Synthesis Energy Systems Inc · OTC:SYNE
Synthesis Energy Systems — Investor Presentation (June 2017)
26 slides from Synthesis Energy Systems's investor presentation, Jun 2, 2017
Slide 1: Growth With Blue Skies
Synthesis Energy Systems, Inc. Clean - Economic - Sustainable Global Energy June 2017 Growth With Blue Skies
Slide 2: SES Forward-looking Statements
SES Forward - looking Statements This presentation includes “forward - looking statements” within the meaning of Section 27 A of the Securities Act of 1933 , as amended, and Section 21 E of the Securities Exchange Act of 1934 , as amended . All statements other than statements of historical fact are
Slide 3: SES: Investment Opportunity Summary
SES: Investment Opportunity Summary Superior and proven technology • 30 years of R&D development • 5 commercial facilities built with 12 gasification systems • Replaces expensive natural gas • Opportunity to capitalize on ten years of investment Current Assets • Batchfire Resources ~11% • Australian
Slide 4: SES Gasification Technology (SGT)
CO 2 Low Grade Coal Biomass Syngas Processing Syngas (CO+ H 2 ) SULFUR Ash iGAS Power Low Value Feedstock SES Gasification Processing $3 - 6 per MMBTU Cost of Syngas (1) High Value End Products MSW Industrial Fuels Chemicals & Fertilizers SNG DRI for Steel Production Diesel & Naphtha 4 H2 for Cleane
Slide 5: SGT: The Road to Commercialization
• Proven commercial technology » ~$ 200MM R&D: Gas Technology Institute (GTI) » ~$ 200MM Commercialization & Investment: SES » >$300MM Investment and Debt: Chinese Partners & Customers • Twelve commercial - scale gasification systems built over the past 10 years • Technology license for first AFE pr
Slide 6: SGT is the Superior Gasification Technology
Best Performance Moderate Performance Worst Performance SGT is the Superior Gasification Technology Slag Non-slag Dry Feed Slurry Feed Cost Factors Capital Cost Low Capital Cost Operating Cost Lowest Operating Cost Performance Factors Carbon Conversion Best in class Cold Gas Efficiency Best in class
Slide 7: SGT: Greener Solution
SGT: Greener Solution Minimal air pollutants (coal reaction vs burning) • SO x , No x and Particulate Matter near natural gas levels • Lower cost of electricity than natural gas in many parts of the world Reduced water consumption • >30% less water consumption than coal burning technologies • Lower
Slide 8: SES Project History
8 Project Year Gasifier Systems Product Syngas Capacity (nm3/hr) Pressure Cost SES Role Zao Zhuang 2008 - 2014 2 Methanol 20,000 3 Bar $40MM (1) 100% Equity, Technology & Equipment Yima 2012 - present 3 Methanol 90,000 10 Bar $250MM (1) 25% Equity, Technology & Equipment Chalco Shandong 2015 - prese
Slide 9: Operating Structure
Operating Structure Licensing Proprietary Equipment Sales Technology Engineering & Services O&M for SES Projects SES Technologies SES Capital Development Packaged Products SES Asset Management Financing & Capital Management Project Investment Holdings Project Development & EPCM • SGT Licensing & Equ
Slide 10: Success Story: Australian Future Energy
Success Story: Australian Future Energy Partnership established 2014, SES Ownership Position: ~40% Differentiated by SES syngas production technology • Unique lower emissions • Low - cost production from lower cost, lower rank coals and biomass $10 billion pipeline of projects under evaluation • Tec
Slide 11: AFE project opportunities and first technology license
Several project opportunities identified, totaling approximately $10 billion in installed costs (1) • Multiple locations, multiple end products • Technology and equipment, and equity ownership for long - term recurring revenues AFE currently down - selecting two initial projects for advancement Sign
Slide 12: Assets: Yima JV and Tianwo-SES JV
Assets: • Yima JV Plant – Henan Province » 25% SES, 75% Yima Coal Industry Group – Joint Venture » 330,000 metric tons per year production capacity » 3 SGT Systems, 10 bar operation » Plant is currently operational • China Regional JV: Tianwo - SES Clean Energy Technologies Co. » Sino - Foreign JV:
Slide 13: SES's iGAS Packaged Product For Electricity Production
