Agoracom

CALGARY, March 13 - AeroMechanical Services Ltd. (TSXV: AMA) today announced that it has closed its previously announced bought deal private placement. Research Capital Corporation acted as the underwriter for the offering. The offering provided for a $3,000,000 bought deal private placement with an underwriter's option to increase the offering by up to an additional $1,500,000 for a total of $4,500,000.

An aggregate of 4,500,000 units ("Units") were issued by the Corporation at a price of $1.00 per Unit, for gross proceeds of $4,500,000 (the "Offering"). Each Unit consists of one (1) common share ("Common Share";) and one half of one (1/2) Common Share purchase warrant ("Warrant"). Each whole Warrant will entitle the holder to acquire one (1) Common Share for a period of two years from the closing date of the Offering at an exercise price of $1.30 per Common Share.

Research Capital Corporation was paid a cash commission of $360,000 in connection with the Offering. In addition, Research Capital Corporation was issued 315,000 underwriter's warrants to acquire up to that number of units ("Underwriter's Units";), at price of $1.00 per Underwriter's Unit, for a period of 18 months from the date of issue.

The proceeds from the Offering will be used to fund the Corporation's working capital needs and for general corporate purposes. All of the securities issued pursuant to the Offering are subject to a 4-month hold period. Completion of the Offering is subject to the final approval of the TSX Venture Exchange.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States absent registration or an exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

ABOUT AEROMECHANICAL SERVICES LIMITED

AeroMechanical Services Ltd. provides proprietary technological solutions and services designed to reduce costs and improve efficiencies in the airline industry. The company has successfully commercialized three products and associated services currently marketed to airlines, manufacturers and maintenance organizations around the world. Its premier technology afirs(TM)UpTime(TM) allows airlines to monitor and manage aircraft operations anywhere, anytime, in real-time.

afirs, UpTime, FLYHT and aeroQ are Trade Marks of AeroMechanical Services Ltd.

For further information:

Tom French, CFO,
AeroMechanical Services Ltd,
(403) 291-7427,
tfrench@amscanada.com