Klondex Intercepts 767.0 g/t (22.4 opt) Gold over 0.6m (1.9ft)

in Joyce Vein and Encounters a New Mineralized Structure

                  Additional Intercepts:

869 g/t (25.3 opt) Gold over 0.1m (0.4ft) in FC-13-069U

570 g/t (16.6 opt) Gold over 0.4m (1.3ft) in FC-13-071U

505 g/t (14.7 opt) Gold over 0.4m (1.4ft) in FC-13-072U

Elko, NV & Vancouver, BC - June 18, 2013 - Klondex Mines Ltd.. (TSX: KDX; OTCQX: KLNDF), a Nevada gold exploration and development company,today reported the results of seven drill holes from drill station 9 (Table 1) at its Fire Creek gold project in Nevada. A new mineralized structure was identified running parallel and to the west of the Joyce Vein (Figure 1) and (Figure 2) that included an intercept 869.0 g/t (25.3 opt) gold over 0.12m (0.4ft) in drill hole FC-13-069U.

Klondex Mines' Fire Creek project General Manager, Mike Doolin, stated, "Today's announcement further supports our belief that Fire Creek is an under-explored asset. We continue to further demonstrate continuity as the drill program moves forward. We have decided to delay our updated mineral resource estimate in order to incorporate recent underground drilling results. We anticipate that this will push out the completion of the updated mineral resource estimate by approximately one month, from late June to the end of July, but will allow us to develop a more current resource model."

Infill Drilling from Station 9 (Figure 1) and (Figure 2)

A drill fan totaling nine holes has been drilled to the east from drill station 9 to test the continuity, height and width of the Joyce and Vonnie Vein structures from the 5400 cross cut. The drill holes encountered mineralization consistent with the Joyce and Vonnie Veins. Drilling of these structures has demonstrated an average thickness of 1.0-1.5m (3.3-4.9ft) over a strike length of 115m (377.3ft) and a possible vertical extent of 167.6m (550ft). Both veins remain open along strike and at depth, restricted only by the amount of drilling data.

Two drill holes intercepted a mineralized structure - between the drill ramp and the Joyce Vein - which bears similar mineralization but was not apparent in the 5400 cross cut. FC-13-062U intercepted 1.5m (5.0ft) of 70.6 g/t (2.1 opt) gold and was 12-13m (38-43ft) away from the drill station, and FC-13-069U intercepted 869.0 g/t (25..4 opt) gold over 0.12m (0.4ft) and was located 7.9m (25.8ft) from the drill station.

2013 Underground Infill Drill Program Overview (Figure 3)

Klondex's 2013 infill drill program has now completed 27 underground drill holes for a total of 3,523 m (11,558 ft) at the Fire Creek project.

Drill station 9: The planned 14 drill holes are complete; five holes to the west and nine holes to the east. All drill holes to the west encountered mineralization that may connect to the vent raise mineralization along northwest trending structures. The drill holes are located 50.3m (165 feet) west of the vent raise, suggesting a potential new zone strike length of at least 98m (320ft) south from the vent raise access, located approximately 105m (345ft) west of the ramp (see May 30, 2013 news release).

Drill station 1 (Figure 3): Seven east-directed holes have been completed, and logging is in progress with assays pending. Drilling from station 1 east of the ramp is testing the extension and continuity of mineralization of the Vonnie and Joyce veins in the 5400 cross cut to the north, and in drill hole FC12-029U, 16.6 g/t (0.48 opt) Au over 13.0m (42.8ft) to the southwest (see April 9, 2013 news release).

Drill station 2 (Figure 3): Klondex is now drilling from station 2, where six of nine planned holes have been completed.

Table 1: Infill Drilling Results from Station 9

Note: Intervals reported are core lengths; true widths are not known at this time.

Holes FC13-059U and FC13-061U were previously reported on March 7, 2013.

Samples cited in this news release were obtained from in-fill drilling by independent contractor American Drilling of Spokane, Washington under the direction of Klondex staff. Assays were determined by ALS Minerals of Reno, Nevada, an independent analytical laboratory. Sample preparation is conducted in Elko, Winnemucca, or Reno facilities, and fire-assay analytical work is conducted in Reno. Standard fire assays with a 30g charge are performed on all samples up to 10 g/t, and then gravimetric assays are conducted on samples with 10g over-limit assays.. Select metallic-screen assays are then conducted by re-sampling the coarse reject using criteria such as clustering of assays, proximity to veins, and mineralized veins. Multi-element ICP samples are collected on 20ft composites and on individual samples in mineralized rock. For QA/QC monitoring, standards and blanks are inserted approximately every 20 samples using accredited reference material. Duplicates are generated by ALS by splitting the sample immediately in advance of the duplicate and assaying one split. Standard sample performance is frequently monitored using statistical spreadsheets provided by Micon International.

The content of this press release has been approved by Steven L. McMillin, CPG-11031 (American Inst. of Prof. Geol.), Chief Geologist for Klondex Mines Ltd., as a non-independent Qualified Person for the purposes of National Instrument 43-101.

About Klondex Mines Ltd. (www.klondexmines.com)

Klondex Mines is focused on the exploration and development of its Fire Creek gold deposit in North-Central Nevada. Fire Creek is a compelling gold project located in a mining-friendly jurisdiction, near major producers, power, transportation, mining infrastructure and its milling facility. At June 17, 2013, Klondex had 64.4M shares issued and outstanding and 85.8M shares, fully diluted.

This news release contains certain information that may constitute forward-looking information under applicable Canadian securities legislation, including information about the magnitude and quality of the Fire Creek Project and results of exploration at the Fire Creek Project. This forward-looking information entails various risks and uncertainties are based on current expectations, and actual results may differ materially from those contained in such information. These risks and uncertainties include, but are not limited to the risks and hazards associated with environmental compliance and permitting for its underground operations, the strength of the global economy; the price of gold; operational, funding and liquidity risks; the degree to which mineral resource estimates are reflective of actual mineral resources; the degree to which factors which would make a mineral deposit commercially viable are present. Risks and uncertainties about the Company's business are more fully discussed in the Company's disclosure materials filed with the securities regulatory authorities in Canada and available at www.sedar.com. Readers are urged to read these materials. Klondex assumes no obligation to update any forward-looking information or to update the reasons why actual results could differ from such information unless required by law.

Contact:

Paul Huet                                                 Alison Tullis                                             Toni Trigiani

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