Richmond, BC - Nov. 27, 2008.  Mr. Robert Bryce, Chairman of the Board announces that Tagish Lake Gold Corp. is negotiating an offer to merge with Yukon-Shaanxi Mining Co., Inc., a private company, whereby YSM will assume all of the assets and liabilities of both YSM and TLGC. The transaction will result in the formation, under the laws of British Columbia, of one corporate entity, proposed to be named "Yukon-Shannxi Mining Company, Inc." which will have its shared listed on the TSX Ventre Exchange. The transaction will involve an exchange of shares of both companies into the newly-named entity. The details of such an exchange will be announced as soon as the appropriate ratios have been achieved.

TLG and YSM have thirty days to complete their due diligence.

The transaction will require TSX Venture Exchange approval, as well as shareholder approval at a Special Meeting, followed by Court approval under the Business Corporation Act of British Columbia.

Given the current market conditions the Company believes that the merger will provide the best opportunity to promote exploration and development of the Skukum property for the shareholders, while assuring that creditors will be treated fairly.