Item 1.01 Entry into a Material Definitive Agreement.

On August 13, 2009, Synthesis Energy Systems, Inc. (the "Company") entered into a letter agreement with Don Bunnell, the Company's President and Chief Executive Officer - Asia Pacific, amending the terms of his employment agreement with the Company dated July 14, 2006. The term of Mr. Bunnell's existing employment agreement with the Company expired on April 18, 2009. Pursuant to the letter agreement, the term of Mr. Bunnell's employment agreement was extended through August 31, 2010. In addition, Mr. Bunnell's base salary as stated in the employment agreement was increased to $15,000 per month, as had been previously approved by the compensation committee of the Company's board of directors.
A copy of the employment agreement is incorporated by reference herein as Exhibit 10.1 and a copy of the amendment is filed herewith as Exhibit 10.2. Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangement of Certain Officers.

The text set forth in Item 1.01 regarding the terms and conditions of the amendment to the employment agreement between the Company and Don Bunnell is incorporated into this Item 5.02 by reference. Item 9.01 Financial Statements and Exhibits.

(a) Financial Statements of business acquired

None.

(b) Pro Forma Financial Information

None.

(c) Shell Company Transactions

None.

(d) Exhibits

10.1 Employment Agreement between the Company and Don Bunnell dated April 19, 2006 (incorporated by reference herein to Exhibit 10.10 to the Company's Registration Statement on Form SB-2 (File No. 333-140367) filed on January 31, 2007). *10.2 Letter Agreement between the Company and Don Bunnell dated August 13, 2009.

* Filed herewith.

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