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Grundartangi

Grundartangi port and industrial area

Basic information
Brief description and sizes:
The Grundartangi port and industrial site is in a non-residential area on the northern shore of Hvalfjörður, 49 km from Reykjavík. The land is green and flat, a former agricultural field and totals 439 hectares, of which some 311 hectares may be developed as building sites. Additionally, 50 hectares can be created by landfills. Already there are two big companies in the area, Elkem Island having a 12.9 hectare site, and Norðurál ehf which has a 129 hectare site. Sites have also been allocated to four smaller companies. The remaining area for further development is some 160 hectares.
Site owner: 
Associated Icelandic Ports, which is an independently operated company owned by five municipalities, one of which being the City of Reykjavík.
Zoning:
The area master plan shows this as a port and industrial zone. Authorities have already agreed on division planning of some 80 hectares for smaller sites. It is possible to draw up division planning at a short notice in collaboration with Hvalfjarðarsveit municipality with the sites being up to 20 hectares, as well as 50 hectares on landfills. 
Price:
The price for fully prepared sites where the soil has been replaced is about 6.200- ISK per each square metre. As regards virgin land where the lease holder sees to soil replacement, the price is estimated at 3,000- ISK per each square metre. As regards operations which might be of especial interestat the larger sites, Faxaflóahafnir sf is willing to enter into negotiations about eventual prices.
Industries on site:
Elkem Island (a ferro-silicon producer); Norðurál (a primary aluminium plant).
Port rates and dues:
Information on port rates and dues may be obtained at our homepage www.faxafloahafnir.is
Electric power:
Very close to Grundartangi is Brennimelur, one of the most powerful electrical substations in Iceland. The most important distributors of electricity are Landsvirkjun / National Power Company (www.lv.is) and Orkuveita Reykjavíkur / Reykjavik Energy (www.or.is)
Fresh water supply:
Cold tap water may be provided to the companies on site. Water for cooling purposes is in limited supply. In the latter case, attention is drawn to making easy use of seawater for same.
Internet connection network:
There is an optical cable in the area. Further information about connections may be obtained from Mila ehf (www.mila.is).
Connecting roads:
Grundartangi area is very close to the national highway and main road and there is good access to the capital area.
International airport:
Keflavik International Airport is at a distance of some 90 km with scheduled daily flights to and from other parts of Europe and North America.
International shipping:
Two shipping companies operate scheduled services from Grundartangi and Reykjavík to Europe and North America. A third shipping company sees to chartered sailing to and from any port.
Deepwater port:
Overall pier length at Grundartangi is 580 metres. Maximum water depth now is 14 metres. There is good storage area for containers and raw material.
Skilled labour:
Grundartangi is at a driving distance of some 30 minutes from the capital area where some 150,000 people live, and the driving distance to Akranes, which has a population of some 6,500, is about a quarter of an hour. Driving to Borgarnes (pop. 3,000) takes some 30 minutes. Many companies in the area provide services in the metal industry and other fields.
Reykjavik, May 4 2009
Gísli Gíslason, Port Director
Tel: +354 6608966

Big plans for Grundartangi

Grundartangi has key advantages when it comes to future development. The basic infrastructure is already in place, with approach roads, utilities and a ship terminal. Associated Icelandic Ports (AIP) will expand on this core structure to create a commercial and industrial cluster with a range of logistics and support services.
On the marine side, AIP wants to encourage shipyard and maintenance companies to move their activities to Grundartangi. It is also keen to encourage the setting up of small and medium-sized industry.
AIP has 315 hectares available for development and has received inquiries from companies interested in setting up new activities at Grundartangi.
Other potential uses:
• Discharging of animal feed and other agribulks
• Export of cement from the Sementsverksmiðjan plant in Akranes
• A new fish export facility to provide additional capacity for companies in Reykjavík, Akranes and west Iceland
• New development related to the existing aluminium plant
• Importing of new cars and other vehicles.

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