The Daly Trench occurrence is located on the western slopes of Armstrong Creek, approximately 3 kilometres northeast of Keremeos.

The area is underlain by cherts, tuffs and greenstones of the Triassic Shoemaker Formation. These have been intruded by a Jurassic ultra basic body, primarily pyroxenite, to the northwest.

Locally, rusty and brecciated zones are hosted in greenstone and chert basement rocks. These rocks contain up to 5 to 10 per cent pyrite and magnetite with lesser pyrrhotite and chalcopyrite.

From 1984 to 1986, Grand National Resources completed programs of geological mapping, geochemical sampling and various geophysical surveys on the Daly claims. In 1989, the area immediately north was prospected as a part of the EPI 1-13 claims. Previous unrecorded exploration work consists of a number of trenches, open cuts and shafts, possibly related to historic work on the nearby Juniper (MINFILE 082ESW170) and Dolphin (MINFILE 082ESW012) crown grants.

In 1984, a 1 metre chip sample (65023) across trench 2 assayed 13.2 grams per tonne gold (Assessment Report 12516). In 1989, five samples of sulphide bearing material assayed up to 1052 parts per billion gold, 1.2 parts per million silver and 1257 parts per million copper (Property File: Lee, L. (1989)).