Klondike Gold Corp.

Klondike Gold Corp.

May 22, 2009 14:00 ET

Klondike Gold Corp. Reevaluates Historic High-Grade Silver Sample From the Eng Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 22, 2009) - Klondike Gold Corp. (TSX VENTURE:KG) (the "Company") is reevaluating a high-grade, drill-intersected silver-rich sample from the Eng property in southeastern B.C. The property was staked five years by the Company as part of a larger land package situated due west of the Cold Creek and Mount Mahon areas, approximately 1.5 km south of Yahk in southeastern British Columbia.

Two holes were drilled in the immediate area in 1990 by Kokanee Explorations Ltd. in a search for SEDEX (Sedimentary-Exhalative) mineralization. One of the holes intersected the silver-copper-gold mineralization at a depth of several hundred meters.

The silver occurrence is described in BC Government Minfile (taken from assessment report 20828): "Mineralization consisting of native silver and native copper and gold occurs within a 15 cm zone of fragmental quartzititic argillite and siliceous mud beds. The mineralization is described to be contained within bedded seams less than 0.5 mm thick within a purple brown siliceous fragment. The 15-cm zone is described as sub-rounded fragments and mud; the fragments are heavily crowded with fine pyrite and pyrrhotite. A sample of a mineralized fragment yielded 34,183 g/tonne silver (997.17 oz/tonne), 10.3 percent copper and 0.27 g/tonne gold."

Proposed exploration plans include prospecting to locate potential mineralization at surface, a geochemical grid, and a ground geophysical survey.

Klondike Gold Corp. also announces that Diana Mark has been appointed Assistant Corporate Secretary. It also notes a correction to its news release of February 5, 2009 to state that 3,000,000 stock options were issued to directors and officers of the Company and 3,180,000 stock options to employees and consultants at a price of $0.10 per share for a period of five years.

The Qualified Person for the purpose of National Instrument 43-101 is Trygve Hoy, PGeo, PHd who has read and agreed with the contents of this news release.

About Klondike Gold Corp

Klondike Gold is a large landholder in the Klondike District of the Yukon Territory, an area which produced between six and twelve million ounces of gold during its historic gold rush. The Company also holds a 50% interest with partner Chalice Diamond Corp in approximately 78,000 acres of diamond properties located in the Chapleau-Wawa region of Ontario and a number of properties in southeastern British Columbia.

Please visit the Company's website: www.klondikegoldcorp.com for more information on the diamond properties in Ontario, our holdings in the Klondike and our properties in southeastern BC.

The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

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