Synthesis Energy Systems Inc · OTC:SYNE
Synthesis Energy Systems — Investor Presentation (August 2016)
32 slides from Synthesis Energy Systems's investor presentation, Aug 16, 2016
Slide 1: Growth with Blue Skies: Corporate Overview
ee -s Synthesis E Systems, Inc. GROWTH WITH BLUE SKIES Corporate Overview August 2016 GLOBAL PROVIDER OF LOW-COST CLEAN ENERGY
Slide 2: SES Forward-looking Statements
SES Forward-looking Statements ‘This presentation includes “orwerd-ooking statements” within the meaning of Seton 27A\of the Series AGt of 1899, ae amended, and Section 21€ of the Exchange Act. All statements other than statements of historical fact are forward460 ments, Forward-looking statements a
Slide 3: SES Snapshot
SES Snapshot + Industrial growth model Market Cap $100.8 MM + Syngas enables developing world to tap low-cost Shares Outstanding 86.9 MM domestic resources, replaces expensive NG + Multiple channels, multiple products, multiple PUTTS SoMM billion-dollar growth markets % Officers and 11.1% + Leadersh
Slide 4: Meets Global Needs & Resources
= Meets Global Needs & Resources y i i building GDP + Economic and geographic realities: + Abundant domestic, untapy coal-burning technologies + Natural gas is expensive or unavailal ‘Asia continues to drive ook Ne lew markets Sra in users, le India, Africa, and Soutt Industral 8 utty projects plann
Slide 5: A New China Paradigm
A New China Paradigm SES is Well Aligned, Established & Positioned in China ©) 1°SGT: tion: 2007, Shandong Province @ systems) Tianwo-SES; gi I : CCTEG; as i 14 SGT systems: 7 commercial, 5 in commissioning; 2 in development : fe for higher energy efficiency SES: Expanding in Chi ° et 2 pecorcmnical
Slide 6: Utilizes Low-cost, Locally Sourced Coal, Biomass and Wastes
25 Utilizes Low-cost, Locally Sourced Coal, Biomass and Wastes World's only commercially demonstrated range of feedstocks to produce clean syngas 14 SGT systems: 7 commercial, 5 in commissioning; 2in development + High barrier decade >$400 million plied ent & Caner + Originated from U-GAS®, exclusiv
Slide 7: Cleanly Creates Energy Products In Need
bes Cleanly Creates Energy Products In Need iP ¥ Higher efficiency 7 eo yee iene Ww rank coal capably ¥ Finiosies scialiion ¢ ice mew care nverting to useful retice ta via Scunsiean ee currently in developme Feedstock vs. Natural Gas Greater fuel flexi ‘ibility ~ Lower cost, fonestic ete feedstock %
Slide 8: Building On Achievements, Positioned for Growth
Building On Achievements, Positioned for Growth * Outstanding SGT sete ee * Strong Base For Growt! + Industrial Growth noe Coporaton of Tianwo-SES a7 SGT Equipment Gastication Vina Lan Design and Systems — fg See Cee Manufacturing Industrial Fuel Project 3 SGT Gas y Systems (2+1) 22 Syngas Project 2
Slide 9: Value Creation Model
‘5S Value Creation Model ae Capex $1004 (Eauty 208M; Debt $706) . ee project IRR = ihe (unlevered); Semana Sele epllenn ss 1s for each * Each project sells on, aati diets 25 X EBITDA 1 Se et ieee ash pipet boner aclait De eee ae aes Projects Sell ona Multiple 66.25 Proceeds Return Proce Retut Stage
Slide 10: Maximizing the Opportunity
bes Maximizing the Opportunity Tested Range * Multiple Revenue 0.2-4.6 Multiple Energy 01 el Clean 5 Heating Value HHV, 5,250-15,400 Btu/Ib - a Range: Bench, Plot, Demo & Commercial Scale
Slide 11: Well Positioned for Large & Growing Energy Markets
5 Well Positioned for Large & Growing Energy Markets " = —_ fa Gas Fuel Markets of Industrial Fuels, H2 & SNG iGAS Power + INDUS’ Eamaportaton ‘fuels t ‘Growth in passenger cars. + POWER GENERATION: SES's reliable and efficiey which are projected to outpace electricity deman India to reach eneray pe
Slide 12: World-class Collaborators
World-class Collaborators Tianwo-SES Clean Energy Asian JV Partnership Global Business Partners Regional Partners TIANWO-SES CLEAN ENERGY TECHNOLOGIES CO. Sino-Foreign Joint Ventur SES 3535, THVOW 65% g €@ Ge Miprex Strat E Packaged Po Establist icing ayes ne area Midrex Technologies — INGLE So Sees
Slide 13: Growth Market 1: Industrial Syngas
ses Growth Market 1: Industrial Syngas — Ltd, state-owned arm + Total 20 projects in 5 years varying in size and range between $75 million ~ > $400 million each in est. installed costs Initial SES-CESI platform pro} pe Lijin County Binhai New Mult project ith est. total 2 billon yuan ane” milion) pl
Slide 14: Growth Market 1: Industrial Syngas — Fuels
<5 Growth Market 1: Industrial Syngas — Fuels A) INDUSTRIAL FUELS: new business pipeline it ii ‘ial, 5 in commissioning; 2 in development
Slide 15: Global Growth Market 2: iGAS Power
Global Growth Market 2: iGAS Pow lectric Power Consumption per Capita - Fath ’ Peay reeset : : ys ene coz ely Sed y - Initial iGAS project: 1GOMW IGAS syngas-to-power = | i il ds 4. aetna powe a ra id ff ; % : Desores to ulize 2 state-of-the-art SES X12000 gasiaton ee 7 SSIS ond CE ecco Wees apie co
