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KG.V ·

Klondike Gold 2021 Diamond Drilling Begins

Exploration Programs

3123 – 595 BURRARD STREET

VANCOUVER, B.C. CANADA V7X 1J1

TELEPHONE: 604-609-6138

FAX: 604-609-6145

WWW.KLONDIKEGOLDCORP.COM

Klondike Gold 2021 Diamond Drilling Begins

May 19, 2021 TSX Venture Exchange Symbol – KG

Vancouver, British Columbia, Canada, May 19, 202 1, Klondike Gold Corp. (TSX.V: KG; FRA:

LBDP; OTC: KDKGF) (“Klondike Gold” or the “Company”) is pleased to report Phase 1 diamond

drilling began May 12 at the Virgin Target area, part of a three phase drill program on the

Company’s wholly owned 586 square kilometer Klondike District Property near Dawson City,

Yukon Territory.

Program Highlights:

• 2021 exploration/resource drilling program of approximately 6,500 meters will be

distributed over three phases and test multiple target areas

• Phase 1 exploration drilling is underway and focuses on discovering bedrock source s of

gold at the historic the Virgin/Lindow Target areas

• Phase 2 drilling at the Lone Star Zone to begin shortly focuses on outlining a maiden

resource

• Phase 3 drilling to focus on expanding the discovery at the Stander Zone

Peter Tallman, Klondike Gold’s CEO stated, “The primary objective of the 2021 exploration season

is to expand known mineralized zones to advance a maiden resource at Lone Star . Additionally

we have identified and will test significant new drill targets within the District that could rapidly

open up the possibilities for additional discoveries. Our full crew complement is in the field and

work is moving along smoothly”.

Phase 1 diamond drilling is underway testing the Virgin and Lindow Target areas along Bear

Creek, one of the significant placer gold producing creeks during the Klondike gold rush, located

10 km north of the Lone Star and Stander Zones and 6 km from the Company’s Dawson City office.

(See News Release dated May 4 for target detail s). The Phase 1 program now includes three

holes to test the Virgin Target and at least two holes to test the Lindow Target. A follow up drill

program to further test Bear Creek targets is scheduled for September contingent upon positive

results.

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Phase 2 drilling work at the Lone Star Zone, expected to be the main focus of the Company’s 2021

field activity, will follow completion of Phase 1. Phase 2 drill holes will test for parallel gold -

bearing structures as imbricate repeats of the Bonanza fault which hosts the Lone Star gold zone

as an attempt to significantly expand the ‘footprint’ of gold mineralization . Phase 2 drilling will

also include infill and step -out expansion tests of the main Lone Star Zone for inclusion in a

planned 2022 mineral resource estimate. Deeper tests beneath the shallow drilling that has so

far defined the Lone Star Zone are also planned as an attempt to follow gold mineralization to

depth.

Phase 3 drilling at the Stander Zone is planned to test for lateral expansions of gold mineralization

and to infill between gold mineralized intersections for possible inclusion in a planned 2022

mineral resource estimate.

Figure 1: Planned 2021 Drilling Targets (red stars) including Virgin/Lindow Target, Lone Star

Zone and Stander Zone.

Page 3 of 4

QUALIFIED PERSONS REVIEW

The technical and scientific information contained within this news release has been reviewed

and approved by Ian Perry, P.Geo., Vice -President Exploration of Klondike Gold Corp. and

Qualified Person as defined by National Instrument 43 -101 policy. Detailed technical

information, specifications, analytical information and procedures can be found on the

Company’s website.

COVID-19 UPDATE

Klondike Gold continues to take proactive measures to protect the health and safety of our local

host community, our contractors and our employees from COVID 19 and exploration activities in

2021 will have additional safety measures in place, following and exceeding all the

recommendations made by the Yukon’s Chief Medical Officer. Additionally, the Company has

received Yukon government approval for our 2021 Alternate Isolation Plan (“AIP”) which

mandates protocols and stringent isolation safety measures permitting essential personnel to

transit to/from Yukon.

ABOUT KLONDIKE GOLD CORP.

Klondike Gold Corp. is a Vancouver based gold exploration company advancing its 100% -owned

Klondike District Go ld Project located at Dawson City, Yukon Territory, one of the top mining

jurisdictions in the world. The Klondike District Gold Project targets gold associated with district

scale orogenic faults along the 55 -kilometer length of the famous Klondike Goldf ields placer

district. To date, multi- kilometer gold mineralization has been identified at both the Lone Star

Zone and Stander Zone, among other targets. The Company is focused on exploration and

development of its 586 square kilometer property accessible by scheduled airline and

government-maintained roads located on the outskirts of Dawson City, YT within the Tr’ondëk

Hwëch’in First Nation traditional territory.

ON BEHALF OF KLONDIKE GOLD CORP.

“Peter Tallman”

President and CEO

(604) 609-6138

E-mail: [email protected]

Website: www.klondikegoldcorp.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the

TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Page 4 of 4

Disclaimer for Forward-Looking Information

“This press release contains “forward-looking information” and “forward-looking statements” within the meaning of

applicable securities laws. This information and statements address future activities, events, plans, developments

and projections. All statements, other than statements of historical fact, constitute forward- looking statements or

forward-looking information. Such forward- looking information and statements are frequently identified by words

such as “may,” “will,” “should,” “anticipate,” “plan,” “expect,” “believ e,” “estimate,” “intend” and similar

terminology, and reflect assumptions, estimates, opinions and analysis made by management of Klondike in light of

its experience, current conditions, expectations of future developments and other factors which it believ es to be

reasonable and relevant. Forward- looking information and statements involve known and unknown risks and

uncertainties that may cause Klondike’s actual results, performance and achievements to differ materially from those

expressed or implied by the forward-looking information and statements and accordingly, undue reliance should not

be placed thereon.

Risks and uncertainties that may cause actual results to vary include but are not limited to the availability of

financing; fluctuations in commodit y prices; changes to and compliance with applicable laws and regulations,

including environmental laws and obtaining requisite permits; political, economic and other risks; as well as other

risks and uncertainties which are more fully described in our annual and quarterly Management’s Discussion and

Analysis and in other filings made by us with Canadian securities regulatory authorities and available at

www.sedar.com. Klondike disclaims any obligation to update or revise any forward- looking information or

statements except as may be required.”