Document:

ex_395715.htm

 

Exhibit 10.1

 

MERCANTILE BANK CORPORATION/MERCANTILE BANK

 

2022 MERCANTILE EXECUTIVE OFFICER BONUS PLAN

 

 

1.         Purpose of this Plan

 

This 2022 Mercantile Executive Officer Bonus Plan (this “Plan”) is designed to reflect that the directors of Mercantile Bank Corporation (the “Company”) and Mercantile Bank (the “Bank”) believe that the Company’s shareholders are willing to share financially in operating results that exceed certain specific financial metrics.

 

The purpose of this Plan is to:

 

	 	
			•

				
			Promote the growth, profitability and expense control necessary to accomplish corporate strategic long-term plans;

			

 

 

	 	
			•

				
			Encourage superior results by providing a meaningful incentive; and

			

 

 

	 	
			•

				
			Support teamwork among employees.

			

 

2.         Eligibility

 

Robert B. Kaminski, Jr., Charles E. Christmas, Raymond E. Reitsma, and Robert T. Worthington (the “Executive Officers,” and each an “Executive Officer”) are included in this Plan. The following provisions (a) – (d) set forth circumstances where an Executive Officer will, or will not, be eligible for a bonus payout, or where an unpaid bonus award will be cancelled:

 

(a) Except as provided below, an Executive Officer must be an active employee as of December 31, 2022 to be eligible to receive a bonus payout.

 

(b) An Executive Officer that is out on medical leave as of December 31, 2022 will be eligible to receive a bonus award.

 

(c) An Executive Officer that is suspended with or without pay or is on final written warning as of December 31, 2022 will not be eligible to receive a bonus award.

 

(d) If an Executive Officer terminates his or her employment with the Bank during 2022, any unpaid bonus award for the Executive Officer is cancelled.

 

1

 

 

Notwithstanding any of the provisions (a), (b), (c) or (d) above, no such provision shall adversely affect an Executive Officer’s eligibility for, or right to receive, any bonus award, if during 2022, or during the first four months of 2023 pursuant to a notice given in 2022, the employment of the Executive Officer terminates under one or more circumstances set forth in Section 8.5 or 9 of the Employment Agreement dated as of November 29, 2018, and effective as of December 31, 2018, between such Executive Officer, the Company and the Bank, in which case, such Executive Officer is eligible for 100% of his or her bonus payout (a “Special Termination”).

 

3.         Bonus Pool, Performance Metrics and Bonus Awards

 

The maximum amount that will be allocated to the bonus pool under this Plan (the “Executive Bonus Pool”) is $729,950, however, that the maximum amount will be appropriately adjusted if (a) a newly hired employee becomes a named executive officer (as defined in Item 402(a)(3) of SEC Regulations S-K) and becomes eligible to participate in this Plan, (b) an Executive Officer's base salary is adjusted during the year, or (c) an Executive Officer becomes ineligible before December 31, 2022.

 

Payment from the Executive Bonus Pool, if any, is based on the achievement of targets under the following 2022 Executive Bonus Metrics:

 

	 	
			25.0%

				
			Earnings per share

			

	 	
			12.5%

				
			Non-performing assets

			

	 	
			12.5%

				
			Net interest margin

			

	 	
			12.5%

				
			Net revenue

			

	 	
			12.5%

				
			Efficiency ratio

			

	 	
			12.5%

				
			Return on assets

			

	 	
			12.5%

				
			Return on equity

			

 

The specific targets for each metric will be established by the Compensation Committee of the Company.

 

Each individual target must be met or exceeded in order for the percentage associated with that metric to be credited toward payment from the Executive Bonus Pool. The accumulated percentage for each individual target attained will be applied to the Executive Bonus Pool to determine the total amount of the Executive Bonus Pool to be awarded (the “Award Amount”). For example, if the first four factors are attained and the next three factors are not attained, and if the maximum amount is allocated to the Executive Bonus Pool, the Award Amount under this Plan would be $729,950 x 62.5% = $456,218.75.

 

2

 

 

The Award Amount will be paid to each Executive Officer pro rata based on a uniform percentage of the Executive Officer's 2022 salary, not to exceed:

 

	 	
			●

				
			55% of the 2022 salary of the Chief Executive Officer;

			

 

	 	
			●

				
			45% of the 2022 salary of the President of the Bank;

			

 

	 	
			●

				
			35% of the 2022 salary of the Chief Financial Officer; and

			

 

	 	
			●

				
			20% of the 2022 salary of the Chief Risk Officer.

			

 

	
			4.

				
			Clawback Provision

			

 

Payouts made under this Plan are subject to recovery or clawback, and an Executive Officer receiving a payout will be required to promptly return the monies (or any portion of the monies requested by the Company) in each of the following circumstances:

 

	 	
			●

				
			if it is determined that the Executive Officer was engaging in an activity during 2022 that would have resulted in the employee being suspended without pay, placed on final written warning or terminated on or before December 31, 2022, and no Special Termination of the Executive Officer is involved.

			

 

	 	
			●

				
			If the payout is based on materially inaccurate financial statements (which includes, but is not limited to statements of earnings, revenues, or gains) or any other materially inaccurate performance metric criteria, including net income.

			

 

	 	
			●

				
			If the payout is required to be returned pursuant to a policy adopted by the Company regarding clawback in order to comply with the Dodd-Frank Wall Street Reform and Consumer Protection Act or any stock exchange or other rule adopted pursuant to that Act.

			

 

In the event that the Company or Bank demands recovery or clawback of any payout (or portion of any payout), and the Executive Officer who received the payout does not promptly return the payout (or demanded portion of the payout) to the Company or the Bank, the Executive Officer shall be required to pay to the Company or the Bank, immediately upon demand, all expenses, including reasonable attorneys’ fees, incurred to recover the payout (or demanded portion of the payout), unless the Executive Officer establishes in an appropriate legal proceeding that he or she had no obligation under this Section of this Plan to return the payout (or demanded portion of the payout). Executive Officers, as a condition to receiving a payout under this Plan, may be required to agree in writing to the terms of this Section.

 

3

 

 

	
			5.

				
			Timing of Bonus Payouts

			

 

Bonus awards that are earned under this Plan will be paid to eligible Executive Officers on or before March 15, 2023.

 

	
			6.

				
			Plan Administration

			

 

The Board of Directors of the Company and its Compensation Committee, or if the Board of Directors of the Company so designates, another committee of the Board of Directors of the Company or the Bank (each, an "Administrator"), will each have the authority to administer and interpret this Plan, and approve or determine the amounts to be distributed under this Plan as bonus awards, in its sole discretion. Any interpretation or construction of this Plan or approval or determination of bonus awards by an Administrator will be final and binding on the Company, the Bank and their respective subsidiaries, all employees and past employees of any of them, their heirs, successors and assigns. No member of the Board of Directors of the Bank or the Company, or any of their affiliates, or any committee of the Board of Directors of the Bank, the Company, or any affiliate, will be liable for any action or determination made in good faith regarding this Plan or any bonus award.

 

	
			7.

				
			No Right to Employment

			

 

This Plan does not give any Executive Officer any right to continued employment, or limit in any way the right of the Bank or any affiliated company to terminate his employment at any time.

 

	
			8.

				
			Withholding of Taxes

			

 

The Bank and any affiliated company will have the right to deduct from any payment to be made pursuant to this Plan any Federal, state or local taxes required by law to be withheld. It is contemplated that substantially all payments that are made under this Plan will be made by the Bank or one of its subsidiaries, and not by the Company.

 

	
			9.

				
			Amendment of this Plan

			

 

This Plan may be amended from time to time by the Compensation Committee of the Company, without the consent of any Executive Officer or past Executive Officer, (a) to the extent required to comply with applicable law; (b) to make reasonable adjustments for any acquisition or sale of a business or branch, merger, reorganization, or restructuring, change in accounting principles or their application, or special charges or extraordinary items, that materially affect the Company or any of its consolidated subsidiaries; (c) to make any changes that do not materially and adversely affect the bonus award payable to any eligible employee; (d) to expand the Executive Officers or other employees who are eligible to receive a bonus from the amounts available for bonuses under this Plan; or (e) to make any other changes that the Compensation Committee of the Company, in its sole discretion, deems appropriate, even if such changes materially and adversely affect, or eliminate, the bonus award payable to any Executive Officer or past Executive Officer; provided that, after a Special Termination or notice that will result in a Special Termination, no amendment made under provision (d) or (e) of this paragraph above shall adversely affect an Executive Officer’s rights under this Plan.

