Iceland is putting on a spectacular, and dangerous, display of volcanic power … as the eruption of a new volcano throws plumes of lava in the sky, following weeks of increased seismic activity.

A public state of emergency was declared as the Grindavík volcano exploded Monday … just south of the Keflavik International Airport and the capital city of Reykjavík, and video footage shows molten rock exploding up to 300 feet into the air.

The eruption created a 2.5-mile fissure, which sent a stream of lava flowing through the surrounding towns … while hundreds of cubic meters spewed across the Reykjanes peninsula.

The Icelandic Meteorological Office listed the time of eruption at 10:17 PM … after closely monitoring seismic activity in the area for a while.

The flow has slowed since its peak on Monday evening … and lava fountains have fallen from 300 to 100 ft.

However, evacuated areas are still off-limits, and authorities remain on high alert … with local experts warning it’s possible several more cracks could open in the ground.

Iceland President Guðni Th. Jóhannesson has confirmed there are no casualties from the eruption — only extensive damages to buildings.

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