Slide 16: Potential Growth Market 3: Substitute Natural Gas
Potential Growth Market 3: Substitute Natural Gas + SGT superior environmental performance and lower cost for substitute natural gas + Clean syniges for conversion into pipeline natural g conversion technology portunity + SES’s SNG pipelin: vIn ue 24,6 cele et at supply pacity to sh 32BNCI 2017 SES
Slide 17: SGT China JV Plants
= SGT China JV Plants Yima JV Plant — Henan Province + 25% SES, 75% Yima Coal Industry Group — Joint Venture sure, Higher press 377,000 metric ton per yes (HTH) nomeoiate methaned ity — r ant expect on 0 = based on customary Chinese operating practices oe chemical plants Shandong Province Facility b
Slide 18: Growing Pipeline of Opportunities
a3 .. Growing Pipeline of Opportunities =China = USA = Africa Sel a bs iemicals = Fertilizers = Liquid Fuel = Other SES Revenues ¥ Technology licensing, equipment and services v SES equity-position industrial syngas projects in commercial development ¥ Proof-of-principal JV plant operations: Yima, Z
Slide 19: SES 12-Month Catalysts
S SES 12-Month Catalysts nt - Advance initial two SES-CESI platform projects — for Lijin County Binhai New District and Shandong Dongying Hekou District Government — for pipeline hydrogen cleaner transportation ‘uels, and bring additional clean energy projects into the platform China and to mo i ii
Slide 20: SES 12-Month Catalysts
#5 SES 12-Month Catalysts * JV Assets as well a: ~ Yima JV P! " CAIN CLEAN ENERGY H, - Industrial Fuels - SNG - iGAS Power
Slide 21: Appendix
S25 APPENDIX + Leadership + Management + Board of Directors + Partners & Collaborators + Includes Tianwo-SES current projects - Global Natural Gas: Long-term Asian Outlook - Global Coal Reserves
Slide 22: Management
kes Management DeLome Fair, i Appointed SES's chief executive in February 2016. uuive team as SVP, Gasification 1eeinclogy In December 2014, 25 years’ ausiication and IGEC technology expertise In eherey etrachemical Industries, with GE and Chevron/Texaco, Ten years at GE Energy included Sentral maba
Slide 23: Management
V Management John Winter, Ph.D., Sile f cas) er including 15 years of gasification technology research, + 30-year petrochemical ind xperience, i eopiidertoa ce a tees services and gasification operations. Past senior positions include GE ac) chevron’ eae, Allied Plastics and ical h.D., Chi fH M.S. a
Slide 24: Board of Directors
825 Board of Directors borenzo ramet gr chal © 2001, Managing Director of Globe Development Group, TEC%S rm that specializes in the development of large-scale energy, power generat on, Ite nte eer neers coals SIPS Meo nner ve nd a abr investments with 40: includes positions with General Electric and
Slide 25: Board of Directors
85 Board of Directors sory Ri + Chairman ead E with a particular focus on advising companies regarding strategy, scauisitons and divestitures: Brosd executive and financial management background spare computer software, entertainment and consumer brand industries, with companies including GY Interac
Slide 26: Partners & Collaborators
ses Partners & Collaborators Shing Cee Ltd (CEst) + March 2016 agreement Total 20 p ge fron Technology Co., Ltd. 000+ employees 1, Ltd. ~ 35% SES, 65%
Slide 27: Partners & Collaborators
ses Partners & Collaborators Tianwo-SES Current Projects: ‘Secured by Thi Tianwo-SES JV (approximately $22 million) THVOW Ltd, (decor + Shandong Xinhai Industrial Co., Ltd.: + SES JV Partner, Thvoy nounced wi It Coal-to-syngas EPC turnkey facility, which would be designed toprowte a NOW frase ua for
Slide 28: Partners & Collaborators
825 Partners & Collaborators Ina ssencs —— AT) ‘uari and Simon India are member companies of the Adventz Group, a $3 billion Indian conglomerate comprising 25 companies in verious iadustviee” Incuclhg iVOh-aiatty complex fertilizers Broader SGT engineering support globally Pow + SES iGAS Collaborato
Slide 29: Partners & Collaborators
825 Partners & Collaborators o DRI for 1 Pre ‘ion & Expanded global strategic alliance in July 2015 - Midrex assu Coal gasification-based next-gen Direct Reduced Iron (DRI) solution ‘State-of-the-art projects to combine industry-leading MIDREX" Process using the MXCOL® configuration with SGT to ee f
Slide 30: Global NG: Long-term Asian Outlook
yy =" Global NG: Long-term Asian Outlook + Long-term natural gas price outlook in Asia supports coal casticaton project development + SGT's ability to use virtually all grades of coal, including oe lignite and coal wastes, bring additional economic advantage: + Indigenous domestic natural resources
Slide 31: Global Coal Reserves
boar Nigri ge Geren Renewable biom ‘and municipal a, ‘wastes are pbbruninin ate 3 alternative SGT 2 feedstocks
Slide 32: Investor Relations Contact
ee -s Synthesis nergy Systems, Inc. GROWTH WITH BLUE SKIES Investor Relations: MDC GROUP Contact: David Castaneda (414) 351-9758 | IR@synthesisenergy.com
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