 

	
			10.

				
			Governing Law

			

 

The validity, construction and interpretation of this Plan will be determined in accordance with the laws of the State of Michigan.

 

	
			11.

				
			Effective Date

			

 

This Plan was approved by the Boards of Directors of the Company and the Bank on July 14, 2022, and is effective as of January 1, 2022.

 

4

 

 

Schedule 1

 

2022 Executive Bonus Pool Metrics

 

 

Payment from the Executive Bonus Pool, if any, is based on the achievement of the following 2022 Executive Bonus Metrics, which are measured pre-bonus accrual and excluding unbudgeted and one-time/non-core income and expenses.

 

 

	
			Percentage of Total

				
			Metric

				
			Target

			
	 	 	 
	
			25.0%

				
			Earnings per share

				 
	
			12.5%

				
			Non-performing assets

				 
	
			12.5%

				
			Net interest margin

				 
	
			12.5%

				
			Net revenue

				 
	
			12.5%

				
			Efficiency ratio

				 
	
			12.5%

				
			Return on assets

				 
	
			12.5%

				
			Return on equity

				 

 

5Exhibit
10.1

 

FORWARD
SHARE PURCHASE AGREEMENT 

 

This
Forward Share Purchase Agreement (this “Agreement”) is entered into as of July 18, 2022, by and among (i) ArcLight
Clean Transition Corp. II, a Cayman Islands exempted company (“ACTC II”), (ii) Meteora Special Opportunity Fund I,
LP, a Delaware limited partnership (“MSOF”), (iii) Meteora Select Trading Opportunities Master, LP, a Cayman Islands
limited partnership (“MSTO”) and (iv) Meteora Capital Partners, LP, a Delaware limited partnership (“MCP”
and together with MSOF and MSTO, each individually an “Investor” and collectively, the “Investors”).
Each of ACTC II, MSOF, MSTO, and MCP is individually referred to herein as a “Party” and collectively as the “Parties”.

 

Recitals

 

WHEREAS,
ACTC II is a special purpose acquisition company, also known as a blank check company, formed for the purpose of effecting a merger,
capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses;

 

WHEREAS,
ACTC II has entered into a Business Combination Agreement, dated as of December 2, 2022 (the “Business Combination Agreement”),
by and among ACTC II, a Cayman Islands exempted company, OPAL Fuels LLC, a Delaware limited liability company (“OPAL Fuels”)
and OPAL HoldCo LLC, a Delaware limited liability company (“OPAL HoldCo”), pursuant to which ACTC II will acquire
OPAL Fuels (such acquisition and the other transactions contemplated by the Business Combination Agreement, collectively, the “Business
Combination”), and ACTC II will be re-named “Opal Fuels Inc.” upon the consummation of the Business Combination
(Opal Fuels Inc., as the post-combination company shall be referred to herein as the “Company”), and ACTC II has filed
a Registration Statement on Form S-4 (the “Registration Statement”) with the U.S. Securities and Exchange Commission
(the “Commission”), and the Registration Statement includes a proxy statement/prospectus and certain other related
documents; and

 

WHEREAS,
the Parties wish to enter into this Agreement, pursuant to which the Company shall purchase from the Investors, and the Investors may
sell and transfer to the Company, in each case, subject to the conditions set forth herein, certain shares of Common Stock (as defined
herein) of ACTC II acquired by the Investors after the date hereof and prior to the Business Combination Closing Date from third parties
that previously redeemed such shares of Common Stock (the “Shares”) on the terms set forth herein (for the avoidance
of any doubt, the Shares shall not include any shares of Common Stock held by any Investor that has prior to the date hereof been tendered
by such Investor for redemption).

 

NOW,
THEREFORE, in consideration of the premises, representations, warranties and the mutual covenants contained in this Agreement, and for
other good and valuable consideration, the receipt, sufficiency and adequacy of which are hereby acknowledged, the Parties agree as follows:

 

Agreement

 

1.
Sale of Shares; Shares Purchase and Sale; Closing; Fees.

 

(a)
Forward Share Purchase. Subject to the conditions set forth in Section 4, on the date that is six (6) months after the
closing date of the Business Combination (the “Put Date”), the Investors may elect to sell and transfer to the Company,
and the Company shall purchase from the Investors, up to that number of Shares that are then held by the Investors, but not to exceed
2,000,000 Shares in the aggregate unless otherwise agreed to in writing by all Parties, at a price per Share equal to $10.02 per Share
(the “Shares Purchase Price”); provided that the Investors shall only be entitled to sell Shares to the Company
that were previously tendered by a third party for redemption and purchased by the Investors after the date hereof and prior to the Business
Combination Closing Date. Each Investor shall notify the Company and the Escrow Agent (as defined herein) in writing five (5) Business
Days (as defined herein) prior to the Put Date whether or not such Investor is exercising such Investor’s right to sell any of
the Shares held by such Investor to the Company pursuant to this Agreement (each, a “Shares Sale Notice”). Any Investor
that fails to timely deliver a Shares Sales Notice in accordance with the immediately preceding sentence shall be deemed to have forfeited
its right to sell any Shares to the Company pursuant to this Agreement.

 

     

     

    

 

(b)
Shares Closing. If a Shares Sale Notice is timely delivered by any Investor to the Company and Escrow Agent, the closing of the
sale of the Shares contemplated in each such timely delivered Share Sales Notice (the “Shares Closing”) shall occur
no later than the Put Date. On the Put Date, each selling Investor shall deliver, or cause to be delivered, the Shares subject to the
applicable Shares Sale Notice free and clear of all liens and encumbrances to Escrow Agent and, in exchange therefor, the Escrow Agent
shall deliver to each such selling Investor(s) an amount equal to (i) the Shares Purchase Price multiplied by (ii) the number
of Shares being sold by such selling Investor to the Company (with respect to any particular selling Investor, the “Investor
Shares Purchase Price”), which shall be paid by wire transfer of immediately available funds from the Escrow Account. The Escrow
Agent shall, (i) without delay, release from the Escrow Account to each selling Investor on the Put Date, for such selling Investor’s
use without restriction, an amount equal to the applicable Investor Shares Purchase Price, and (ii) promptly deliver such sold Shares
to the Company. The Put Date may be accelerated by the Investor if (i) the Shares are delisted from The Nasdaq Stock Market or (ii) commencing
on the Business Day following the effectiveness of a resale registration statement on Form S-1 to be filed by the Company, as further
described in the Registration Statement, during any 30 consecutive trading day period following the closing of the Business Combination,
the VWAP Price (as defined below) for 20 trading days during such period shall be less than $5.00 per Share. For purposes of this Agreement,
the “VWAP Price” per Share shall be determined for any trading day (or any trading period) via a Bloomberg Terminal
by searching “ACTD <Equity> AQR SEC” (or any successor thereto) (the “VWAP Price”).

 

(c)
Fees. Upon consummation of the Business Combination (the “Business Combination Closing Date”), the Company
shall, at its option, (i) issue to the Investors 112,500 shares of Common Stock or (ii) pay to the Investors a cash payment in the amount
of $600,000.

 

2.
Representations and Warranties of the Investors. Each Investor represents and warrants to ACTC II and the Company, severally and
not jointly, as of the date hereof:

 

(a)
Organization and Power. Such Investor is duly organized, validly existing, and in good standing under the laws of the jurisdiction
of its formation and has all requisite power and authority to carry on its business as presently conducted and as proposed to be conducted.

 

(b)
Authorization. Such Investor has full power and authority to enter into this Agreement. This Agreement, when executed and delivered
by such Investor will constitute the valid and legally binding obligation of such Investor enforceable against it in accordance with
its terms, except (i) as limited by applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance and any other
laws of general application affecting enforcement of creditors’ rights generally, or (ii) as limited by laws relating to the availability
of specific performance, injunctive relief or other equitable remedies ((i) and (ii) collectively, the “Enforceability Exceptions”).

