The Capco occurrence is located west of Second Creek, a small north flowing tributary of Carmi Creek.

The area lies within a small roof pendant of Permian Wallace Formation. The pendant is composed of metamorphosed pelitic, siliceous and calcareous sediments bordering foliated granodiorite or quartz diorite. Rock types encountered on the south side of Carmi Creek are argillaceous quartzite, chlorite schist and chlorite-talc schist. Hornblende, biotite -foliated granodiorite occur adjacent to schists and quartzite. Quartz, feldspar dikes and sills intrude chlorite schists along defined fractures. Contacts with country rocks are poorly defined. Fine-grained rhyodacite, latite and dacite dikes are common. Their contacts are well defined with chilled margins.

Mineralization is confined to shear zones exposed by blast trenches. In trench 1, a strongly fractured shear zone contains scattered blebs of chalcopyrite in massive pyrrhotite and pyrite over 30 centimetres width. The shear zone is 1.2 metres wide, strikes 030 degrees and dips steeply to the south. Mineralization in trench 3, 23 metres to the northwest, is less massive.

Assay samples from this sheared and fractured zone yielded 0.32 per cent copper, 9 parts per million molybdenum, 38 parts per million nickel and 460 parts per million cobalt; samples from trench 1 yielded up to 0.16 per cent copper (Assessment Report 3740).

In 1970, a diamond drill hole (no. 11) yielded massive pyrite and pyrrhotite between 21.6 and 41.4 metres. Assay samples yielded 0.17 gram per tonne gold and 6.86 gram per tonne silver between 27.1 and 33.5 metres (Assessment Report 3740).

In 1987, a grab sample (CAR 11) assayed 0.454 per cent copper and 3.8 grams per tonne silver (Property File - Valentine Gold Corp. [1987-07-28]: Property Evaluation of the Carmi Property).

The Capco claims lie in the Carmi-Beaverdell area, where there has been significant exploration and mining activity since early 1900. Evidence of pre-1970 exploration work on the property consists of small open-cuts. An adit, referred to as the Gain adit, is reported across Carmi Creek, approximately 650 to the northeast. In 1970, International Minerals Corp. carried out an extensive exploration program of mapping, magnetic and induced polarization geophysical surveys. At that time, a drill hole was drilled on an induced polarization anomaly.