Klondike Silver Corporate Brochure

Slocan Lake Looking North

KLONDIKE SILVER Corp.

Silver Lead Zinc Milling Complex – Sandon, BC KS: TSX-V

2017 A NEW BEGINNING

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SILVER-RICH POLYMETALLIC SILVER-LEAD-ZINC DEPOSITS

Silver price up 15% from Jan 1 to Dec 31 2016 Dec 31 Ca$20.67 (US$15.90)

Lead price up 13% from Jan 1 to Dec 31 2016 Dec 31 Ca$1.13 (US$0.91)

Zinc price up 65% from Jan 1 to Dec 31 2016 Dec 31 Ca$1.50 (US$1.16)

KLONDIKE SILVER KS: TSX-V

SILVER LEAD ZINC

Forward Looking Information Statements contained in this presentation that are not historical facts are "forward-looking information" or "forward-looking statements" (collectively, "Forward-Looking Information") within the meaning of applicable Canadian securities legislation. Forward Looking Information includes, but is not limited to, disclosure regarding possible events, conditions or financial performance that is based on assumptions about future economic conditions and courses of action; the timing and costs of future activities on the Company's properties; location and timing of potential future exploration activities; success of exploration, development and environmental protection and remediation activities; permitting time lines and requirements; requirements for additional capital; availability of skilled workforce and local service providers; staking and acquisition of additional mineral properties and claims; requirements for potential environmental conditions relating to mineral claims; planned environmental studies; planned exploration and development of properties and the results thereof; planned expenditures and budgets and the execution thereof. In certain cases, Forward-Looking Information can be identified by the use of words and phrases such as "plans", "expects" or "does not expect", "is expected“, "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", "potential", "confirm" or "does not anticipate", "believes", "contemplates”, "recommends" or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". In preparing the Forward-Looking Information in this presentation, the Company has applied several material assumptions, including, but not limited to, that any additional financing needed will be available on reasonable terms; the exchange rates for the U.S. and Canadian currencies in the future will be consistent with the Company's expectations; that the current exploration, development, environmental and other objectives concerning the Company's properties can be achieved and that its other corporate activities will proceed as expected; that the current price and demand for metals will be sustained or will improve; that general business and economic conditions will not change in a materially adverse manner and that all necessary governmental approvals for the planned exploration, development and environmental protection activities on the Company's properties will be obtained in a timely manner and on acceptable terms; the continuity of the price of silver and other metals, economic and political conditions and operations. Forward- Looking Information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the Forward-Looking Information. Such risks and other factors include, among others, the industry-wide risks and project-specific risks identified in the Company's management discussion and analysis available at www.sedar.com and summarized above; risks related to the availability of financing on commercially reasonable terms and the expected use of proceeds; operations and contractual obligations; changes in exploration programs based upon results of exploration; future prices of metals; availability of third party contractors; availability of equipment; failure of equipment to operate as anticipated; accidents, effects of weather and other natural phenomena and other risks associated with the mineral exploration industry; environmental risks, including environmental matters under Canadian federal and British Columbia rules and regulations; impact of environmental remediation requirements; certainty of mineral title; community relations; relations and negotiations with local First Nations in respect of the Company's current and planned activities; delays in obtaining governmental approvals or financing; fluctuations in mineral prices; the Company's dependence on one mineral project; the nature of mineral exploration and mining and the uncertain commercial viability of certain mineral deposits; the Company's lack of operating revenues; governmental regulations and the ability to obtain necessary licenses and permits; risks related to mineral properties being subject to prior unregistered agreements, transfers or claims and other defects in title; currency fluctuations; changes in environmental laws and regulations and changes in the application of standards pursuant to existing laws and regulations which may increase costs of doing business and restrict operations; risks related to dependence on key personnel; and estimates used in financial statements proving to be incorrect; as well as those factors discussed in the Company's public disclosure record. Although the Company has attempted to identify important factors that could affect the Company and may cause actual actions, events or results to differ materially from those described in Forward-Looking Information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that Forward-Looking Information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on Forward-Looking Information. Except as required by law, the Company does not assume any obligation to release publicly any revisions to Forward-Looking Information contained in this presentation to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