 

    2

     

    

 

(c)
Governmental Consents and Filings. No consent, approval, order or authorization of, or registration, qualification, designation,
declaration or filing with, any federal, state or local governmental authority is required on the part of such Investor in connection
with the consummation of the transactions contemplated by this Agreement (collectively, the “Transactions”) other
than disclosure reports regarding such transactions that such Investor is required to file in accordance with the terms of the Exchange
Act (as defined below).

 

(d)
Compliance with Other Instruments. The execution, delivery and performance by such Investor of this Agreement and the consummation
by such Investor and the other Investors of the Transactions will not result in any violation or default (i) of any provisions of its
organizational documents, (ii) of any instrument, judgment, order, writ or decree to which it is a party or by which it is bound, (iii)
under any note, indenture or mortgage to which it is a party or by which it is bound, (iv) under any lease, agreement, contract or purchase
order to which it is a party or by which it is bound, or (v) of any provision of federal or state statute, rule or regulation applicable
to it, in each case (other than clause (i)), which would have a material adverse effect on such Investor or any of the other Investors
or its or their ability to consummate the Transactions.

 

(e)
Disclosure of Information. Such Investor has had an opportunity to discuss ACTC II’s and the Company’s business, management
and financial affairs, and the terms and conditions of this Agreement, as well as the terms of the Business Combination, with ACTC II’s
management.

 

(f) No
Other Representations and Warranties; Non-Reliance. Except for the specific representations and warranties contained in this Section
2 and in any certificate or written agreement delivered pursuant hereto, neither any Investor nor any person acting on behalf of
such Investor nor any of such Investor’s affiliates (collectively, the “Investor Parties”) has made, makes
or shall be deemed to make any other express or implied representation or warranty with respect to such Investor or the other
Investors, and the Investor Parties disclaim any such representation or warranty. Except for the specific representations and
warranties expressly made by ACTC II in Section 3 of this Agreement, in any certificate or written agreement delivered
pursuant hereto and in any public filings, the Investor Parties specifically disclaim that they are relying upon any other
representations or warranties that may have been made by the ACTC II Parties (as defined below).

 

3.
Representations and Warranties of ACTC II. ACTC II represents and warrants to each Investor as follows:

 

(a)
Organization and Corporate Power. ACTC II is an exempted company duly formed, validly existing and in good standing under the
laws of Cayman Islands and has all requisite corporate power and authority to carry on its business as presently conducted and as proposed
to be conducted. ACTC II has no subsidiaries.

 

(b)
Authorization. All corporate action required to be taken by ACTC II’s Board of Directors in order to authorize ACTC II to
enter into this Agreement has been taken. This Agreement, when executed and delivered by ACTC II, shall constitute the valid and legally
binding obligation of ACTC II, enforceable against ACTC II in accordance with its term, subject to the effect of the Enforceability Exceptions.

 

(c)
Disclosure. ACTC II has not disclosed to either Investor material non-public information with respect to ACTC II or the Business
Combination, other than any such information that shall be publicly disclosed by ACTC II either by the issuance of a press release or
the filing with the Commission a Current Report on Form 8-K, in each case, by 9:00 a.m., Eastern Time on the first Business Day immediately
following the date that the Parties enter into this Agreement. Such public disclosure shall disclose the name of the Investors as having
entered into the Agreement.

 

    3

     

    

 

(d)
Governmental Consents and Filings. No consent, approval, order or authorization of, or registration, qualification, designation,
declaration or filing with, any federal, state or local governmental authority is required on the part of ACTC II in connection with
the consummation of the Transactions, other than disclosure reports regarding such transactions ACTC II is required to file in accordance
with the terms of the Exchange Act.

 

(e)
Compliance with Other Instruments. The execution, delivery and performance by ACTC II of this Agreement and the consummation by
ACTC II of the Transactions will not result in any violation or default (i) of any provisions of its organizational documents, (ii) of
any instrument, judgment, order, writ or decree to which it is a party or by which it is bound, (iii) under any note, indenture or mortgage
to which it is a party or by which it is bound, (iv) under any lease, agreement, contract or purchase order to which it is a party or
by which it is bound, or (v) of any provision of federal or state statute, rule or regulation applicable to it, in each case (other than
clause (i)), which would have a material adverse effect on ACTC II or its ability to consummate the Transactions.

 

(f) Adequacy
of Financing. The Company will have available to it sufficient funds to satisfy its obligations under this Agreement.

 

(g)
SEC Filings. None of ACTC II’s reports and other filings with the Commission, as of their respective dates, contained any
untrue statement of a material fact or omitted to state a material fact required to be stated therein or necessary to make the statements
therein, in light of the circumstances under which they were made, not misleading.

 

(h)
No Other Representations and Warranties; Non-Reliance. Except for the specific representations and warranties contained in this
Section 3 and in any certificate or written agreement delivered pursuant hereto or in any public filings, neither ACTC II or any
person on behalf of ACTC II nor any of ACTC II’s affiliates (collectively, the “ACTC II Parties”) has made,
makes or shall be deemed to make any other express or implied representation or warranty with respect to ACTC II , the Company, the Transactions
or the Business Combination, and the ACTC II Parties disclaim any such representation or warranty. Except for the specific representations
and warranties expressly made by the Investors in Section 2 of this Agreement and in any certificate or agreement delivered
pursuant hereto, the ACTC II Parties specifically disclaim that they are relying upon any other representations or warranties that may
have been made by the Investor Parties.

 

4.
Additional Agreements.

 

(a)
No Redemptions; No Tenders. Each Investor agrees that the shares of Common Stock that it does purchase will be previously tendered
for redemption at a price per share no higher than the redemption price and not to, (i) request redemption of any of the Shares in conjunction
with the closing of the Business Combination, or (ii) tender the Shares to ACTC II in response to any redemption or tender offer that
ACTC II may commence for its Class A ordinary shares, par value $0.0001 per share (the “Common Stock”).

 

(b)
Option to Purchase Additional Shares and Certain Derivatives. ACTC II hereby acknowledges that nothing in this Agreement shall
prohibit the Investors from purchasing from third parties prior to the Business Combination Closing Date additional shares of Common
Stock, or any warrants, convertible notes or options (including puts or calls) of ACTC II; provided that the aggregate number
of Shares owned by the Investors and subject to Sections 1 and 4(c) shall not exceed 2,000,000 shares of Common Stock which
were previously tendered by a third party for redemption and purchased by the Investors after the date hereof, unless otherwise agreed
in writing by all Parties.

 

    4

     

    

 

(c)
Open Market Sale. Notwithstanding anything to the contrary herein, the Parties agree that the Investors shall, commencing on the
Business Combination Closing Date, have the right, but not the obligation, to sell any or all of the Shares in the open market if the
sale price exceeds $10.02 per Share prior to payment of any commissions due by the Investors for such sale.

 

(d)
Escrow.

 

(i)
Simultaneously with the closing of the Business Combination, ACTC II shall deposit, for good and valuable consideration, the receipt,
sufficiency and adequacy of which ACTC II hereby acknowledges, into an escrow account (the “Escrow Account”) with
Continental Stock Transfer & Trust Company (the “Escrow Agent”), subject to the terms of a written escrow agreement
(the “Escrow Agreement”) substantially in the form attached as Exhibit A hereto (with any customary changes
as reasonably requested by the Escrow Agent) and to be entered into on or prior to the Business Combination Closing Date, an amount equal
to the lesser of (x) $20,040,000.00 and (y) $10.02 multiplied by the number of Shares held by the Investors as of the closing
of the Business Combination (the “Escrowed Funds”). The Escrow Agreement shall irrevocably cause the Escrow Agent
to release from the Escrow Account the aggregate Shares Purchase Price in accordance with Section 1. The payments to be made by
the Escrow Agent to the Investors in accordance with Section 1 or to the Company in accordance with this Section 4(d),
if applicable, will be made solely with the Escrowed Funds.

