GNC Property

The GNC property partially surrounds the high grade Eskay Creek mine of Barrick Gold. The property is joint ventured with Homestake (66 2/3%) and covers the favourable Eskay Creek ore horizon along strike and at depth. Barrick continues to explore the property systematically for Eskay Creek-type ore bodies that tend to be small but extremely high grade.

Northwestern British Columbia, 80 km northwest of Stewart, B.C., accessible by truck via highway 37 and the Eskay access road.

Three modified grid claims totaling 930 hectares. Canarc's 33 1/3% interest is carried whereby Barrick must incur all exploration and development costs to production, subject to repayment of those costs from cash flow.

Current Status:

Early stage exploration.

The Eskay Creek gold-silver deposit was discovered in 1988 and commenced production in 1994. The ore is so high grade (>3 oz. gold equivalent per ton) that it is simply mined, crushed and shipped directly to smelters with no milling or concentrating. Canarc's GNC property partially surrounds Barrick's Eskay Creek mine and has had over $3 million in exploration completed by Barrick. Several mineral prospects have been drilled and significant potential targets still remain to be drilled.

Multi-million oz. gold and silver deposit, similar to the 3 million oz. gold, 150 million oz. silver Eskay Creek mine.

The Eskay Creek ore bodies are strata bound, volcanogenic sulfide deposits that occur within certain favourable rock types, specifically the hanging wall mudstones and the footwall rhyolites. This "Eskay Creek horizon" has been traced across the entire GNC property and several mineralized prospects have been found. The footwall rhyolites are typically altered to chlorite and sericite, and the hanging wall mudstones carry semi-massive sulfide mineralization, including pyrite, chalcopyrite, sphalerite, and various silver minerals, encased by pervasive carbonate alteration.