STOCK
OPTION AGREEMENT

     

    THIS
STOCK OPTION AGREEMENT (“Agreement”),
effective as of December 16, 2009 (“Effective Date”), is
made by and between Global Clean Energy Holdings, Inc., a Utah corporation (the
“Company”), and
Juan Antonio Herrera (the “Optionee”).  Capitalized
terms used herein but not otherwise defined shall have the meaning ascribed to
them in Section 14 of this Agreement.

     

    NOW,
THEREFORE, in consideration of the mutual benefit to be derived herefrom, the
Company and Optionee agree as follows:

     

    1.           Grant of
Option.  The Company hereby grants to Optionee the right,
privilege and option (“Option”) to purchase
350,000 shares of the Company’s common stock (“Common Stock”) at an
exercise price equal to $0.02 per share, the fair market price of the Company’s
common stock on the Effective Date.  The Option shall expire on
January 2, 2015 (the
“Expiration
Date”).

     

    2.           Vesting of
Option.  In the event that Optionee is still employed by the
Company on such dates as set forth below, the Option shall vest and become
exercisable with respect to the purchase of 87,500 shares as follows (as
appropriately adjusted for stock splits, stock dividends, etc.): (i) on January
2, 2010; (ii) on April 2, 2010; (iii) on July 2, 2010; and (iv) on October 2,
2010.

     

    3.           Termination of
Option.  Except as otherwise provided in this Agreement, to the
extent not previously exercised, the Option shall terminate as
follows:

     

    a.           If
the Company terminates Optionee for “Cause”, the Option, to the extent not
vested, shall terminate and Optionee shall immediately and automatically cease
to have any ownership right in the Option and any Common Stock subject
thereto;

     

    b.           If
the Company terminates Optionee other than for “Cause,” the Option shall vest
with respect to 100% of the Common Stock subject thereto and not already
vested;

     

    c.           Upon
the dissolution or liquidation of the Company, the Option, to the extent not
vested as of such date, shall terminate, and Optionee shall immediately and
automatically cease to have any ownership right in the Option and any Common
Stock subject thereto; or

     

    d.           Upon
the breach by Optionee of any provision of this Agreement, the Option, to the
extent not vested, shall terminate, and Optionee shall immediately and
automatically cease to have any ownership right in the Option and any Common
Stock subject thereto.


    
      
         


      

      
        
        

        
          

        

      

      
         


      

    


    4.           Method of
Exercise.  The Option shall be exercised by written notice to
the Company by the Optionee (or successor in the event of
death).  Such written notice shall state the number of shares with
respect to which such Option is being exercised and designate a time, during
normal business hours of the Company, for the delivery thereof (“Exercise Date”),
which time shall be at least five days after the giving of such notice unless an
earlier date shall have been mutually agreed upon.  At the time
specified in the written notice, the Company shall deliver to the Optionee at
the principal office of the Company, or such other appropriate place as may be
determined by the Board, a certificate or certificates for such
shares.  Notwithstanding the foregoing, the Company may postpone
delivery of any certificate or certificates after notice of exercise for such
reasonable period as may be required to comply with any applicable listing
requirements of any securities exchange.  In the event the Option
shall be exercisable by any Person other than the Optionee, the required notice
under this Section shall be accompanied by appropriate proof of the right of
such Person to exercise such Option.  The Option exercise price shall
be payable in full on or before the option Exercise Date in any one of the
following alternative forms:

     

    a.           Full
payment in cash or certified bank or cashier's check; or

     

    b.           Any
other method of payment acceptable to the Board, including, but not limited to,
the delivery by Optionee of an irrevocable direction to a securities broker
approved by the Company to sell the Common Stock and to deliver all or part of
the sales proceeds to the Company in payment of all or part of the exercise
price and any withholding taxes.

     

    5.           Restrictions on Exercise and
Delivery.  The exercise of the Option shall be subject to the
condition that, if at any time the Board shall determine, in its sole and
absolute discretion,

     

    a.           the
satisfaction of any withholding tax or other withholding liabilities, is
necessary or desirable as a condition of, or in connection with, such exercise
or the delivery or purchase of Common Stock pursuant thereto,

     

    b.           the
listing, registration, or qualification of any Common Stock deliverable upon
such exercise is desirable or necessary, under any state or federal law, as a
condition of, or in connection with, such exercise or the delivery or purchase
of Common Stock pursuant thereto, or

     

    c.           the
consent or approval of any regulatory body is necessary or desirable as a
condition of, or in connection with, such exercise or the delivery or purchase
of Common Stock pursuant thereto,

     

    then in
any such event, such exercise shall not be effective unless such withholding,
listing, registration, qualification, consent or approval shall have been
effected or obtained free of any conditions not acceptable to the
Board.  Optionee shall execute such documents and take such other
actions as are required by the Board to enable it to effect or obtain such
withholding, listing, registration, qualification, consent or
approval.  Neither the Company nor any officer or member of the Board
(or a committee thereof), shall have any liability with respect to the
non-issuance or failure to sell shares as the result of any suspensions of
exercisability imposed pursuant to this Section.