 

(ii)
Upon receipt by the Escrow Agent and the Company of written notice that any Investor has sold Shares above $10.02 as provided in Section
4(c), the Escrow Agent may release to the Company for the Company’s use without restriction an aggregate amount equal to the
number of Shares sold multiplied by $10.02.

 

(iii)
In the event that any Investor elects not to sell to the Company any Shares held by such Investor by either (A) an Investor delivering
a written notice to the Company on behalf of itself stating such Investor’s intention not to sell any Shares to the Company, or
(B) such Investor failing to timely deliver a Shares Sale Notice to the Company pursuant to Section 1(a) for all of its Shares,
the Company may promptly issue instructions to the Escrow Agent to release from the Escrow Account to the Company for the Company’s
use without restriction an amount equal to (x) $10.02 multiplied by (y) the number of Shares held by such Investor.

 

(e)
Notification. ACTC II shall promptly notify the Investors of the occurrence of any event that would make any of the representations
and warranties of ACTC II set forth in Section 3 untrue or incorrect at any time between the date of this Agreement and the
Put Date.

 

(f) Security
Agreement in Escrow Account. To secure the obligations of ACTC II and the Company under this Agreement, ACTC II and the Company
each grant to the Investors a security interest in, and lien on, all right, title, and interest of ACTC II and the Company in and to
the Escrow Account in respect of all funds required to satisfy ACTC II’s and the Company’s obligations hereunder, the
Escrow Agreement, all rights related thereto, and all proceeds, products, and profits of the foregoing. In the event of a default by
ACTC II or the Company under this Agreement or the Escrow Agreement, then, in addition to any other rights the Investors may have
under this Agreement, the Escrow Agreement, and applicable law, the Investors shall also have the rights and remedies of a secured
party under the Uniform Commercial Code as enacted in the State of New York. ACTC II and the Company shall use commercially
reasonable efforts to prepare and file such UCC financing statements or other documents as reasonably directed by the Investors with
respect to their security interests.

 

    5

     

    

 

(g)
Indemnification. ACTC II (referred to as the “Indemnitor”) agrees to indemnify the Investors and their respective
officers, directors, employees, agents and shareholders (collectively referred to as the “Indemnitees”) against, and
hold them harmless of and from, any and all loss, liability, cost, damage and expense, including without limitation, reasonable and documented
out-of-pocket outside counsel fees, which the Indemnitees may suffer or incur by reason of any action, claim or proceeding, in each case,
brought by a securities holder, subscriber for securities or third party creditor of ACTC II , the Company or any of their respective
subsidiaries asserting that the Investors are not entitled to receive the aggregate Share Purchase Price or such portion thereof as they
are entitled to receive pursuant to Section 1(a) of this Agreement, in each case unless such action, claim or proceeding is the
result of the fraud, bad faith, willful misconduct or gross negligence of any Indemnitee.

 

5.
Closing Conditions. The obligation of the Company to purchase the Shares at the Shares Closing under this Agreement shall be subject
in all respects to the consummation of the Business Combination and such Shares being free and clear of all liens and other encumbrances
as of the Put Date.

 

6.
Termination. This Agreement may be terminated as follows:

 

(a)
at any time by mutual written consent of all Parties;

 

(b)
at the election of the Investors if the stockholders of ACTC II fail to approve the Business Combination before August 29, 2022, subject
to extension by mutual agreement;

 

(c)
prior to the closing of the Business Combination by mutual agreement of the Investors if there occurs a Company Material Adverse Effect
(as defined in the Business Combination Agreement);

 

(d)
at the sole option of ACTC II if the Investors fail to purchase an aggregate of at least 1,900,000 Shares pursuant to Section 4(a)
hereof prior to the closing of the Business Combination; and

 

(e)
by the Investors if all of the Parties and Continental Stock Transfer & Trust Company have not executed the Escrow Agreement prior
to the Business Combination Closing Date.

 

In
the event of termination in accordance with this Section 6, this Agreement shall forthwith become null and void and have no effect,
without any liability on the part of MSOF, MSTO, MCP, ACTC II, or the Company and their respective directors, officers, employees, partners,
managers, members, or stockholders and, except as otherwise provided in this Agreement, all rights and obligations of each Party shall
immediately cease; provided, however, that nothing contained in this Section 6 shall relieve any Party from liabilities
or damages arising out of any actual fraud or willful breach by such party of any of its representations, warranties, covenants or agreements
contained in this Agreement prior to termination of this Agreement.

 

    6

     

    

 

7.General
Provisions.

 

(a)
Notices. All notices and other communications given or made pursuant to this Agreement shall be in writing and shall be deemed
effectively given upon the earlier of actual receipt, or (i) personal delivery to the Party to be notified, (ii) when sent, if sent by
electronic mail during normal business hours of the recipient, and if not sent during normal business hours, then on the recipient’s
next Business Day, (iii) five (5) Business Days after having been sent by registered or certified mail, return receipt requested, postage
prepaid, or (iv) one (1) Business Day after deposit with a nationally recognized overnight courier, freight prepaid, specifying next
Business Day delivery, with written verification of receipt. All notices and other communications sent to a Party shall be sent to the
e-mail address or address as set forth on the signature page of such Party hereto, or to such e-mail address or address as subsequently
modified by written notice given by such Party in accordance with this Section 7(a).

 

(b)
No Finder’s Fees. Except as provided in Section 2 of this Agreement, each Party represents that it neither is nor
will be obligated for any finder’s fee or commission in connection with the Transactions. Each Investor agrees to indemnify and
to hold harmless ACTC II from any liability for any commission or compensation in the nature of a finder’s or broker’s fee
arising out of the Transactions (and the costs and expenses of defending against such liability or asserted liability) for which the
Investors, or any of their respective officers, employees or representatives is responsible or arising out of any agreement entered into
by any such person or entity. ACTC II agrees to indemnify and hold harmless the Investors from any liability for any commission or compensation
in the nature of a finder’s or broker’s fee arising out of the Transactions (and the costs and expenses of defending against
such liability or asserted liability) for which ACTC II or any of its officers, employees or representatives is responsible or arising
out of any agreement entered into by any such person or entity.

 

(c)
Survival of Representations and Warranties. All of the representations and warranties contained herein shall survive the Shares
Closing.

 

(d)
Entire Agreement. This Agreement, together with any documents, instruments and writings that are delivered pursuant hereto or
referenced herein, constitute the entire agreement and understanding of the Parties in respect of its subject matter and supersedes all
prior understandings, agreements, or representations by or among the Parties, written or oral, to the extent they relate in any way to
the subject matter hereof or to the Transactions.

 

(e)
Successors. All of the terms, agreements, covenants, representations, warranties, and conditions of this Agreement are binding
upon, and inure to the benefit of and are enforceable by, the Parties and their respective successors. Nothing in this Agreement, express
or implied, is intended to confer upon any party other than the Parties or their respective successors and assigns any rights, remedies,
obligations or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.

 

(f) Assignments.
Except as otherwise specifically provided herein, no Party may assign either this Agreement or any of its rights, interests, or
obligations hereunder without the prior written approval of the each of the other Parties.

 

(g)
Counterparts. This Agreement may be executed in two or more counterparts, each of which will be deemed an original but all of
which together will constitute one and the same instrument. Signatures sent by facsimile transmission or in PDF format shall be deemed
to be originals for all purposes of this Agreement.

 

    7

     

    

 

(h)
Headings. The section headings contained in this Agreement are inserted for convenience only and will not affect in any way the
meaning or interpretation of this Agreement.

 

(i) Governing
Law; Jurisdiction. This Agreement, the entire relationship of the Parties, and any litigation among the Parties (whether
grounded in contract, tort, statute, law or equity) shall be governed by, construed in accordance with, and interpreted pursuant to
the laws of the State of Delaware, without giving effect to its choice of laws or conflict of law provision or rule (whether of the
State of Delaware or any other jurisdiction) that would cause the application of the laws of any jurisdiction other than the State
of Delaware. Any dispute arising from or relating to the relative rights of the parties hereto and all other questions concerning
the construction, validity and interpretation of this Agreement, shall be brought exclusively in the Court of Chancery of the State
of Delaware (the “Court of Chancery”) or, to the extent the Court of Chancery does not have subject matter
jurisdiction, the United States District Court for the District of Delaware and the appellate courts having jurisdiction of appeals
in such courts (the “Delaware Federal Court”) or, to the extent neither the Court of Chancery nor the Delaware
Federal Court has subject matter jurisdiction, the Superior Court of the State of Delaware (the “Chosen Courts”),
and, solely with respect to any such action (i) irrevocably submits to the exclusive jurisdiction of the Chosen Courts,
(ii) waives any objection to laying venue in any such action in the Chosen Courts, and (iii) waives any objection that the
Chosen Courts are an inconvenient forum or do not have jurisdiction over any party hereto.

