Mr. Duncan Middlemiss reports

WESDOME ANNOUNCES 2018 THIRD QUARTER FINANCIAL RESULTS

Wesdome Gold Mines Ltd. has released third quarter financial results.

Duncan Middlemiss, president and chief executive officer, commented: "Production in third quarter 2018 was positively impacted as the result of mining the first 303 stope in September, where the muck sample head grades averaged 38.5 grams per tonne gold. As a result, production of 19,437 ounces at a head grade of 13.3 g/t was above reserve grade of 12.2 g/t at the Eagle River underground mine. Accordingly, cash and all-in sustaining costs for the quarter were $815 per ounce ($624 (U.S.)) and $1,160 ($888 (U.S.)) per ounce, respectively, 20 per cent lower than third quarter 2017. With the year-to-date cash costs of $894 ($695 (U.S.)) and all-in sustaining costs of $1,243 ($965 (U.S.)), on a per-ounce basis, we expect to end the year with these cost metrics to be below the lowest end of our guidance of $925 ($720 (U.S.)) per ounce on cash costs and $1,350 ($1,050 (U.S.)) per ounce on all-in sustaining costs.

"We attained the fourth consecutive quarter of free cash flow generation of $2.1-million (two cents per share) for the quarter. Eagle River complex operations continue to fund all exploration, development, administrative expenses, and a $23-million exploration and development program at the Kiena complex in Val d'Or, Que.

"Looking ahead to the remainder of 2018, at Eagle River, we are very well positioned to achieve our increased guidance range of 70,000 to 75,000 ounces (54,371 oz: year-to-date third quarter 2018), and beat the low end of our cost metrics guidance.

"At Kiena, we have completed all additional drift development for exploration platforms and added one more drill for a total of four drills underground. One drill is testing the potential up-plunge extension, and one drill will begin shortly testing the flattening of the A zone at depth. Initial resource calculation on the Kiena Deep A zone will be released in December as planned. We view this resource statement as a snapshot in time, as further stepout drilling subsequent to the data collection for the resource estimation has provided evidence of the expansion of the resource. Additionally, the capping factor will be reassessed as the current 34.28 g/t Au is likely inappropriate for the mineralization discovered to date within the A zone."

Key operating and financial highlights in third quarter 2018 include:

• Gold production of 19,795 ounces from the Eagle River complex, a 28-per-cent increase over the same period in the previous year (third quarter 2017: 15,493 oz):
  • Eagle River underground: 46,777 tonnes at a head grade of 13.3 g/t for 19,437 oz produced, a 46-per-cent increase over the previous year (third quarter 2017: 13,313 oz);
  • Mishi open pit: 4,076 tonnes at a head grade of 3.4 g/t for 358 oz produced (third quarter 2017: 2,181 oz);
• Revenue of $28.9-million, a 37-per-cent increase over the previous year (third quarter 2017: $21.2-million);
• Ounces sold: 18,401 at an average sales price of $1,571 per oz (third quarter 2017: 13,069 ounces at an average price of $1,619 per oz);
• Cash costs (1) of $815 per oz or $624 (U.S.) per oz, a 20-per-cent decrease over the same period in 2017 (third quarter 2017: $1,013 per oz or $809 (U.S.) per oz);
• AISC (all-in sustaining costs) (1) of $1,160 per oz or $888 (U.S.) per oz, a 20-per-cent decrease over the same period (third quarter 2017: $1,446 per oz or $1,154 (U.S.) per oz);
• Earned mine profit (1) of $13.9-million, a 1.8 times increase over third quarter 2017 (third quarter 2017: $7.9-million);
• Operating cash flow of $12.8-million or 10 cents per share (1), a 3.6 times increase over the previous year (third quarter 2017: $3.5-million or three cents per share);
• Free cash flow of $2.1-million or two cents per share (1) (third quarter 2017: outflow of $6.5-million or five cents per share);
• Net income of $3.6-million or three cents per share (third quarter 2017: $300,000 or nil, on a per-share basis); net income (adjusted) (1) for third quarter 2018 was also $3.6-million or three cents per share (third quarter 2017: $1.9-million or one cent per share);
• Cash position of $30.7-million at Sept. 30, 2018;
• Refer to the company's third quarter 2018 management's discussion and analysis section entitled "Non-IFRS Performance Measures" for the reconciliation of these non-IFRS measurements to the financial statements.

(1) Refer to the company's third quarter 2018 management's discussion and analysis section entitled "Non-IFRS Performance Measures" for the reconciliation of these non-IFRS measurements to the financial statements.

