise<Mod[]> {
-        return this.mods;
-    }
-
-    async reload() {
-        // Ensure the directory exists!
-        fs.mkdir(this.modsDir, { recursive: true });
-
-        // Note: this method is written with classic .js mods in mind
-        const files = await this.getModPaths();
-        const allMods: Mod[] = [];
-
-        for (const file of files) {
-            const source = await fs.readFile(file, "utf-8");
-            allMods.push({ file, source });
-        }
-
-        this.mods = allMods;
-    }
-
-    private async getModPaths(): Promise<string[]> {
-        const mods: string[] = switches.safeMode ? [] : await this.findModFiles();
-
-        // Note: old switch name, extend support later
-        const cmdLine = app.commandLine.getSwitchValue("load-mod");
-        const explicitMods = cmdLine === "" ? [] : cmdLine.split(",");
-
-        mods.push(...explicitMods.map(mod => this.resolveModLocation(mod)));
-
-        return [...mods];
-    }
-
-    private resolveModLocation(mod: string) {
-        if (mod.startsWith(localPrefix)) {
-            // Let users specify --safe-mode and easily load only some mods
-            const name = mod.slice(localPrefix.length);
-            return path.join(this.modsDir, name);
-        }
-
-        // Note: here, it's a good idea NOT to resolve mod paths
-        // from mods directory, as that can make development easier:
-        //
-        // $ shapez --load-mod=mymod.js # resolved as $PWD/mymod.js
-        return path.resolve(mod);
-    }
-
-    private async findModFiles(): Promise<string[]> {
-        const directory = await fs.readdir(this.modsDir, {
-            withFileTypes: true,
-        });
-
-        return directory
-            .filter(entry => entry.name.endsWith(modFileSuffix))
-            .filter(entry => !entry.isDirectory())
-            .map(entry => path.join(entry.path, entry.name));
-    }
-}
diff --git a/electron/src/mods/loader.ts b/electron/src/mods/loader.ts
new file mode 100644
index 00000000..79917906
--- /dev/null
+++ b/electron/src/mods/loader.ts
@@ -0,0 +1,114 @@
+import fs from "node:fs/promises";
+import path from "node:path";
+import { DevelopmentModLocator, DistroModLocator, ModLocator, UserModLocator } from "./locator.js";
+
+type ModSource = "user" | "distro" | "dev";
+
+// FIXME: temporary type
+// eslint-disable-next-line @typescript-eslint/no-explicit-any
+type ModMetadata = any;
+
+interface ModLocation {
+    source: ModSource;
+    file: string;
+}
+
+interface DisabledMod {
+    source: ModSource;
+    id: string;
+}
+
+interface Mod extends ModLocation {
+    disabled: boolean;
+    metadata: ModMetadata;
+}
+
+const METADATA_FILE = "mod.json";
+
+export class ModLoader {
+    private mods: Mod[] = [];
+    private readonly locators = new Map<ModSource, ModLocator>();
+
+    constructor() {
+        this.locators.set("user", new UserModLocator());
+        this.locators.set("distro", new DistroModLocator());
+        this.locators.set("dev", new DevelopmentModLocator());
+    }
+
+    async loadMods(): Promise<void> {
+        const mods: Mod[] = [];
+
+        const locations = await this.locateAllMods();
+        for (const location of locations) {
+            const metadata = await this.resolveMetadata(location);
+            if (metadata === null) {
+                continue;
+            }
+
+            mods.push({
+                ...location,
+                disabled: false,
+                metadata,
+            });
+        }
+
+        // Check for mods that should be disabled
+        for (const { source, id } of await this.collectDisabledMods()) {
+            const target = mods.find(m => m.source === source && m.metadata.id === id);
+            if (target !== undefined) {
+                target.disabled = true;
+            }
+        }
+
+        this.mods = mods;
+    }
+
+    getAllMods(): Mod[] {
+        // This is the IPC response handler for now
+        // FIXME: review the format of get-mods IPC message