 

(j) MUTUAL
WAIVER OF JURY TRIAL. EACH PARTY TO THIS AGREEMENT HEREBY WAIVES ALL RIGHTS TO TRIAL BY JURY IN ANY ACTION, SUIT, OR PROCEEDING
BROUGHT TO RESOLVE ANY DISPUTE BETWEEN OR AMONG ANY OF THE PARTIES HERETO, WHETHER ARISING IN CONTRACT, TORT, OR OTHERWISE, ARISING
OUT OF, CONNECTED WITH, RELATED OR INCIDENTAL TO THIS AGREEMENT AND/OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

(k)
Amendments. This Agreement may not be amended, modified or waived as to any particular provision, except with the prior written
consent of all Parties.

 

(l) Severability.
The provisions of this Agreement will be deemed severable and the invalidity or unenforceability of any provision will not affect
the validity or enforceability of the other provisions hereof; provided that if any provision of this Agreement, as applied
to any Party or to any circumstance, is adjudged by a governmental authority, arbitrator, or mediator not to be enforceable in
accordance with its terms, the Parties agree that the governmental authority, arbitrator, or mediator making such determination will
have the power to modify the provision in a manner consistent with its objectives such that it is enforceable, and/or to delete
specific words or phrases, and in its reduced form, such provision will then be enforceable and will be enforced.

 

(m) Expenses.
ACTC II shall pay the reasonable and documented out-of-pocket fees and expenses of legal counsel to the Investors as agreed by the
Parties via that certain letter agreement entered into by and between the Parties, dated July 14, 2022. ACTC II and the Company are
responsible for all fees associated with the Escrow Account.

 

(n)
Exclusivity. ACTC II represents that it has not and will not enter into any similar agreements to this Agreement with any other
parties prior to the consummation of the Business Combination. For the avoidance of doubt, ACTC II may not enter into in any other non-redemption
or forward purchase agreement.

 

    8

     

    

 

(o)
Construction. The Parties have participated jointly in the negotiation and drafting of this Agreement. If an ambiguity or question
of intent or interpretation arises, this Agreement will be construed as if drafted jointly by the Parties and no presumption or burden
of proof will arise favoring or disfavoring any Party because of the authorship of any provision of this Agreement. For purposes of this
Agreement, “Business Day” means any day other than Saturday, Sunday, or a day on which commercial banks in New York
are obligated by any applicable law to close. Any reference to any federal, state, local, or foreign law will be deemed also to refer
to law as amended and all rules and regulations promulgated thereunder, unless the context requires otherwise. The words “include,”
“includes,” and “including” will be deemed to be followed by “without limitation.”
Pronouns in masculine, feminine, and neuter genders will be construed to include any other gender, and words in the singular form will
be construed to include the plural and vice versa, unless the context otherwise requires. The words “this Agreement,”
“herein,” “hereof,” “hereby,” “hereunder,” and words of similar
import refer to this Agreement as a whole and not to any particular subdivision unless expressly so limited. The Parties intend that
each representation, warranty, and covenant contained herein will have independent significance. If a Party has breached any representation,
warranty, or covenant contained herein in any respect, the fact that there exists another representation, warranty or covenant relating
to the same subject matter (regardless of the relative levels of specificity) which such party has not breached will not detract from
or mitigate the fact that such party is in breach of the first representation, warranty, or covenant.

 

(p)
Waiver. No waiver by a Party of any default, misrepresentation, or breach of warranty or covenant hereunder, whether intentional
or not, may be deemed to extend to any prior or subsequent default, misrepresentation, or breach of warranty or covenant hereunder or
affect in any way any rights arising because of any prior or subsequent occurrence.

 

(q)
Specific Performance. Each Party agrees that irreparable damage may occur in the event any provision of this Agreement was not
performed by any other Party in accordance with the terms hereof and that the other Parties shall be entitled to seek specific performance
of the terms hereof, in addition to any other remedy at law or equity.

 

(r) Rule 10b5-1.

 

i.
The Company represents and warrants to the Investors that Company is not entering into this Agreement to create actual or apparent trading
activity in the Shares (or any security convertible into or exchangeable for the Shares) or to raise or depress or otherwise manipulate
the price of the Shares (or any security convertible into or exchangeable for the Shares) for the purpose of inducing the purchase or
sale of such securities or otherwise in violation of the Exchange Act, and the Company represents and warrants to the Investors that
the Company has not entered into or altered, and agrees that the Company will not enter into or alter, any corresponding or hedging transaction
or position with respect to the Shares. The Company acknowledges that it is the intent of the parties that this Agreement comply with
the requirements of paragraphs (c)(1)(i)(A) and (B) of Rule 10b5-1 under the Exchange Act (“Rule 10b5-1”)
and this Agreement shall be interpreted to comply with the requirements of Rule 10b5-1(c).

 

ii.
The Company agrees that it will not seek to control or influence the Investors’ decision to make any “purchases or sales”
(within the meaning of Rule 10b5-1(c)(1)(i)(B)(3)) under this Agreement, including, without limitation, the Investors’
decision to enter into any hedging transactions. The Investors represent and warrant that they have consulted with their own advisors
as to the legal aspects of its adoption and implementation of this Agreement under Rule 10b5-1.

 

iii.
The Company acknowledges and agrees that any amendment, modification, waiver or termination of this Agreement must be effected in accordance
with the requirements for the amendment or termination of a “plan” as defined in Rule 10b5-1(c). Without limiting
the generality of the foregoing, the Company acknowledges and agrees that any such amendment, modification, waiver or termination shall
be made in good faith and not as part of a plan or scheme to evade the prohibitions of Rule 10b-5, and no such amendment, modification
or waiver shall be made at any time at which the Company or any officer, director, manager or similar person of the Company is aware
of any material non-public information regarding the Company or the Shares.

 

[Signature
page follows]

 

    9

     

    

 

IN
WITNESS WHEREOF, the undersigned have executed this Agreement to be effective as of the date first set forth above.

 

	MSOF:	 
	 	 
	METEORA SPECIAL
    OPPORTUNITY FUND I, LP	 
	 	 
	By:	/s/
    Vik Mittal	 
	Name:  	Vik Mittal	 
	Title: 	CIO/Managing Member	 

 

Address for Notices:  

840 Park Drive E 

Boca
Raton, FL 33432

team@meteoracapital.com 

 

	MSTO:	 
	 	 
	METEORA SELECT
    TRADING OPPORTUNITIES MASTER, LP
	 	 
	By:	/s/ Vik Mittal	 
	Name:  	Vik Mittal	 
	Title:	CIO/Managing Member	 

 

Address for Notices:  

840 Park Drive E 

Boca
Raton, FL 33432 

team@meteoracapital.com 

 

	MCP:	 
	 	 
	METEORA CAPITAL
    PARTNERS, LP	 
	 	 
	By:	/s/ Vik Mittal	 
	Name:  	Vik Mittal	 
	Title:	CIO/Managing Member	 

   

Address for Notices:  

840
Park Drive E

Boca
Raton, FL 33432

team@meteoracapital.com 

 

     

     

    

 

	ACTC II:	 
	 	 
	ArcLight Clean Transition Corp.
    II	 
	 	 
	By:	/s/
    Marco F. Gatti	 
	Name:  	Marco F. Gatti	 
	Title: 	Chief Financial Officer	 

 

Address
for Notices:

200
Clarendon Street, 55th Floor

Boston,
MA 02116

Attn.:
General Counsel

Email:
christine.miller@arclightclean.com  

 

     

     

    

 

Exhibit
A

 

Escrow
Agreement

 

(attached hereto)

 

     

     

    

 

FORM
OF ESCROW AGREEMENT

 

This
ESCROW AGREEMENT (this “Agreement”) made as of July [●], 2022, by and among ArcLight Clean Transition Corp.
II, a Cayman Islands exempted company (“ACTC II”), Continental Stock Transfer & Trust Company, 1 State Street,
30th Floor, New York, NY 10004 (the “Escrow Agent”), Meteora Special Opportunity Fund I, LP, a Delaware
limited partnership (“MSOF”), Meteora Select Trading Opportunities Master, LP, a Cayman Islands limited partnership
(“MSTO”) and Meteora Capital Partners, LP, a Delaware limited partnership (“MCP” and together with
MSOF and MSTO, each individually an “Investor” and collectively, the “Investors”).

