Balagan-Tas lies on an anticline. It is associated with faulting. Further it is related to the Moma-Zoryansk rift and the Gakkel ridge, which extends to the Laptev sea. The De Long Islands and a potentially Quaternary dyke complex of the Viliga river may also be related. This tectonic activity is related to the interaction between the Eurasian Plate and the North American Plate.