Hvammstangi is a village of 700 inhabitants at Miðfjörður´s east side. Hvammstangi served mostly as an agricultural centre until 1970. Fisheries and shrimp processing started in Hvammstangi in 1970, with improved harbour conditions. The village´s houses are heated with geothermal water from Laugarbakki source since 1972. There is a hospital, a home for the elderly, a supermarket, a swimming pool, a bank, and textile production. An interesting regional merchant's museum and Gallery Bardúsa are housed in a renovated house. A peaceful camping place is just outside Hvammstangi with a charming church and an ancient mill dating back to the 19th century but recently renovated.