Mr. Rana Vig reports

BLUE LAGOON TOLL MILL PARTNER MAKES $1 MILLION STRATEGIC INVESTMENT

Blue Lagoon Resources Inc. has closed a non-brokered, oversubscribed private placement offering of 7,857,857 common shares of the company at a price of 14 cents per share for gross proceeds of $1,100,100, with more than 90 per cent of the offering taken by the company's toll milling partner, Nicola Mining Inc., that operates a state-of-the-art milling facility in Merritt, B.C.

The Dome Mountain Gold / Silver Project is an all-year road accessible project located a short 50-minute drive from Smithers B.C., that holds both an Environmental Management Act Permit (EMA) and a Mining Permit providing for up to 75,000 tonnes production annually. In addition, the property has 15 known high grade gold veins with 90% of the nearly 19,000 hectare property yet to be explored (see the Company's news release dated May 4, 2020).

"We are very pleased to have Nicola join some of our other institutional and sophisticated investors who understand and appreciate the vast exploration potential of the Dome Mountain project," said Rana Vig, President and CEO of Blue Lagoon Resources. "This substantial investment by Nicola further validates management's belief that we have a superior project that's currently undervalued. We expect to increase shareholder value by continuing to work diligently towards getting the final approvals required to commence mining operations at Dome Mountain and then focus on expanding our exploration program," he added.

Peter Espig, CEO of Nicola Mining Inc., commented, "Nicola Mining is pleased to partake in this private placement and support Blue Lagoon, whose management has done a superb job in developing the Dome Mountain Project and engaging closely with Frist Nations. We believe this to, not only be a significant step for both companies, but a step forward for BC mining projects, in general."

Due to strong demand, the Company expects to close a second tranche of up to $200,000. Proceeds of the Private Placements are expected to be used to advance the Company's Dome Mountain gold project, as well as general working capital purposes.

The securities issued in connection with the Private Placement will be subject to a four-month hold period ending on May 17, 2024, in accordance with securities laws and the policies of the Canadian Securities Exchange, as applicable.

We seek Safe Harbor.