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The best Geothermal areas in South Iceland. 

Hengill area and Geothermal energy exhibition
Hengill is about 100 kilometers long and about 15 km wide volcanic system. A large part of lake Þingvellir lies in the fissure swarm of the system and the landscape of Þingvellir is shaped by the geological activity of Hengill. Acidic rocks are found to some extent in the volcano. However, basalt is the main form of rock in the volcano. There are a lot of cracks and faults in the system and by lake Þingvellir the land has sunk by up to 40 meters in the last 10,000 years.Mt. Hengill has not been very active for last 10,000 years. Volcanic eruptions appear to be occurring at approx. every 2000 years. Geothermal energy is in Hengill and natural springs. To the south of Hengil are three valleys and in the innermost valley, between Hengil and Skarðsmýrarfjall, is one of the largest fumaroles in the country.There are two power plants at Hengil, Hellisheiðarvirkjun and Nesjavallavirkjun, which use geothermal energy from the volcano. The Hengill area is ideal for outdoor activities all year round. The geothermal area around the dormant volcano Mt. Hengill is perfect for hiking. There are numerous marked hiking trails colored after difficulty. Diverse landscapesand colorful colors characterize the hiking trails.The Geothermal Energy Exhibition at Hellisheiði Power Plant is an exploration into the utilization of geothermal energy in Iceland. The Hellisheiði Power Plant is a great example of how geothermal energy can be utilized in a sustainable manner and is a showcase for geothermal’ s global role in a renewable and sustainable future. The exhibition is located at Hellisheiði power plant by road no. 1.  
Geothermal area in Hveragerdi
Right inside the town of Hveragerði is an area of hot springs from which the community derives its name (hver = hot spring). The hot springs of Hveragerði are among the most remarkable natural attractions og south Iceland. Visitors to the Geothermal Area can learn about geothermal energy and the springs, which include Eilífur, a geysir which erupts regulary, Ruslahver which has an interesting history. You can also boil an egg in the area and try the hot spring bread.“   April May June July August September Weekdays 09:00- 17:00 09:00- 17:00 09:00-18:00 09:00-18:00 09:00-18:00 09:00-17:00 Saturdays Closed 09:00- 17:00* 09:00-18:00 09:00-18:00 09:00-18:00 09:00-17:00 Sundays Closed Closed 10:00-16:00 10:00-16:00 10:00-16:00 Closed *From 15th May                         During winter we welcome groups upon request         Telephonenumber: +354 4835062  https://www.facebook.com/Geothermalpark/
Kerlingarfjöll Mountains
The mountain massif Kerlingarfjöll (The Giantess Mountains; 800 - 1500 m) is the main ornament in the chain of mountains and glaciers framing the Kjölur area. It covers about 150 km² area southeast of The Temple Glacier (Hofsjökull)  It derives its name from a single, 25 m high and dark hyaloclastite pillar protruding from the light-colored, rhyolite scree of the peak Kerlingartindur. The aforementioned types of rock represent the main structure of the mountain massif and this yellowish tint is the dominant color in the area.The area is full of small steaming hot springs, mud pools, and water fountains. It is truly a hiker's paradise. It is one of the largest geothermal areas in all of Europe and there are future plans to construct a large geothermal steam plant here for electricity to harness the massive amounts of energy stored here. The area is very unique, sensitive, and beautiful - why such a decision may be controversial if proper conservational steps are not taken when doing so.It is recommended to use 4wd vehicles because of the various and changing condition of the tracks and unbridged rivers, which have to be forded with the greatest of care. It is also recommended that people read the special brochure on driving in the interior before heading up there and remember, that off-road driving is strictly forbidden. Many of those who have visited the interior catch the bug and the only remedy is to come back again and again. It is like an incurable disease. Traveling across the interior was common during the Saga period, but after that up to the middle of the 18th century, superstition kept people away. Nowadays - more and more people enjoy this part of the country the whole year-round. The small glacier patches up there have been retreating fast and now the summer skiing school, which was operated for decades, exists no more. Its complex of houses is now being used to accommodate travelers in the area during the summer months.
Reykjadalur valley
Reykjadalur valley is the most popular and arguably the most beautiful hiking area in Ölfus. Hot springs and colourful areas full of geothermal activity entertain along a hiking trail which leads to a hot river. For some of the length of the river the temperature in it is perfect for bathing and that's a wonderful natural experience. The trail by Reykjadalur can be closed so it's good to chech the conditions before going. To check out whether the valley is open or closed to visitors check out the website of Safetravel.is. Those who plan on visiting the valley need respect the rules and stay on the paths. Please help us to protect the fragile vegetation around the area!  
Geysir Geothermal area
One of the greatest natural attractions of Iceland and part of the famous "Golden Circle Tour", The Great Geysir, or Stori-Geysir, has been dormant since 1916 when it suddenly ceased to spout. It came to life only once in 1935, and as quickly went back to sleep. Since then its repose has sporadically been disturbed by the dumping of tons of carbolic soap powder into its seething orifice in order to tickle it to spout. It is not exactly known when Geysir was created. It is believed that it came into existence around the end of the 13th century when a series of strong earthquakes, accompanied by a devastating eruption of Mt. Hekla, hit Haukadalur, the geothermal valley where Geysir is located. What is known is that it spouted regularly every third hour or so up to the beginning of the 19th century and thereafter progressively at much longer intervals until it completely stopped in 1916. Whether its silence is eternal or temporary no one knows. When it was alive and shooting, it could thunderously blast a spectacular jet of superheated water and steam into the air as high as 60 to 80 meters according to different sources. Its opening is 18 meters wide and its chamber 20 meters deep. One reason for cessation is believed to be the accumulated rocks and foreign objects thrown into it by thousands of tourists throughout the years. Though definitely damaging, this however could not be the only reason for its dormancy. The Great Geysir was among the most notable geysers in the world, such as those in Yellowstone Park, New Zealand and North Iceland. The English word "geyser" is derived from the Icelandic word "geysir" which means gusher. Though the Great Geysir itself is now more or less inactive, the area surrounding it is geothermically very active with many smaller hot springs. The attraction of the area is now Strokkur (The Churn), another geyser 100 meters south of the Great Geysir, which erupts at regular intervals every 10 minutes or so and its white column of boiling water can reach as high as 30 meters. The whole area is a geothermal park sitting on top of a vast boiling cauldron. Belching sulphurous mud pots of unusual colors, hissing steam vents, hot and cold springs, warm streams, and primitive plants can all be found here. A short distance away to the west stands the small Laugarfjall Mountain with a panoramic view overlooking the Geysir area. King Christian IX of Denmark visited the area in 1874 and by the foot of the mountain are the rocks where he leaned while his hosts tried to impress and amuse him by boiling eggs in the hot springs. The rocks are now called Konungssteinar ("The King's Stones").