+        return [...this.mods];
+    }
+
+    getModById(id: string): Mod | undefined {
+        return this.mods.find(mod => mod.metadata.id === id);
+    }
+
+    private async locateAllMods(): Promise<ModLocation[]> {
+        // Sort locators by priority, lowest number is highest priority
+        const locators = [...this.locators.entries()].sort(([, a], [, b]) => a.priority - b.priority);
+        const result: ModLocation[] = [];
+
+        for (const [source, locator] of locators) {
+            for (const file of await locator.locateMods()) {
+                result.push({ source, file });
+            }
+        }
+
+        return result;
+    }
+
+    private async resolveMetadata(mod: ModLocation): Promise<ModMetadata | null> {
+        // TODO: This function might call validation routines
+        const filePath = path.join(mod.file, METADATA_FILE);
+        try {
+            const contents = await fs.readFile(filePath, "utf-8");
+            return JSON.parse(contents);
+        } catch (err) {
+            // TODO: Collect mod errors, show to the user once all mods are loaded
+            console.error("Failed to read mod metadata", err);
+            return null;
+        }
+    }
+
+    private async collectDisabledMods(): Promise<DisabledMod[]> {
+        const result: DisabledMod[] = [];
+
+        for (const [source, locator] of this.locators.entries()) {
+            for (const id of await locator.getDisabledMods()) {
+                result.push({ source, id });
+            }
+        }
+
+        return result;
+    }
+}
diff --git a/electron/src/mods/locator.ts b/electron/src/mods/locator.ts
new file mode 100644
index 00000000..18f7d2ec
--- /dev/null
+++ b/electron/src/mods/locator.ts
@@ -0,0 +1,195 @@
+import { app } from "electron";
+import fs from "node:fs/promises";
+import path from "node:path";
+import { executableDir, userData } from "../config.js";
+
+export const MOD_FILE_SUFFIX = ".asar";
+
+const DISABLED_MODS_FILE = "disabled-mods.json";
+const USER_MODS_DIR = path.join(userData, "mods");
+const DISTRO_MODS_DIR = path.join(executableDir, "mods");
+
+const DEV_SWITCH = "load-mod";
+const DEV_USER_MOD_PREFIX = "@/";
+
+export interface ModLocator {
+    readonly priority: number;
+
+    /**
+     * Asynchronously look for mod candidates.
+     *
+     * @returns absolute file paths of located mods
+     */
+    locateMods(): Promise<string[]>;
+
+    /**
+     * Mark or unmark the specified mod as disabled.
+     *
+     * @param id ID of the mod to disable or enable
+     * @param flag whether to disable the mod
+     */
+    setModDisabled(id: string, flag: boolean): Promise<void>;
+
+    /**
+     * Retrieve the list of mod IDs that should not be loaded.
+     *
+     * @returns IDs of the disabled mods
+     */
+    getDisabledMods(): Promise<string[]>;
+}
+
+abstract class DirectoryModLocator implements ModLocator {
+    abstract readonly priority: number;
+
+    protected readonly directory: string;
+    private readonly disabledModsFile: string;
+    private disabledMods: Set<string> | null = null;
+
+    constructor(directory: string) {
+        this.directory = directory;
+        this.disabledModsFile = path.join(directory, DISABLED_MODS_FILE);
+    }
+
+    async locateMods(): Promise<string[]> {
+        try {
+            const dir = await fs.readdir(this.directory, { withFileTypes: true });
+            return dir
+                .filter(entry => entry.name.endsWith(MOD_FILE_SUFFIX))
+                .map(entry => path.join(entry.path, entry.name));
+        } catch (err) {
+            if ("code" in err && err.code === "ENOENT") {
+                // The directory does not exist
+                return [];
+            }
+
+            // Propagate all other errors
+            throw err;
+        }
+    }
+
+    setModDisabled(id: string, flag: boolean): Promise<void> {
+        // Note: it is assumed that calling this before accessing
+        // getDisabledMods will overwrite the file.
