Laurel River Lake is a key project in the development of the Cumberland River Basin.  The lake is located in southeastern Kentucky, encompassing portions of Laurel and Whitley Counties. In the 1960's, Congress authorized construction of a dam on the Laurel River 2.3 miles above its confluence with the Cumberland River.  The dam created a 5,600 acre lake, which provides hydroelectric power, a safe supply of drinking water for local communities, and recreation opportunities for the public. Construction of the dam by the U. S. Army Corps of Engineers began in December 1964 and Laurel River Lake was impounded in 1974.  The dam’s power plant was completed and began producing electricity in 1977.

The Laurel Dam rises 282 feet above the stream bed.  The combination earth and rock fill dam is 1,420 feet long with a hydroelectric power generating plant.  At normal summer pool (Elevation 1015) the 19.2-mile long lake with its 206 miles of shoreline contains 5,600 surface areas of water. Average annual energy output is 67 million kilowatt hours.