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Cautionary Note

Cautionary Note: This presentation does not constitute an offer, advertisement or solicitation for the purchase of securities. Further, this presentation has been prepared by Klondike Silver Corp. management and does not represent a recommendation to buy or sell securities. Investors should always consult their investment advisors prior to making any investment decisions. National Instrument 43-101 Information The technical information in this presentation (the "Technical information") has been approved by David Makepeace P.Eng., a Qualified Person under National Instrument 43-101 ("NI 43-101"). Certain Technical Information in this presentation is based on technical information which has previously been disclosed by Klondike Silver in news releases available in its public disclosure record at www.sedar.com. Klondike Silver is permitted under NI 43-101 to satisfy disclosure requirements set forth under 43-101 in respect of this presentation by providing references to previously disclosed news release that contain the requisite disclosure. In order to fully understand this presentation, readers should refer to Klondike Silver’s full public disclosure record at www.sedar.com. In addition, investors are cautioned that this presentation contains information about historic mineral properties, mineral properties adjacent to or near the Company‘s properties, or properties which the Company believes may be similar to the Company's properties. The Company has no right or interest in such properties. Mineral deposits on such historic, adjacent, near or similar properties are not indicative of the mineral deposits, if any, which may be found on the Company's properties.

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Canada

The project is located approximately 115 kilometres drive north of Nelson B.C.

British Columbia

Slocan Silver Camp


Since 2000, Klondike Silver Corp. has maintained a dominant presence in the Slocan Silver Camp of British Columbia, an area rich in silver that has been explored since the first discoveries in the region in 1891. The Slocan silver camp has a rich history, having produced more than 2 million kilograms of silver, 262 million kilograms of lead and 258 million kilograms of zinc since its discovery. Klondike Silver continues this legacy today. The Company’s assets include 68 past producing mines, a 100 ton per day flotation mill in Sandon and over 100 square kilometres of prospective exploration lands. Underexplored by modern exploration techniques, this land has seen little modern exploration because of the previous fragmented ownership and the presence of overburden. The Klondike Silver Land Package represents prime hunting ground for important new silver/zinc/lead rich discoveries. Including an area on strike with the Main Lode: an 8 kilometre long structure that hosted the biggest producing mines in the area. 6

2017 A NEW BEGINNING KLONDIKE SILVER KS: TSX-V

In addition to underground drilling and exploration programs within the most prospective of the past producing mines, exploration programs will use advanced geophysical, geochemical and other modern exploration techniques to explore for extensions of known near surface veins and new vein-hosted targets obscured by overburden. Regional and underground exploration is assisted by a number of seasoned geologists that have decades of experience in this mining camp. See slide 16 – 2017 Work Program.

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2017 A NEW BEGINNING (continued) KLONDIKE SILVER KS: TSX-V

The Slocan Silver Camp is located in mining-friendly British Columbia, Canada near main population centres. The Klondike Silver mill is 140 Km by road from Teck (formerly Cominco) Resources’ Trail smelter.

BOARD OF DIRECTORS Tom Kennedy, President CEO - B.Comm., J.D., is a graduate of the University of British

Columbia. After an initial career at the Federal Department of Justice, Mr. Kennedy has primarily focused as a legal, financial and business consultant to publicly-traded companies. Mr. Kennedy is currently a member of the Law Society of British Columbia, the Canadian Bar Association, the British Columbia Bar Association, and an Associate member of the American Bar Association. Mr. Kennedy is also an officer and/or director of several TSX-V, NEX and CSE publicly-traded companies.

