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The Murguma Dam is constructed on the Saharajhore River, a tributary of the Kangsabati River in West Bengal, India. The dam is constructed near Murguma, a village in the foothills of the Ajodhya Hills, Purulia District. The dam is situated at the north west end of Ajodhya Hills which is considered a
s an eastern extension of Chota Nagpur Plateau, resulting in the dam being surrounded by hills and forests. A number of other streams also flow into the dam directly from the Ajodhya Hills and the dam's lake contains a number of small islands.
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