SouthGobi Energy Resources Names Veteran Coal Industry Executive Gavin May as Chief Operating Officer

  Alexander Molyneux, President of SouthGobi Energy Resources Ltd. (TSX VENTURE: SGQ), is pleased to announce the appointment of Gavin May as the company's new Chief Operating Officer. Mr. May, operating out of Hong Kong, will be responsible for managing the company's coal mining and exploration operations in Mongolia and Indonesia.

Mr. May has more than 25 years experience in the coal industry and was the Chief Executive Officer and Managing Director of Gloucester Coal Ltd. (an Australian Stock Exchange listed company with a market value in excess of US$400 million) and its predecessor company for six years until mid-2007. Mr. May's extensive coal mining experience is uniquely varied and includes project geology, coal handling and preparation, operational planning and marketing. His most recent position was as a Director of Noble Resources Australia Pty. Ltd. Mr. May is a qualified geologist and holds a Bachelors Degree in Science (Geology Major) from Macquarie University in Australia.

"We are very excited to have Gavin join our team," said Mr. Molyneux. "It's not easy to attract executives of such a high caliber and with such depth of experience at a senior level as Gavin, which I believe serves as a testament to the potential our projects represent."

Mr. May has been granted options to acquire 400,000 common shares of the company at a price of $12.99 per share for a period of seven years. The options were granted in accordance with the company's equity incentive plan for employees and directors.

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 and its Eocene-age metallurgical and thermal coal deposits in East Kalimantan, Indonesia. The company's flagship coal mine, Ovoot Tolgoi, is selling coal to customers in China. The company plans to supply a wide range of coal products and electricity to markets in Asia.

Ivanhoe Mines (TSX: IVN)(NYSE: IVN)(NASDAQ: IVN) is SouthGobi Energy Resources' largest shareholder, currently owning, directly and indirectly, approximately 80% of the issued and outstanding shares.

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.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contacts: SouthGobi Energy Resources Ltd. Steven Feldman Investors [phone] SouthGobi Energy Resources Ltd. Bob Williamson Media [phone] www.southgobi.com