When the chimney damper is opened, it permits smoke from the fire to to escape outside rather than being trapped in the home. This prevents the risk of carbon monoxide exposure.
The chimney damper keeps the fire from burning out of control because it limits the amount of oxygen that reaches the fire. Additionally, when the fire is out, the damper can then be closed. This prevents heat inside the home from escaping up the chimney.
A chimney damper may be located at the bottom, or the throat ,of the chimney with a handle at the base of the chimney. Some chimneys have a top-sealing damper at the top of the chimney. The handle is located inside the fireplace and is attached to a cable that is pulled to open and close the damper.