[2][3] The lake is situated along the course of the Waterhen River in the boreal forest ecozone of Canada.

Otter Creek, a tributary of Waterhen River, also flows into the delta.

Situated in a provincial park, there are many recreational opportunities at Waterhen Lake, including boating, camping, fishing, and swimming.

[11] Tawaw Cabins offers 14 cabins, 27 campsites, showers, washrooms, beach access, boat rentals, and a store at the outfitters.

Fish commonly found in the lake include the northern pike, walleye, yellow perch, and burbot.