Update ON Listing Application IN Canada

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November 22, 2022

UPDATE ON LISTING APPLICATION IN CANADA

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

“Company”) announces that reference is made to the Company’s announcements dated April

21, 2022, July 29, 2022 and September 15, 2022 (Hong Kong time) (“ Announcements”).

Unless otherwise specified, capitalized terms used in the Announcements shall have the same

meanings when used herein.

UPDATE ON EFFECTIVE DATE OF THE DELISTING

Pursuant to the Company’s announcement dated April 21, 2022, the Company announced

that it would be making an application (the “TSX-V Listing Application”) to the TSX Venture

Exchange (“ TSX-V”) to list the Company’s common sha res on the TSX -V, as well as an

application to the Toronto Stock Exchange (“ TSX”) for a voluntary delisting of its common

shares from the TSX, subject to the Company receiving approval from the TSX-V of the TSX-

V Listing Application. The Company has been notified by the TSX-V that the TSX-V is currently

unable to approve the Company’s TSX-V Listing Application because the Company does not

satisfy the TSX-V’s working capital listing requirements.

In light of foregoing, the Company will make an application (the “NEX Listing Application”)

to the NEX division of the TSX-V (“NEX”) to list its common shares on the NEX. The board of

directors of the Company has determined that it is in the best interest of the Company to seek

a listing of the Company’s common shares on the NEX because it offers a cost -effective

solution for the Company to maintain a listing of its common shares on an alternative trading

market in Canada.

The Company’s NEX Listing Application, once made, will be subject to review and approval

from the NEX. The Company is targeting to obtain approval of the NEX Listing Application and

complete the listing of its common shares on the NEX by the end of December 2022. As such,

the Company wishes to update its Shareholders and investors that because the Delisting shall

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be subject to obtaining approvals from the TSX and NEX in connection with NEX Listing

Application, the anticipated Effective Date is thus postponed to the end of December 2022.

The Company will provide further updates once further information is available. The Company

anticipates that its common shares will remain listed on the TSX while the NEX Listing

Application is under review by the NEX.

There may exist certain uncertainties as to whether and when the Delisting will proceed.

Shareholders who have any queries about the implications of the Delisting are advised

to obtain appropriate professional advice. Shareholders and potential investors are

advised to exercise caution when dealing in the securities of the Company.

The Company will closely monitor the development of the aforesaid matters and keep the

Shareholders and potential investors informed of any material development in connection with

the above matters by way of periodic announcements and/or further announcement(s) as and

when appropriate.

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

version, the English version shall prevail.

About SouthGobi

SouthGobi, listed on the Toronto and Hong Kong stock exchanges, owns and operates it s

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

Office: +852 2156 1438 (Hong Kong)

+1 604 762 6783 (Canada)

Email: [email protected]

Website: www.southgobi.com

Forward-Looking Statements

Certain information included in this press release that is not current or historical factu al

information constitutes forward -looking statements or information within the meaning of

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applicable securities laws (collectively, “forward -looking statements”), including information

about the Company’s application to list its common shares on the NEX . Forward -looking

statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”,

“believe”, “anticipate”, "could", "should", "seek", "likely", "estimate" and other similar words or

statements that certain events or conditions “may” or “will” occur. Forward-looking statements

are based on certain factors and assumptions including, among other things, the ability of the

Company to satisfy the NEX’s listing requirements and the NEX approving the Company’s

NEX Listing Applicatio n and other similar factors that may cause actual results to differ

materially from what the Company currently expects. Actual results may vary from the forward-

looking statements. Readers are cautioned not to place undue importance on forward-looking

statements, which speaks only as of the date of this disclosure, and not to rely upon this

information as of any other date. While the Company may elect to, it is under no obligation

and does not undertake to, update or revise any forward -looking statements, w hether as a

result of new information, further events or otherwise at any particular time, except as required

by law. Additional information concerning factors that may cause actual results to materially

differ from those in such forward-looking statements is contained in the Company’s filings with

Canadian securities regulatory authorities and can be found under the Company’s profile on

SEDAR at www.sedar.com.