     

    6.           Nonassignability.  The
Option may not be sold, pledged, assigned or transferred in any manner other
than by will or by the laws of intestate succession, and may be exercised during
the lifetime of Optionee only by Optionee (except as may be permitted by this
Agreement).  Any transfer by Optionee of the Option shall void such
Option and the Company shall have no further obligation with respect to the
Option.  The Option shall not be pledged or hypothecated in any way,
nor shall the Option be subject to execution, attachment or similar
process.


    
      
         


      

      
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    7.           Rights as
Shareholder.  Neither Optionee nor his executor, administrator,
heirs or legatees, shall be, or have any rights or privileges of a shareholder
of the Company in respect of the Common Stock unless and until certificates
representing such Common Stock shall have been issued in Optionee’s
name.

     

    8.           No Right of
Employment.  Neither the grant nor exercise of the Option nor
anything in this Agreement shall impose upon the Company or any other
corporation any obligation to employ or continue to employ
Optionee.  The right of the Company to terminate Optionee shall not be
diminished or affected because an Option has been granted to
Optionee.

     

    9.           Changes in Capital
Structure.

     

    Adjustment
Provisions.

     

    a.           If
the shares of Common Stock of the Company are increased, decreased, changed into
or exchanged for a different number or kind of shares or other securities of the
Company through a reorganization, recapitalization, reclassification, stock
dividend, stock split or reverse stock split or exchanged with another company
pursuant to a Reverse Merger, an appropriate and proportionate adjustment shall
be made changing the number or kind of Common Stock allocated to any unexercised
portion of the Option.  All such adjustments shall be made with a
corresponding adjustment in the exercise price for each share of Common Stock
covered by the Option.

     

    b.           Upon
a reorganization, merger or consolidation of the Company with one or more
corporations as a result of which the Company is not the surviving corporation
(except for a Reverse Merger), the Company shall use its best efforts, but shall
be under no obligation, to cause the reorganization, merger or consolidation
agreement to include a provision for the assumption of the Option, or the
substitution for the Option of a new option covering the stock of a successor
corporation, or a parent or subsidiary thereof, with appropriate adjustments as
to number and kind of shares of common stock and prices, and if the
reorganization, merger or consolidation agreement so provides, the Option
granted hereunder shall continue in the manner and under the terms so provided
in such agreement.  Upon the dissolution or liquidation of the
Company, or upon a sale of substantially all of its property, or a
reorganization, merger or consolidation, which does not include a provision for
assumption of the Option, the Option shall terminate.

     

    10.         Representations and
Warranties of Optionee.  In connection with the grant of the
Option hereunder, Optionee hereby represents and warrants to the Company as
follows:

     

    a.           The
Option is, and any Common Stock Optionee may acquire pursuant to the exercise of
the Option (together with the Option, the “Securities”), will be
acquired, by Optionee for investment for his own account, not as a nominee or
agent, and not with a view to the sale or distribution of any part thereof, and
he has no present intention of selling, granting participation in, or otherwise
distributing the same, but subject nevertheless to any requirement of law that
the disposition of his property shall at all times be within his
control.


    
      
         


      

      
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    b.           Optionee
understands that the Securities will not be, registered under the Securities Act
of 1933, as amended (the “Securities Act”), on
the basis that the sale of the Securities is exempt from registration under the
Securities Act under Section 4(2) thereof, and that the Company’s reliance
on such exemption is predicated on Optionee’s representations set forth
herein.

     

    c.           Optionee
understands and agrees that the Securities may not be sold, transferred, or
otherwise disposed of without registration under the Securities Act or an
exemption from such registration requirements, and that in the absence of an
effective registration statement covering such Securities or an available
exemption from registration under the Securities Act, such Securities must be
held indefinitely.

