Preheat oven to 350 degrees F.
Boil the water in the sauce pan with ½ cup of sugar for about 3 minutes. Remove from heat and allow to cool.
In your stand mixer blend the remaining cup of sugar with the butter and melted coconut oil.
Add the milk, and add the cooled water and sugar mixture. (The mixer should be going the entire time).
With the mixer on low speed add the eggs, vanilla, salt, baking soda, baking powder, xanthan gum, cocoa powder and gluten free all-purpose flour.
Beat on medium for about 5 minutes or until your batter has almost a pudding like consistency.
Add the coconut extract and mix on low for one minute.
Pour into your greased pans. I use coconut oil to grease the pan. 6 inch rounds cook about 25 minutes and 8 inch rounds cook 25-30 minutes. Check after 20 minutes in case your oven runs hot. Test with toothpick. Enjoy!