NOVELTY - A composition (C1) comprises: a culture of microorganisms, comprising at least one microorganism that converts hydrogen gas and at least one compound selected from carbon dioxide gas and carbon monoxide gas, to ethanol in aqueous media. The ethanol concentration in the media reaches at least 2 vol.%.    USE - For producing the lower alkyl alcohol selected from ethanol, propanol (preferably 1-propanol), and/or butanol (preferably 1-butanol); and for producing volatile fatty acids selected from acetic acid, propionic acid, butyric acid, isobutyric acid, and isovaleric acid; from hydrogen gas and at least one compound selected from carbon dioxide gas and carbon monoxide gas, using a microorganism; the volatile fatty acids are used in an animal feed (all claimed), ethanol is used for producing chemicals and as a fuel.    ADVANTAGE - The conditions of the processes can be optimized, such that the microorganisms that produce certain desired products or higher rate of production, are favored. The process is cost effective, does not require harsh chemicals or high temperatures, uses fewer processing steps, and provides large scale production of alcohols or fatty acids from synthesis gases. The partial pressures of hydrogen gas, carbon dioxide gas, and carbon monoxide gas make the process thermodynamically feasible to produce ethanol at greater than 7 (preferably greater than 10) vol.%, in aqueous media. Some of the isolated microorganisms used are aerobic or aerotolerant, offering advantages of handling.    DETAILED DESCRIPTION - INDEPENDENT CLAIMS are included for the following:    (1) isolating (M1) an alcohol-tolerant microorganism to produce a lower alkyl alcohol from hydrogen gas, and carbon dioxide gas and/or carbon monoxide gas;    (2) producing (M2) at least one lower alkyl alcohol from hydrogen gas, carbon dioxide gas and/or carbon monoxide gas in aqueous media, where the concentration of lower alkyl alcohols increases to greater than 4 vol.% of the aqueous media; and    (3) producing (M3) at least one volatile fatty acid from hydrogen gas, carbon dioxide gas and/or carbon monoxide gas using at least one microorganism under conditions that favor synthesis of the desired volatile fatty acids over degradation to greater than 3 vol.% concentration.