At the 2000 Summer Olympics in Sydney, Sigurdardottir competed again in the 50 m freestyle. She achieved a FINA B-cut of 26.93 from the Mare Nostrum meet in Barcelona, Spain. She challenged seven other swimmers in heat five, including teenagers Chiang Tzu-ying of Chinese Taipei, Marijana Šurković of Croatia, and Jūratė Ladavičiūtė of Lithuania. Diving in with a 0.79-second deficit, Sigurdardottir faded down the stretch on the final 15-metre mark to last place in 27.58, almost a full second behind leader Chiang. Sigurdardottir failed to advance into the semifinals, as she placed fifty-first overall out of 74 swimmers in the prelims.