The Chalice prospect is exposed along the southeast side of Agamemnon Channel, 1.1 kilometres southwest of the northern tip of Sechelt Peninsula.

The earliest record of exploration in the Chalice prospect area was in 1913, when R. Durnsford Jr. drove the Stein tunnel (092GNW061). In 1937, work was recorded on the Cambrian Chieftain occurrence (092GNW011). Additional mineralization was discovered at the Skookum, along the shoreline of Agamemnon Channel. Other showings, some containing massive sulphides, are reported along the shores of Agamemnon Channel. In 1982, Chalice Mining Inc. staked the ground covering the Chalice prospect. Since that time, Chalice Mining Inc. has conducted prospecting, geochemical and geophysical surveys, geological mapping, trenching and 572 metres of diamond drilling in 21 holes.

The Chalice prospect is comprised of a zone of vein and stockwork, high grade gold mineralization traced discontinuously northeastward along the shore of Sechelt Peninsula for 230 metres. The zone is hosted in hornblende-biotite quartz diorite, within the Jurassic to Cretaceous Coast Plutonic Complex. Quartz diorite locally grades into gabbro, diorite and granodiorite. Northwest trending roof pendants are composed of metasediments and metavolcanics correlated with the Upper Triassic Karmutsen Formation of the Vancouver Group. The entire sequence of rocks are intruded by numerous feldspar porphyry rhyodacite, diorite and andesitic to basaltic dikes. Dike swarms are prominent in the area.

Several pits excavated in beach exposures reveal numerous discontinuous veins of quartz, marcasite and pyrite up to 0.5 metres wide in granodiorite and basaltic dikes. The veins strike 045 degrees and dip 40 to 90 degrees west.

A sample from one of the pits assayed 213 grams per tonne gold and 219 grams per tonne silver (Bulletin 39, page 39). A bulk sample of 96 tonnes shipped by Abacon Mineral Explorations Ltd. in 1966 averaged 11 grams per tonne gold, 14 grams per tonne silver and 0.08 per cent copper (Assessment Report 11129, page 16).

One hundred and fifty metres to the northeast, a 7 by 2 metre cliff exposure reveals a series of marcasite veinlets 4 to 6 centimetres wide cut by several basaltic dikes in granodiorite. The veins strike 055 degrees and dip 75 degrees west. A 20 metre wide stockwork of quartz and marcasite veinlets outcrops between these two exposures. The stockwork zone trends 110 degrees and dips 60 degrees east to 75 degrees west.