Palau is a comune in the province of Sassari, in the Italian region of Sardinia, about 220 kilometres north of Cagliari and about 30 kilometres northwest of Olbia. It was a frazione of the comune of Tempio Pausania until 1959. It is located on Punta Sardegna, and was founded in 1875 by local shepherds. The Capo D'Orso or "Cape of the Bear" formation is nearby, at the very northwest tip of Sardinia. The unique formation is a result of honeycomb weathering, a form of salt weathering.