Klondike Silver to Focus on Core Assets in 2009

Klondike Silver to Focus on Core Assets in 2009

Vancouver, British Columbia CANADA, February 27, 2009 /FSC/ - Klondike Silver Corp. (KS - TSX Venture, KLSVF - OTCBB_Pink_Sheets), will focus its 2009 work programs on priority projects in Canada, with particular emphasis on precious metals. In response to current markets conditions, the Company has renegotiated five property agreements and is renegotiating others to reduce outstanding payments. Rigorous property evaluations are also under way and may lead to the termination of non-core projects.

Klondike Silver controls over 75% of the Slocan Silver Camp in British Columbia, which includes numerous past-producing mines and a permitted 100-tonne-per-day flotation mill. A drilling program is under way in the camp, focused on the newly rehabilitated Wonderful Mine. Other strategically selected assets include silver projects in the Yukon Territory and Ontario's Gowganda silver camp, and in Mexico.

Klondike Silver is pleased to announce that John de Jong and Brendan Munday have joined its Board of Directors, effective November 20, 2008.

Subject to regulatory approval, the Company plans to lower the price of options that expire from August 2009 through January 2013 (priced at between $0.20 and $0.53) to $0.10. And subject to TSX and warrant-holder approvals, warrants that expire on August 9 and December 27, 2009, will be re-priced at $0.20 per warrant. The term will not change.

Klondike Silver has also renegotiated its contract with Agoracom Investor Relations on a one year term to effect communications with its shareholder base, prospective investors and the investment community as a whole.  Compensation is $2,000 per month and 150,000 options at $0.12, vested quarterly.

Klondike Silver also announces it has granted 1,200,000 stock options to directors and officers of the Company and 1,945,000 stock options to employees and consultants at a price of $0.10 per share for a period of five years.

About Klondike Silver

Klondike Silver Corp. has assembled a quality portfolio of silver properties in historic mineral districts in North America, and is applying advanced exploration technologies to add value to these core assets.  Klondike Silver is reviving the Gowganda and Elk Lake silver camps in Ontario, and the world-famous Klondike district of Yukon Territory. The Company owns a 100 TPD fully operational flotation mill in Sandon, BC, which is currently processing material from one of its Yukon properties and local mines in the historic Slocan Silver Camp.

CONTACT INFORMATION

Corporate Inquiries: Kevin Hull or Alan Campbell, (604)-685-2222
Email: info@klondikesilver.com

Or visit Klondike Silver's web-site: www.klondikesilver.com to see Smartstox interviews with Company President, Richard Hughes.

AGORACOM Investor Relations
Email: KS@agoracom.com;    
Website: http://www.agoracom.com/ir/KlondikeSilver  


The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

The statements made in this news release may contain forward-looking statements that may involve a number of risks and uncertainties.  Actual events or results could differ materially from the Company's expectations and projections.


Klondike Silver Corp.
#711-675 WEST HASTINGS STREET
VANCOUVER, B.C.  CANADA  V6B 1N2



Source: Klondike Silver Corp. (TSX-V: KS) (Pink Sheets: KLSVF) http://www.klondikesilver.com
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