In the area of the Gracey Creek showing, sediments and volcanics of the Upper Triassic Stuhini Group are intruded Early Tertiary quartz monzonitic rock of the Saddle Lake Pluton. The area is underlain by quartz-banded gneissic sandstone and siltstone exhibiting small-scale folding. Mineralization is thought to be associated with a 50-70 centimetre wide siliceous zone.

Massive and disseminated galena is associated with quartz-carbonate veining (veinlets) in gneissic metasediments. Disseminated pyrrhotite and pyrite, molybdenite, chalcopyrite were observed. Sample KCR-034 assayed 0.97 gram per tonne gold, >50 gram per tonne silver, >1 per cent lead and >2 per cent zinc. Values in gold ranged up to 3.1 grams per tonne and copper up to 0.16 per cent (Assessment Report 19625).

Work History

In the 1960s Newmont Exploration conducted a regional exploration program and first noted biotite schists and mylonite containing pyritic stringers with chalcopyrite. The Newmont map which resulted from the 1960s exploration is now kept in the Property File of the BC Ministry of Energy, Mines and Petroleum Resources.

In 1988, Kengate Resources Ltd. conducted a limited reconnaissance prospecting and geochemical sampling program east of Gracey Creek, near the northwest corner of the Gracey claim (Assessment Report 18367). This program included the collection of 6 rock samples, 15 soil samples, and 7 heavy mineral sediment samples. The results of this work show that the program was successful in locating three new copper-lead-zinc-silver-gold showings,

The 1989 exploration program by Kengate consisted of helicopter-supported reconnaissance prospecting, geological mapping, and geochemical sampling (Assessment Report 19625). A total of 35 rock and 7 heavy mineral samples were collected.

In 2006 and 2007, Hathor Exploration Ltd. completed a 7228.7 line-kilometre airborne geophysical survey on the area as the Gracey claims of the Iskut project. In 2008, Max Minerals Ltd. examined the property.