SouthGobi Resources Closes Strategic Investment in Aspire Mining Limited

HONG KONG, CHINA--(Marketwire - Dec. 23, 2010) - SouthGobi Resources Ltd. (TSX:SGQ)(SEHK:1878), announced today that it has completed the private placement with Aspire Mining Limited ("Aspire") (ASX:AKM) announced on October 26, 2010. Pursuant to the private placement, SouthGobi has acquired 105,860,186 common shares of Aspire at a price of A$0.19 per share, for an aggregate purchase price of approximately A$20.1 million.

After giving effect to the transaction, SouthGobi holds approximately 19.9% of Aspire. SouthGobi will have the right to nominate one director to the Board of Aspire and the right to maintain its proportionate shareholding in Aspire for a period of two years.

Aspire shares closed on the ASX on December 23, 2010 at A$0.485 per share.

Aspire is a ASX listed coal exploration company focused on advancing the Ovoot Coking Coal Project in Mongolia along with the Nurant and Shanagan Coal Projects.

About SouthGobi Resources

SouthGobi 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 to markets in Asia.

Forward-Looking Statements: This document includes forward-looking statements. Forward-looking statements include, but are not limited to, plans to supply a wide range of coal products to markets in Asia; and other statements that are not historical facts. When used in this document, the words such as "plan," "estimate," "expect," "intend," "may," and similar expressions are forward-looking statements. Although SouthGobi believes 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's Management Discussion and Analysis of Financial Condition and Results of Operations for the year ended Dec. 31, 2009, and quarter ended September 30, 2010 which are available at www.sedar.com.

For more information, please contact SouthGobi Resources Ltd.
Steven Feldman
Investor Relations Manager (Vancouver)
+1 604 331 9813
www.southgobi.com

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