Klondike Gold Corp. announced receipt of drill assay results from all remaining drill holes testing the Lone Star target within the Company's Klondike District Project located near Dawson City, Yukon Territory. Lone Star drilling encountered near-surface gold mineralization across broad widths of up to 42.0 meters, over a strike length of 700 meters, and remains open in all directions. New highlights of Lone Star drill results include 3.5 g/t Au over 11.3 meters and separately 1.6 g/t Au over 8.6 meters in LS16-70; 1.5 g/t over 24.5 meters in LS16-64; 0.9 g/t Au over 42.0 meters in LS16-63; 4.7 g/t over 4.0 meters and separately 1.2 g/t over 14.0 meters in LS16-68; and 2.5 g/t over 9.9 meters in LS16-69. The 700 meter drilled length of gold-mineralization encountered at Lone Star is associated with a 1,500 meter induced polarization ("IP") anomaly (the length of the survey, target remains open) and a 4,000 meter long gold-soil anomaly, as compiled from various c.1980's exploration efforts. The company's 2016 exploration program was designed to systematically test new interpretations of geology, structural-controls and continuity of mineralization that would upgrade the potential for economically interesting gold mineralization both at the Lone Star target and throughout the company's 527 square kilometer Klondike District project. Results to date have demonstrated the value of this new exploration interpretation/approach and will be vigorously pursued throughout the upcoming 2017 season including expanded programs focused on multiple targets within the expansive district. Detailed Drilling Results: Lone Star Target; Lone Star drilling encountered near-surface gold mineralization across broad widths of 30+ meters, over a strike length of 700 meters and remains open in all directions. A total of 17 short drill holes, LS16-58 to LS16-74, tested the vicinity of Lone Star target in late 2016. Hole lengths ranged from 47 meters to 108 meters, usually drilled at shallow -55 degree angles, and gold mineralization occurs at or within 50 meters of surface. The 700 meter drilled length of gold-mineralization encountered at Lone Star is associated with a 1,500 meter induced polarization ("IP") anomaly (the length of the survey, target remains open) and a 4,000 meter long gold-soil anomaly, as compiled from various c.1980's exploration efforts. Gold mineralization at Lone Star is preferentially hosted within a `laminated schist' located above a regionally significant low angle thrust fault. The gold-bearing laminated schist has subtle carbonate alteration and disseminated pyrite. Gold is commonly visible and occurs as disseminations of free grains within the schist and mantling pyrite. The gold-bearing schist is capped by a siliceous schist with distinct major and trace element chemistry. Gold is also found within gold-bearing quartz veins along the contacts between the two units. Western: Four holes were drilled over a 50 meter strike length outside the western end of the historically explored area at the Lone Star mine. LS16-58 intersected a broad zone of disseminated gold mineralization with two quartz vein arrays which beginning at surface assayed 2.4 g/t Au over 37.0 meters downhole including 6.6 g/t Au over 7.1 meters and 9.4 g/t Au over 3.6 meters respectively. LS16-59, drilled 40 meters along strike to the east, beginning at surface intersected a broad zone of disseminated gold mineralization which assayed 1.2 g/t Au over 27.7 meters downhole including 2.3 g/t Au over 7.3 meters. LS16-60 and LS16-61 tested the hanging wall siliceous schist above the mineralized trend and had no significant mineralization. Central: Nine holes were drilled over a strike length of 125 meters to test for continuity of historic intersects. Five holes, LS16-62 to LS16-66, provided a shallow tier test. Four holes, LS16-67 to LS16-70, provided a `deeper' tier test. LS16-62 intersected 1.7 g/t Au over 5.0 meters beginning at surface, and only tested a portion of the total zone. LS16-62 is 125 meters east of LS16-59. LS16-63, located 50 meters east of LS16-62, intersected 0.9 g/t gold over 42.0 meters which is the widest significant interval of gold mineralization so far on the property. LS16-64, located 50 meters east of LS16-63, intersected 1.5 g/t gold over 24.5 meters. From the same collar, LS16-65 was drilled at steeper angle (-75 degrees) and intersected the bottom portion of the laminated schist with only sporadic anomalous values. LS16-66, located 25 meters east and 30 meters behind LS16-64, intersected 1.6 g/t Au over 8.0 meters. LS16-67, located 55 meters behind LS16-64, intersected 1.0 g/t Au over 3.0 meters and also 1.6 g/t Au over 4.5 meters. From the same collar, LS16-68 was drilled at steeper angle (-75 degrees) and intersected 4.7 g/t Au over 4.0 meters and a deeper zone of 1.2 g/t Au over 14.0 meters. LS16-69, located 40 meters behind LS16-63 intersected 0.9 g/t Au over 12.0 meters from surface and also 2.5 g/t Au over 9.9 meters at 88.7 meters downhole. From the same collar, LS16-70 was drilled at steeper angle (-75 degrees) and intersected 1.6 g/t Au over 8.6 meters near surface and a deeper zone of 3.5 g/t Au over 11.3 meters. Eastern: Four holes were drilled outside the eastern end of the historically explored area at the Lone Star mine, testing for extension of the mineralized schist in this direction. LS16-71 intersected disseminated gold mineralization assaying 0.5 g/t Au over 12.7 meters. From the same collar, LS16-72 was drilled at steeper angle (-75 degrees) and intersected sporadic anomalous values. LS16-73 tested an IP anomaly collared 25 meters east and 40 meters behind LS16-71 and also did not intersect significant values. LS16-74 was collared approximately 150 meters west and 150 meters behind LS16-71, drilled at a steep angle (-80 degrees) and designed to test for the underlying major thrust. The hole intersected 1.5 g/t Au over 4.0 meters from 59.0 meters and a thrust splay at 100 meters.