The Gualcarque originates in the Reserva Biológica Opalaca in Intibucá flowing eastward for 2.4 miles (3.9 km) to the reserve's border, where it is crossed by the only road in its entire course, the V-608.

"[4] The Gualcarque River belongs to the geothermal sites in northwest Honduras, the Azacualpa thermal springs, surrounding the Yojoa Lake, which is affected by a rough east–west extensional tectonic regime and by Holocene magmatism.

The purpose was to create a 300 metres (980 ft) long reservoir, divert 3 kilometres (1.9 mi) of the river and generate 22 MW hydroelectric power.

[7] In 2012, DESA started construction on the land it had acquired, destroying corn and bean fields, fruit trees and coffee plantations.

At the end of March 2013 DESA security officers blocked access to the river, and affected communities started a street blockade.

[9] In 2021, a court ruled that Roberto David Castillo, President of the dam company, DESA, had planned the murder and hired the gunmen.