Blue Lagoon Kicks Off Phase One Drill Program At Its Dome Mountian Gold Project
FSE: 7BL
CSE: BLLG
OTCQB: BLAGF
BLUE LAGOON KICKS OFF PHASE ONE DRILL PROGRAM
AT ITS DOME MOUNTIAN GOLD PROJECT
July 23, 2020 – Vancouver, British Columbia – Blue Lagoon Resources Inc. (the “Company”) (CSE: BLLG;
FSE: 7BL; OTCQB: BLAGF) is pleased to announce that the planned Phase One drilling program has started on
the Company’s Dome Mountain Gold Project located a 50 minute drive from Smithers B.C. The Dome Mountain
Gold Mine Project holds a Mining Permit and Environmental Management Act Permit (EMA) providing for up to
75,000 tonnes production annually and 15 known high grade gold veins identified, with a significant portion of the
property yet to be explored.
Phase One Drilling will consist of 2800 meters of HQ diamond drilling from 22 holes located on eight pre-existing
pads (see Figure 1 below). Table One shows the pads and planned drillholes in order of priority. Planned lengths of
holes are based on the Vulcan model and are designed to end 5 meters beyond the vein margin.
TABLE ONE
Pad Elev. [m]AzimuthInclination
Planned
Length
[m]
16-26 1252 47 -73 105
16-26 1252 0 -67 95
16-26 1252 327 -57 95
16-30 1260 162 -45 60
16-17 1271 0 -57 201
16-29 1271 340 -52 150
16-29 1271 0 -70 200
16-29 1271 0 -64 170
16-29 1271 0 -56 155
16-29 1271 0 -45 140
16-29 1271 19 -45 150
16-29 1271 48 -62 215
16-16 1283 299 -70 115
16-16 1283 309 -58 85
16-16 1283 0 -65 85
16-15 1292 110 -68 100
16-15 1292 91 -58 70
16-13 1299 32 -45 90
16-13 1299 0 -70 125
16-13 1299 0 -63 100
16-8 1346 64 -45 130
16-8 1346 77 -45 135
Figure 1
Drill holes drilled from Pad 16-8 are not designed to hit the infered resource. This setup is planned to intercept high-
grade gold mineralization along a NNE-SSW mineralized structure that was encountered in drill hole DM-16-79
during the 2016 drill campaign.
“It’s been some time since any drilling activity has taken place at the Dome Mountain project so we’re quite excited
to pick up where things were left off in 2016, particulary in this robust gold market,” said Rana Vig, President and
CEO of Blue Lagoon Resources.
This Phase One drill program is targeting a portion of the inferred resource as defined by the recently filed
Preliminary Economic Assessment (PEA). (PEA NI43-101 Technical Report filed on July 15, 2020). Using a cut-
off of 3.42 g/t Au and a gold price of $1450 per troy ounce the PEA outlined an undiluted indicated resource of
81,017 ounces gold at 15.78 g/t gold and an inferred resource of 149,240 ounces gold at 10.09 g/t gold. Click here
to read the Company’s full news release on the results of the PEA.
The drill collars chosen are located on already completed drill pads and existing road infrastructure. Multiple HQ
drill holes will be completed from each pad and are designed to infill along and in an already defined Inferred
resource domain with planned intercepts designed to be within 30 meters area of influence , with as much as 33%
of the existing Inferred resource to be tested for potential upgrade to Indicated (see Figure 2).
Figure 2
Bill Cronk, Chief Geologist for Blue Lagoon stated “I am very excited to begin work on the Dome Mountain Gold
Project. This project is very versatile and prospective having a significant indicated gold resource, a Mine Permit
in place, mine infrastructure development, an inferred resourc e ready for upgrading to indicated and, a very
prospective land package with multiple mineralized quartz veins ready for drill target prioritization.” Furthermore,
this phase one drilling program is just the first part of a very comprehensive multi -phase plan focused on defining
and exploiting the full potential of the Dome Mountain Gold Project,” he added.
The scientific and technical data contained in this news release was approved by William Cronk, P.Geo., a qualified
person as defined in NI 43-101 and a consultant to the Company.
For further information, please contact:
Rana Vig
President and Chief Executive Officer
Telephone: 604-218-4766
Email: [email protected]
The CSE has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. Statement
Regarding Forward-Looking Information: This release includes certain statements that may be deemed "forward-
looking statements". All statements in this release, other than statements of historical facts, that address events or
developments that Blue Lagoon Resources Inc. (the "Company") expects to occur, are forward-looking statements.
Forward-looking statements are statements that are not historical facts and are generally, but not always, identified
by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar
expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company
believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such
statements are not guarantees of future performance and actual results may differ materially from those in the
forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-
looking statements include results of exploration activities may not show quality and quantity necessary for further
exploration and exploitation of minerals deposits, market prices, and continued availa bility of capital and
financing, permitting and other approvals, and general economic, market or business conditions. Investors are
cautioned that any such statements are not guarantees of future performance and actual results or developments
may differ materially from those projected in the forward-looking statements. Forward-looking statements are
based on the beliefs, estimates and opinions of the Company's management on the date the statements are made.
Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-
looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.