SouthGobi Resources : Announcements and Notices - Appointment of Hong Kong Company Secretary and Change of Authorized Representatives

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited (the "Stock Exchange") take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

南戈壁資源有限公司*

(A company continued under the laws of British Columbia, Canada with limited liability)

(Hong Kong Stock Code: 1878) (Toronto Stock Code: SGQ)

The Company further announces that Mr. Kwok Siu Man ("Mr. Kwok") has been appointed as the Hong Kong Company Secretary of the Company, the Authorized Representative of the Company under the Companies Ordinance and an Authorized Representative under the Listing Rules with effect from October 12, 2016.(the "Appointment").

Mr. Kwok is an executive director and the Head, Corporate Secretarial of Boardroom Corporate Services (HK) Limited and a director of Boardroom Share Registrars (HK) Limited. He has over

25 years' extensive legal, corporate secretarial and management experience gained at company secretary and other senior positions from companies overseas and in Hong Kong (including the Hang Seng Index Constituent and Hang Seng Mid-Cap 50 stock companies). Mr. Kwok is a fellow member of each of The Institute of Chartered Secretaries and Administrators and The Institute of Financial Accountants in England, the Institute of Public Accountants in Australia, The Hong Kong Institute of Chartered Secretaries ("HKICS"), The Association of Hong Kong Accountants and The Hong Kong Institute of Directors and possesses professional qualifications in arbitration, taxation, securities and investment, financial planning, etc.

* For identification purposes only

In addition, he holds a bachelor of arts degree and a post-graduate diploma in laws and has passed the Common Professional Examinations in England and Wales. Having been the longest-serving director of the HKICS, he was the reviewer and the chief examiner of the "Hong Kong Company Secretarial Practice / Corporate Secretaryship" of the international qualifying examinations of the HKICS.

By Order of the Board

Chairman

Hong Kong, October 12, 2016

As at the date of this announcement, the executive directors of the Company are Messrs. Ningqiao Li, Aminbuhe and Yulan Guo; the independent non-executive directors are Messrs. Zhu Liu, Mao Sun, Joseph Belan and Ms. Jin Lan Quan; and the non-executive director is Mr. Huiyi Wang.

October 12, 2016

The Company further announces that Mr. Kwok Siu Man ("Mr. Kwok") has been appointed as the Hong Kong Company Secretary of the Company, the Authorized Representative of the Company under the Companies Ordinance and an Authorized Representative under the Listing Rules with effect from October 12, 2016.(the "Appointment").

Mr. Kwok is an executive director and the Head, Corporate Secretarial of Boardroom Corporate Services (HK) Limited and a director of Boardroom Share Registrars (HK) Limited. He has over

25 years' extensive legal, corporate secretarial and management experience gained at company secretary and other senior positions from companies overseas and in Hong Kong (including the Hang Seng Index Constituent and Hang Seng Mid-Cap 50 stock companies). Mr. Kwok is a fellow member of each of The Institute of Chartered Secretaries and Administrators and The Institute of Financial Accountants in England, the Institute of Public Accountants in Australia, The Hong Kong Institute of Chartered Secretaries ("HKICS"), The Association of Hong Kong Accountants and The Hong Kong Institute of Directors and possesses professional qualifications in arbitration, taxation, securities and investment, financial planning, etc. In addition, he holds a bachelor of arts degree and a post-graduate diploma in laws and has passed the Common Professional Examinations in England and Wales. Having been the longest-serving director of the HKICS, he was the reviewer and the chief examiner of the "Hong Kong Company Secretarial Practice / Corporate Secretaryship" of the international qualifying examinations of the HKICS.

SouthGobi, listed on the Toronto and Hong Kong stock exchanges, owns and operates its flagship Ovoot Tolgoi coal mine in Mongolia. It also holds the mining and exploration licences of its other metallurgical and thermal coal deposits in South Gobi Region of Mongolia. SouthGobi produces and sells coal to customers in China.

Kino Fu

Office: +852 2156 7030

Email: kino.fu@southgobi.com