The C2 zone mineralization occurs west of the Stonehouse Gold deposit along the east side of the Craig River within a prominently sheared contact zone. This pyritized sheared zone lies between the contact of an Upper Triassic to Lower Jurassic volcanic/ sedimentary sequence that has in part been correlated to the Jurassic Hazelton Group, Unuk River Formation. Some of these altered, strati- fied rocks may be correlative to upper members of the Triassic Stuhini Group. The stratified Jurassic-Triassic rocks are intruded by inter- mediate to felsic stocks and plutons of Jurassic and younger age that are related to the Coast Plutonic Complex.

Alteration includes pyritization, silicification and carbonati- zation as well as k-feldspathization. Mineralization within the C2 zone consists mainly of pyrite with minor chalcopyrite, sphalerite and galena associated with a prominent shear. Assays from this area average about 3.4 grams per tonne gold. In 1984, a sample of pyritic mataerial taken from the sheared rock at location 83, assayed 4.8 grams per tonne gold, 50.06 grams per tonne silver, 0.7 per cent lead and 0.3 per cent zinc.
Adrian Resources Ltd. explored the northwest portion of the Iskut property in 1991; this area is referred to as the Craig River Property.

Adrian's program included a 386 line-kilometre airborne HLEM survey, 32.6 line-kilometres of line cutting, 18.5 line-kilometres of ground HLEM and VLF-EM surveys, the collection and analysis of 1150 soil samples, 56 overburden samples, and 1094 rock samples. In addition, the grid area was prospected and geologically mapped, machine trenching was completed at four sites on the SMC Zone, and a 15 hole, 1240.7 metre diamond drilling program was completed. The SMC Zone received most of the diamond drilling.

The program was very successful. No less than 8 mineralized showings, 15 significant gold and/or base metal soil anomalies, 10 moderate intensity, ground HLEM conductors and up to 7 VLF-EM anomalies were found within an area 2.8 kilometres long by 1.5 kilometres wide. In addition, 7 airborne HLEM conductors were found, largely outside of the cut grid area.

Of the 15 drill holes, 13 were on the SMC Zone, one was on the Tillerman showing and 2 were on the Upper Road Show.

The SMC Zone contains significant gold and zinc mineralization found as pods, lenses and stringers of massive to semi-massive sulphides hosted, in part, at the contact of brecciated and silicified felsic and andesitic tuffs. Pyrite, sphalerite, pyrrhotite, chalcopyrite and galena are the dominant sulphides. The mineralization is thought to have a northwest trend and has been exposed on four machine trenches perpendicular to that trend. Mineralization has been exposed over a distance of 180 metres. The best surface trench results are 0.119 oz/Ton gold, 1.14 oz/Ton silver, 5.15 % zinc, 0.23 % copper and 2.06 % lead over 16.5 metres from Trench 2. Sulphide mineralization appears to be contained within well laminated andesite tuffs and as veinlets in brecciated felsic tuff that are parallel to sub-parallel to foliation and possible bedding.

Thirteen drill holes totaling 867 metres were completed on the SMC Zone. This drilling was quite restricted and did not fully test the mineralized zone. The drilling was restricted to an area of approximately 40 metres north-south and 40 metres east-west in the vicinity of Trench 2. Most of the drill holes were vertical and gave no sense of the overall orientation of the zone. Only 40 metres of the assumed 180 metre strike length was tested. In addition, Adrian geologists double-checked the veracity of the good grade intercepts by re-assaying the core. Unfortunately, the remaining half of the core was assayed in its entirety, making it impossible to derive any further geologic information from the core. All the mineralized intercepts were re-assayed.

Nine holes out of the 13 drilled returned significant gold and base metal mineralization. The most significant holes included SC-91-04 where 14.8 metres of core contained 0.133 oz/ton gold and 5.74 % zinc; hole SC-91- 02 contained 0.137 oz/ton gold and 3.72 % zinc over 7.3 metres; and hole SC-91-03 contained 0.107 oz/ton gold and 2.77 % zinc over 5.9 metres. The following table is a summary of the significant drill intersections.

Summary of Significant Craig River Mineralization
Intersected By Diamond Drilling

*The Qualified Person(s) responsible for the information regarding the Craig River property given on this website is David Yeager P. Geo.

Drill Hole	Target	Intercept Depth (m)	Intercept Width (m)	Au (oz/T)	Ag (oz/T)	Cu %)	Zn (%)	Pb (%)
SC-91-01	SMC	2.0 - 7.7	5.7	0.063	0.61	0.08	1.93	0.89
	SMC	38.0 - 42.4	4.4	0.105	0.62	0.06	2.30	0.39
SC-91-02	SMC	5.0 - 7.0	2.0	0.106	0.55	0.11	4.66	0.15
	SMC	7.7-15.0	7.3	0.137	0.65	0.15	3.72	0.55
	SMC	33.2 - 36.9	3.7	0.080	0.42	0.12	2.26	0.36
SC-91-03	SMC	17.1 - 23.0	5.9	0.107	0.52	0.18	2.77	0.71
SC-91-04	SMC	19.2 - 34.0	14.8	0.133	0.94	0.13	5.74	0.17
SC-91-05	SMC	22.0 - 32.0	10.0	0.083	0.59	0.11	2.01	0.11
SC-91-06	SMC	-
SC-91-07	SMC	-
SC-91-08	SMC	-
SC-91-09	SMC	20.0 - 21.0	1.0	0.113	0.29	0.16	1.46	0.36
SC-91-10	SMC	24.0 - 26.0	2.0	0.105	0.45	0.17	2.43	1.18
SC-91-11	SMC	20.0 - 22.0	2.0	0.107	0.87	0.10	5.94	0.20
SC-91-12	Tillerman	10.0 - 11.0	1.0	0.007	0.52	0.01	0.70	0.44
	Tillerman	40.0 - 51.0	11.0	0.006	0.37	0.02	1.15	0.75
	Tillerman	94.0 -- 100.0	6.0	0.005	0.25	0.02	1.54	0.79
	Tillerman	150.0 -- 151.0	1.0	0.022	1.43	0.09	4.50	1.20
SC-91-13	SMC	-
SC-91-14	Upper Road Show	-
SC-91-15	Road Show	-