Christopher P. Cherry, CFO - Mr. Cherry has over 14 years of corporate accounting and audit experience. Mr. Cherry has been a Chartered Accountant since February 2009 and a Certified General Accountant since 2004.

Andrew H. Rees - Mr. Rees has over 15 years experience working with oil & gas and mining companies having raised over $100 million in the public markets. He has been involved in an executive management role taking projects from discovery to commercial production. Mr. Rees obtained a Bachelor of Commerce from Royal Roads University (British Columbia).

Glen Harder - Mr. Harder has been a member of the British Columbia Law Society since 1986 and is a senior securities lawyer, with a primary focus on natural resources law. He is the principal of Harder & Company, a Vancouver law firm.

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TECHNICAL ADVISORY BOARD Richard W. Hughes, Chairman - Mr. Hughes is widely recognized as a “minefinder” involved

with the discovery of the Hemlo Gold Mine (Goliath Gold and Golden Sceptre), the Belmoral Mine (Belmoral Mines), the Beaufor Mine (Aurizon Mines) and the discovery and production of the Sleeping Giant Mine (Perron Gold Mines).

Dave Makepeace - Mr. Makepeace is a senior geologist-environmental engineer. He holds a

B.A.Sc.(Hons) degree in Geological Engineering from Queen's University in Kingston, Ontario and a M.Eng. degree in Environmental Engineering from the University of Alberta. He is a registered Professional Engineer in British Columbia and Alberta and has 36 years of geological, mining and environmental experience.

Dave Makepeace worked at the Silvana mine (Dickenson Mines Ltd.) from 1983 to 1989 ending as chief geologist-engineer.

Steve Phillips, - Mr. Phillips, B.Geology from Leeds University UK - Geologist with extensive

experience in the Slocan Silver Camp. Steve Phillips worked at the Silvana mine (Dickenson Mines Ltd. & Treminco Resources

Ltd.) from 1977 to 1992 ending as mine manager.

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TECHNICAL ADVISORY BOARD (Continued) Locke B. Goldsmith – Mr. Goldsmith, M.Sc., P.Geo., P. Eng. Has been engaged in mining

exploration for the past 55 years and has been familiar with the underground workings in Sandon for over 40 years.

William (Bill) Morton - Mr. Morton, M.Sc, B.Sc., P. Geo. has been employed as a professional

geologist for over 30 years. He has held positions with several mining companies. In 1987 Mr. Morton merged his geological practice with Glen Garratt's and together they formed Eastfield Resources.

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Area History: Silver-rich lead/zinc deposits discovered in 1891. • 173 past-producing mines located in the Slocan Silver Camp.* • 5 million tons* of silver-rich mineralization was processed resulting in the

production of: 69.6 million ounces of Silver* 579 million pounds of Lead* 569 million pounds of Zinc*

Geology: • A series of silver-rich veins in Slocan Series Quartzite Sediments. • At 9 km long, the Main Lode is the largest and most prolific vein. Klondike

Silver’s land package includes over half of the Main Lode structure and, of that, 1.5 km is virtually unexplored.

• One of the few remaining under-explored mining camps of its kind in Canada.

* Source: BC MINFILE 11 * Source: BC MINFILE

THE KLONDIKE SILVER LAND PACKAGE FRAMEWORK


• Klondike Silver amalgamated many of the fragmented mineral claims

and crown grants located in the Slocan Silver Camp into one contiguous land package - over one hundred square kilometres.

• Klondike Silver’s land package contains over 58% of the historical

silver production in the Slocan Silver Camp. Klondike Silver’s land package produced 40.4 million troy oz of silver.*

• The Silvana Mine was the largest producer of the 68 historical

producers in the Klondike Silver land package: Over 500,000 tons of rock was processed yielding 7,812,077 oz silver,

63,253,498 pounds lead and 57,981,253 pounds zinc. The average Silvana production grade was 13.87 oz/ton silver, 5.62% lead and 5.15% zinc.