     

    d.             Optionee
has the ability to bear the economic risks of Optionee’s investment in the
Securities.  Optionee is able, without materially impairing Optionee’s
financial condition, to hold Optionee’s investment in the Company for an
indefinite period of time and to suffer a complete loss on Optionee’s
investment.  Optionee understands and has fully considered for
purposes of Optionee’s investment the risks of Optionee’s investment and
understands that (x) an investment in the Company is suitable only for an
investor who is able to bear the economic consequences of losing Optionee’s
entire investment, (y) the Company has no financial or operating history,
and (z) an investment in the Company represents an extremely speculative
investment which involves a high degree of risk of loss.

     

    e.             Optionee
acknowledges and agrees that all certificates evidencing the Common Stock
issuable hereunder shall bear substantially the following legend:

     

    THESE
SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF
1933.  THEY MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED OR HYPOTHECATED
IN THE ABSENCE OF ANY EFFECTIVE REGISTRATION STATEMENT AS TO THE SECURITIES
UNDER SAID ACT OR ANY OPINION OF COUNSEL SATISFACTORY TO THE CORPORATION THAT
SUCH REGISTRATION IS NOT REQUIRED.

     

    11.         Notices.  Any
notice to be given under the terms of this Agreement shall be addressed to the
Company in care of its Secretary at its principal office, and any notice to be
given to Optionee shall be addressed to such Optionee at the address maintained
by the Company for such Person or at such other address as the Optionee may
specify in writing to the Company.

     

    12.         Binding
Effect.  This Agreement shall be binding upon and inure to the
benefit of Optionee, his heirs and successors, and of the Company, its
successors and assigns.

     

    13.         Governing
Law.  This Agreement shall be governed by the laws of the State
of California

     

    14.         Definitions.  The
terms below used herein shall have the following meanings:


    
      
         


      

      
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    a.           “Cause” shall mean any
of the following: (i) Optionee materially breaches any obligation,
duty,  or covenant under this Agreement, which breach is not cured or
corrected within thirty (30) days of receipt by Optionee of written notice
thereof from the Company (except for breaches of this Agreement, which by their
nature cannot be cured and for which the Company need not give any opportunity
to cure); (ii) Optionee commits any act of misappropriation of funds or
embezzlement; (iii) Optionee commits any act of fraud; (iv) Optionee is
convicted of, or pleads guilty or nolo contendere to any charge
of theft, fraud, a crime involving moral turpitude, or a felony under federal or
state law; or (v) Optionee breaches the Company’s Code of Ethics.

     

    b.           “Exchange Act” shall
mean the Securities Exchange Act of 1934, as amended, and the rules and
regulations of the SEC promulgated thereunder.

     

    c.           “Person” shall mean
any individual, corporation, partnership, joint venture, limited liability
company, estate, trust, unincorporated association, any federal, state, county
or municipal government or any bureau, department or agency thereof and any
fiduciary acting in such capacity on behalf of any of the foregoing, or other
entity.

     

    d.           “Reporting Company”
shall mean a Person subject to the reporting requirements under Section 13(a) or
15(d) of the Exchange Act.

     

    e.           “Reverse Merger” shall
mean the merger of the Company into a Subsidiary of a corporation that is a
Reporting Company (the “Resulting Parent”),
with the shareholders of the Company exchanging their shares of the Company for
shares in the Resulting Parent and the Company becoming a wholly owned
Subsidiary of the Resulting Parent.

     

    f.           “SEC” shall mean the
Securities and Exchange Commission, or any other federal agency at the time
administering the Securities Act.

     

    g.           “Subsidiary” when used
in reference to any particular party shall mean a Person with respect to which
the party either is (a) required to consolidate the reporting of its financial
information in accordance with generally accepted accounting principles, or (b)
a beneficial owner of either at least 20% of any class of the Person’s
securities or securities of the Person representing at least 20% of the voting
power of all the Person’s outstanding securities that are entitled to vote in
the election of its directors.

     

    [Signature page
follows]


    
      
         


      

      
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    IN
WITNESS WHEREOF, this Agreement is effective as of, and the date of grant shall
be December 16, 2009.

     

    
      
        	
                “COMPANY”

              	
                Global Clean Energy Holdings, Inc.,

              
	 
      	
                a
      Utah corporation

              
	 
      	 
      
	 
      	
                By:

              	
                /s/ BRUCE NELSON

              
	 
      	 
      	
                Name:
      Bruce Nelson

              
	 
      	 
      	
                Title:  Chief
      Financial Officer

              
	
                “OPTIONEE”

              	 
      
	 
      	 
      
	 
      	
                /s/ JUAN HERRERA

              
	 
      	
                Juan
      Antonio Herrera