Synthesis Energy Systems and Midas Resources Announce the Formation of SES Resource Solutions

Synthesis Energy Systems SYMX and Midas Resources AG announced today the formation of SES Resource Solutions, Ltd, a 50/50 joint venture between SES and Midas. SRS has been created to provide an expanded business development platform to increase and accelerate the value created for SES from its U-GAS® technology. Key objectives of the joint venture are to identify and procure low cost, low rank coal resources for which SES' technology and the joint venture's know-how represent the best route to commercialization; to provide investment opportunities in both gasification facilities and coal resources; and to facilitate the establishment of gasification projects globally based on SES' technology. In pursuing these objectives, the joint venture will seek to minimize the requirement for joint venture shareholder capital and maximize the use of third party financing. Terms of the joint venture agreement include: SRS will have the exclusive right to promote SES' gasification technology for the purpose of securing low-cost coal resources in projects worldwide that have been approved by SES, Midas will provide expertise to originate and execute the above projects, SES will provide SRS with technology licenses and engineering development support for use in developing the joint integrated coal resource projects, SES and Midas will equally contribute to the formation and operation of SRS with SES budgeting USD$2.0MM and Midas contributing the equivalent amount in services over a two year period after which SRS should be self-funding, and SRS will be governed by a four person board of directors, two of which will be appointed by SES and two of which will be appointed by Midas.