Blue Lagoon Resources Inc. has completed its first sale of gold and silver from the Dome Mountain project, receiving approximately C$970,000 from Ocean Partners UK Limited for mineralized material delivered earlier this month. This transaction represents the company's initial revenue from production at its British Columbia gold project and signifies a critical transition from development to operational status.
The payment serves as an advance on approximately 1,000 tonnes of material delivered to milling partner Nicola Mining Inc., with final settlement pending processing completion and customary adjustments for final assays and prevailing metal prices. Processing was delayed due to scheduled mill maintenance, but underground development, production, and shipments are expected to resume in early January following a Christmas holiday break.
Company President and CEO Rana Vig described this as "a significant milestone for Blue Lagoon" that positions the company among the select group of junior mining companies that have successfully advanced from development into production and sale. The company now focuses on continued execution of development and production activities, increased throughput, and progression toward consistent, steady-state operations.
This revenue milestone follows the company's achievement in February 2025 of obtaining one of only nine full mining permits issued in British Columbia since 2015. The company operates under a long-term toll milling agreement with Nicola Mining and plans to reinvest internally generated cash flow into near-mine and regional exploration beginning in the first half of 2026.
Concurrently with this production announcement, Blue Lagoon granted 3,000,000 restricted share units and 200,000 stock options to directors, officers, management, and consultants, subject to approval by the Canadian Securities Exchange. The stock options are exercisable at $0.66 per share and expire five years from issuance.
The company acknowledges that its production decision at Dome Mountain is not based on a feasibility study of mineral reserves demonstrating economic and technical viability, but rather on existing mining infrastructure, past bulk sampling and processing activity, and established mineral resources. This approach carries increased uncertainty and higher risk of failure compared to production decisions made following feasibility studies.
This development matters because it demonstrates successful progression through the challenging junior mining lifecycle, potentially signaling increased investor confidence in similar development-stage companies. For British Columbia's mining sector, it represents operational expansion in a jurisdiction that has issued only nine full mining permits since 2015. The transition to revenue generation provides Blue Lagoon with internally generated capital to fund further exploration and development, reducing reliance on external financing while creating potential economic benefits for local communities and stakeholders.
