Klondike is an unincorporated community and census-designated place in Allegany County, Maryland, United States. As of the 2010 census it h…Klondike is an unincorporated community and census-designated place in Allegany County, Maryland, United States. As of the 2010 census it had a population of 118. It is located in western Allegany County, 5 miles southwest of Frostburg, at the foot of Big Savage Mountain.It is built at the site of the Klondike Mine, The Consolidation Coal Company's Mine No. 17.