Exploration highlights for third quarter 2018

Eagle River:

• Initial mining of the 300E zone between the 864- and 844-metre level has continued to confirm the continuity of the strong grades and the geometry of the mineralized zone defined by drifts and the encompassing drill holes. The 303E zone accounts for approximately 19 per cent of the current mineral reserves and will continue to be the focus of mining development in fourth quarter 2018 and into 2019.
• Mine development is being completed to provide drilling platforms on the 750- and 925-metre levels to further define and explore extensions of the 300E and 7 zones, as well as test the potential intersection of the No Name Lake zone with the mine diorite.
• A 10,000-metre surface drilling program has commenced with two drills to identify new zones along strike and to the east of the 7 and 300 zones at upper levels of the mine that would have the potential to positively impact the gold production from the Eagle River underground mine. In addition, a fourth underground drill has been added to test this area at depth.

Kiena:

• Drilling of the Kiena Deep A zone is continuing with four drill rigs. Recent drilling from the exploration ramp has continued to intersect often multiple high-grade lenses composed of shear-zone-hosted quartz veins, including 177.3 grams per tonne over a 5.1-metre core length (6.5 g/t cut and 5.1-metre true width) in hole 6321 and 163.8 g/t over a 3.0-metre core length (13.1 g/t over 2.6 m true width) in hole 6338.
• Recent drilling continued to extend the zone of mineralization down plunge to the southeast. Following the continued success of the continuing diamond drill program, the company extended the current exploration drifts by a total of 450 m.
• Recent drilling of the A zone has identified a well-defined, moderate plunge of approximately 45 degrees to the southeast to the gold mineralization that occurs predominantly along the basalt-chlorite-carbonate-schist boundary. It is now understood that the A zone occurs along a connecting structure between the regional structures hosting the S50 and VC zones, respectively. Recent drilling has now extended the A zone to a 600-metre down plunge and, based on limited historical drilling, is interpreted to extend an additional 600 m up plunge to intersect the VC zone. This could significantly expand the potential resource base of the A zone and will be the focus of drilling this year and into 2019.
• An updated mineral resource estimate is on schedule to be completed in fourth quarter 2018.

Technical disclosure

The technical content of this release has been compiled, reviewed and approved by Marc-Andre Pelletier, PEng, chief operating officer, and Michael Michaud, PGeo, vice-president, exploration, of the company, each a qualified person as defined in National Instrument 43-101 (Standards of Disclosure for Mineral Projects).

Third quarter 2018 financial results conference call

The company's third quarter 2018 financial results conference call will take place on Nov. 9, 2018, at 10 a.m. ET. Conference details are found below.

North American toll-free:  1-844-202-7109

International dial-in number:  1-703-639-1272

Conference ID:  8497324

A webcast of the earnings call can also be accessed under the news and events section of the company's website.

                  INTERIM CONDENSED CONSOLIDATED STATEMENTS 
                      OF INCOME AND COMPREHENSIVE INCOME
      (expressed in thousands of dollars except for per-share amounts)

                                            Three months ended     Nine months ended
                                                   Sept. 30,           Sept. 30,    
                                               2018       2017       2018       2017

Revenues                                    $28,920    $21,165    $86,580    $64,513
Cost of sales                                20,599     15,594     59,768     50,448
Gross profit                                  8,321      5,571     26,812     14,065
Other expenses
Corporate and general                         1,429        909      3,922      3,695
Share-based payments                            434        572      2,265      2,258
Kiena care and maintenance                      353        200      1,130        767
Restructuring costs                               -      2,159          -      2,159
Write-off of mining equipment                     -          -        290          -
                                              2,216      3,840      7,607      8,879
Operating income                              6,105      1,731     19,205      5,186
Interest on long-term debt                      (68)       (58)      (191)      (402)
Accretion of decommissioning provisions        (105)        54       (313)      (196)
Interest and other                               79        (30)     1,228        (63)
Income before income tax                      6,011      1,697     19,929      4,525
Mining and income tax expense
Current                                         663        100      1,871        151
Deferred                                      1,717      1,301      5,843      2,520
                                              2,380      1,401      7,714      2,671
Net income and total
comprehensive income                         $3,631       $296    $12,215     $1,854
Net earnings per share
Basic                                         $0.03      $0.00      $0.09      $0.01
Diluted                                       $0.03      $0.00      $0.09      $0.01

About Wesdome Gold Mines Ltd.

Wesdome Gold Mines has had over 30 years of continuous gold mining operations in Canada. The Eagle River complex in Wawa, Ont., is currently producing gold from two mines, the Eagle River underground mine and the Mishi open pit, from a central mill. Wesdome is actively exploring its brownfield asset, the Kiena complex in Val d'Or, Que. The company has further upside at its Moss Lake gold deposit, located 100 kilometres west of Thunder Bay, Ont.

We seek Safe Harbor.