Watch Movies2Watch. The tiny village of Flateyri in North West Iceland is a community in crisis. The young people have moved away, the fish factory and the recording studio have been sold to make holiday homes, and one third of its residents are now Polish people who came only for the work. Nestled inside the West Fjords, this quaint outpost is perched upon a narrow finger of land which juts out into Önundarfjörður, situated well within striking distance to the fertile fishing grounds that ultimately gave rise to this settlement.