+        this.disabledMods ??= new Set();
+
+        if (flag) {
+            this.disabledMods.add(id);
+        } else {
+            this.disabledMods.delete(id);
+        }
+
+        return this.writeDisabledModsFile();
+    }
+
+    async getDisabledMods(): Promise<string[]> {
+        if (this.disabledMods === null) {
+            await this.readDisabledModsFile();
+        }
+
+        return [...this.disabledMods];
+    }
+
+    private async readDisabledModsFile(): Promise<void> {
+        // TODO: Validate internal structure (once something is added for
+        // mod metadata file validation)
+
+        try {
+            const contents = await fs.readFile(this.disabledModsFile, "utf-8");
+            this.disabledMods = new Set(JSON.parse(contents));
+        } catch (err) {
+            // Ensure we don't fail twice
+            this.disabledMods ??= new Set();
+
+            if ("code" in err && err.code == "ENOENT") {
+                // Ignore error entirely if the file is missing
+                return;
+            }
+
+            if (err instanceof SyntaxError) {
+                // Malformed JSON, replace the file
+                return this.writeDisabledModsFile();
+            }
+
+            console.warn(`Reading ${this.disabledModsFile} failed:`, err);
+        }
+    }
+
+    private async writeDisabledModsFile(): Promise<void> {
+        try {
+            const contents = JSON.stringify([...this.disabledMods]);
+            await fs.writeFile(this.disabledModsFile, contents, "utf-8");
+        } catch (err: unknown) {
+            // Nothing we can do
+            console.warn(`Writing ${this.disabledModsFile} failed:`, err);
+        }
+    }
+}
+
+export class UserModLocator extends DirectoryModLocator {
+    readonly priority = 1;
+
+    constructor() {
+        super(USER_MODS_DIR);
+    }
+
+    async locateMods(): Promise<string[]> {
+        // Ensure the directory exists
+        await fs.mkdir(this.directory, { recursive: true });
+        return super.locateMods();
+    }
+}
+
+export class DistroModLocator extends DirectoryModLocator {
+    readonly priority = 2;
+
+    constructor() {
+        super(DISTRO_MODS_DIR);
+    }
+}
+
+export class DevelopmentModLocator implements ModLocator {
+    readonly priority = 0;
+
+    private readonly modFiles: string[] = [];
+    private readonly disabledMods = new Set<string>();
+
+    constructor() {
+        const switchValue = app.commandLine.getSwitchValue(DEV_SWITCH);
+        if (switchValue === "") {
+            // Empty string = switch not passed
+            return;
+        }
+
+        const resolved = switchValue.split(",").map(f => this.resolveFile(f));
+        this.modFiles.push(...resolved);
+    }
+
+    locateMods(): Promise<string[]> {
+        return Promise.resolve(this.modFiles);
+    }
+
+    setModDisabled(id: string, flag: boolean): Promise<void> {
+        if (flag) {
+            this.disabledMods.add(id);
+        } else {
+            this.disabledMods.delete(id);
+        }
+
+        return Promise.resolve();
+    }
+
+    getDisabledMods(): Promise<string[]> {
+        return Promise.resolve([...this.disabledMods]);
+    }
+
+    private resolveFile(file: string) {
+        // Allow using @/*.asar to reference user mods directory
+        if (file.startsWith(DEV_USER_MOD_PREFIX)) {
+            file = file.slice(DEV_USER_MOD_PREFIX.length);
+            return path.join(USER_MODS_DIR, file);
+        }
+
+        // Resolve mods relative to CWD, useful for development
+        return path.resolve(file);
+    }
+}
diff --git a/electron/src/mods/protocol_handler.ts b/electron/src/mods/protocol_handler.ts
new file mode 100644
index 00000000..957075a6
--- /dev/null
+++ b/electron/src/mods/protocol_handler.ts
@@ -0,0 +1,72 @@
+import { net, protocol } from "electron";
+import path from "node:path";
+import { pathToFileURL } from "node:url";
+import { ModLoader } from "./loader.js";
+
+export const MOD_SCHEME = "mod";
+
+export class ModProtocolHandler {
+    private modLoader: ModLoader;
+
+    constructor(modLoader: ModLoader) {
+        this.modLoader = modLoader;
+
+        protocol.registerSchemesAsPrivileged([
+            {
+                scheme: MOD_SCHEME,
+                privileges: {
+                    allowServiceWorkers: true,
+                    bypassCSP: true,
+                    secure: true,
+                    standard: true,
+                    stream: true,
+                    supportFetchAPI: true,
+                },
+            },
+        ]);
+    }
+
+    install() {
+        protocol.handle(MOD_SCHEME, this.handler.bind(this));
+    }
+
+    private async handler(request: GlobalRequest): Promise<GlobalResponse> {
+        try {
+            const fileUrl = this.getFileUrlForRequest(request);
+            if (fileUrl === undefined) {
+                return new Response(undefined, {
+                    status: 404,
+                    statusText: "Not Found",
+                });
+            }
+
+            return net.fetch(fileUrl);
+        } catch {
+            return new Response(undefined, {
+                status: 400,
+                statusText: "Bad Request",
+            });
+        }
+    }
+
+    private getFileUrlForRequest(request: GlobalRequest): string | undefined {
+        // mod://mod-id/path/to/file
+        const modUrl = new URL(request.url);
+        const mod = this.modLoader.getModById(modUrl.hostname);
+        if (mod === undefined) {
+            return undefined;
+        }
+
+        const bundle = mod.file;
+        const filePath = path.join(bundle, modUrl.pathname);
+
+        // Check if the path escapes the bundle as per Electron example
+        // NOTE: this means file names cannot start with ..
+        const relative = path.relative(bundle, filePath);
+        if (relative === "" || relative.startsWith("..") || path.isAbsolute(relative)) {
+            return undefined;
+        }
+
+        return pathToFileURL(filePath).toString();
+    }
+}