A volcanic eruption has just begun under the Eyjafjallajökull glacier. This has been verified by local authorities in neighbouring Hvolsvöllur. Vísir reports that farms in the Fljótshlíð area and by Markarhlíð are already being evacuated. Locals in the area have confirmed that they are viewing flames and a steady stream of lava from the glacier.Eyjafjallajökull is an active central volcano. There is reportedly no recorded history of catastrophic eruptions in the area. The volcano last erupted 189 years ago and apparently caused a lot of ash fall in the area. Although speculation on the subject is pretty much useless (especially since your loving team of Grapevine reporters isn't really comprised of geologists or anything, although we scored pretty well in the subject in high school), folks are saying that besides the ash fall the greatest danger lies in glacier bursts or runs stemming from all that hot hot heat melting the glacier. There might be a bunch of water flooding the area pretty soon.ANYWAY, this is all moot speculation. What we know at the moment is that a volcanic eruption is indeed occurring under the Eyjafjallajökull glacier, and that lava is really, really hot.More on this as it develops. Hey, we might even be able to get you some pictures. Stay tuned.(The photo is of Hekla, a volcano that last erupted in 1999.)
A volcanic eruption started yesterday in south Iceland at or near the Eyjafjallajökull glacier.  The first signs of the eruption were seen between 23:00 and midnight GMT. It is still not clear where the exact location of the eruption is but it appears to be on Fimmvörðuháls.
Eyjafjallajökull glacier 
People living in the area are  being evacuated. Police have closed the roads into the area and a state of emergency has been declared. The eruption is expected to result in flooding if it is under the glacier, but fortunately it appears to between Eyjafjallajökull and another glacier, Mýrdalsjökull, reducing the danger of flooding. It is reported that the eruption can be seen as far away as from Vestmannaeyjar. So far the lava flow is viscous and thick.

There is also a danger that this eruption could trigger another eruption on nearby Mt. Katla, which is an off-rift volcano beneath Mýrdalsjökull. In the past, eruptions at Eyjafjallajökull have triggered eruptions at Mt. Katla. If Katla does erupt, the effect would be far more significant than that of the current eruption, as lava could melt the ice at the top of the mountain, causing the potential for massive flooding.

The air carrier Icelandair has diverted flights which were destined for Iceland as a precaution, due to the risks to aircraft of flying into volcanic ash.  A notice to airlines prohibits flights within 120 nautical miles of the volcano.

Iceland is a volcanic island situated atop the Mid-Atlantic Ridge at the juncture of the North American and Eurasian tectonic plates.