The Bonanza occurrence is located east of a small pond on the ridge between Actaeon Sound (Drury Inlet) and Lee Lake.

The area is underlain by granitic rocks of the Mesozoic Coast Plutonic Complex. An unnamed, north west- trending roof pendant of greenstone and amphibolite, with overlying phyllitic and calcareous argillite, overlies the intrusive rocks. The volcanic and sedimentary rocks have been chlorite-biotite-hornfels altered. Calcareous argillite has been altered to calc-silicate. Greenstone and amphibolite dikes and sills cut the sediments. Minor pyrite and chalcopyrite occur in thin quartz stringers.

Locally, a quartz vein shear in argillite, with associated silica alteration, contains massive to disseminated pyrite, galena, chalcopyrite, sphalerite and bornite. Gold values are correlated with higher galena and sphalerite concentrations. The vein has been traced intermittently by trenching over 280 metres, with an average width of 1.55 metres, and to a depth of 55 metres by drilling.

In 1980, trench sampling along the exposed length of the veins returned an average grade of 3.39 grams per tonne gold (Assessment Report 9303, page 2).

In 1981, diamond drilling (MB 81-1) intercepted 0.3 metre averaging 3.7 grams per tonne gold (Assessment Report 9303).

In 1987, a grab sample (BA-624) from trench D assayed 44.80 grams per tonne gold, while chip samples (BA-603 and 692) from trenches I and D assayed 8.10 and 14.60 grams per tonne gold over 0.7 and 1.3 metres, respectively (Property File - Acme Analytical Laboratories Ltd. [1987-06-27]: Geochemical Assay Certificate - No. 87-1961 - Bonanza). Values other than gold were not reported. Another sample (BON-2), taken at this time, assayed 0.193 per cent copper, 1.250 per cent lead, 2.224 per cent zinc, 46.4 grams per tonne silver and 39.7 grams per tonne gold over 1.45 metres (Property File - Acme Analytical Laboratories Ltd. [1987-11-24]: Geochemical Assay Certificate - No. 87-5654 - Bonanza). Also, at this time a chip sample (3174) from trench I assayed 1.44 per cent lead, 2.66 per cent zinc, 64.8 grams per tonne gold and 75.2 grams per tonne silver over 1 metre (Property File - C.M. Rebagliati [1987-12-07]: Report on the Bonanza Property).

Exploration work on the occurrence is reported back to 1945, when it was known as the Atkins group. In 1980 and 1981, Cominco completed programs of combined ground electromagnetic and magnetic surveys, trenching, geochemical sampling and seven diamond drill holes, totalling 494.7 metres. In 1987, American Bullion Minerals completed a program of rock sampling, geological mapping and 31.7 line-kilometres of combined ground electromagnetic and magnetic surveys. In 2008 and 2009, Cazdor Resources completed programs of prospecting, rock and soil sampling, a 6.0 line-kilometre ground electromagnetic survey and trenching. Results from the recent programs are not available.