The eruption of a volcano in Iceland's Reykjanes peninsula promoted the evacuation of Blue Lagoon and nearby town of Grindavik, reports said on Sunday.

According to a statement from the Icelandic Met Office (IMO), a "volcanic eruption has started between Stora Skogfell and Hagafell on the Reykjanes Peninsula."

Reportedly, this is the fourth eruption to hit the area since December, authorities said.

Live video images showed glowing lava and billowing smoke. Iceland's Department of Civil Protection and Emergency Management has stated that they dispatched a helicopter to pinpoint the precise whereabouts of the recently discovered fissure.

The Blue Lagoon, situated a mere hour away from Reykjavik, the capital of Iceland, is widely regarded as one of the most frequented tourist spots in the country.

According to reports from local media, the process of evacuating the fishing town of Grindavik has commenced, with residents being informed via text messages to evacuate promptly.