The Elkhorn showing is located about 38 kilometres south-southeast of Stewart, about one kilometre west of the head of Hastings Arm in Observatory Inlet. The showing occurs just southeast of the Saddle occurrence (103P 012).

The occurrence is situated near the eastern margin of a 7 by 4 kilometre roof pendant within the Eocene Coast Plutonic Complex. The roof pendant consists of massive to schistose aphanitic andesite with some variably foliated tuffs and volcaniclastics containing metamorphic banding. This sequence may correlate with the Jurassic Hazelton Group. These volcanics have been subjected to regional greenschist metamorphism. Hornfelsed chloritic schists and minor ultramafics occur in the vicinity of the volcanic/intrusive contact. The surrounding intrusion consists of coarse-grained diorite to granodiorite.

The Elkhorn showing consists of a 1 metre wide silicified skarn zone containing epidote, garnet and quartz in altered andesite and mica schist. The zone strikes 163 degrees and dips steeply to the west. Mineralization consists of fine-grained pyrite and pyrrhotite with minor galena and sphalerite. "Spectacular finely divided gold in streaks 6 to 25 millimetres wide have been found in isolated patches", a sample of the sulphides carefully selected to avoid native gold assayed 5.48 grams per tonne gold and 17 grams per tonne silver (Minister of Mines Annual Report 1929, page 82).

Two similar zones occur 15 and 30 metres higher in elevation above the main zone. They parallel the main zone and are mineralized with pyrite, pyrrhotite and minor galena. A sample from the zone 30 metres above the main zone assayed 1.37 grams per tonne gold and 6.86 grams per tonne silver (Minister of Mines Annual Report 1929, page 82).

The Elkhorn showing was discovered in 1929 and work through 1934 consisted of a number of hand trenches and opencuts.