Drangsnes is a hamlet at the head of the Steingrimsfjordur Bay. It started developing after 1920.
A tall rocky outcrop on the shore is called the Old Woman, or the Hag, which is said to be one of the ogresses who turned to stone at sunrise, when they were trying to separate the Westfjords from the mainland by a large ditch.
Fishing and fish processing are the main bases of livelyhood, and many visitors call on Drangsnes during summer to enjoy the tranquillity and beauty of the area.
Island Grimsey on the Steingrimsfjordur Bay