Garrison International Ltd.

Garrison International Ltd.

March 27, 2008 16:45 ET

Garrison International Ltd. Announces Closing of First Tranche of Common Share Units With Asia Goldworks Limited

TORONTO, ONTARIO--(Marketwire - March 27, 2008) - Garrison International Ltd. (TSX VENTURE:GAU) (the "Company" or "Garrison") is pleased to announce that it has closed the first tranche of a previously-disclosed sale of shares to Asia Goldworks Limited ("AGL") for gross proceeds of $700,000. This closing, initially scheduled for March 25, 2008, closed today. This closing occurred pursuant to a previously announced share purchase agreement between Garrison and AGL which provides that AGL will invest an aggregate of $5,000,000 (including the $700,000 at this first closing) in the Company by acquiring up to 50,000,000 common shares units ("Units") of Garrison. Each closing in this offering remains subject to TSX Venture Exchange (the "Exchange") approval.

AGL is an affiliate of Mr. Tony Bainbridge, a director and officer of Garrison.

Garrison is conducting this unbrokered financing (the "Financing") in three tranches. The first closing was completed today for 7,000,000 Units for gross proceeds of $700,000, subject to Exchange approval. The second and third tranches will be subject to the additional requirement of approval by Garrison's shareholders. $2,300,000 will be raised through the offer and sale of 23,000,000 additional Units at the second closing. $2,000,000 will be raised through the offer and sale of up to 20,000,000 Units at the third closing.

Each Unit consists of one common share of Garrison and one common share purchase warrant that entitles the holder to purchase one common share of Garrison. The purchase warrants are exercisable for a period of 18 months from the date of issue. The Unit price for the first and second tranche closings will be $0.10, and the exercise price of the purchase warrants included in the Units then sold will be $0.12 per common share.

AGL has executed an undertaking to the Exchange that it will not exercise its purchase warrants and it will not purchase additional common shares of the Company until the shareholders of Garrison approve the creation of the new Control Persons (as defined in Exchange policies) that would arise as part of this Financing, and Garrison obtains Final Acceptance of the Financing by the Exchange.

The second tranche closing will occur on or before the third business day following a special meeting of shareholders to approve the second and third tranches of the Financing. However, Garrison and AGL may close the second tranche of the Financing prior to that shareholder meeting being held, on condition that the Units and proceeds would be held in escrow until the shareholder meeting is held and shareholder approval is obtained.

Mr. Georges Haligua-Cohen, formerly a director of Garrison, or an affiliate of his previously advanced $583,900 to Garrison. Under the terms of the share purchase agreement, 40% of the principal amount of that sum will be repaid. Beginning today, the unpaid balance of this loan will accrue interest at 9.9% per annum, to be repaid with the principal at the second closing.

Proceeds from this closing will also be used to reduce the Company's current liabilities to enhance its working capital and otherwise fund the Company's operations.

All securities issued in connection with this first closing will be subject to a hold period until July 28th, 2008.

About the Company

Garrison is a junior mineral exploration company focused on acquiring and developing advanced stage gold properties in Mongolia. For complete details on Garrison International Ltd. and its partners, management encourages investors and interested parties to view its public documents filed on SEDAR at

For all Garrison International Ltd. investor relations needs, investors are asked to visit the Garrison International IR Hub at where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to where they can also request to be added to the investor e-mail list to receive all future press releases and updates in real time.


No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. All statements in this news release, other than statements of historical fact, are forward-looking statements that involve various risks and uncertainties, including, without limitation, statements regarding the future plans and objectives of Garrison International Ltd. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. These and all subsequent written and oral forward-looking statements are based on the estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Garrison International Ltd. assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change.

Shares Outstanding - 74,738,057

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

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