Heron Bay was incorporated on January 1, 2023, via the amalgamation of the former town of Dalhousie and the former village of Charlo as well as the concurrent annexation of adjacent unincorporated areas.

The valley lies in a hilly region, part of the Appalachian mountain range, although the Heron Bay town site is situated on a hill side several decameters above sea level with some development to its south on a low ridge of approximately 260 metres elevation.

Until 31 January 2008, the economy was dominated by the forestry industry, namely a large pulp and paper mill spanning the waterfront along the Restigouche River.

The 2007 merger of Bowater and Abitibi Consolidated resulted in the decision by the newly merged company to announce the closure of the Dalhousie newsprint mill on 29 November 2007 due to apparent market conditions.

The mill, which had produced 640 tonnes of newsprint per day for shipment by rail, truck and ship to domestic and international markets, was officially closed on 31 January 2008.

[5] The port is located on the south shore of the Bay of Chaleur at the mouth of the Restigouche River, and includes 98 acres (39.66 hectares) of land, 494 acres (200 hectares) of "waterlot," and two cargo facilities—East Bay Marine Terminal, whose chief cargo is paper, and the West Wharf, which imports petroleum and coal and exports ore concentrates.

[citation needed] Via Rail Canada provides passenger train service three days per week with stops at Charlo immediately east of the town and in Campbellton to the west.

[8] In spite of its marine position, this climate regime is typical of New Brunswick and is manifested by vast differences in temperature between the warm summers and the cold snowy winters.

[citation needed] They currently provide direct flights between Heron Bay, New Brunswick and Wabush, Newfoundland and Halifax, Nova Scotia.