Source: SouthGobi Resources                        Date: 06 April, 2011

SouthGobi Resources Ltd. has said that new, independent estimates have updated coal resources and proven and probable mineral reserves contained at its Ovoot Tolgoi complex, comprising the Ovoot Tolgoi coal mine and the Ovoot Tolgoi underground deposit. Independent estimates for coal resources have also been updated for the company's Soumber deposit.

Total proven and probable surface coal reserves at the Ovoot Tolgoi complex as of December 11, 2010, are estimated to be 106.8 million tons, approximately 59% of which is classified in the proven reliability or assurance category, and the remaining 41% in the probable category.

The Soumber deposit area is estimated to contain measured plus indicated coal resources of 61.4 million tons (approximately 187% increase), with an additional inferred coal resource of 65.8 million tons (approximately 19% increase) as of January 25, 2011.