Nicola Mining Provides an Update for Ongoing Exploration at Its Flagship New Craigmont Copper Project
Nicola Transitions to Producer Status While Exploration Results Remain Speculative
The most recent news (February 3, 2026) provides an exploration update for the 2025 diamond drilling program at the flagship New Craigmont Copper Project. Nicola completed 3,347 meters across 7 holes. The highlight reported was hole MB-25-008, which intersected 9.5 meters grading 0.39% Copper. While the company describes the geological observations as "encouraging" and supportive of a porphyry system at the Draken target, results from the WP/West Craigmont target were less promising. Critically, over 2,600 samples have been submitted for multi-element analysis with results still pending. The company has also outlined plans for 2026 to test the Jotun target, a resistivity anomaly north of the historical pit.
From a critical analyst's perspective, the material impact of the latest drilling update is neutral to slightly underwhelming. An intercept of 0.39% Cu over 9.5 meters is relatively low-grade and narrow for a company currently valued at over C$200 million. While the geological data may assist in vectoring toward a larger system, it does not represent a discovery that justifies the recent share price appreciation.
However, this exploration news must be weighed against the significant operational milestones reported in January 2026. The company successfully transitioned to a producer, receiving approximately $1 million CAD for the first 1,000 tonnes of material delivered from Blue Lagoon’s Dome Mountain. The subsequent $4.96 million oversubscribed private placement at $0.90 per unit provides the necessary capital to expand the Merritt Mill to 500 tonnes per day (tpd). The real value driver remains the milling revenue and the potential for the 2,600 pending assays to reveal higher-grade zones.
Nicola Mining Inc. is a junior mining company with a unique vertical integration strategy in British Columbia. Its flagship project is the New Craigmont Copper Project, a past-producing high-grade copper mine. The company also owns the Merritt Mill, the only facility in B.C. permitted to process third-party gold and silver ore from across the province. Additional assets include the Treasure Mountain Silver Project (permitted, care and maintenance) and the Dominion Creek Gold Project (75% interest).