Early on in the game, it is established that Philip's intended destination is northern Greenland. It is described as being uninhabited. Once the adventure begins, the majority of it is spent in the North-Western Mine. Where exactly is this location though?

In the sequel, Penumbra: Black Plague, the location of the mine is revealed to be N81.6914, W58.3154. When mapped out, this location is well above the Arctic Circle. It is also very close to Canada, approximately 70km (43.5 miles) away. There is no human settlement for dozens of kilometers (or miles) in any direction.