Synthesis Energy Systems Launches Third Party Licensing Business

Executes Revised License Agreement with the Gas Technology Institute

HOUSTON, Nov. 12 /PRNewswire-FirstCall/ -- Synthesis Energy Systems, Inc.
("SES") (Nasdaq: SYMX), a global energy and gasification technology company,
announced today that it has executed a revised license agreement with the Gas
Technology Institute ("GTI") for its U-GAS® technology rights.

Under the revised agreement, SES maintains its exclusive world-wide rights to
the U-GAS® technology for all types of coals and coal/biomass mixtures with
coal content exceeding 60%, and non-exclusive rights to biomass and
coal/biomass blends exceeding 40% biomass. The revised agreement expands the
rights and further defines the terms for SES to sub-license U-GAS® to third
parties for coal, coal and biomass mixtures, or 100% biomass projects.

With the reliable operations of SES' 95%-owned Hai Hua plant in China this
year, and its success gasifying difficult fuels such as high-ash coal washing
wastes, a high ash sub-bituminous coal and most recently a lignite coal, SES
is seeing significant interest from companies in the U.S., China, India and
Australia for licenses to use the technology for both biomass and coal
applications. Under the previous agreement with GTI, SES had limited rights
to sublicense U-GAS® to independent third parties. The revised agreement
enables SES to move forward quickly with establishing a licensing business.
As part of its third-party licensing business, SES also plans to provide key
technology components and engineering services.

Robert Rigdon, SES' President and CEO, said, "This is an important step for
our company as it allows us to build on our operational experience with U-GAS®
to more rapidly commercialize the technology and provide additional revenue
for the company through royalties, component sales and services. GTI has been
a great partner and over the last three decades has developed the U-GAS®
technology into a robust platform for coal and biomass. Together with our
U-GAS® technology engineering and plant operations experience, we believe we
can establish and grow our licensing business based on the proven U-GAS®
platform. We have already seen significant interest from established industry
players and are working towards meaningful revenue growth over the next two to
three years resulting from our licensing business."

Quinton Ford, GTI's Director of Commercialization, said, "We are pleased to
have entered into this expanded business relationship with SES that holds
promise to bring the technology to a broader audience as well as benefiting
both organizations financially. GTI is in the business of inventing and
developing innovative energy technologies and has a long history of successful
licensing to companies that are well-positioned to commercialize its
technologies, as SES is with U-GAS®."

About Synthesis Energy Systems, Inc.
SES is an energy and technology company that builds, owns and operates coal
gasification plants that utilize its proprietary U-GAS® fluidized bed
gasification technology to convert low rank coal and coal wastes into higher
value energy products, such as transportation fuel and ammonia. The U-GAS®
technology, which SES licenses from the Gas Technology Institute, gasifies
coal without many of the harmful emissions normally associated with coal
combustion plants. The primary advantages of U-GAS® relative to other
gasification technologies are (a) greater fuel flexibility provided by our
ability to use all ranks of coal (including low rank, high ash and high
moisture coals, which are significantly cheaper than higher grade coals), many
coal waste products and biomass feed stocks; and (b) our ability to operate
efficiently on a smaller scale, which enables us to construct plants more
quickly, at a lower capital cost, and, in many cases, in closer proximity to
coal sources. SES currently has offices in Houston, Texas and Shanghai, China.
For more information on SES, visit www.synthesisenergy.com or call (713)
579-0600.

Forward Looking Statements
This press release includes "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. All statements, other than
statements of historical facts, included in this press release that address
activities, events or developments that SES expects or anticipates will or may
occur in the future, including such things as business strategy and measures
to implement strategy, competitive strength, goals, expansion and growth of
the business and operations, plant expansion and growth of the quantity of
methanol production, references to future success, reference to intentions as
to future matters and other such matters are forward-looking statements.
These statements are based on certain assumptions and analyses made by SES in
light of its experience and its perception of historical trends, current
conditions and expected future developments as well as other factors it
believes are appropriate in the circumstances. Forward-looking statements are
subject to certain risks, trends and uncertainties that could cause actual
results to differ materially from those projected. Among those risks, trends
and uncertainties are our early stage of development, our estimate of the
sufficiency of existing capital sources, our ability to raise additional
capital to fund cash requirements for future operations, our ability to reduce
operating costs, the limited history and viability of our technology, the
impact of regulatory changes in China and elsewhere on our business, the
effect of the current international financial crisis on our business,
commodity prices and the availability and terms of financing opportunities,
our results of operations in foreign countries and our ability to diversify,
our ability to maintain production from our first plant in the Hai Hua joint
venture project, approvals and permits for our Yima project and other future
projects, the estimated timetables for achieving mechanical completion and
commencing commercial operations for the Yima project, and the sufficiency of
internal controls and procedures. Although SES believes that in making such
forward-looking statements its expectations are based upon reasonable
assumptions, such statements may be influenced by factors that could cause
actual outcomes and results to be materially different from those projected.
SES cannot assure you that the assumptions upon which these statements are
based will prove to have been correct. SES has no intention, and disclaim any
obligation, to update or revise any forward-looking statements, whether as a
result of new information, future results or otherwise.

SOURCE Synthesis Energy Systems, Inc.

Ann Tanabe, Vice President of Investor Relations of Synthesis Energy Systems,
Inc., +1-713-579-0600, Ann.tanabe@synthesisenergy.com