13 ©2017 Synthesis Energy Systems, Inc., All Rights Reserved SES’s iGAS Packaged Product For Electricity Production Large global demand for power > 900 GW required for China & India to reach EU electric power per capita standard (1 ) iGAS product features: • Standard configurations (40,80,160,+ MW)
Slide 14: Emerging Global Business
Emerging Global Business Projects in discussion/bidding/early development: • Substitute Natural Gas (SNG) • Fertilizer • Electric Power ( iGAS and Repowering) • Industrial Syngas • Methanol SES Projects & Opportunities • SGT projects provide: » Topline revenue for technology and licensing, and equip
Slide 15: SES Value Creation Potential – Examples
SES Value Creation Potential – Examples 15 • ~$75 - $100 MM order value (top line revenue) (1)(2) • Order (contribution) margins of 20 - 30% • Revenue stream flows to SES during 24+ month development, construction and startup cycle (3) Technology & Equipment Single Example Project – Clean Syngas Isl
Slide 16: SES Pipeline Projects
16 SES Pipeline Projects Notes: (1) List of active projects in current SES pipeline, it is not expected that all projects will follow through to compl eti on, but it is also anticipated that new projects will be identified that are not known at this time. Project names are not included to protect co
Slide 17: Batchfire Resources: An AFE Success Story
Batchfire Resources: An AFE Success Story Australian company created by AFE and spun - out in 2016 Acquired Callide Coal Mine, Central Queensland, October 2016 • Open pit thermal coal mine and associated processing infrastructure • Mature and significantly sized coal producer: » ~230 million tonnes
Slide 18: Why Synthesis Energy Systems Now
Why Synthesis Energy Systems Now 18 • Superior and proven technology » 5 Projects built, with 12 SGT Systems; >$700MM total invested over 40 years (1) » Fully commercialized clean energy solution • Positioned to grow globally » AFE is SES’s first successful resource ownership and clean energy multi
Slide 19: Appendix
Appendix • Leadership Bios • Vertical Markets • SGT China JV Plants • Licensed SGT Projects • World Coal Reserves 19
Slide 20: SES Leadership: Management
SES Leadership: Management DeLome Fair, President and Chief Executive Officer • Appointed SES’s chief executive in February 2016. Joined the SES executive team as SVP, Gasification Technology in December 2014. 25 years’ gasification and IGCC technology expertise in energy and petrochemical industrie
Slide 21: SES Leadership: Board of Directors
SES Leadership: Board of Directors Lorenzo Lamadrid , Chairman • Ten - year tenure as Chairman of SES. Since 2001, Managing Director of Globe Development Group Robert W. Rigdon , Vice Chairman • Served as President and CEO from 2009 until February 2016, with an eight - year tenure with SES Harry Rub
Slide 22: SGT: Well-positioned for Large Energy Markets
SGT: Well - positioned for Large Energy Markets 22 ©2017 Synthesis Energy Systems, Inc., All Rights Reserved Advanced Technology Cleanly, Economically, and Sustainably Answers Demand, Brings Energy Independence Note: (1) GE press release reference to GE’s “The Rise of Distributed Power” White Paper,
Slide 23: SGT China JV Plants
SGT China JV Plants 23 Yima JV – 3 SGT Systems ©2017 Synthesis Energy Systems, Inc., All Rights Reserved Yima JV Plant – Henan Province • 25% SES, 75% Yima Coal Industry Group – Joint Venture • Higher pressure, 10 bar operation • 377,000 metric tons per year (MPTY) nameplate methanol design capacity
Slide 24: Licensed SGT Projects
Licensed SGT Projects • Aluminum Corporation of China (CHALCO): • China’s largest alumina and primary aluminum producer and the world’s second largest alumina producer • SGT economically advantaged clean coal NG replacement projects • 3 industrial fuel supply plants • Secured by China JV Tianwo - SE
Slide 25: World Coal Reserves
USA Total: 237.3 Bituminous & Anthracite: 108.5 Sub - bituminous & Lignite: 128.8 Africa Total: 31.8 Bit & Anthracite: 31.6 Sub - bituminous & Lignite: 0.2 India Total: 60.6 Bit & Anthracite (high ash): 56.1 Sub - bituminous & Lignite: 4.5 Australia Total: 76.4 Bit & Anthracite: 37.1 Sub - bituminou
Slide 26: Growth With Blue Skies
Nasdaq: SYMX synthesisenergy.com Growth With Blue Skies Investor Relations: MDC GROUP Contact: David Castaneda, (414) 351 - 9758 IR@synthesisenergy.com
Synthesis Energy Systems — Investor Presentation (June 2017) on 6ix