Prior to the events of the game, the UAC's original project involving the exploration of Mars was to transform it into a habitable planet with the creation of Hydrocon and a breathable atmosphere.  However, the initial construction of Mars City accidentally unearthed underground artifacts and structures that revealed the existence of an ancient Martian civilization. In response, the UAC modified its original project on Mars to function as an Archeological Excavation Site, with labs and general posts established in different locations. The explorations of the caverns in 2104 led to the discovery of ancient artifact codenamed U1, the Soul Cube, along with stone tablets written by the ancient Martian civilization.  The tablets contained knowledge and technical information on a powerful teleportation technology. As a result of these discoveries, the UAC's primary goal on Mars changed to the recreation of the technology, with the supervision of UAC's brightest scientist and creator of the Hydrocon, Dr. Malcolm Betruger.

The development began in the secured location known as Delta Labs. At the same time, scientists like Pierce Rogers were in charge of the archeological effort, mainly with the translation of the glyphs contained on the stone tablets. These glyphs warned of the potential risks of using the teleportation technology, which was the reason why the Martian civilization became extinct.  Once activated, the teleportation technology wasn't exactly a teleportation, it worked as portal device which led into another dimension. After several tests with cameras and animal subjects, the scientists discovered that this dimesion was filled with sweltering heat and hideous creatures. Betruger and other Delta Labs personal immediately began to try to explore this dimension using human subjects. However, many of the people that returned from the tests suffered from immense psychological trauma which lead to their deaths, many others not returning at all. As the tests occurred, the scientists at Site 3 were already translating the warning, but by the time they discovered the horrors of what happened with the martian civilization, it was already too late.

The teleportation project had already become focused on exploring and exploiting the other dimension discoveries, such as bringing back dead and live species and long travel on the dimesion. Not long after, the whole Mars Base showed having strange problems with light and energy, several personal reporting frightening situations and asking for transfer off of Mars.  Betruger himself became obsessed with the other dimension, becoming corrupted by the power and authority he held, using it to control Mars City and hide the horrors of his discoveries from Earth. Delta Labs scientists such as Ian McCormick and Jonathan Ishii were already theorising that the dimesion was, in fact, Hell, but they were too scared to send their theories to Earth.

One scientist however, named Dr. Elizabeth McNeil, challenged Betruger's authority and called the UAC Board to stop the Delta Labs project. Discovering this, Betruger expelled McNeil from Mars, and, not long after, he entered into the portal himself. When he came back, he was a different person. A couple of days later, the UAC Board of Directors on Earth apointed the company's lawyer and councilor Elliot Swann and his bodyguard Jack Campbell to enact 'damage control' for the whole Mars operation. On the date of November 15, 2145, they arrived on Mars City on the ship Darkstar....