The village Skálafjørður on Eysturoy is also referred to as Skálabotnur.
It lies in the bottom of the deepest inlet on the Faroe Islands Skálafjørður.
The flat area in the bottom of the inlet forms a relatively large beach.

Skálafjørður has a production of fry. The fry is grown for 1½ to 2 years. After that it is placed in sea farms where it will grow into fish large enough for slaughtering.

The village Skálafjørður was founded in the beginning of the 17th century but excavations have shown that buildings have been there before that.

A mound by Skálafjørður is called Kurlendingaheyggur. Tradition says that a ship from Kurland was unloading wood at Glyvrar but was set on ground and smashed by a fierce storm. Three members of the crew fled but were caught and executed in Skálafjørður. They were buried in Kurlendingaheyggur.