Blue Lagoon delivers mineralized material to Nicola

Executive Summary

• Blue Lagoon Resources has delivered its initial 1,000 tonnes of mineralized material from the Dome Mountain gold mine to its milling partner, Nicola Mining.
• The company expects processing of the mineralized material to begin by the end of the current week, subject to normal mill scheduling and maintenance.
• Blue Lagoon has signed a lease for a new facility to host an in-house assay laboratory, aiming to shorten assay times and accelerate underground mining decisions.

Key Details

• Material Delivery: Initial 1,000 tonnes of mineralized material delivered to milling partner Nicola Mining.
• Processing Timeline: Processing expected to begin by the end of the week, contingent on mill scheduling and planned maintenance.
• Strategic Milestone: Marks a key transition from a pre-revenue company to a revenue-generating gold producer.
• New Facility: Lease signed for a new facility to house Blue Lagoon’s own assay laboratory.
• Equipment Procurement: Procurement process for assay laboratory equipment has commenced.
• Operational Benefits: In-house lab expected to provide quick and accurate information to the underground team to accelerate mining decisions.
• Future Outlook: Management prioritizes consistent execution, steady processing, and progress through the early production cycle.
• Regulatory Context: Mining permit granted in February 2025; first gold sales targeted for Q4 2025.
• Risk Disclosure: Production decision based on existing infrastructure and past activity rather than a feasibility study, carrying increased uncertainty and risk of failure.

Notable Quotes

• "This is a significant milestone for Blue Lagoon... Delivering our initial 1,000 tonnes marks a key derisking milestone and sets the stage for processing to begin by the end of this week. We are now on the doorsteps of a major transition -- from a prerevenue company to a revenue-generating gold producer, all against the backdrop of a historically strong gold market." — Rana Vig, President and CEO