SouthGobi Resources Announces Cancellation of Sale of Tsagaan
SouthGobi Resources Announces Cancellation of Sale of Tsagaan Tolgoi Deposit
HONG KONG, CHINA -- (Marketwire) -- 08/29/12 -- SouthGobi Resources Ltd. (TSX:SGQ)(HKSE:1878) ("SouthGobi") announced today that the proposed sale of the Tsagaan Tolgoi Deposit to Modun Resources Limited (ASX:MOU) has been cancelled by mutual agreement of the parties. The Tsagaan Tolgoi Deposit remains non-core to SouthGobi and SouthGobi is evaluating options.
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", "likely" 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, 2011 which is available at www.sedar.com. Contacts: SouthGobi Resources Ltd. Dave Bartel Vice President Investor Relations and External Affairs (Hong Kong) +852 2156 7023 www.southgobi.com