 

WITNESSETH:

 

WHEREAS,
ACTC II has entered into a Business Combination Agreement, dated as of December 2, 2022 (the “Business Combination Agreement”),
by and among ACTC II, a Cayman Islands exempted company, OPAL Fuels LLC, a Delaware limited liability company (“OPAL Fuels”)
and OPAL HoldCo LLC, a Delaware limited liability company (“OPAL HoldCo”), pursuant to which ACTC II will acquire
OPAL Fuels (such acquisition and the other transactions contemplated by the Business Combination Agreement, collectively, the “Business
Combination”), and ACTC II will be re-named “Opal Fuels Inc.” upon the consummation of the Business Combination
(Opal Fuels Inc., as the post-combination company shall be referred to herein as the “Company”), and ACTC II has filed
a Registration Statement on Form S-4 (the “Registration Statement”) with the U.S. Securities and Exchange Commission
(the “Commission”), and the Registration Statement includes a proxy statement/prospectus and certain other related
documents;

 

WHEREAS,
ACTC II has entered into that certain Forward Share Purchase Agreement, dated as of July [●], 2022 (as amended from time to time,
the “Purchase Agreement”), with MSOF, MSTO and MCP, pursuant to which the Investors may elect to sell and transfer
to the Company shares of Common Stock, par value $0.0001 per share, of ACTC II (the “Shares”) that are held by the
Investors on the date that is six (6) months after the closing date of the Business Combination (the “Put Date”),
at a price per share of $10.02 (the “Shares Purchase Price”) and may otherwise be entitled to payments from the Company,
all on the terms and conditions set forth in the Purchase Agreement;

 

WHEREAS,
ACTC II desires to establish an escrow account (the “Escrow Account”), into which, on the Business Combination Closing
Date (as defined in the Purchase Agreement), ACTC II shall deposit, or cause to be deposited, for good and valuable consideration, the
receipt, sufficiency and adequacy of which ACTC II hereby acknowledges, an amount equal to $20,040,000.00 (or such lesser amount as is
provided for by Section 4(d) of the Purchase Agreement) (the “Escrowed Funds”), and the Escrow Agent is willing to
establish the Escrow Account on the terms and subject to the conditions hereinafter set forth;

 

WHEREAS,
the Escrowed Funds deposited into the Escrow Account are the funds of MSOF, MSTO and MCP, and the parties hereto intend that, until the
Escrowed Funds are released pursuant to this Agreement and the Purchase Agreement, the Escrowed Funds are not, and shall not become under
any circumstances, property of the Company or ACTC II, it being understood and acknowledged that the Escrowed Funds are to be held by
the Escrow Agent in trust for the exclusive benefit of MSOF, MSTO and MCP; and

 

WHEREAS,
the Escrow Agent has agreed to establish a bank account (the “Bank Account”) at JPMorgan Chase Bank, N.A. (the “Bank”)
and an investment account (the “Investment Account”) at a brokerage institution (the “Broker”)
selected by the Escrow Agent and bearing the designation set forth on the Information Sheet (as defined herein), into which the Escrowed
Funds are to be deposited.

 

    A-1

     

    

 

NOW,
THEREFORE, in consideration of the premises and mutual covenants herein contained, and for other good and valuable consideration, the
receipt, sufficiency and adequacy of which are hereby acknowledged, the parties hereto hereby agree as follows:

 

1.
Information Sheet. The recitals to this Agreement and the information set forth on the information sheet which is attached to
this Agreement as Exhibit A (the “Information Sheet”) are incorporated by reference herein and made a part
hereof.

 

2.
Establishment of the Bank Account. The Escrow Agent shall establish the Bank Account at the branch of the Bank and an Investment
Account at the Broker selected by the Escrow Agent. The Escrow Agent, in a timely manner shall invest and reinvest the Escrowed Funds
in any open ended investment company registered under the Investment Company Act of 1940, as amended (the “Investment Company
Act”) that holds itself out as a money market fund selected by the Company and meeting the conditions of paragraphs (d)(2),
(d)(3) and (d)(4) of Rule 2a-7 promulgated under the Investment Company Act or any successor rule, which invests only in direct U.S.
government treasury obligations, as determined by the Company. The Escrow Agent may not invest in any other securities or assets, and
while the Escrow Funds are invested or uninvested, the Escrow Agent may earn bank credits or other consideration. The purpose of the
Bank Account and the Investment Account is for (a) the deposit of the Escrowed Funds for the exclusive benefit of the Investors, and
(b) the disbursement of the Escrowed Funds, all as described herein.

 

3.
Deposits to the Bank Account. Simultaneously with the closing of the Business Combination, ACTC II shall deposit an amount equal
to the Escrowed Funds, from ACTC II’s Trust Account (as defined in the Trust Agreement (defined below), the “Trust Account”)
with the Escrow Agent as designated in the ACTC II’s Trust Account closing funds flow statement into the Escrow Account, in accordance
with the terms of the Purchase Agreement and the Investment Management Trust Agreement, dated March 25, 2021, by and between ACTC II
and the Escrow Agent, as trustee thereunder (“Trust Agreement”). If the amount of money in the Trust Account remaining
after paying redemptions to ACTC II public stockholders is less than the Escrowed Funds, the Company shall transfer to the Escrow
Agent an amount equal to the Escrowed Funds minus the funds remaining in the Trust Account after paying redemptions. For the avoidance
of doubt, the amount transferred pursuant to this section was property of ACTC II and upon transfer will be for the exclusive benefit
of MSOF, MSTO and MCP, subject to the terms and conditions of this Agreement and the Purchase Agreement.

 

4.
Disbursement from the Escrow Account.

 

4.1
Concurrently with an Investor’s electronic delivery of Shares to the Escrow Agent by Deposit/Withdrawal at Custodian (DWAC) and
the delivery of written instructions confirming the delivery of Shares to the Escrow Agent on the Put Date pursuant to Section 1(b) of
the Purchase Agreement, the Escrow Agent shall (a) release to the Investors from the Escrowed Funds an amount equal to the Shares Purchase
Price multiplied by the number of Shares delivered by such Investor to the Escrow Agent on the Put Date, (b) promptly disburse
such amount without any fees or setoffs and (c) promptly deliver to the Company all such Shares delivered by the Investors to the Escrow
Agent. If an Investor fails to timely deliver a Shares Sale Notice (as defined in the Purchase Agreement) to the Company and the Escrow
Agent five (5) Business Days (as defined in the Purchase Agreement) prior to the Put Date in accordance with Section 1(a) of the
Purchase Agreement, the Escrow Agent shall release to the Company from the Escrowed Funds an amount equal to $10.02 multiplied by
the number of Shares held by such Investor. In the event that (i) an Investor notifies the Company and the Escrow Agent that such
Investor has sold Shares pursuant to Section 4(c) of the Purchase Agreement, or (ii) MSOF, MSTO or MCP notifies the Escrow Agent
that an Investor does not intend to exercise such Investor’s right to sell any of its Shares to the Company pursuant to Section
1(b) of the Purchase Agreement, then, in the case of clause (i), the Escrow Agent shall release to the Company an amount equal to the
number of Shares sold by such Investor pursuant to Section 4(c) of the Purchase Agreement multiplied by $10.02, or in the case
of clause (ii), to release to the Company an amount equal to the number of Shares held by such non-selling Investor multiplied by
$10.02, and the Escrow Agent shall promptly disburse such Escrowed Funds in accordance with the payment instructions provided by
the Company. The Escrow Agent shall have no duty to look beyond the instructions provided by the Investor in order to confirm the number
of Shares held or sold. At any time after the date that is five (5) Business Days prior to the Put Date, the Company may deliver written
instructions to the Escrow Agent to release to the Company all remaining Escrowed Funds in the Escrow Account after release to the applicable
Investor(s) of the Investor Shares Purchase Price (as such term is defined in the Purchase Agreement) in respect of all Shares (x) identified
in all Shares Sale Notices and (y) that are timely delivered to the Company in accordance with Section 1(a) of the Purchase Agreement
and that are properly delivered to the Company on the Put Date in accordance with Section 1(b) of the Purchase Agreement.

