Located midway between the the islands of Lipari and Stromboli, Panarea is the second smallest (after Basiluzzo) of the eight Aeolian Islands. Panarea is known throughout Italy as an exclusive VIP destination. During the month of August the Island is full of celebrities and the very wealthy alike. During the rest of the year it is a haven of peace and quiet and the views from the town of the sea, cliffs and the island of Stromboli are breathtaking.
The island is an inactive volcano with a total surface area of only 3.4 km2 (1.3 sq mi). There is an interesting archaeological area on the island located at Capo Milazzese, close to the steep cliffs at Cala Junco where you can see the remains of a fascinating ancient civilization that existed between 1440 and 1270 BC.
Another charming destination is the area around the three basalt rocks, Basiluzzo, Dattilo and Lisca Bianca at Panarea. Originally this was one island called Evonimus, but a powerful earthquake split it up into the three rocks that you can see today.
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It’s a wonderful experience to watch the gurgling water release gaseous steam from the underwater craters. In days of old, it is thought that this was a sacred location for Hephaestus.