The Paco occurrence is located west of Hesquiat Lake, approximately 750 metres north east of Rae Lake.

The area is underlain by northwest striking limestones and volcanics of the Pennsylvanian to Permian Sicker Group (Geological Survey of Canada Map 1537A). The Sicker Group rocks are intruded by granodioritic rocks of the Muchalat Batholith which is part of the Jurassic Island Intrusions.

Locally, a skarn zone of limited surface extent in an unnamed creek is reported. A small amount of sphalerite occurs over 0.3 by 0.6 metres. In a nearby tributary, the stream bed is coated with 2.0 centimetres of iron oxide mud (Assessment Report 464).

In 1962, Paco Resources completed a program of geological mapping on the area. In 1982, Cominco completed a program of prospecting and geochemical sampling on the area as the Basin and Lake claims. In 1984, Flow Resources completed a program of geological mapping, soil sampling, trenching, a ground electromagnetic survey and 13 diamond drill holes, totalling 643.2 metres. The drill program explored a strike length of 84 metres and a total down dip extension of 28.5 metres on the Brown Jug structure, across Boat Basin from Paco.