ABSTRACTThe flysch of Paleocene to Eocene age outcropping in an almost unbroken cliff section at the Playa de San Telmo, Zumaya, North Spain, has been the subject of a quantitative sedimentological analysis. It is inferred that sedimentation commenced with deposition of a limestone‐red shale sequence below wave base and continued with proximal and then distal turbidite sandstones deposited in what may have been a gradually deepening trough. The trough was probably oriented approximately east‐west, parallel to the subsequent main tectonic trend. Sediment transport within the trough appears to have been essentially axial, with calcareous and siliceous sand derived from the east, but some siliceous sand was also laterally transported mainly from a land mass to the north.The sediments contain an abundant and varied suite of trace fossils. Thus, with the depositional environment already defined sedimentologically, it was possible to critically examine the relationship between facies, trace fossil distribution and possible water depth. The facies variations were shown to be reflected in a changing ichnofauna. Spreite such asZoophycosandRhizocoralliumwere present in limestones apparently deposited not far below wave base. These traces are replaced by rosetted, winding and meandering forms in the more proximal turbidite facies. In the more distal facies spiral and patterned trace fossils appear, winding and meandering forms are common butZoophycos, Rhizocoralliumand rosetted traces are absent. It is inferred that these changes reflect faunal distribution on the sea floor rather than preservational fact