Aurora Lagoon is situated on the southern shore of Kachemak Bay, on the Kenai Peninsula, approximately 15 miles (24 km) northeast of Homer, Alaska. At low tide, the shallow lagoon reveals a mudflat spanning about 0.5 miles (0.8 km), bordered by slopes covered with spruce and birch trees. The lagoon is created by a cluster of small islands connected by a sand spit. This spit, which runs north to south, measures about 0.7 miles (1.2 km) in length and 650 feet (200 m) in width. The northern section is owned by the State of Alaska, while the southern portion is privately owned.

The lagoon is named after the community of Aurora, which was formerly located on the southern shore. This village first appeared on U.S. Geological Survey maps. Established around 1900 as a mining camp, Aurora adopted its name from a nearby coal mine. A post office operated there from 1902 to 1904. The village was likely abandoned before 1910.

Archaeological excavations at the lagoon support the presence of early inhabitants in Kachemak Bay. Aurora Spit has attracted numerous archaeologists, including Frederica de Laguna, who conducted fieldwork throughout Kachemak Bay in the early 1930s. In 1989, a site within Aurora Lagoon yielded over 200 artifacts dated to the Early Holocene, or approximately 6,220 to 5,470 years ago. These are the oldest dated artifacts from mainland Southcentral Alaska. This evidence suggests that Early Holocene people either occupied the site for hundreds of years or returned repeatedly over the centuries. Read more here and here. Explore more of Aurora Lagoon and Kachemak Bay here: