The Jim 1-2 occurrence is located approximately 7 kilometres due east of the Kemess South mine (094E 094) on East Kemess Creek, about 250 kilometres north of the community of Smithers.

Regionally, the occurrence lies in the Omineca-Cassiar mountains at the southern end of the Toodoggone Gold Camp. The showing is situated within a Mesozoic volcanic arc assemblage which lies along the eastern margin of the Intermontane Belt, a northwest trending belt of Paleozoic to Tertiary sediments, volcanics and intrusions bounded to the east by the Omineca Belt and to the west and southwest by the Sustut and Bowser basins.

Permian Asitka Group crystalline limestones are the oldest rocks exposed in the region. They are commonly in thrust contact with Upper Triassic Stuhini Group andesite flows and pyroclastic rocks. Stuhini volcanics have been intruded by the granodiorite to quartz monzonite Black Lake Suite of Early Jurassic age and are in turn unconformably overlain by or faulted against Lower Jurassic calcalkaline volcanics of the Toodoggone Formation (Hazelton Group).

The dominant structures in the area are steeply dipping faults which define a prominent regional northwest structural fabric trending 140 to 170 degrees. In turn, high angle northeast-striking faults (approximately 060 degrees) appear to truncate and displace northwest-striking faults. Collectively these faults form a boundary for variably rotated and tilted blocks underlain by monoclinal strata.

The Jim 1-2 showing is underlain predominantly by Stuhini Group volcanics consisting of massive, dark grey to grey-black, epidote-chlorite altered andesite. To the west, Asitka Group crystalline limestone, argillite and intercalated andesite are underlying and in thrust contact with the Stuhini Group andesitic volcanics and overlying and in thrust contact with the Lower Jurassic Adoogacho Member of Toodoggone Formation. The Adoogacho Member consists of reddish and mauve variably welded ash flow and lapilli-ash tuffs, subordinate block-lapilli tuff, epiclastics and andesitic lava flows. The Jim 1-2 showing is immediately east of a major northwest trending linear associated with the Saunders Creek fault.

Stuhini Group andesites at the Jim 1-2 showing are cut locally by narrow 1 to 3 millimetre wide, randomly oriented barren quartz veinlets. A sample from a narrow, discontinuous, limonitic shear zone assayed 2.0 grams per tonne silver, 0.366 per cent copper, 0.081 per cent zinc, and 0.044 per cent lead (Assessment Report 17461).

The area was originally explored in 1973 by Union Miniere Explorations and Mining Corp. Ltd. in association with the Ser (094D 130) showing located 1.7 kilometres to the south. In 1974, a program of detailed geological mapping, prospecting and geochemical soil sampling was completed.

In 1980, the area was claimed under the Aura claim of Serem Ltd. and a program of geochemical silt sampling with minor prospecting and mapping was completed. The following year, DuPont of Canada Exploration Ltd. completed a program of geological mapping, prospecting and stream sediment sampling. In 1987, Skylark Resources Ltd. completed a preliminary exploration program of regional geology and prospecting combined with soil sampling and lithogeochemistry on the Jim 1 and 2 claims. A silt sample survey conducted in 1981, approximately one kilometre to the west of the Jim showing, revealed anomalous silver, copper, lead and zinc values from a gossan located along a faulted contact between Stuhini Group-Toodoggone Formation volcanics. A silt sample from the southern end of the gossan analyzed 1.6 grams per tonne silver (Assessment Report 9006). During an exploration program on the Ser 1 Claim in 1981, a sample was taken from a gossan zone one kilometre to the south of the Jim showing. Assay results from this sample were 0.157 per cent copper (Assessment Report 9273).