Taupo is located at the outlet of Lake Taupo, New Zealand's largest lake, in the northeast part of the lake where it discharges to the Waikato River. The river flows over one of New Zealand's most spectacular waterfalls, Huka Falls, a short distance north of the town. Taupo is a centre of volcanic and geothermal activity and hot springs suitable for bathing are located at several places in the vicinity. The volcanic mountain of Mount Tauhara lies six kilometres (4 mi) to the east. Some forested area exists near Taupo, with understory vegetation consisting of certain shrubs and ferns. Somewhat to the northeast are significant hot springs. These springs are the site of occurrence of certain extremophile micro-organisms, that are capable of surviving in extremely hot environments.