Blue Lagoon Resources Inc. has announced the completion of its first sale of gold and silver from mineralized material extracted at its Dome Mountain project. The company expects to receive approximately C$970,000 from Ocean Partners UK Limited for this initial delivery, representing a significant milestone as Blue Lagoon transitions from a development-stage to a revenue-generating mining company.
The sale involves approximately 1,000 tonnes of mineralized material that was delivered earlier this month to the company's milling partner, Nicola Mining Inc. Processing has been delayed due to scheduled mill maintenance, with final settlement expected following processing and subject to customary adjustments based on final assays and prevailing metal prices. The company plans to resume underground development, production, and shipments in early January following a brief holiday break.
President and CEO Rana Vig described this development as "a significant milestone for Blue Lagoon" and emphasized the company's focus on continued execution of development and production activities. The company aims to increase throughput and work toward consistent, steady-state operations as it advances its Dome Mountain Gold Project in British Columbia.
In a separate announcement, Blue Lagoon has granted an aggregate of 3,000,000 restricted share units and 200,000 stock options to certain directors, officers, management, and consultants pursuant to the company's omnibus equity incentive plan. The stock options are exercisable at $0.66 per share and expire five years from issuance, with the grant subject to approval by the Canadian Securities Exchange.
The company's production decision at Dome Mountain is based on existing mining infrastructure, past bulk sampling and processing activity, and established mineral resources rather than a feasibility study of mineral reserves demonstrating economic and technical viability. This approach carries increased uncertainty and higher risk of failure according to the company's disclosure. Blue Lagoon 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.
This development represents Blue Lagoon's entry into the select group of junior mining companies that have successfully advanced from development into production and sale of precious metals. The company's progress follows the granting of a full mining permit in February 2025, one of only nine issued in British Columbia since 2015, which allowed the commencement of underground mining operations. For additional information about the company, investors can visit https://www.bluelagoonresources.com.
The transition to revenue generation represents a critical inflection point for junior mining companies, potentially increasing investor confidence and providing capital for further exploration and development. As Blue Lagoon moves toward steady-state operations, the company's ability to generate consistent cash flow could influence market perception of similar development-stage mining ventures operating in established jurisdictions like British Columbia.
