Two stories on the origin of the temple.
First one tells us that during their vanavasa period Pandavas reached this place. One day, they saw an interesting scene; a cow flows its milk from its fodder into a lake on its own volition. The Pandavas doubted a divine presence; they emptied the water from the lake and dug it. To their surprise a Shiva Linga emerged out of it. This is the beginning of this Jyotirlinga.
The second legend is about the devotion of a tribal boy called Supriya. In ancient time the place is known as Darukavana after a she-demon called Daruka, who ruled over the forest.
She and her husband Daruk used to terrorize the people around the forest regularly. On one of such raids they captured Supriya; imprisoned him. In jail, he refused to take food and started chanting Shiv mantra. This provoked the demon who ordered to kill Supriya.
The boy prayed to Lord Shiva fervently. Pleased with his devotion Lord Shiva saved him; killed the demons.
On request from Supriya the Lord agreed to take abode here as a Jyotirlinga.
The Lord here is believed to have special power to heal poison.
The Hindutemple is about 12 kilometers from Dwarakadhish temple at Dwaraka.
Ahmedabad- the state capital is 450 kilometers far. Jamnagar is the nearest major city -148 kilometers from the temple.
Please note that Aundh Nagnath in Higoli district of Maharashtra and Jageswar in Almora, Uttarakhand also claim to be Nageswar Jyotirlinga.