This book can be found under a table in the Dwemer ruin Bethamez. Upon bringing this book to Edwinna Elbert, she tries using the book Hanging Gardens of Wasten Coridale as a translation key, but cannot make any sense of it. She ends with assuming that this book is "probably just the ramblings of some Dwarven lunatic."
If you take it to Yagrum Bagarn in Tel Fyr, he will explain that "This book is just an explanation of some of Kagrenac's theories. I could spend hours explaining them to you, but Kagrenac is dead, and I believe his theories must die with him."
If you take it to Baladas Demnevanni, however, he will explain that the book "is an explanation of how the Dwemer tried to make a new god, Anumidium, using Kagrenac's tools and the sacred tones on Lorkhan's heart."