[2] It was constructed by the Anchorage Light and Power Company between 1927 and 1929 atop a natural landslide dam in the Eklutna Valley.
It included raising the dam and installing a new power plant opposite Goat Mountain to the north, along the Knik River.
[4] The Great Alaska earthquake in March 1964 caused significant damage to the dam, particularly the water intake for the power plant.
The intake shifted towards the lake and frozen alluvium beneath and near the dam's spillway densified, creating voids.
Later, in July of the same year, as the ground thawed, two cracks formed near the spillway and portions of the dam filled the void.
To connect the reservoir and power plant, there is a 9 ft (2.7 m) diameter, 4.46 mi (7.18 km) long penstock which starts at the intake, located on the northwest corner of the lake.