Exhibit
      10.1

    MUTUAL
      RELEASE FROM LEASE AGREEMENT 

    


    MUTUAL
      RELEASE AGREEMENT,
      dated
      this 2nd
      day of
      November 2006 (this “Agreement”), by and between Kreido Biofuels, Inc. (formerly
      known as Gemwood Productions, Inc.), a Nevada corporation (“Lessee”), and
      Hortenzia Magallenas (“Lessor”).

    


    R
      E C I T A L S

    


    WHEREAS,
      Lessor
      and Lessee are parties to that certain Lease Agreement, dated October 19, 2005
      and commencing April 1, 2006, by Lessor to Lessee and contemplating the
      month-to-month rental of a commercial retail property located at Calle Vista
      #13
      Rosarito Beach, Baja California, Mexico 22710 (the “Lease”); and

    


    WHEREAS,
      the
      Lessor and the Lessee wish to terminate the Lease and release each other party
      thereto from certain duties, obligations and liabilities thereunder or arising
      therefrom;

    


    NOW,
      THEREFORE,
      in
      consideration of the premises and the mutual undertakings and covenants herein
      set forth, and for other good and valuable consideration, the receipt and
      sufficiency of which are hereby acknowledged, the parties hereto, intending
      legally to be bound hereby, as follows: 

     

    Release
      by Lessor.
      Lessor hereby releases Lessee and its officers, directors, partners, employees
      and shareholders from any and all claims, demands, causes of action, contract
      obligations, damages, attorneys' fees or costs whatsoever, at law or in equity
      or otherwise, whether direct or indirect, known or unknown, which the releasing
      party now owns or holds, or has at any time heretofore owned or held, or may
      in
      the future own or hold, against the persons and entities they are releasing,
      or
      any of them, in any capacity, which are or may be based upon any facts, acts,
      omissions, representations, contracts, agreements, events, or matters of any
      kind occurring or existing at any time on or before the date of this
      Agreement.

     

    Release
      by Lessee.
      Lessee hereby releases Lessor,
      and its partners, and employees from any and all claims, demands, causes of
      action, contract obligations, damages, attorneys' fees or costs whatsoever,
      at
      law or in equity or otherwise, whether direct or indirect, known or unknown,
      which the releasing party now owns or holds, or has at any time heretofore
      owned
      or held, or may in the future own or hold, against the persons and entities
      they
      are releasing, or any of them, in any capacity, which are or may be based upon
      any facts, acts, omissions, representations, contracts, agreements, events,
      or
      matters of any kind occurring or existing at any time on or before the date
      of
      this Agreement. 

     

    Termination
      of the Lease. 
      The parties hereby agree to terminate the Lease, effective the date first above
      written. Lessor hereby waives the requirement of 30 days prior notice to
      terminate the Lease set forth in the second paragraph of the Lease.


     

    Cancellation
      of all amounts owed.
      The Lessor hereby forgives and cancels any and all amounts owed by Lessee to
      Lessor under the Lease. 

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    Unknown
      Claims; Equal Participation in Drafting.
      The parties agree that each has had the time to consult with their attorneys
      concerning this Agreement and that each has had the opportunity to consider
      whether there may be future damages, claims, liabilities or obligations that
      presently are unknown, unforeseen, inchoate or not yet in existence, and hereby
      consciously and knowingly accepts the risk that future damages, claims,
      liabilities or obligations that presently are unknown, unforeseen, inchoate
      or
      not yet in existence may occur, and consciously and knowingly intends to release
      the other party from same. Lessor and Lessee have participated jointly in the
      negotiation and drafting of this Agreement. In the event an ambiguity or
      question of intent or interpretation arises, this Agreement shall be construed
      as if drafted jointly by Lessor and Lessee and no presumption or burden of
      proof
      shall arise favoring or disfavoring either party virtue of the authorship of
      any
      provision or provisions of this Agreement.

     

    The
      Agreement is a Bar to Any Future Action Against Any Party.
      The parties agree that they have not commenced or prosecuted and will not
      commence or prosecute any action or proceeding for recovery of damages or for
      any form of equitable relief, declaratory relief or any other form of action
      or
      proceeding or arbitration against the other parties or any of them arising
      out
      of any event or transaction that occurred prior to the date
      hereof.
      This Agreement shall constitute a judicial bar to the institution of any such
      action or proceeding or any assignment thereof.

     

    Attorneys’
      Fees and Costs.
       The
      parties hereto each agree to pay their own costs and attorneys’ fees incurred
      with regard to any matters between the parties related to or arising from this
      Agreement. 

     

    Entire
      Agreement.
      This Agreement constitutes the entire agreement of the parties. This Agreement
      may not be modified, interpreted, amended, waived or revoked orally, but only
      by
      a writing signed by all parties. No party is entering into this Agreement in
      reliance upon any oral or written promises, inducements, representations,
      understandings, interpretations or agreements other than those contained in
      this
      Agreement.

     

    Counterparts.
      This Agreement may
      be executed in several counterparts, each of which when executed shall be deemed
      an original and all of which, taken together, shall constitute one and the
      same instrument.

     

    Governing
      Law.
      This Agreement and the legal relations between the Parties shall be governed
      by
      and construed in accordance with the substantive laws of the State of Nevada
      without giving effect to the conflicts of laws principles
      thereof.

     

     

    [Signatures
      on following page]

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
 

    IN
      WITNESS WHEREOF,
      the
      Lessor and the Lessee have hereunto set their hands as of the day and year
      first
      above written.

    


    
      	 	 	 
	 	LESSOR
	 	 
	 	HORTENZIA MAGALLENAS
	 
 	 
 	 
 
	 	       	/s/
              Hortenzia Magallenas
	 	
              
Hortenzia
              Magallenas
	 	 



      	 	 	LESSEE
	 	 	 
	 	 	KREIDO BIOFUELS, INC
	 	 	(F/K/A GEMWOOD PRODUCTIONS, INC.)
	 	 
	 
 	 
 	 
 
	 	By: 	/s/
              Stephen B. Jackson
	 	
              
Stephen
              B. Jackson
	 	President