|                                                                               | ROSS      MILLERSecretary      of State204      North Carson Street, Ste 1Carson      City, Nevada 89701-4299(775)      684 5708Website:      secretaryofstate.biz |   |
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|                                                                               |                                                                                                                                                               |   |
|  Articles      of Merger (PURSUANT      TO NRS 92A.200) Page      1 |                                                                                                                                                               |

| USE BLACK INK ONLY - DO NOT      HIGHLIGHT | ABOVE      SPACE IS FOR OFFICE USE ONLY |
|--------------------------------------------|-----------------------------------------|

| 1)    |  Name      and jurisdiction of organization of each constituent entity (NRS 92A.200).      If there are more than four merging entities, check box oand attach an 81/2" x 11"      blank sheet containing the required information for each additional      entity. |
|----------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | AE Biofuels,      Inc.                  |
|--------|-----------------------------------------|
|   |  Name of merging      entity  |   |   |
|   |  Nevada                            |   |  corporation |
|   |  Jurisdiction                      |   |  Entity type      * |

|   |  Name of merging      entity  |   |                     |
|--------|-----------------------------------------|--------|--------------------------|
|   |  Nevada                            |   |  corporation        |
|   |  Jurisdiction                      |   |  Entity type      * |

|   |  Name of merging      entity  |   |                     |
|--------|-----------------------------------------|--------|--------------------------|
|   |  Nevada                            |   |  corporation        |
|   |  Jurisdiction                      |   |  Entity type      * |

|   |  Name of merging      entity  |   |                     |
|--------|-----------------------------------------|--------|--------------------------|
|   |  Nevada                            |   |  corporation        |
|   |  Jurisdiction  and,      |   |  Entity type      * |

|   | AE Biofuels,      Inc.                    |
|--------|-------------------------------------------|
|   |  Name of surviving      entity  |   |   |
|   |  Nevada                              |   |  corporation |
|   |  Jurisdiction                        |   |  Entity type      * |

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|                                                                               | ROSS      MILLERSecretary      of State204      North Carson Street, Ste 1Carson      City, Nevada 89701-4299(775)      684 5708Website:      secretaryofstate.biz |   |
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|                                                                               |                                                                                                                                                               |   |
|  Articles      of Merger (PURSUANT      TO NRS 92A.200) Page      2 |                                                                                                                                                               |

| USE BLACK INK ONLY - DO NOT      HIGHLIGHT | ABOVE      SPACE IS FOR OFFICE USEONLY |
|--------------------------------------------|----------------------------------------|

| 2)    |  Forwarding      address where copies of process may be sent by the Secretary of State of      Nevada (if a foreign entity is the survivor in the merger - NRS 92A.1      90): |
|----------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|      Attn:    |                                 |   |
|--------------------------------------------------|--------------------------------------|--------|
|                                             |                                 |   |
|  c/o:                   |        |   |

| 3)    | (Choose      one) |
|----------------------|-------------------|

|   | x  The      undersigned declares that a plan of merger has been adopted by each      constituent entity (NRS 92A.200). |
|--------|-----------------------------------------------------------------------------------------------------------------------------|

|   | o  The      undersigned declares that a plan of merger has been adopted by the parent      domestic entity (NRS 92A.180) |
|--------|-------------------------------------------------------------------------------------------------------------------------------|

| 4)    | Owner's      approval (NRS 92A.200)(options a, b, or c must be used, as applicable, for      each entity) (if there      are more than four merging entities, check box o and attach an 8      1/2" x 11" blank sheet containing the required information for each      additional entity):   |
|----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a)    | Owner's      approval was not required from                          |   |
|--------|--------|----------------------------------------------------------------------|--------|
|   |   |  Name of merging entity, if      applicable                |   |
|   |   |                                                                 |   |
|   |   |  Name of merging entity, if      applicable                |   |
|   |   |                                                                 |   |
|   |   |  Name of merging entity, if      applicable                |   |
|   |   |                                                                 |   |
|   |   |  Name of merging      entity, if applicable  and,or;  |   |
|   |   |                                                                 |   |
|   |   |  Name of surviving      entity, if applicable              |   |

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|                                                                               | ROSS      MILLERSecretary      of State204      North Carson Street, Ste 1Carson      City, Nevada 89701-4299(775)      684 5708Website:      secretaryofstate.biz |   |
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|                                                                               |                                                                                                                                                               |   |
|  Articles      of Merger (PURSUANT      TO NRS 92A.200) Page      3 |                                                                                                                                                               |

| USE BLACK INK ONLY - DO NOT      HIGHLIGHT | ABOVE      SPACE IS FOR OFFICE USE ONLY |
|--------------------------------------------|-----------------------------------------|

|   | (b)    | The      plan was approved by the required consent of the owners of *:  |   |
|--------|--------|------------------------------------------------------------------------------|--------|
|   |   | AE Biofuels, Inc.                                                            |   |
|   |   |  Name of merging entity, if      applicable                        |   |
|   |   |                                                                         |   |
|   |   |  Name of merging      entity, if applicable                        |   |
|   |   |                                                                         |   |
|   |   |  Name of merging entity, if      applicable                        |   |
|   |   |                                                                         |   |
|   |   |  Name of merging      entity, if applicable  and,or;          |   |
|   |   |  American      Ethanol, Inc.                                            |   |
|   |   |  Name of surviving      entity, if applicable                      |   |

