Klondike Silver Arranges Loan

KLONDIKESILVER.com

KS : TSX.V K1SN : FSE

804 – 750 West Pender St. Vancouver, B.C. Canada, V6C 2T7 T: 604.682.2928

KLONDIKE SILVER ARRANGES LOAN

May 19, 2020 - Vancouver, Canada – Klondike Silver Corp. (the “Company”) (TSX.V: KS) has

arranged a loan with a non-related party (the “Lender”), pursuant to which the Lender has agreed to loan

Cdn$45,000 to the Company. The l oan bears interest at 1.5% per month and is repayable in one year. In

consideration for the loan, the Company has also agreed to issue 257,142 bonus common shares, at a

deemed price of $0.035 per share. The shares are subject to a four month and one -day hold period, in

accordance with the policies of the TSX Venture Exchange and applicable securities law. Loan proceeds

will be used for working capital. The terms of the loan are subject to accept ance by the TSX Venture

Exchange.

About Klondike Silver

Klondike’s Silvana Mine Silver Lead Zinc project is located in South Eastern B.C., 138 km north of

the Trail B.C. smelter. The Company is actively exploring from underground, the western extension of

the Silvana Mine, along the “ Main Lode ”. The “Main Lode ” is a 9 km structure which is the most

prolific mineralized structure in the Slocan Mining Camp. There are 13 historical mines that are situated

along the 9 km “Main Lode” structure which has produced 886,000 kg of silver, 117 million kg lead and

95 million kg of zinc so far (source: BC MINFILE).

On Behalf of the Board of Directors Contact Information

Klondike Silver Corp. Corporate Inquiries:

"Thomas Kennedy" Dale Dobson: (604) 682-2928

Thomas Kennedy, B.Comm., J.D. Email: [email protected]

CEO, Director

This news release contains certain forward looking statements which involve known and unknown risks, delays, and

uncertainties not under the control of Klondike Silver Corp. which may cause actual results, performance or achievements of

Klondike Silver Corp. to be materially different from the results, performance or expectation implied by these forward lookin g

statements. By their nature , forward looking statements involve risk and uncertainties because they relate to events and

depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, indus try

production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors.

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.