 

    A-2

     

    

 

4.2
Upon disbursement of the total of the Escrowed Funds pursuant to the terms of this Section 4, the Escrow Agent shall be relieved
of further obligations and released from all liability under this Agreement. It is expressly agreed and understood that in no event shall
the aggregate amount of payments made by the Escrow Agent exceed the amount of the Escrowed Funds.

 

5.
Rights, Duties and Responsibilities of Escrow Agent. It is understood and agreed that the duties of the Escrow Agent are purely
ministerial in nature, and that:

 

5.1
The Escrow Agent shall not be responsible for or be required to enforce any of the terms or conditions of the Purchase Agreement or any
other agreement between MSOF, MSTO and MCP and ACTC II (or the Company), nor shall the Escrow Agent be responsible for the performance
by ACTC II, the Company, MSOF, MSTO or MCP of their respective obligations under this Agreement.

 

5.2
The Escrow Agent shall be entitled to rely upon the accuracy, and act in reliance upon the contents, of any notice, instruction, certificate,
signature, instrument or other document which is given to the Escrow Agent pursuant to this Agreement that is believed by the Escrow
Agent to be genuine, without the necessity of the Escrow Agent verifying the truth or accuracy thereof. The Escrow Agent shall not be
obligated to make any inquiry as to the authority, capacity, existence or identity of any person purporting to give any such notice or
instructions or to execute any such certificate, instrument or other document. For the avoidance of doubt, this Section shall not prevent
any liability of the Escrow Agent for acts of willful misconduct or gross negligence as described in Section 5.4 herein.

 

5.3
If the Escrow Agent is uncertain as to its duties or rights hereunder or shall receive instructions with respect to the Bank Account
or the Escrowed Funds which, in its sole determination, are in conflict either with other instructions received by it or with any provision
of this Agreement, it shall be entitled to hold the Escrowed Funds, or a portion thereof, in the Bank Account pending the resolution
of such uncertainty to the Escrow Agent’s reasonable satisfaction.

 

5.4
The Escrow Agent shall not be liable for any action taken or omitted hereunder, or for the misconduct of any employee, agent or attorney
appointed by it, except in the case of willful misconduct or gross negligence. The Escrow Agent shall be entitled to consult with counsel
of its own choosing and shall not be liable for any action taken, suffered or omitted by it in accordance with the advice of such counsel.

 

5.5
The Escrow Agent shall have no responsibility at any time to ascertain whether or not any security interest exists in the Escrowed Funds
or any part thereof.

 

    A-3

     

    

 

6.
Amendment; Resignation or Removal of Escrow Agent. This Agreement may be altered or amended only pursuant to a written instrument,
referencing this Section 6, signed by all parties hereto. The Escrow Agent may resign and be discharged from its duties hereunder
at any time by giving written notice of such resignation to (i) ACTC II (if the resignation occurs prior to the closing of the Business
Combination) or the Company (if the resignation occurs after the closing of the Business Combination) and (ii) MSOF, MSTO and MCP specifying
a date when such resignation shall take effect and upon delivery of the Escrowed Funds to the successor escrow agent designated by MSOF,
MSTO or MCP in writing. Such successor Escrow Agent shall become the Escrow Agent hereunder upon the resignation date specified in such
notice. The Escrow Agent shall continue to serve until its successor accepts the escrow and receives the Escrowed Funds. MSOF, MSTO and
MCP shall jointly have the right at any time to remove the Escrow Agent and substitute a new escrow agent by giving written notice thereof
to the Escrow Agent then acting, and ACTC II or the Company, as applicable. Upon its resignation and delivery of the Escrowed Funds as
set forth in this Section 6, the Escrow Agent shall be discharged of and from any and all further obligations arising in connection
with the escrow contemplated by this Agreement. Without limiting the provisions of Section 8 hereof, the resigning Escrow Agent
shall be entitled to be reimbursed by ACTC II or the Company, as applicable, for any expenses incurred in connection with its resignation,
transfer of the Escrowed Funds to a successor escrow agent or distribution of the Escrowed Funds pursuant to this Section 6.

 

7.
Representations and Warranties. ACTC II hereby represents and warrants to the Escrow Agent and MSOF, MSTO and MCP that:

 

7.1
No party other than the parties hereto have or shall have, any lien, claim or security interest in the Escrowed Funds or any part thereof.

 

7.2
To ACTC II’s knowledge, no financing statement under the Uniform Commercial Code or otherwise is on file in any jurisdiction claiming
a lien on, security interest in or describing (whether specifically or generally) the Escrowed Funds or any part thereof.

 

7.3
All of the information contained in the Information Sheet is, as of the date hereof, and will be, at the time of any disbursement of
the Escrowed Funds, true and correct.

 

7.4
Reasonable controls have been established and required due diligence performed to comply with “Know Your Customer” regulations,
USA Patriot Act, Office of Foreign Asset Control (OFAC) regulations and the Bank Secrecy Act.

 

8.
Fees and Expenses. The Escrow Agent shall be entitled to the Escrow Agent Fees set forth on the Information Sheet, payable as
and when stated therein by ACTC II (or the Company). For the avoidance of doubt, under no circumstances shall MSOF, MSTO and/or MCP be
responsible to pay any portion of such Escrow Agent Fees.

 

9.
Indemnification and Contribution.

 

9.1
Subject to Section 18, ACTC II (referred to solely for purposes of this Section 9.1 as the “Indemnitor”)
agrees to indemnify the Escrow Agent and its officers, directors, employees, agents and shareholders (collectively referred to solely
for purposes of this Section 9.1 as the “Indemnitees”) against, and hold them harmless of and from, any and
all loss, liability, cost, damage and expense, including without limitation, reasonable counsel fees, which the Indemnitees may suffer
or incur by reason of any action, claim or proceeding brought against the Indemnitees arising out of or relating in any way to this Agreement
or any transaction to which this Agreement relates, unless such action, claim or proceeding is the result of the fraud, willful misconduct
or gross negligence of the Indemnitees.

 

    A-4

     

    

 

9.2
Subject to Section 18, ACTC II and the Company (collectively referred to solely for purposes of this Section 9.2 as
the “Indemnitor”) agrees to indemnify the Investors and their respective officers, directors, employees, agents and
shareholders (collectively referred to solely for purposes of this Section 9.2 as the “Indemnitees”) against,
and hold them harmless of and from, any and all loss, liability, cost, damage and expense, including without limitation, reasonable and
documented out-of-pocket outside counsel fees, which the Indemnitees may suffer or incur by reason of any action, claim or proceeding,
in each case, brought by a third party creditor of ACTC II, the Company or any of their respective subsidiaries against the Indemnitees
arising out of or relating in any way to the disbursement of any portion of the Escrowed Funds to the Investors in accordance with the
terms of this Agreement, unless such action, claim or proceeding is the result of the fraud, willful misconduct or gross negligence of
any Indemnitee.

 

9.3
If the indemnification provided for in Section 9.1 or Section 9.2 is applicable, but for any reason is held to be unavailable,
the Indemnitor, alone, shall contribute such amounts as are just and equitable to pay, or to reimburse the Indemnitees for, the aggregate
of any and all losses, liabilities, costs, damages and expenses, including counsel fees, actually incurred by the Indemnitees (as defined
in such applicable Section) as a result of or in connection with, and any amount paid in settlement of, any action, claim or proceeding
arising out of or relating in any way to any actions or omissions of the Indemnitors.