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|                                                                               | ROSS      MILLERSecretary      of State204      North Carson Street, Ste 1Carson      City, Nevada 89701-4299(775)      684 5708Website:      secretaryofstate.biz |   |
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|                                                                               |                                                                                                                                                               |   |
|  Articles      of Merger (PURSUANT      TO NRS 92A.200) Page      4 |                                                                                                                                                               |

| USE BLACK INK ONLY - DO NOT      HIGHLIGHT | ABOVE      SPACE IS FOR OFFICE USE ONLY |
|--------------------------------------------|-----------------------------------------|

|   | (c)    | Approval of plan of merger for Nevada      non-profit corporation (NRS 92A.160): The      plan of merger has been approved by the directors of the corporation and      by each public officer or other person whose approval of the plan of      merger is required by the articles of incorporation of the domestic      corporation.  |   |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|   |   |                                                                                                                                                                                                                                                                                                                                               |   |
|   |   |  Name of merging entity, if      applicable                                                                                                                                                                                                                                                                                              |   |
|   |   |                                                                                                                                                                                                                                                                                                                                               |   |
|   |   |  Name of merging      entity, if applicable                                                                                                                                                                                                                                                                                              |   |
|   |   |                                                                                                                                                                                                                                                                                                                                               |   |
|   |   |  Name of merging entity, if      applicable                                                                                                                                                                                                                                                                                              |   |
|   |   |                                                                                                                                                                                                                                                                                                                                               |   |
|   |   |  Name of merging      entity, if applicable  and,or;                                                                                                                                                                                                                                                                                |   |
|   |   |                                                                                                                                                                                                                                                                                                                                               |   |
|   |   |  Name of surviving      entity, if applicable                                                                                                                                                                                                                                                                                            |   |

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|                                                                               | ROSS      MILLERSecretary      of State204      North Carson Street, Ste 1Carson      City, Nevada 89701-4299(775)      684 5708Website:      secretaryofstate.biz |   |
|------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                               |                                                                                                                                                               |   |
|  Articles      of Merger (PURSUANT      TO NRS 92A.200) Page      5 |                                                                                                                                                               |

| USE BLACK INK ONLY - DO NOT      HIGHLIGHT | ABOVE      SPACE IS FOR OFFICE USE ONLY |
|--------------------------------------------|-----------------------------------------|

|        5) |  Amendments,      if any, to the articles or certificate of the surviving entity. Provide      article numbers, if available. (NRS92A.200)*: |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

|      |                                                                                                                                                                                                                                                                                                                                                                                    |
|-----------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|      |                                                                                                                                                                                                                                                                                                                                                                                                                            |
|   6) | Location      of Plan of Merger (check a or b): o       (a) The entire plan of merger is attached; or, x  (b) The      entire plan of merger is on file at the registered office of the surviving      corporation, limited-liability company or business trust, or at the      records office address if a limited partnership, or other place of      business of the surviving entity (NRS92A.200). |

|      |                            |   |
|-----------|---------------------------------|--------|
|   7) | Effective date      (optional)* |   |

----

|                                                                               | ROSS      MILLERSecretary      of State204      North Carson Street, Ste 1Carson      City, Nevada 89701-4299(775)      684 5708Website:      secretaryofstate.biz |   |
|------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                               |                                                                                                                                                               |   |
|  Articles      of Merger (PURSUANT      TO NRS 92A.200) Page      6 |                                                                                                                                                               |

| USE BLACK INK ONLY - DO NOT      HIGHLIGHT | ABOVE      SPACE IS FOR OFFICE USE ONLY |
|--------------------------------------------|-----------------------------------------|

|        8) | Signatures      - Must be signed by: An officer of each Nevada corporation; All general      partners of each Nevada limited partnership; All general partners of each      Nevada limited partnership; A manager of each Nevada limited-liability      company with managers or all the members if there are no managers; A      trustee of each Nevada business trust (NRS 92A.230)* (if      there are more than four merging entities, check box o and attach an 8      %" x 1 1 " blank sheet containirKftljie required information for each      additional entity.): |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |  AE Biofuels,      Inc.            |
|--------|-----------------------------------------|
|   |  Name of merging      entity  |
|   | X                                       |   |  President |   |  11/12/07 |
|   | Signature                               |   |  Title |   |  Date |
|   |                                    |   |   |   |   |

|   |                                    |
|--------|-----------------------------------------|
|   |  Name of merging      entity  |
|   | X                                       |   |   |   |   |
|   | Signature                               |   |  Title |   |  Date |
|   |                                    |   |   |   |   |

|   |                                    |
|--------|-----------------------------------------|
|   |  Name of merging      entity  |
|   | X                                       |   |   |   |   |
|   | Signature                               |   |  Title |   |  Date |
|   |                                    |   |   |   |   |

|   |                                    |
|--------|-----------------------------------------|
|   |  Name of merging      entity  |
|   | X                                       |   |  President |   |  11/12/07 |
|   | Signature                               |   |  Title |   |  Date |
|   |                                    |   |   |   |   |

|   | American Ethanol, Inc.                  |
|--------|-----------------------------------------|
|   |  Name of merging      entity  |
|   | X                                       |   |  President |   |  11/12/07 |
|   | Signature                               |   |  Title |   |  Date |
|   |                                    |   |   |   |   |

----