Make your way back to Deling City and then back to the Caraway Mansion.
You should now have the Brothers Guardian Force (GF) and, if you plan on completing the Triple Triad card game side quest, you should have lost your new 
Sacred Card to the Queen of Cards in Dollet. Navigate back to the previous section of the guide (“The Tomb of the Unknown King” at the bottom of that section) for more information.
Speak to Caraway’s Guard and choose the “Ready to answer” option. Be very careful when you enter the Student ID. The very first dialogue box that pops up asks you to “Enter ones” which means to enter the last digit of the code.
In other words, if your code was 162 you would start by entering [2], then [6] and then [1]. This system of code entry could not be more counter-intuitive!
Walk along the pathway and consider using the Save Point to save your game. Enter the mansion when you are ready to continue.
You will have control of Squall inside the mansion. You can talk to any of the characters in the waiting room, but talk to Rinoa in order to get the story moving again. Rinoa will attempt to go and complain to the General, but General Caraway will enter the room as soon as she leaves.
General Caraway will explain the purpose of the mission to Squall and the team as he leads them through Deling City. The team will be splitting up into two teams with the ultimate goal of trapping and assassinating Sorcerous Edea.
Return to General Caraway’s mansion after he is done explaining the mission. The group will be divided up into two teams: the sniper team and the gateway team. You will regain control of Quistis, specifically, who will be leading the gateway team.
Attempt to leave the room and Rinoa will run in, bumping into the team. She will try to help the team out but is eventually left behind in the mansion.
You will have control of Squall again just outside the mansion - follow General Caraway again as Squall and Irvine continue to discuss the mission. Grab the 
Thundara Draw Point (if you haven’t already) as the team continues down the pathway.
Quistis, Zell and Selphie will continue up the ladder in the gateway; continue following General Caraway though down the pathway as you don’t have to climb the ladder or follow the gateway team. General Caraway will ask Squall and Irvine to wait outside the Presidential Residence when they arrive at their final position.
Once you are back in control of Quistis, travel back to General Caraway’s mansion. Enter the mansion and the team will accidentally be locked in to the waiting room. Now you are back in control of Rinoa.
Use the Save Point near the car and then travel to the right side of the screen where a sewer lid is visible. Open up the sewer and go inside.
Continue traveling left through a few screens until Rinoa finds 
Weapons Monthly, May Issue, lying on the ground, and then head back up to the Save Point.
Have Rinoa climb the crates on the right side of the screen near the car. Continue climbing up the crates until she reaches the second level of the Presidential Residence. Travel to the left, up the ladder and up on to the final level of the residence.
A short scene will occur involving Rinoa and Sorcerous Edea before the game jumps back to the gateway team in Caraway’s Mansion.
Have Quistis examine the glasses on the left side of the waiting room; she will grab one of the glasses off the shelf. Then have her examine the statue at the back-left side of the room. She will place the glass in the statue’s hands revealing a hidden passageway.
Take some time to make sure that Quistis, Zell and Selphie all have their Guardian Forces equipped and are ready for some upcoming random battles.
Use the Save Point on the stairway and then take the ladder down into the sewers. Have Quistis jump on the waterwheel on the left side of the screen and then go through the gate at the upper level of the sewer. A cinematic will begin as they progress through the next screen.
Follow Irvine once you are back in control of Squall. Eventually you will wind up in the same area that Rinoa snuck off to with the crates next to the car. Save your game using the Save Point and make sure that you picked up the Weapons Monthly, May Issue, when you were in control of Rinoa. If not, have Squall and Irvine venture down into the sewer to pick it up.
Climb the crates outside of the Presidential Residence just like Rinoa did until Squall and Irvine reach the top.
Make sure that both Squall and Irvine are fully setup with Guardian Forces and have their magic properly junctioned. Make sure that you have the 
Draw command setup on at least one party member.
Run past the body President Deling and into the Presidential Residence to find the two creatures that Sorcerous Edea summoned getting ready to attack Rinoa.
In Game Description: A mutation of the gateway decoration. Uses Petrify attacks. Someone has given it the Reflect power.
Make sure that you use the Draw command on one of the Iguions to obtain your next Guardian Force, Carbuncle.
These two ‘bosses’ are not very strong and they actually become quite a bit weaker once you have drawn Carbuncle out of them as they can no longer cast Reflect. Their hit points are relatively low. Have Squall and Irvine focus down one Iguion at a time.
The Iguions have attacks that can inflict status effects such as 
Petrify. You may not even see this status if you kill them fast enough, but you can Draw Esuna magic from them if needed in order to cure your party members of this status.
