The Molka prospect is located at 457 metres elevation on the eastern slopes of Mount Kruger, 3 kilometres southeast of Osoyoos, British Columbia. The Dividend-Lakeview past producer (082ESW001) lies 1.75 kilometres to the northwest.
Little information is available on the early history of the Molka (Lot 2675) Reverted Crown grant. Work presumably began before 1903 when the claim was first Crown granted to J. Rink and associates. Little else was done on the property until 1964 by Noranda Exploration Co. Ltd. In 1968, Granby Mining Co. Ltd. conducted further exploration in the vicinity. In 1986 and 1987, Markus Resources Inc. conducted extensive exploration in the Dividend-Lakeview area, including on the Molka property.
The regional geology of the Dividend-Lakeview area consists of medium to coarse-grained granodiorite of the composite Middle Jurassic Similkameen batholith. To the west this includes alkali syenite and nepheline syenite of the Kruger intrusion. The Fairview intrusion outcrops to the north. The Similkameen intrusion extends from 10 kilometres north of the Canada-United States border, south into Washington state. The granodiorite is grey-green, medium to coarse grained and dominantly composed of quartz, plagioclase and hornblende. The Similkameen batholith has intruded metasediments and metavolcanics of the Carboniferous to Permian Kobau Group. Intensely folded and metamorphosed quartzite, greenstone, phyllite, chlorite or mica schist with intercalations of dioritic rocks and sparse limestone lenses comprise lithologies. To the west lie a series of highly sheared schists, greenstones and quartzites known informally as the Kruger Schists. The greenstone has been highly sheared in many areas associated with emplacement of the Similkameen intrusion and other intrusions. Shear zones strike southeast and dip moderately to steeply northeast and southwest. Local variations occur however.
Silicification composed of quartz pods, stringers and veins is common throughout the greenstone and in quartzite near the southwest corner of the Gold Hill claim. Minor carbonate is also present.
The Molka claim is underlain by intensely sheared and fractured greenstone. The most prominent shears and fractures strike to the north or east with steep dips to the northwest. Crossfractures with chlorite and epidote occur adjacent to major shears.
The Molka showing consists of numerous chalcopyrite mineralized quartz veins with malachite staining and epidote-rich skarn hosted in chloritized greenstone.
In the southwest corner of the Molka claim, a short adit (less than 6 metres) was driven on a 30-centimetre wide quartz vein containing disseminated chalcopyrite and malachite staining. The hostrock is greenstone.
In the northeast corner of the Molka claim, lies a small skarn zone. The zone was weakly responsive to magnetic and electromagnetic surveys. Thirty metres to the northwest, a 7.6-metre drillhole was previously drilled on another skarn zone.