Blue Lagoon reports first finalized Dome Mountain gold and silver concentrate
Blue Lagoon Resources has reported finalized assay and settlement results for its first Dome Mountain concentrate, while mining, transport and processing operations continue in British Columbia.
Blue Lagoon Resources Inc. (CSE:BLLG, FSE:7BL, OTCQB:BLAGF) has reported finalized results for its first gold and silver concentrate produced from the 100%-owned Dome Mountain mine near Smithers, British Columbia. The concentrate contained 992 ounces of gold and 4,181 ounces of silver, according to final assay and settlement information from Ocean Partners Holdings Ltd.
From mid-November 2025 through September 30, 2026, Blue Lagoon transported 21,400 tonnes of mineralized material from Dome Mountain to Nicola Mining Inc.’s milling facility near Merritt, British Columbia. Approximately 17,400 tonnes had been processed, while a further 4,000 tonnes were at the facility awaiting processing. The company said shipments were continuing weekly.
Processing of Dome Mountain material began in February 2026. The initial campaign covered 5,002 dry metric tonnes at Nicola’s 150 tonne per day facility. Before milling, that material was estimated to contain 1,200 ounces of gold at approximately 7.0 g/t Au. The campaign produced 341.6 DMT of concentrate.
#Subsequent concentrate remains subject to final results
Later milling campaigns produced and shipped approximately 875 DMT of additional concentrate through September 30, 2026. Final assay and settlement results for that material were still outstanding. As a result, the gold and silver ounces associated with those shipments were not included in the reported 992 ounces of gold and 4,181 ounces of silver.
Blue Lagoon said mill-feed grades in the months after the initial campaign increased to approximately 8.0 to 10.0 g/t Au. The company also reported that gold recovery was currently averaging approximately 92%, while concentrates had generally contained approximately four ounces of silver for every ounce of gold.
Blue Lagoon said it had received approximately CDN $16.5 million from payments connected with gold and silver concentrate shipments from Dome Mountain material. The payments represented approximately 85% of the provisional value of the applicable shipments.
The remaining balance is payable after final assays and completion of the settlement process. Provisional payments are subject to adjustment based on final weights, assays and metal prices and may result in amounts payable to or by the company. Blue Lagoon said the amounts received are unaudited, gross of operating and other costs, and are not an indication of profitability.
Mining and underground development remain underway at Dome Mountain, with material being transported to Nicola for further milling and processing. Blue Lagoon said development work is intended to provide additional working areas and greater operating flexibility.
The company said it plans during the second half of 2026 to continue reinvesting internally generated cash flow into near-mine and regional exploration to further expand its resource base. It also plans to issue updates as additional concentrate lots receive final and binding assays and as further operational and exploration milestones are achieved.
Blue Lagoon stated that its production decision at Dome Mountain was not based on a feasibility study of mineral reserves demonstrating economic and technical viability. The company said this creates increased uncertainty and a higher risk of economic and technical failure.
Other risks identified by the company include variations in mined grades and recoveries, mining and processing performance, the availability and performance of third-party milling and transportation services, the timing of assays and concentrate settlements, commodity prices, operating costs, and regulatory and permitting matters.
The first finalized Dome Mountain concentrate contained 992 ounces of gold and 4,181 ounces of silver.
Blue Lagoon transported 21,400 tonnes of mineralized material to Nicola Mining’s facility from mid-November 2025 through September 30, 2026.
Approximately 875 DMT of later concentrate had been shipped, but its final assay and settlement results remained outstanding.
Approximately CDN $16.5 million had been received in provisional payments, representing approximately 85% of the applicable provisional value.
The company said production began without a feasibility study of mineral reserves demonstrating economic and technical viability, and warned of increased uncertainty and a higher risk of economic and technical failure.
Blue Lagoon Resources Inc. reported its first finalized concentrate production from its 100%-owned Dome Mountain Gold and Silver Mine near Smithers, British Columbia. Final assay and settlement results confirmed 992 ounces of gold and 4,181 ounces of silver in the initial concentrate, while the company also reported approximately CDN $16.5 million in provisional payments received to date.
The update covers activity from mid-November 2025 through September 30, 2026. Blue Lagoon Resources Inc. said 21,400 tonnes of mineralized material were transported from Dome Mountain to Nicola Mining Inc.'s milling facility during that period.
The first finalized concentrate contained 992 ounces of gold and 4,181 ounces of silver, according to final assay and settlement results from offtake partner Ocean Partners Holdings Ltd. The concentrate was produced from material processed during the initial milling campaign.
Blue Lagoon Resources Inc. transported 21,400 tonnes of mineralized material to Nicola Mining Inc.'s milling facility, with approximately 17,400 tonnes processed to date and a further 4,000 tonnes at the mill site awaiting processing. The company said additional shipments are continuing weekly.
The initial milling campaign processed 5,002 dry metric tonnes at Nicola's 150 tonne per day facility. Before processing, this material contained an estimated 1,200 ounces of gold at approximately 7.0 grams of gold per tonne, and the campaign produced 341.6 DMT of concentrate.
Blue Lagoon Resources Inc. said mill-feed grades increased to approximately 8.0 to 10.0 g/t Au in the months following the initial campaign, while gold recovery is currently averaging approximately 92%. The company also said concentrates have generally contained approximately four ounces of silver for every ounce of gold.
Blue Lagoon Resources Inc. has received approximately CDN $16.5 million in payments related to gold and silver concentrate shipments from Dome Mountain material. The company said these payments represent approximately 85% of the provisional value of the applicable shipments, with the remaining balance payable after final assays and completion of the settlement process.
No, the payments are provisional and may be adjusted on final settlement for final weights, assays and metal prices, potentially resulting in amounts payable to or by Blue Lagoon Resources Inc. The amounts received are unaudited, gross of operating and other costs, and are not an indication of profitability.
Subsequent milling campaigns produced and shipped approximately 875 DMT of additional concentrate through September 30, 2026. Final assay and settlement results for this material remain outstanding, so its attributable gold and silver ounces are not included in the reported 992 ounces of gold and 4,181 ounces of silver.
Blue Lagoon Resources Inc. mines and transports mineralized material from its 100%-owned Dome Mountain mine to Nicola Mining Inc.'s milling facility near Merritt, British Columbia. Processing of Dome Mountain material commenced in February 2026 under a long-term milling agreement with Nicola Mining.
Rana Vig, President and CEO of Blue Lagoon Resources Inc., said Dome Mountain is functioning through the full production cycle, from underground mining and trucking through milling, concentrate production and sale. He also said the company continues to invest in underground development to provide additional working areas and greater operating flexibility.
Blue Lagoon Resources Inc. said mining and underground development will continue, with material transported to Nicola for ongoing milling and processing. The company also said it will provide updates as additional concentrate lots receive final and binding assays and as further operational and exploration milestones are achieved.
Blue Lagoon Resources Inc. said it plans during the second half of 2026 to continue reinvesting internally generated cash flow into near-mine and regional exploration. The stated objective is to further expand its resource base across its extensive property.
Blue Lagoon Resources Inc. is identified in the announcement as trading on the Canadian Securities Exchange under CSE:BLLG, the Frankfurt Stock Exchange under FSE:7BL, and the OTCQB under OTCQB:BLAGF.
Blue Lagoon Resources Inc. said its production decision was not based on a feasibility study of mineral reserves demonstrating economic and technical viability, creating increased uncertainty and a higher risk of economic and technical failure. The company also identified risks including variations in mined grades and recoveries, mining and processing performance, third-party milling and transportation services, assay and settlement timing, commodity prices, operating costs, and regulatory and permitting matters.