Klondike Gold Corp. Announces Share Consolidation

Klondike Gold Corp. (TSX.V:KG) (“Klondike Gold” or the “Company”) announces that the TSX Venture Exchange has approved a share consolidation of the outstanding share capital of the Company. On July 4, 2014, the Board of Directors approved a consolidation (the "Consolidation") of the Company’s common shares on the basis of ten (10) pre-Consolidation common shares for one (1) post-Consolidation common share. The reasons for the Consolidation are to increase the Company's flexibility and competitiveness in the market place and to make the Company's securities more attractive to a wider audience of potential investors.

The Consolidation will be effective at the open of the market on Monday, July 28, 2014 (the "Effective Date"). The Company will not change its name as part of the Consolidation, but will issue new share certificates under a new CUSIP number, which is 498903301. The Company's common shares will continue to trade on the TSX Venture Exchange under its current symbol "KG".

The Company currently has 128,728,462 common shares issued and outstanding. As at the Effective Date, the Company will have approximately 12,872,846 common shares issued and outstanding. Registered shareholders will receive a letter of transmittal from Computershare Investor Services Inc., the Company's transfer agent, with information on how to replace their old share certificates with the new share certificates. Brokerage firms will handle the replacement of share certificates on behalf of their shareholders accounts.

ABOUT KLONDIKE GOLD CORP.Klondike Gold Corp. is a Canadian exploration company with offices in Vancouver, British Columbia, and Dawson City, Yukon. The Company is focused on the development of its Yukon gold properties, and also holds a large portfolio of gold and base metal projects in southeastern British Columbia.

On behalf of Klondike Gold Corp.

“Peter Tallman”

President and CEO(604) 559-4440

E-mail: info@klondikegoldcorp.com

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.

THIS NEW RELEASE MAY CONTAIN FORWARD-LOOKING STATEMENTS. THESE STATEMENTS ARE BASED ON CURRENT EXPECTATIONS AND ASSUMPTIONS THAT ARE SUBJECT TO RISKS AND UNCERTAINTIES. ACTUAL RESULTS COULD DIFFER MATERIALLY BECAUSE OF FACTORS DISCUSSED IN THE MANAGEMENT DISCUSSION AND ANALYSIS SECTION OF OUR INTERIM AND MOST RECENT ANNUAL FINANCIAL STATEMENT OR OTHER REPORTS AND FILINGS WITH THE TSX VENTURE EXCHANGE AND APPLICABLE CANADIAN SECURITIES REGULATIONS. WE DO NOT ASSUME ANY OBLIGATION TO UPDATE ANY FORWARD-LOOKING STATEMENTS.

Klondike Gold Corp.Peter Tallman, 604-559-4440President and CEOinfo@klondikegoldcorp.com

Klondike Gold (TSXV:KG)
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