• Klondike Silver anticipates new discoveries. 12 * Source: BC MINFILE

* Source: BC MINFILE


THE KLONDIKE SILVER LAND PACKAGE FRAMEWORK (con’t)

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Past Producing Mine

Minfile Tonnage (tons)

Silver (ounces)

Lead (lb)

Zinc (lb)

Silver (oz/ton)

Lead (%)

Zinc (%)

1 Silvana 082FNW050 563,241 7,812,077 63,253,498 57,981,253 13.87 5.62 5.15

2 Silversmith 082FNW053 391,441 7,269,534 71,703,730 25,906,928 18.57 9.16 3.31

3 Violamac 082FNW204 164,797 4,151,538 47,941,942 31,362,942 25.19 14.55 9.52

4 Payne 082KSW006 121,920 3,741,914 38,308,927 2,258,451 30.69 15.71 0.93

5 Rambler 082KSW018 208,800 3,503,143 23,209,983 5,852,603 16.78 5.56 1.40

6 Van Roi 082FNW064 313,834 2,787,160 17,838,347 16,756,572 8.88 2.84 2.67

7 Ruth-Hope 082FNW052 66,772 2,473,893 22,316,356 3,540,000 37.05 16.71 2.65

8 Hewitt 082FNW065 124,090 1,916,970 3,902,572 5,971,520 15.45 1.57 2.41

9 Queen Bess 082FNW010 18,268 1,381,863 18,868,346 42,426 75.64 51.64 0.12

10 Reco 082FNW035 7,814 1,169,942 6,301,127 372,467 149.72 40.32 2.38

Top 10 Silver Past-Producing Mines within the Klondike Silver Claim Block (100 KM2)

All values are taken directly from each property’s BC MINFILE file.


KS Claim

Group’s Mines and

Lodes

Over 100

Square KM’s

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Klondike Silver Land Package KLONDIKE SILVER KS: TSX-V

The Silver Mile

is the most highly

prospective segment

of the Main Lode

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2017 WORK PROGRAM

•Reactivate the 4625 portal and adit.

•Reactivate the upper workings of the Silvana mine (4625, 4690 and 4755).

•Locate and validate the broken mineralization in the upper workings of the Silvana by sampling and surveying.

•Locate un-mined zones from the last historic mineral estimate (1993).

•Electronically digitize historical mine maps and create an underground 3D geological model.

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2017 WORK PROGRAM (con’t)

•Fly a LIDAR topographical survey on the Klondike Silver property and combine it to the 3D underground geological model.

• Identify and prioritize underground drill targets in the upper levels of the Hope/Silvana/Carnation mines from the 3D underground geological model.

•Establish underground drill stations and rehabilitate the lower Carnation mine levels.

•Klondike Silver plans to start drilling these strategic targets in 2017.

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2017 WORK PROGRAM (con’t)

•Evaluate the mineral potential of the Silversmith 10 Level dump for high grade zinc mineralization.

•Evaluate the mineral potential of the Hope 4 and 5 Level dumps for high grade zinc mineralization.

•Evaluate the mineral potential of the Silversmith 5 / Slocan Star Level dumps for high grade zinc mineralization.

•Re-condition the Klondike Silver mill and tailings management facility for processing mineralized feed.

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• Head Office: 804 - 750 West Pender Street Vancouver, British Columbia Canada V6C 2T7

• Telephone: 604.682.2928

• Website: www.klondikesilver.com

• Email [email protected]

• Investor Relations: Paradox Public Relations 514.341.0408 or 866.460.0408 [email protected] KS: TSX-V Share Structure:

Issued: 83,667,226 Warrants: 63,884,113 Options: 7,325,000

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2017 A New Beginning

KS: TSX-V

KLONDIKE SILVER Corp.

December 2016

Klondike Silver Corporate Brochure

Investor Relations

Transcript of Klondike Silver Corporate Brochure