I believe mngwrite (and mng recording in general) has been broken since v0.107. Try using version v0.106 or earlier.
I'm working on a new version of mng2avi. One problem with mng files is that the library used to process them reads in the whole file, and thus takes a geegob of memory. Also, it is not particularly robust.
Lastly, mng creation is not very fast. You may not be able to play a game (especially a complicated one such as sf3) at full speed while taking a mng snapshot. For gameplay recording, you might try using -record then playing back the the recording with -mngwrite.