The Mylonite zone is located about 2.8 kilometres south of the Todd Creek-South zone (104A 001), immediately west of the Todd Glacier straddling the Todd Creek Valley, approximately 35 kilometres northeast of Stewart.
The showing occurs near the interpreted structural junction of the Todd Creek, VMS and Exit Glacier faults and is hosted by recently exposed, altered crystal tuff of the Lower Jurassic Unuk River Formation (Hazelton Group). A prominent color anomaly (jarosite/alunite, limonite) is associated with the tuff, which is strongly silicified and has undergone varying degrees of pyritization, sericitization, hematization, along with fracturing, brecciation and mylonitization. Pyrite lenses, stringers, veins and stockworks occur in sulphidized zones that are up to over 50 metres in width. The Mylonite West zone is located about 2 kilometres west of the Mylonite zone and is evidenced by a conspicuous colour anomaly (limonite, jarosite/alunite). The geology is similar to the Mylonite zone, but the alteration is generally weaker.
Stratigraphy from a drillhole (TC08-08) is characterized by silica exhalite interlayered with subaqueous pyroclastic rocks, magnetite-bearing basalt, siliceous mudstones and felsic volcanic rocks. A strongly altered tuffaceous pyroclastic lithology was intersected with up to 15 per cent disseminated and laminae of pyrite. This unit has been chloritized and argillically altered, although lithic fragments and flow textures are still visible. This unit is flanked on one side by advanced argillic alteration in a silicified pyroclastic unit with disseminated pyrophyllite and laminae of microcrystalline sericite. The footwall is marked by a strongly altered dacite that has had all primary textures destroyed by alteration and mineralization. Pyrite is the main sulphide along with minor chalcopyrite and sphalerite. In 2008, rock chip sampling (430848, 430505) from the main exhalite assayed up to 10.7 grams per tonne silver, 0.36 gram per tonne gold and 0.16 per cent copper (Assessment Report 31671).
The Mylonite zone is characterized by classic components of a volcanogenic massive sulphide (VMS) system, such as stacked exhalite horizons, rhyolite flow breccias, a favorable structural fabric, banded sulphides in drillhole TC08-08 and an obvious relationship with other key elements of the recently discovered VMS environment at the South zone and at the Knob zone (104A 109).
In 2008, work on the Mylonite zone by Geofine Exploration Consultants Ltd. included geological and geochemical surveys with the collection of 144 rock samples, the multispectral scanning of 57 samples and, the drilling of one stratigraphic hole (TC08-08) comprising about 523 metres, with 391 core and check samples analyzed. Refer to Todd Creek-South zone (104A 001) for a detailed work history of the Todd Creek property area showings.