SouthGobi Energy Resources Announces Senior Management and Board Appointments

Alexander Molyneux assumes CEO role; Peter Meredith becomes Chairman of Board.

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 10/12/09 -- SouthGobi Energy Resources Ltd. (TSX VENTURE: SGQ) announced a series of senior organizational changes today. Heading the change is the appointment of Alexander Molyneux, SouthGobi's current President, to the dual role of President and Chief Executive Officer (CEO). Mr. Molyneux joined SouthGobi as President in April this year and was formerly Managing Director, Head of Metals and Mining Investment Banking, Asia Pacific, with Citigroup. Mr. Molyneux succeeds Peter Meredith, who will assume the position of Chairman of the Board. John Macken, who has been Chairman since 2007, will remain a director of the company.

"Alex has demonstrated that he is the right person to take over as Chief Executive and guide our company into the next phase of growth," said Mr. Meredith. "Alex will lead the management team tasked with the expansion of the company's flagship Ovoot Tolgoi coal mine, as well as the ongoing development of the company's other coal projects in southern Mongolia and Indonesia."

Dave Bartell has been appointed Vice President, Director of SouthGobi's Mongolian Operations. Mr. Bartel has been the General Manager of Southgobi sands LLC, the company's Mongolian subsidiary, since November 2007 and Manager of Engineering since joining the company in January 2007. Dave has more than 30 years' experience in the mineral resources industry and was formerly an independent coal-industry consultant.

In September, SouthGobi appointed Gavin May, a veteran coal industry executive, as Chief Operating Officer. Mr. May is managing the company's coal mining and exploration operations in Mongolia. He has more than 25 years' experience in the industry and was formerly Chief Executive Officer and Managing Director of Gloucester Coal Ltd., which is listed on the Australian Stock Exchange.

About SouthGobi Energy Resources

SouthGobi Energy Resources is focused on exploration and development of its Permian-age metallurgical and thermal coal deposits in Mongolia's South Gobi Region. The company's flagship coal mine, Ovoot Tolgoi, is producing and selling coal to customers in China. The company plans to supply a wide range of coal products and electricity to markets in Asia.

Forward-Looking Statements: This document includes forward-looking statements. Forward-looking statements include, but are not limited to, the company's future ability to supply coal products and electricity to markets in Asia, and other statements that are not historical facts. When used in this document, the words such as "could," "plan," "estimate," "expect," "intend," "may," "potential," "should," and similar expressions are forward-looking statements. Although SouthGobi Energy Resources believe that the expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Important factors that could cause actual results to differ from these forward-looking statements are disclosed under the heading "Risk Factors" in SouthGobi Energy's Management's Discussion and Analysis of Financial Condition and Results of Operations for the year end Dec. 31, 2008, which is available at www.sedar.com.



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Contacts:
SouthGobi Energy Resources Ltd.
Steven Feldman
Investors
604-681-6799

SouthGobi Energy Resources Ltd.
Bob Williamson
Media
604-681-6799
www.southgobi.com