Purpose: This paper builds on existing studies by drawing on Conservation of Resources theory to explore the losses, psychological impacts as well as recovery processes of the 2017/18 volcanic disaster on Ambae Island, Vanuatu. Design/methodology/approach: This discussion is based on local perspectives and personal accounts collected through a series of eight semi-structured interviews (five males and three females). Findings: The volcanic activity and subsequent displacement and evacuation led to significant resource loss which had a spiralling nature, causing psychological harm. Locals invested resources to recover and protect against future loss in diverse ways and, as resource gains were secured, experienced emotional relief. Key to recovery and healing included returning “home” after being displaced and reinvigorating cultural practices to re-establish cultural continuity, community and identity. Resource gains spiralled as people reconnected and regained a sense of place, optimism and the motivation to rebuild. Originality/value: Numerous studies have drawn upon the Conservation of Resources (COR) theory to explore how resource loss can trigger psychological distress during environmental disasters; however, it has not been applied in Vanuatu, the most at-risk nation globally to natural hazards. This paper builds on existing studies by exploring personal accounts of resource loss, distress and recovery, and providing insights into resource spirals, caravans and passageways.