Sheba Dam Reserve, in the Great Dividing Range at an altitude of 1150m above sea level, is a popular picnicing, swimming, kayaking, and fishing area.
Camping is available on the reserve, which is about 11km east of Nundle, past the village of Hanging Rock. Facilities include a timber jetty, pit toilets, barbecue/fireplaces and picnic tables. There is a walking track which winds its way around part of the larger dam.
The dams were built by hand in 1888 to provide water for gold mining operations in the Hanging Rock and Nundle areas.
Their recreation potential was realised after the goldfields petered out.