Source: SouthGobi Resources            June 10, 2010

The Board of Directors of SouthGobi Resources has authorized a share repurchase program to purchase up to 2.5 million common shares of the company on each or either of the Toronto Stock Exchange and the Hong Kong Stock Exchange, in aggregate representing approximately up to 5 million common shares or 2.7% of the current outstanding common shares of the company.  The share repurchase program will commence on June 15. The Board decided on the repurchase program “as the current market price may not reflect the underlying value of SouthGobi's common shares”. The program will not impact on SouthGobi's growth plans.