Blue Lagoon Adds Second Underground Shift as Dome Mountain Moves Into Higher-Throughput Phase

(TheNewswire)

January 13, 2026 – TheNewswire - Vancouver,British Columbia – Blue Lagoon ResourcesInc. (CSE: BLLG;OTCQB: BLAGF; FSE: 7BL) continues to strengthen its underground gold-miningoperation as it advances towards achieving its production targets. Nowthat the initial underground development has opened up enough workingspaces, the addition of a second underground production shift thisweek is expected to increase output across multiple active miningfaces, supported by the arrival of additional underground equipmentlast week. This will accelerate both productionand development activities.

Shipments of mineralized material to the Company’stoll milling partner continue, with six trucks scheduled to leave thisweek. Shipment volumes are expected to double starting next week as undergroundmining rates increase. By month-end, additional mining faces areexpected to come online, further supporting a steady and repeatableproduction and delivery cadence.

As part of its ongoing focus on operational efficiencyand disciplined mine planning, the Company recently engaged miningconsultant Tom Rannelli of TK Mining and Construction, who was on sitelast week to work closely with the site team to optimize developmentand enhance underground productivity.

“As we move into a higher-throughput phase ofoperations, we are bringing in experienced underground specialists tohelp refine mine planning and execution,” said Rana Vig, Presidentand CEO of Blue Lagoon Resources. “These orderly steps are already translatinginto increased productivity across multiple faces and are positioningDome Mountain for a consistent and sustainable productionprofile.”

For further information, pleasecontact:

Rana Vig

President and Chief Executive Officer

Telephone:  604-218-4766

Email: rana@bllg.ca

About Blue Lagoon ResourcesInc.

Blue Lagoon Resources Inc. (CSE: BLLG; FSE: 7BL; OTCQB:BLAGF) is a Canadian-based, well-funded, growth-oriented miningcompany producing from its 100% owned Dome Mountain Gold Mine nearSmithers, British Columbia. Led by a team with deep mining and financeexperience, the Company operates in one of the world’s mostattractive mining jurisdictions.

In February 2025, Blue Lagoon achieved a majormilestone with the granting of a full mining permit - one of only nineissued in British Columbia since 2015 - and has since commencedunderground mining operations. Mineralized material from Dome Mountainis processed under a long-term toll milling agreement with NicolaMining. Beginning in H1 2026, the Company plans to reinvest internallygenerated cash flow into near-mine and regional exploration to furtherexpand its resource base on its extensive property.

With a strong commitment to sustainability, community,and First Nation engagement, Blue Lagoon’s objective is to be aprofitable, cash-flowing gold producer while creating lasting valuefor shareholders and stakeholders alike.

The Company is not basing its production decision atDome Mountain on a feasibility study of mineral reserves demonstratingeconomic and technical viability. The production decision is based onhaving existing mining infrastructure, past bulk sampling andprocessing activity, and the established mineral resource.  TheCompany understands that there is increased uncertainty, andconsequently a higher risk of failure, when production is undertakenin advance of a feasibility study.

The CSE has not reviewed and doesnot accept responsibility for the adequacy or accuracy of thisrelease.

Forward-Looking Statement

This news release contains forward-looking statementswithin the meaning of applicable securities laws. Forward-lookingstatements in this news release include, but are not limited to,statements regarding the addition of a second underground productionshift, anticipated increases in underground mining rates, expectedshipment volumes and timing, the bringing of additional mining facesinto production, and the Company’s ability to achieve a consistentand sustainable production profile at the Dome Mountain Gold Project.Forward-looking statements are based on management’s currentexpectations and assumptions and are subject to a number of risks anduncertainties that could cause actual results to differ materiallyfrom those expressed or implied by such forward-looking statements.These risks and uncertainties include, but are not limited to, risksrelated to underground mining operations, equipment availability andperformance, labour availability, geological conditions, permittingand regulatory compliance, toll milling and transportationarrangements, commodity price fluctuations, and general economic,market, and industry conditions. Readers are cautioned not to placeundue reliance on forward-looking statements. Except as required byapplicable securities laws, the Company undertakes no obligation toupdate or revise any forward-looking statements to reflect subsequentevents or circumstances.

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