Liverpool have not featured at this stage of the competition since they lifted the trophy in 2006, and Dalglish knows this is no ordinary semi-final.
"There's probably a bit more added to it because it's a local derby," he told reporters at Melwood. "It seems strange playing a local derby in London but every time the clubs have met in London, both sets of fans have been an absolute credit to the city.
"I'm sure Saturday will be another occasion when they both represent the city of Liverpool very proudly.
"Both clubs have served the city fantastically well."
Asked if having played at Wembley already this season - in the victorious Carling Cup final - would help Liverpool, Dalglish quipped: "Maybe for directions it might help a wee bit."