A method for removing hydrogen sulfide to produce elemental sulfur from a synthesis gas feed stream containing hydrogen sulfide, carbon monoxide, hydrogen, carbon dioxide and water using direct oxidation of hydrogen sulfide by contacting a feed stream containing synthesis gas with oxygen in the presence of a catalyst comprised of metal oxides to convert a substantial fraction of the hydrogen sulfide present in the feed stream into sulfur and water, followed by cooling the reaction products to a temperature below the dew point temperature of the water and sulfur, separating the reaction products into two streams, with the first stream containing elemental sulfur and water in liquid form and the second stream containing unreacted components from the synthesis gas, hydrogen sulfide, carbon monoxide, hydrogen, carbon dioxide and water, and then recycling a portion of the unreacted components to the feed stream.