The Sulphurets Lake prospect occurs in an area underlain by rock of the Lower Jurassic Unuk River Formation, Hazelton Group. Minera- lization occurs in large blocks of k-feldspar-pyrite altered chert. These blocks are surrounded by andesite and have a strike length of about 400 metres. The chert is overlain to the north by argillite which is separated from the chert by a low angle fault. The argil- lite is also mineralized locally.

Up to 10 per cent pyrite occurs within thin to medium bedded, highly fractured and sheared chert. Thin pyrite veins host chalco- pyrite locally and contain as much as 134.57 grams per tonne gold and 838.29 grams per tonne silver. One chip sample contained 2.54 grams per tonne gold over 30.6 metres (Bridge et al, 1981). Two diamond-drill holes were completed in 1981 with the best assay being 8.40 grams per tonne gold from a 6.0 metre interval (Bridge and Melnyk W., 1982).

Another zone of mineralization, referred to as the Camp zone, is located in the bottom of the Sulphurets Valley near the west end of Sulphurets Lake. The mineralized zones are hosted in intermediate volcanic rocks and are reported to represent multiple structural corridors with intensive hydrothermal alteration and crack-seal style veins in a preserved down thrown block of epithermal-style gold and silver mineralization. Hydrothermal alteration is characterized by silica-carbonate-clay with stockwork veins and discrete chalcedonic or banded quartz-carbonate or quartz-adularia veins hosting sphalerite, galena and barite associated with local visible gold and electrum.

In 2012 and 2013, diamond drilling of the Camp zone yielded intercepts ranging from 0.84 gram per tonne gold over 394.2 metres in hole C-13-14 to 8.94 grams per tonne gold over 22 metres in hole C-12-02 (Lechner, M.J. (2014-03-31): NI 43-101 Technical Report on Initial Deep Kerr Resource).