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Southgobi Announces Update ON Upcoming Annual General Meeting of Shareholders

Shareholder Meetings

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May 17, 2024

SOUTHGOBI ANNOUNCES UPDATE ON UPCOMING

ANNUAL GENERAL MEETING OF SHAREHOLDERS

VANCOUVER – SouthGobi Resources Ltd. (TSX-V: SGQ, HK: 1878) (“SouthGobi” or the

“Company”) announces an update on its upcoming annual general meeting of shareholders

which is scheduled to be convened on June 27, 2024, in Vancouver, British Columbia, Canada

(i.e. Friday, June 28, 2024, in Hong Kong) (the “Annual General Meeting”). A notice of the

Annual General Meeting which contains, amongst other things, the time, venue and the

detailed agenda of the Annual General Meeting, along with a management proxy circular

concerning certain matters to be considered at the Annual General Meeting, will be dispatched

to Shareholders on May 28, 2024 (Tuesday).

Reference is made to the announcements of the Company dated November 11, 2022, August

30, 2023, October 13, 2023, November 17, 2023, January 19, 2024, March 19, 2024, April 22,

2024, April 30, 2024 and May 13, 2024 (collectively, the “ Announcements”). Unless

otherwise specified, terms used in this announcement shall have the meani ng as defined in

the Announcements.

Since more time is required to finalise the management proxy circular relating to, among

others, the March 2024 Deferral Agreement and April 2024 Deferral Agreement, the Company

will no longer be seeking Independent Sha reholders approval for the March 2024 Deferral

Agreement and April 2024 Deferral Agreement at the upcoming Annual General Meeting as

previously announced. Instead, the Company will be seeking approval of the March 2024

Deferral Agreement and April 2024 Def erral Agreement, together with the Convertible

Debenture Amendment, from Independent Shareholders at a special meeting of shareholders

(the “Special Meeting”) to be held on or before August 30, 2024. The Company will propose

resolutions for the Independent Shareholders to consider and, if thought fit, approve each of

the March 2024 Deferral Agreement, the April 2024 Deferral Agreement and the Convertible

Debenture Amendment and the transaction contemplated thereunder.

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The management proxy circular containing, among other things, (i) details of the March 2024,

Deferral Agreement, the April 2024 Deferral Agreement and the Convertible Debenture

Amendment; (ii) a letter from the Independent Board Committee to the Independent

Shareholders; (iii) the recommendati ons from the Independent Financial Adviser to the

Independent Board Committee and the Independent Shareholders; and (iv) the notice of the

Special Meeting, will be published on the websites of the Company’s profile on SEDAR+

(www.sedarplus.ca), the Hong Kong Stock Exchange (www.hkexnews.hk) and the Company

(www.southgobi.com), and despatched to shareholders of the Company in accordance with

applicable securities laws on or before August 30, 2024.

If there is any inconsistency or discrepancy between the English and Chinese version, the

English version shall prevail.

About SouthGobi

SouthGobi, listed on the Hong Kong Stock Exchange and the TSX Venture Exchange, owns

and operates its flagship Ovoot Tolgoi coal mine in Mongolia. It also holds the mining licences

of its other metallurgical and thermal coal deposits in South Gobi region of Mongolia.

SouthGobi produces and sells coal to customers in China.

Contact:

Investor Relations

Email: [email protected]

Mr. Ruibin Xu

Chief Executive Officer

Office: +1 604 762 6783 (Canada)

+852 2156 1438 (Hong Kong)

Website: www.southgobi.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is

defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy

or accuracy of this release.