Replies to post #2397 on Syntroleum Corporation (SYNM)

[mkendra]

From 8-K dated July 9th - missed this - my bad.

Item 8.01 Other Events.
Following several months of negotiations, on July 9, 2013, Syntroleum Corporation ("Syntroleum" or "we") entered into a memorandum of understanding ("MOU") with a
U.S. based oil and gas exploration and production company to investigate the joint development of one or more 4,000 to 5,000 barrel per day natural gas to liquids ("GTL")
plants integrated into producing natural gas fields.
Under the terms of the MOU, we and the counterparty to the MOU agree to fund a detailed feasibility study and business plan regarding the building of a GTL plant at a site to
be finalized as part of the feasibility analysis. The business plan is expected to take 9 – 12 months to complete and thereafter it is envisioned the companies will negotiate
definitive agreements for construction of the GTL facility through a joint venture entity. In the event that a joint venture entity is formed, it is envisioned that the counterparty
to the MOU will contribute gas acreage and reserves and Syntroleum will contribute its GTL technology.
We believe that projects integrating gas reserves with a GTL facility have a number of advantages which include reserve and pricing security, reduced operating expense and
working capital requirements, and field to plant optimizations. Additionally, we believe integrated projects will have added flexibility in product sales as a regional facility can
offer higher netback prices in local fuels markets.