Nicola Mining Inc. (NASDAQ: NICM) (TSX.V: NIM) (FSE: HLIA) and Ocean Partners UK Limited have jointly committed $10 million to Blue Lagoon Resources (CSE: BLLG), with each investing $5 million. The funding is earmarked to advance the development and production ramp-up of Blue Lagoon's wholly owned Dome Mountain Gold and Silver Project near Smithers, British Columbia, targeting a production rate of 150 to 200 tonnes per day.
Nicola completed its investment through a private placement at $0.60 per share, acquiring 8,333,333 common shares. This follows Nicola's earlier $1 million investment in Blue Lagoon in January 2024. Ocean Partners has now committed a total of $8 million to Blue Lagoon, underscoring its confidence in the project's potential.
The financing is strategically significant as it strengthens the relationship among mine development, concentrate marketing, and milling infrastructure. Nicola's wholly owned Merritt Mill is expected to play an increasingly important role as Blue Lagoon advances production, providing a synergistic advantage for both companies.
This investment aligns with Nicola's broader strategy of leveraging its fully permitted mill and tailings facility, located near Merritt, British Columbia, which processes gold and silver feed via gravity and flotation processes. The company also holds a 100% interest in the New Craigmont Project, a high-grade copper property spanning 10,913 hectares adjacent to Highland Valley Copper, Canada's largest copper mine. Additionally, Nicola owns the Treasure Mountain Property, comprising 30 mineral claims and a mineral lease over 2,200 hectares.
Blue Lagoon's Dome Mountain project is advancing toward production, and this funding will support its continued development. The collaboration between the three entities highlights a growing trend of strategic investments in precious metals projects, particularly in British Columbia's mining-friendly jurisdiction.
For more details on this announcement, visit the full press release at https://ibn.fm/Wh0vf. For the latest updates on Nicola Mining, see the company's newsroom at https://ibn.fm/NICM.
