The village is roughly halfway between Trujillo and Tocoa as one travels along the main highway.
To reach Chapagua, one exits the highway at Aguas Amarillas and travels east along the pea gravel road for about four miles.
The village consists of a grade school, a soccer field, two churches, several pulperias (micro stores), and scores of residences.
Chapagua was a Nahuatl settlement during the pre-Columbian period and was home to a community of English-speaking Blacks in the nineteenth century.
Hurricane Mitch devastated the community in 1998, washing away the adobe and thatch houses and killing virtually all the livestock.