Banks Island lies along the western edge of the Tertiary- Jurassic Coast Plutonic Complex characterized by northwest trending granitic bodies, mainly granodiorite-quartz monzonite and quartz diorite, which are separated by narrow, persistent Permian(?) or older metasedimentary belts, mainly crystalline limestone, micaceous quartzite skarn and schist. The metasedimentary rocks generally exhibit a wide range of "granitization" effects and contact metasomatism.
Regional and local faulting, fracturing and folding are common on the island. Two major right-lateral faults, striking 310 degrees, known as the Arseno and Hepler faults, have associated 045 degree linears. Left-lateral faults striking 090 degrees also occur. Many contacts between the plutonic and metasedimentary rocks are faults or drag folds. Some faults have been healed by recrystallization. Structure is the prime factor in ore localization.
The Yellow Giant (Kim) zone is a complex combination of several different groups of mineralized quartz veins plus disseminated sulphide lenses within an intensely altered fracture system, which trends 288 degrees and is hosted by biotite quartz monzonite. Alteration is progressive, from weakly sericitic on the margins of the deposit to intense quartz-sericite with minor chlorite, clinochlore and calcite near the higher grade gold mineralization. The alteration zone is offset by numerous strong faults trending 045 degrees with apparent left-lateral movement up to 15 metres. The disseminated sulphides are pyrite, arsenopyrite, sphalerite and galena, mainly in the central quartz-sericite-chlorite alteration zone. Sphalerite averages 1.0 per cent and galena, 0.25 per cent. Molybdenite is sparsely distributed as a halo through all surrounding, less altered, siliceous granitic rocks, where it is associated with quartz veins. Actinolite skarn near the Kim zone locally contains up to 3 per cent molybdenite.
The deposit is localized within a 1200 metre, steeply dipping, east-west shear zone. The deposit attains widths of up to 60 metres but averages about 18 metres and has been drilled to a vertical depth of 180 metres and a length of 300 metres. It is open at depth and along strike.
The Kim zone varies in composition and vein direction from east to west. The East subzone is characterized by erratic gold distribution and mineralized vein systems trending 012 to 031 degrees and dipping west. The Central subzone has higher gold values and veins trend 063 to 084 degrees and dip north. Vein orientation in the West subzone is poorly understood.
The prominent change of mineralized vein orientation in the East subzone could be due to drag folding along the 045 degree faults. However, there is also a strong possibility that the Kim zone rocks represent a semi-solid intrusion of biotite quartz monzonite that has domed or folded the metasedimentary package and in this case, the vein directions are related to their relative axial planar position along the domal structure.
Two hundred metres northeast of the Kim deposit, east-trending quartz veins and veinlets with pyrite and unidentified manganese mineralization occur near metasediments. A sample assayed 1.34 per cent manganese (Assessment Report 14171).
The Kim zone was discovered in 1963 by Falconbridge Nickel Mining Corp.
In 1964, Falconbridge Nickel Mining Corp. executed an exploration program of geological mapping, trenching and diamond drilling. Anomalous gold and silver values were found at the Kim zone from this work.
In 1984, Trader Mines Ltd. completed an exploration program of geological mapping, geochemical surveys and diamond drilling. Highlights include drillhole YGKM-84-008, which returned 6 metres grading 3.87 grams per tonne gold and 12.69 grams per tonne silver (Assessment Report 14171).
In 1988, unclassified reserves for the Kim zone were 77 896 tonnes grading 7.1 grams per tonne gold (Trader Resource Corp., Letter to Shareholders, March 28, 1988).
In 1993, Trader Resources Corp. owned 90 per cent of the Yellow Giant property claims, while Falconbridge Nickel Mines Ltd. owned the remaining 10 per cent of the claims.
In 1994, Trader Resources Corp. was renamed Highwood Resources Ltd.
In 1996, Energex Minerals Ltd. acquired 51 per cent of the claims from Highwood Resources Ltd.
In 1998, Doublestar Resources Ltd. acquired the 51 per cent share held by Energex Minerals Ltd.
In 2000, Doublestar Resources Ltd. acquired Falconbridge Nickel Mines Ltd.’s 10 per cent stake of the claims.
In 2002, Dynatec Corp. merged with Highwood Resources Ltd. to form Beta Minerals Inc.
In 2007, Selkirk Metals Corp. acquired 61 per cent of the Yellow Giant property claims through the purchase of Doublestar Resources Ltd.
In 2009, Advanced Primary Minerals Corp. acquired 39 per cent of the claims through the reverse takeover of Beta Minerals Inc. and then sold the stake to Selkirk Metals Corp. which gave them 100 per cent ownership of the property. Imperial Metals Corp. then acquired all the shares of Selkirk Metals Corp., making it a wholly-owned subsidiary of Imperial Metals Corp.
No exploration work was completed on the property from 1988 until 2010, when Selkirk Metals Corp. completed a control survey to establish UTM coordinates for old drillholes and facilities.
In 2011, Banks Island Gold Ltd. optioned the property from Selkirk Metals Corp.
In 2012, Banks Island Gold Ltd. released a NI 43-101 compliant mineral resources estimate for the Kim zone that showed an inferred resource of 59 000 tonnes grading 8.9 grams per tonne gold and 29 grams per tonne silver using a 6 gram per tonne gold cut off (Press Release, Banks Island Gold Ltd., October 22, 2012).
See Bob (103G 024), Discovery (103G 025) and Tel (103G 026) showings for additional information and resource estimates.