Circular coral reefs that arise out of deep water with a centrally located lagoon are called:

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Atolls are circular reefs that form from ancient volcanic islands that sink as the ocean floor moves. As the volcano sinks, the coral continues to grow, creating a circular or oval shape with a central lagoon. Atolls are typically found in the open ocean and do not have a landmass within the lagoon. Barrier reefs, table reefs, and fringing reefs are all types of coral reefs but do not have the same circular formation as atolls.

Circular Coral Reefs That Arise Out of Deep Water with a Centrally