Ólafsfjörður in March 2013
Location of the Municipality of Fjallabyggð
Location of Ólafsfjörður
|Coordinates: 66°04′N 18°39′W|
Location of the former Municipality of Ólafsfjarðarbaer
|• Summer (DST)||[[UTC66°11′N 18°53′W]]|
The town is connected to Dalvík on Eyjafjörður by the 3.5 km one-lane Múli tunnel (the Múlagöng) and to Siglufjörður by the 11 km Héðinsfjörður Tunnels, opened in 2010. Fishing is the main industry in the town; several trawlers make their home in the town's harbor.
The municipalities of Ólafsfjörður and Siglufjörður merged in 2006 to form the municipality of Fjallabyggð, which literally means Mountain Settlement.
The town grew up around the herring industry that was very strong in the 1940s and 1950s, but the herring are gone now.
Ólafsfjörður was connected by road for the first time in 1940, when the horse trail through Lágheiði was improved, enabling cars to cross the heath. Previously, ships, seaplanes, and horses provided the transport. The Múlagöng or Ólafsfjarðargöng tunnel was opened on March 1, 1991 connecting Dalvík and Ólafsfjörður. It has a length of 3,400 m (11,155 ft). On 2 October 2010 the Héðinsfjörður Tunnels opened, providing an all-year rapid connection to Siglufjörður.
Tourism has become an important industry.
The town offers sports and activities for people of all ages. Some of its sports clubs are:
- Golf (Golfklúbbur Ólafsfjarðar)
- Equestrian (Hestamannafélagið Gýnari, Ólafsfirði)
- Football/Soccer (Knattspyrnufélag Fjallabyggðar)
- Skiing (Skíðafélag Ólafsfjarðar)
- Shooting (Skotfélag Ólafsfjarðar)
- Snowmobile (Vélsleðafélag Ólafsfjarðar)
The Ólafsfjörður swimming pool is heated, like all outdoor pools in Iceland, and is open all year round. There is a helical water slide.
The Alpine facility in Tindaöxl is right above the town, and is open in the winter when there is enough snow. A lift takes people up the slopes.