Island in the Sea was released in 1987 by Columbia Records, again produced by Chips Moman. The album was recorded at Moman's studios in Memphis and in Nashville, continuing the collaboration begun with The Promiseland.
The album includes the single 'Island in the Sea', which reached number 12 on the Billboard country charts. Other notable songs include 'The Last Thing I Needed First Thing This Morning' and a cover of 'I'm Gonna Sit Right Down and Write Myself a Letter'.
Despite featuring Moman's production and renowned session musicians, Island in the Sea did not achieve the commercial success of Nelson's earlier albums, though it maintained consistent quality within his style.