Caballo Lake a rest stop during their travels, and eagles are often seen in the area. Caballo Lake is named for the Caballo Mountains that border the lake to the northeast, east, and southeast, in which wild horses roamed; Caballo means "horse" in Spanish. The upper area of the lake is very shallow and in recent years has been blocked from the lower, deeper end of the lake. The water has a slightly brownish hue from a distance, due to the shallow waters (usually about at the deepest point). The beaches of Caballo are rocky when compared to Elephant Butte Reservoir, but
Caballo Dam was to compensate for lost capacity in Elephant Butte Lake due to sedimentation. Caballo Dam is high and stands above the Rio Grande. It is long and contains of material. The elevation of the crest is and the average elevation of its reservoir, Caballo Lake, is . The dam has two water outlets; the outlet works have a capacity of , and the main spillway has a capacity of . Caballo Lake is roughly long and stores up to of water. Caballo Dam Caballo Dam is an earthen dam on the Rio Grande about downstream from Truth or Consequences, New