Carbuncle
You will receive the Carbuncle Achievement/Trophy if you successfully Draw Carbuncle from the Iguions before the battle concludes.
Carbuncle is an interesting Guardian Force - its attacks are not particularly strong but it can learn a number of helpful abilities as it gains AP. Have it learn the abilities listed below in the order outlined below:
Your party will now consist of Squall, Irvine and Rinoa. There is a small hatch visible in the hallway of the Presidential Residence. Open up the hatch to head up towards the roof. Examine the sniper rifle on the ground, which Squall will give to Irvine, as they prepare for the final stages of their mission.
The story now returns to the gateway team in the sewers. Take some time to junction Guardian Forces and magic to Quistis, Zell and Selphie, and then head forward into the next section of the sewer. Go through the gate and head left into the next screen using the upper pathway.
As you cross this sewer section heading left you will run past a ladder up against the wall. It will automatically fall, creating a pathway to the south side of the screen. Cross the sewer to the other side and follow the pathway until you reach an Esuna Draw Point and then go back to the ladder again.
Continue heading left and then north into the next screen. Keep following the pathway until you reach another area with two waterwheels visible.
In this screen there is a gateway that can be opened on the right side along the upper pathway. Open the gate and continue going right. You will reach another room with two waterwheels.
Cross over both both waterwheels (climbing the first and dropping down the second) and then open the gate on the lower part of the screen and head south.
This is another room with two waterwheels. Jump down the waterwheel and continue going south/down into the next screen. One more double waterwheel room - again, drop down the waterwheel and head south again.
This time the room that you reach will have a ladder that will fall down as you approach it. Touch the ladder but don’t use it to cross. Instead, keep traveling east/right through the next screen and then use the waterwheel in the next room to reach the upper level. Go through the gate and head north.
You’ve reached the exit! Use the Save Point before you exit the sewer and then climb up the ladder back into the gateway tower going all the way up to the top.
There is a short video that will play after the gateway team reaches the top showing Sorcerous Edea as she approaches the gateway. Have Quistis flip the switch.
There are a number of cutscenes that take place. The story won’t be described here in order to reduce the number of spoilers. Continue below when you are ready for the next battle.
Make sure you properly junction your team with Guardian Forces and magic when given the opportunity.
In Game Description: Decided to become a Sorceress’ Knight under Edea. Uses fire magic in conjunction with sword attacks.
Squall will be fighting Seifer solo for this battle but Seifer is fairly easy to take down. Seifer uses a fair number of magic attacks during this fight. You probably won’t need to rely on this strategy, but if you need to, you can summon Carbuncle against Seifer which will automatically cast Reflect magic on Squall causing all of Seifer’s attacks to bounce back to him.
Seifer is also the first enemy that you have encountered that has Life magic. Take some time to Draw some of this magic from Seifer before defeating him.
This battle is fairly straightforward though but it leads directly into the next battle.
In Game Description: A powerful sorceress and ruler of Galbadia. Her sorceress powers may be the most powerful in the world.
This battle appears to involve only Squall again, but your other party members will join you straight away.
Again, Carbuncle works very will in this particular battle as Sorcerous Edea’s attacks are nearly all magic-based. Edea will take no damage from spells that are reflected using Reflect magic, but this will greatly reduce the amount of damage that she does to your party. Additionally, Edea will eventually cast Dispel to remove this effect from your team members but this will still take up one of her turns and make the battle much easier.
Her primary attacks include Firaga, Thundaga, and Blizzaga, which are the most powerful elemental spells of this type in the game.
Note: It’s actually impossible to win or lose this battle. Eventually a cinematic will play if you deplete enough of Edea’s HP, but the same cinematic will play if Squall is KO’d in battle. However, you will miss out on AP gained at the end of the battle, so do everything you can to try and win!
Squall will be hit in the chest with an ice attack from Sorcerous Edea and this concludes the end of Disc 1.
This is the point in the game where the Squall’s Dead theory takes root. For long time fans of the game, you may wish to consider reading up on the “Squall’s Dead” theory. Producers of Final Fantasy VIII have given interviews stating that the premise of this theory is not true, but it provides an interesting perspective on later events that unfold as the game’s story progresses.
Note that if this is your first time playing the game or if you are not a huge fan of Final Fantasy VIII, this can lead you down a rabbit hole that may not be worth exploring. Check out the website though for more information:
G-Returner
Recov Med-RF
Counter
ST-Def-J
Hero
Elixir