Mr. Peter Tallman reports

KLONDIKE GOLD REPORTS INCREASED MONTANA CREEK ROYALTY GOLD RECEIPTS, COMPLETES PHASE 1 2026 DRILL PROGRAM AND PROVIDES EXPLORATION UPDATE

Klondike Gold Corp. has received additional gold royalty receipts from Armstrong Mining Corp. related to continuing placer mining operations at the Montana Creek placer property. The company has completed phase 1 of its 2026 diamond drill program and provides an update on the continuing exploration program at its 100-per-cent-owned Klondike district project in the Dawson mining district, Yukon, Canada.

Highlights:

• Received a cumulative total of 176.1 ounces of placer flake gold (approximately 82 per cent purity) during the 2026 mining season to date, representing an increase of 136.2 ounces since the previous company's news release update (see news release dated June 1, 2026). Following refining to 99.99 per cent purity, the company has been credited approximately 141 ounces of refined gold;
• Completed 7,697.17 metres of NQ diamond drilling in 34 drill holes during phase 1 of the 2026 exploration program, testing for extensions to the Lone Star zone mineral resource area;
• Plans to complete up to 20,000 metres of hyperspectral drill core scanning to generate quantitative alteration mapping for improved targeting of gold-bearing structural zones;
• Planning a second phase of up to 8,000 metres of diamond drilling, commencing in September, subject to receipt and interpretation of phase 1 assay results and continuing exploration;
• Planning to complete an updated mineral resource estimate incorporating drilling completed between 2022 and 2026. The updated estimated is currently targeted for completion during the first half of 2027.

Peter Tallman, president and chief executive officer of Klondike Gold, stated:

"Completion of this first phase of drilling marks another important milestone toward expanding the Lone Star gold resource. Our integrated structural modelling and 3-D geological interpretation continue to generate high-quality exploration targets, and we believe there remains significant potential to extend mineralization both along strike and at depth across our district-scale property. Results from more than 26,800 metres of drilling completed since the 2022 Lone Star mineral resource estimate, together with assays pending from this year's 34-hole program, are expected to provide an important foundation for the planned 2027 mineral resource update. At the same time, growing royalty income from Armstrong Mining provides valuable non-dilutive funding that supports continued advancement of our bedrock exploration programs."

Montana Creek placer property 2026 royalty receipts

Under the lease-to-purchase agreement announced March 11, 2025, Armstrong Mining delivers to Klondike Gold 10 per cent of placer gold recovered from the Montana Creek placer property (refer to the company's news release, entitled "Klondike Gold Receives $500,000 for Lease of Montana Creek Placer Property," dated March 3, 2025, filed under the company's profile on SEDAR+).

For 2026 up to July 20, 2026, the company has received a cumulative 176.1 ounces of placer flake gold during the current mining season, representing an increase of 136.2 ounces since the previous company's news release update June 1, 2026.

Following refining to 99.99 per cent purity and after applicable smelting charges, refining fees, taxes and government royalties, the company has received approximately 141 ounces of refined gold, which is held in company demand accounts. The difference between received flake gold weight and refined credited ounces reflects estimates of gold purity, refining recovery, smelting charges, government royalties and applicable fees.

Future royalty receipts depend on the level and timing of placer mining operations and gold recovered by Armstrong Mining, over which Klondike Gold does not exercise operational control.

Cash generated through royalty gold receipts, together with proceeds from any future gold sales, is expected be used to finance continuing exploration activities and general corporate purposes.

Phase 1 2026 drill program

The company has completed 7,697.17 metres of NQ diamond drilling in 34 holes during phase 1 of its 2026 exploration program.

The program was designed to evaluate adjacent and along-strike extensions of the Lone Star zone mineral resource area and improve understanding of the limits of gold mineralization. Analytical results are pending. Assay results are expected to contribute to the planned update of the company's National Instrument 43-101 2022 mineral resource estimate ("NI 43-101 Technical Report on the Klondike District Gold Project, Yukon Territory, Canada," dated Dec. 16, 2022, with an effective date of Nov. 10, 2022, prepared by Marc Jutras, PEng, MASc, Ginto Consulting Inc., and Stephen Kenwood, PGeo).

The phase 1 campaign represents one of the largest seasonal drill programs completed by the company and tested approximately two kilometres of projected strike extension beyond the existing 1.2-kilometre-long Lone Star resource area. Drill targeting was guided by updated structural modelling developed through integration of the company's geological database into Leapfrog 3-D software. The resulting interpretations continue to support district-scale exploration potential across the Klondike project.

Kluane Drilling Ltd., of Whitehorse, Yukon, completed the drilling program. Drill core is logged and sampled under the supervision of the company's geologists. Samples are securely transported from the company's core facility to Bureau Veritas Minerals laboratories in Whitehorse, Yukon, and Vancouver, B.C. Bureau Veritas is independent of the company and accredited under ISO/IEC 17025. Analytical quality assurance and quality control procedures include the routine insertion of certified reference materials, blanks and duplicate samples.

2026 upcoming exploration program

The company plans to continue advancing multiple exploration initiatives during the remainder of 2026.

Beginning in August, LithologiQ, of Montreal, is contracted to complete hyperspectral scanning and high-resolution imaging of approximately 18,000 to 20,000 metres of drill core. The program is expected to provide quantitative mineral alteration data to improve geological interpretation and drill targeting.

Regional structural mapping and prospecting surveys are also under way across the property, with current work focused on the southwestern portion of the district where significant road improvements are providing enhanced exploration access. Geological mapping, outcrop sampling and alteration studies are being integrated to prioritize new drill targets.

The company currently plans, subject to outstanding assay results, contractor availability and budget, a second phase of up to 8,000 metres of diamond drilling beginning in September.

The overall 2026 exploration program is designed to support completion of an updated NI 43-101 technical report and mineral resource estimate, currently targeted for publication during the first half of 2027. The company's 2022 mineral resource estimate was disclosed in the NI 43-101 technical report, entitled "Geology and Mineral Resource Estimate of the Lone Star Zone, Klondike District Project, Yukon, Canada," with an effective date of Nov. 10, 2022, available under the company's profile on SEDAR+.

The Klondike district project comprises a 727-square-kilometre district-scale land package covering the historic Klondike goldfields placer district, where the company has identified numerous bedrock gold showings and associated structures related to a large orogenic gold system.

Qualified person

The technical and scientific information contained within this news release has been reviewed and approved by Peter Tallman, PGeo, president and chief executive officer of Klondike Gold and qualified person as defined by NI 43-101, Standards of Disclosure of Mineral Projects. Additional technical information supporting the company's exploration programs, analytical procedures and mineral resource estimate is available in the company's NI 43-101 technical report filed under the company's profile on SEDAR+.

About Klondike Gold Corp.

Klondike Gold is a Canadian exploration company advancing its 100-per-cent-owned Klondike district project in Yukon, covering a 727-square-kilometre district-scale land package encompassing the entirety of the historic Klondike goldfields placer district, one of the world's most historically significant placer gold districts. The company is focused on discovering and developing large-scale gold resources through systematic exploration and geological modelling. The company also maintains a mining production royalty interest in the Montana Creek placer property.

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