The Clyde River rises in the reservoirs of Lake Sorell and Lake Crescent, near Interlaken and flows generally west by south, through the settlements of  and , joined by nine minor tributaries before reaching its mouth and emptying into the River Derwent at Lake Meadowbank.
Clyde River starts at Lake Sorell and Crescent's water storage areas near Interlaken. It flows generally west-southwest through communities such as  and , merging with nine minor streams prior to discharging into the Derwent River at Lake Meadowbank, which is part of a larger hydrological system.