Welcome to the Cave Run Lake. The lake is located within the scenic Eastern Highlands Region of Kentucky and is almost completely surrounded by the northern-most section of the Daniel Boone National Forest. An earth and rockfill dam built across the Licking River created Cave Run Lake. The 8,270 acre Cave Run Lake is most widely known for its outdoor recreation opportunities, excellent fishing and scenic beauty. However, the lake project was constructed primarily for the purpose of reducing flood damage.