Construction was delayed by over a year due to the 2010 Chilean earthquake, but damage to the structure of the ship was not as detrimental as had been expected.

The origins of the ship date back to 4 March 2005, in a proposal drafted by then-Minister of Justice and Ecclesiastical Affairs (which is now a nonexistent entity),[2] Björn Bjarnason, regarding the purchase of a new vessel, in order to replace the aging ICGV Óðinn, and aircraft for the Icelandic Coast Guard.

In addition, it was to be equipped for response to, and prevention of, terrorist threats and be suitable for operations involving the police or customs authorities, and for all types of rescue and salvage work.

The bollard pull of the vessel was to take account of the greatly increased volume of passenger and cargo shipping in Iceland's economic zone and coastal waters.

[4] The contract for the construction of the new vessel was signed on 20 December 2006 by Björn, Árni M. Mathiesen, Minister of Finance, and Georg Kr.

The vessel is outfitted with various life-saving equipment, designed to aid it in rescue missions, including two MOB boats and six Viking life rafts.

[9] In 2010, a magnitude 8.8 earthquake struck Chile, forming an immense tsunami that left a deadly wake along the Chilean coastline.

[3] After being fully repaired following the earthquake and the ensuing tsunami, ICGV Þór was delivered to ICG authorities and personnel at the ASMAR shipyard on 23 September 2011.