The municipality borders Narvik to the east and Tysfjord to the south, and has a short border with Sweden to the southeast. Ballangen is situated on the southern shore of Ofotfjorden. Ballangen also includes the long and narrow Efjorden, just south of the much larger Ofotfjorden. Its immediate surroundings are dominated by fjords, mountains, and forests. Ballangen relies on the neighbouring Narvik as its economic base.

The village of Ballangen lies along the southern shore of the Ofotfjorden along the European route E06 highway. The highway crosses the Efjord Bridges on its way to Ballangen and then on again to the town of Narvik. The 0.93-square-kilometre (230-acre) village of Ballangen has a population (2013) of 827. The population density is 889 inhabitants per square kilometre (2,300/sq mi).

The municipality of Ballangen was established on 1 July 1925 when it was separated from the large municipality of Evenes. The new municipality encompassed all of Evenes located south of the Ofotfjorden. Initially, Ballangen had 3,270 residents. On 1 January 1962, the southern part of Lødingen (the island of Barøya and the area surrounding the Efjorden; population: 433) was transferred from to Ballangen. The borders have not changed since.

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