IPA: /ˈmɪlˌdæm/
KK: /ˈmɪlˌdæm/
A structure built across a stream to increase the water level, allowing enough water flow to power a mill wheel.
The old milldam provided enough water to keep the mill running smoothly.
Milldam → The word is formed from "mill" (from Old English *mylen*, meaning a place for grinding grain) and "dam" (from Old English *dam*, meaning a barrier or structure to hold back water). A milldam is a dam built to create a pond or reservoir to provide water power for a mill.
Think of a 'place for grinding grain' ('mill') that uses a 'barrier' ('dam') to hold back water, which is essential for its operation.
No commonly confused words.