It is part of the Vesterålen archipelago, about 3 kilometres (1.9 mi) southwest of the village of Bø on the coast of the large island of Langøya.
From the Middle Ages until the 20th century, the island (together with its neighbour Gaukværøya) was a busy seaport and centre for local fishermen.
Fishing was the main source of income for the residents and when the cod arrived in springtime many regional neighbours came flocking to take part.
Currently, the island's only permanent inhabitant is the owner of Litløy Lighthouse, though various support staff are often present to help with renovations and daily tasks.
The cave was formed whilst this part of the island was under water, possibly 100,000 years ago, according to NGU, Norsk Geologisk Undersøkelse.