The Lost Horse showing is situated 6.5 kilometres east of the Similkameen River, 10 kilometres south-southwest of the town of Hedley.

This region north of Paul Creek is underlain by a sedimentary facies of the Upper Triassic Nicola Group, comprised of argillite, sandstone and tuff, locally with limestone and conglomerate. This sequence is faulted to the west against felsic tuffs of the Early Cretaceous Spences Bridge Group (?) and intruded from the east by granodiorite of the Middle Jurassic Cahill Creek pluton.

The showing is hosted in a steep west-dipping section of fine-grained ash to lapilli tuff, with minor tuffaceous siltstone of the Late Triassic Whistle Creek Formation. These volcaniclastics display variable hornfels and biotite hornfels alteration. Minor green to white diopside actinolite skarn alteration also occurs along fractures. Pyrrhotite, arsenopyrite and pyrite are present in the more altered rocks, with total sulphide content usually not exceeding 5 per cent. A sample of fine-grained skarn containing 15 to 20 per cent pyrrhotite assayed 0.535 gram per tonne gold and 0.9 gram per tonne silver (Assessment Report 15177, page 14, Sample MH 205).

Between 1982 and 1986, the area covering the Lost Horse showing was acquired by Montello Resources Ltd. as the Lost Horse 1989 claim group. In 1986, Shangri-La Minerals Limited carried out an exploration program on behalf of Montello Resources consisting of geological mapping, soil geochemistry and ground geophysics. The claims were later optioned to Chevron Minerals Ltd in 1987. Between 1987 and 1988, Chevron Minerals carried out an exploration program consisting of geological mapping, soil geochemistry, diamond drilling and trenching. Four diamond drill holes tested the Lost Horse 86 showing (MINFILE 092HSE088) to the northeast.

In 2010, Grant Crooker carried out a program of geological and geochemical exploration, including prospecting, mapping and stream sediment and rock sampling on his Hedley Gold Project claim group, which included the Lost Horse showing. Stream sediment samples were collected in the vicinity of the Lost Horse showing. Four samples collected east and southeast of the showing reported anomalous arsenic and copper values. In 2011, Crooker expanded the Hedley Gold Project claim group by amalgamating his claims with those owned by Ron Schneider. The expanded property was then optioned to Westcan Uranium Corporation. Three 1:10,000 scale base maps of the property were produced. Rock geochemical sampling was also expanded in the central and northern portions of the property.