The occurrence is located on or near Lemay Creek, approximately 12 kilometres north of Tofino.

Meares Island is underlain mainly by rocks of the pre-Jurassic Westcoast Complex. This complex is a heterogeneous assemblage of hornblende-plagioclase gneiss, amphibolite, agmatite, mafic migmatite, quartz diorite or tonalite and minor metasedimentary and metavolcanic rocks. This complex is considered to be derived from Sicker and Vancouver groups rocks which were migmatized in early Jurassic time. Its mobilized granitoid part is thought to have become the source of the Jurassic Island Intrusions.

At the Lemay Creek occurrence, copper mineralization occurs in a south flowing creek (Lemay Creek) that drains into Lemmens Inlet. The southern slope of the mountain, down which the creek flows, is composed mainly of gabbro (Westcoast Complex?). An area of quartzite and limestone is exposed in the creek from 100 to 170 metres elevation. The quartzite is locally rich in pyrrhotite with minor chalcopyrite. Chalcopyrite also occurs in gabbro at the 20 (slightly east) and 200 metre elevation level of the stream and again 480 metres north of the latter.

A few copper showings also occur from 400 to 800 metres east of the creek, between 20 and 60 metres elevation.

The area was first explored in 1898 with the discovery of the Iron Cap deposit (MINFILE 092F 158), 2 kilometres to the southeast. In the 1960's and 1970's, Falconbridge staked and/or optioned the area and performed various exploration programs including geological mapping, self-potential and magnetic surveys and 6 diamond drill holes, totalling 66 metres. In 1982, the Lagoon claims were staked by D. Melrose and later optioned to Noramex Minerals. Between 1987 and 1990, Iron River Resources explored the area as the Lone Cone claims and performed programs of geological mapping, prospecting, magnetometer surveys and geochemical sampling.