To educate undergraduate students with information literacy (IL) and help them become lifelong learners is one of the crucial missions for higher education. Traditional IL education approach is low in efficiency. Computer games have become an influential force in people's life, and have great potentials in education. How to design and develop computer games to implement more efficient IL education is still not fully studied. This study reviews the previous literature in the field of game studies, educational function of games, game-based learning and IL education, and identifies the key issues of computer games-based IL education. Based upon the Information Literacy Competency Standards for Higher Education of the US, a model of the design and development of computer games for IL education is proposed, which includes 10 instructional modules and 6 difficulty levels.