View of from the Klondike Highway 2 South leading from WhiteHorse YT, to Skagway, Alaska. Emerald Lake is situated in the Watson River Valley and is famous for its turquoise blue and green waters, The amazingly vivid blue-green color of this lake is not caused by glacial silt, rather it is caused by sunlight reflecting off the white layer of "Marl" - Calcium Carbonate clay - which is on the bottom of the lake.