Klondike Silver Increases Private Placement

KLONDIKE SILVER

CORP.

Suite 804 – 750 West Pender Street T: 604.682.2928

Vancouver, B.C., V6C 2T7 Canada F: 604.685.6905

www.KlondikeSilver.com TSXV: KS / FSE: K1SN

KLONDIKE SILVER INCREASES PRIVATE PLACEMENT

January 19, 2017 - Vancouver, Canada – Klondike Silver Corp. (the “Company”) (TSX.V: KS) On

January 17, Klondike Silver announced by way of News Release a private placement of up to $1,000,000

(class A units). The Company is increasing the P rivate Placement to a total of $1,300,000. The terms of

the additional $300,000 (class B units) are as follows: 6,000,000 units at a price of $0.05 per unit . A

portion of the class B units will be flow -through. All class B unit s (flow-through or non flow -through)

will consist of one common share and one non flow-through, non-transferable share purchase warrant ,

with each warrant exercisable for a period of five years from the closing at a price of $0.0 55 per share.

All units are subject to a four-month hold period from the date of issuance. Commissions may be paid on

a portion of the funds raised.

Completion of the Private Placement is subject to the approval of the TSX Venture Exchange.

The net proceeds will be used for advancing the Sandon B.C. project, located 80 KM north of the Trail

B.C. smelter, exploration and for general working capital.

For additional information please visit the company website www.klondikesilver.com

CONTACT INFORMATION

Corporate Inquiries:

Dale Dobson: (604) 682.2928

Email: [email protected]

On Behalf of the Board of Directors

Klondike Silver Corp.

"Thomas Kennedy"

Thomas Kennedy

CEO

“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.”