Mr. Paul Huet reports

KLONDEX ANNOUNCES 2015 PRODUCTION OF ~128,000 GEOS; 2016 PRODUCTION GUIDANCE INCREASED ~16% FROM PRIOR YEAR

Klondex Mines Ltd. has released its operating results for the fourth quarter and fiscal year 2015 from its Midas mine and Fire Creek project. Attached is a table highlighting key operating metrics for the company.

                            CONSOLIDATED OPERATIONS
                                                                        12 months
                                        Three months ended (unaudited)      ended          
                    March 31,      June 30,         Sept.         Dec.    Dec. 31,         
                        2015          2015      30, 2015     31, 2015        2015

Tons milled           57,664        63,059        70,997       69,568     261,288
Gold grade OPT          0.50          0.45          0.39         0.41        0.43
Silver grade
OPT                     6.78          8.00          6.65         5.36        6.66
GEO grade OPT
(1)                     0.60          0.56          0.48         0.48        0.52
Gold ounces
produced              27,225        26,552        26,300       25,816     105,893
Silver ounces
produced             354,455       472,473       443,576      334,722   1,605,226
GEOs produced
(1)                   32,207        33,007        32,068       30,249     127,527
Gold ounces sold      27,135        26,768        27,934       28,221     110,058
Silver ounces
sold                 304,557       543,251       454,611      406,129   1,708,548
GEOs sold (1)         31,416        34,189        33,846       33,600     133,084

(1) Gold equivalent ounces (GEOs) are the gold ounces plus the silver    
    ounces divided by a GEO ratio. GEO ratios are computed by dividing the 
    average realized gold price per ounce by the average realized silver   
    prices per ounce received by the company in the respective period. GEO 
    ratios were approximately 71.2:1, 73.2:1, 76.9:1 and 75.5:1 for the    
    first, second, third and fourth quarters of 2015, respectively, and    
    74.2:1 for the 12 months ended Dec. 31, 2015.                                                                                                  

Fourth-quarter production was impacted by heavy snowfall at the Midas mill in December, which delayed the processing of mined tons into 2016.

The company also announces its 2016 production target range of 145,000 to 150,000 GEOs in the aggregate from its Midas mine and Fire Creek project, both of which are located in northern Nevada. The company expects its cash costs to range between $600 and $650 per GEO, and its all-in sustaining cost (AISC)(1) to range between $850 and $900 per gold ounce. Of greater importance is the all-in cost (2) metric, which includes both growth and sustaining capital. The company expects its all-in cost (2) to range between $950 and $1,000 per gold ounce for 2016. Additionaly, the company expects to spend $45-million to $50-million on capital expenditures (capex), approximately 60 per cent of which will be spent at Fire Creek, 30 per cent at Midas and the remaining 10 per cent to be spent at the Midas mill. Attached is a table highlighting the company's guidance for 2016.

                               2016 GUIDANCE

                                           Cash cost (per                    
Operations              Production (GEOs)         GEO) (1)   Capex (millions) 

Fire Creek project     97,000 to 100,000     $450 to $500         $28 to $30
Midas mine and mill     48,000 to 50,000     $850 to $900         $17 to $20 
Total Klondex         145,000 to 150,000     $600 to $650         $45 to $50 

(1) Please refer to the non-international financial reporting standards
    performance measures section of the company's most recently filed
    management's discussion and analysis (available on SEDAR) for a
    description of these non-IFRS performance measures. 
(2) All-in costs is a non-IFRS performance measure. The company's all-in   
    costs per gold ounce sold is consistent with the June, 2013, guidance    
    released by the World Gold Council and is intended to reflect the      
    varying costs of producing gold over the life cycle of a mine. All-in  
    costs per gold ounce comprises (1) those costs included in all-in 
    sustaining costs per gold ounce, (2) expansionary capital and exploration
    expenditures at existing operations and projects, and (3) certain
    community relations, permitting, and general and administrative costs
    that are not related to current operations. 

As an update on the acquisition of the Rice Lake mine and mill complex, the company continues to expect to close the transaction by the end of January, 2016. Subsequent to closing, the company will begin updating the historical mineral resource and reserve estimates, and develop a detailed mine plan that will allow for a production decision in the fourth quarter 2016.

Paul Andre Huet, president and chief executive officer, commented: "2015 was another important year for Klondex and our shareholders, with production approximately 20 per cent higher than the prior year. Looking ahead to a very promising 2016, we continue our focus on growing Nevada by aggressively investing in Fire Creek and maintaining steady state at Midas. As a result, we are increasing our production target by approximately 16 per cent over 2015 to 145,000 to 150,000 GEOs. Additionally, we are excited to launch our preproduction plan to rehabilitate, explore and develop our soon-to-be-acquired Canadian asset."

We seek Safe Harbor.