 

9.4
The provisions of this Section 9 shall survive any termination of this Agreement, whether by disbursement of the Escrowed Funds,
resignation of the Escrow Agent or otherwise.

 

10.
In the event that ACTC II (or the Company) file a petition with any bankruptcy court or be the subject of any petition (a “Bankruptcy
Event”) filed under 11 U.S.C. § 101 et seq. (the “Bankruptcy Code”), ACTC II (or the Company) acknowledges
and agrees that the Escrowed Funds in the Escrow Account are the exclusive property of the Investors and shall not constitute property
of the bankruptcy estate of ACTC II (or the Company), within the meaning of § 541 of the Bankruptcy Code. In the event that, notwithstanding
the foregoing, a bankruptcy court shall determine that ACTC II (or the Company) has a continuing right, title or interest in or to the
Escrow Fund in the Escrow Account, and that all or any portion of the Escrowed Funds are property of the bankruptcy estate, ACTC II (or
the Company) hereby, for itself and on behalf of the Company, acknowledges and agrees that all such Escrowed Funds in the Escrow Account
shall constitute the Investors’ “cash collateral” within the meaning of §§ 361 and 363 of the Bankruptcy
Code. ACTC II (or the Company) further acknowledges that in such event, the Investors do not consent to ACTC II’s (or the Company’s)
use of such cash collateral, and that ACTC II (or the Company) shall have no right to use or apply any amount of such cash collateral
unless and until (i) ACTC II (or the Company) shall have received a bankruptcy court order authorizing use of the same and (ii) the Investors
shall have been provided with “adequate protection” of their interests in the Escrowed Funds in the Escrow Account, within
the meaning of §§ 361 and 363 of the Bankruptcy Code. ACTC II (or the Company), for itself and on behalf of the Company, hereby
releases all power of dominion and control over the Escrowed Funds in the Escrow Account and acknowledges that it shall not have access
to the Escrowed Funds in the Escrow Account, except as specifically provided in this Agreement. ACTC II (or the Company), for itself
and on behalf of the Company, agrees that neither ACTC II nor the Company will take any position at any time prior to or after a Bankruptcy
Event that all or any portion of the Escrow Funds are property of their respective bankruptcy estates. ACTC II (or the Company), for
itself and on behalf of the Company, further agrees that its employees and representatives will not assist a bankruptcy trustee, creditors’
committee or other estate representative in any bankruptcy case or proceeding in efforts to establish that the Escrowed Funds are property
of the bankruptcy estate of either ACTC II or the Company. For the avoidance of doubt, ACTC II (or the Company), for itself and on behalf
of the Company, agrees and acknowledges that (i) the Escrow Agent shall hold the Escrowed Funds in trust for the benefit of the Investors
pending the release of such Escrowed Funds in strict accordance with this Agreement and (ii) ACTC II deposited the Escrowed Funds
in the Escrow Account for good and valuable consideration.

 

    A-5

     

    

 

11.
Termination of Agreement. This Agreement shall terminate on the earlier of the termination of the Purchase Agreement and the final
disposition of the Escrowed Funds pursuant to Section 4, provided that the rights of the Escrow Agent and the obligations
of the other parties hereto under Section 9 shall survive the termination hereof and the resignation or removal of the Escrow
Agent.

 

12.
Governing Law and Assignment. This Agreement shall be construed in accordance with and governed by the laws of the State of New
York, without regard to the conflicts of laws principles thereof, and shall be binding, upon the parties hereto and their respective
successors and assigns; provided, however, that any assignment or transfer by any party of its rights under this Agreement
or with respect to the Escrowed Funds shall be void as against the Escrow Agent unless (a) written notice thereof shall be given to the
Escrow Agent; and (b) the Escrow Agent shall have consented in writing to such assignment or transfer.

 

13.
Notices. All notices required to be given in connection with this Agreement shall be sent by registered or certified mail, return
receipt requested, or by hand delivery with receipt acknowledged, or by an Express Mail service, and addressed, if to the Company, at
its address set forth on the Information Sheet, if to the Escrow Agent, at its address set forth on the Information Sheet, to the attention
of the Trust Department, and if to MSOF, MSTO or MCP, at their addresses included on its signature page hereto.

 

14.
No Third Party Beneficiaries. Nothing in this Agreement or in any instruction or document executed by any party in connection
with the transactions contemplated hereby shall create any rights in, or be deemed to have been executed for the benefit of, any person
that is not a party hereto or thereto or any successor or permitted assign of such a party.

 

15.
Severability. If any provision of this Agreement or the application thereof to any person or circumstance shall be determined
to be invalid or unenforceable, the remaining provisions of this Agreement or the application of such provision to persons or circumstances
other than those to which it is held invalid or unenforceable shall not be affected thereby and shall be valid and enforceable to the
fullest extent permitted by law.

 

16
Execution in Several Counterparts. This Agreement may be executed in several counterparts or by separate instruments and by facsimile
transmission or by electronic mail in “portable document format” (“.pdf”) and all of such counterparts and instruments
shall constitute one agreement, binding on all of the parties hereto.

 

17.
Entire Agreement. This Agreement constitutes the entire agreement between the parties hereto with respect to the subject matter
hereof and supersedes all prior agreements and understandings (written or oral) of the parties in connection therewith.

 

18.
Waiver. The Escrow Agent has no right of set-off or any other right, title, interest or claim of any kind (“Claim”)
in, or to any distribution of, the Trust Account (as defined in the Trust Agreement) and hereby agrees not to seek recourse, reimbursement,
payment or satisfaction for any Claim against the Trust Account for any reason whatsoever. The Escrow Agent hereby waives any and all
Claims against the Trust Account and any and all rights to seek access to the Trust Account.

 

(Remainder
of page intentionally left blank)

 

    A-6

     

    

 

IN
WITNESS WHEREOF, the undersigned have executed this Agreement as of the day and year first above written.

 

	 	ESCROW AGENT:
	 	 
	 	CONTINENTAL STOCK TRANSFER & TRUST
    COMPANY
	 	 
	 	By: 	 
	 	 	Name: 	Francis Wolf
	 	 	Title: 	Vice President
	 	 	 
	 	ACTC II:
	 	 
	 	ARCLIGHT CLEAN TRANSITION CORP. II
	 	 
	 	By:	 
	 	 	Name: 
	 	 	Title:  
	 	 	 
	 	MSOF:
	 	 
	 	METEORA SPECIAL
    OPPORTUNITY FUND I, LP
	 	 
	 	By: 	 
	 	 	Name: 	Vik Mittal
	 	 	Title:	CIO/Managing Member
	 	 	 
	 	MSTO:	 
	 	 	 
	 	METEORA SELECT
    TRADING OPPORTUNITIES MASTER, LP
	 	 
	 	By: 	 
	 	 	Name: 	Vik Mittal
	 	 	Title:	CIO/Managing Member
	 	 	 
	 	MCP:
	 	 
	 	METEORA CAPITAL
    PARTNERS, LP
	 	 
	 	By:	 
	 	 	Name: 	Vik Mittal
	 	 	Title:	CIO/Managing Member
	 	 	 
	 	Address for Notices for MSOF, MSTO and
    MCP:
	 	840 Park Drive E
	 	Boca Raton, FL 33432
	 	team@meteoracapital.com

 

(Signature
Page to Escrow Agreement)

 

    A-7

     

    

 

EXHIBIT
A

 

ESCROW
AGREEMENT INFORMATION SHEET

 

	1.	The
                                            Company:

 

Name:
OPAL Fuels Inc.

Tax
Identification Number: [●]

 

	2.	Title
                                            of Escrow Account:

 

Continental
Stock Transfer & Trust Co. A/A/F ACTC II MSOF MSTO and MCP 2022 Escrow

 

Wire
to:

 

Bank
Name: [●]

Address:
[●]

 

ABA
# [●]

SWIFT
Code: [●]

A/C:
Continental Stock Transfer & Trust Co. A/A/F ACTC II MSOF MSTO and
MCP 2022 Escrow

A/C
NO.: [●]

 

	3.	Escrow Agent Fees & Charges for an
                                Investment Account:

 

$[●]
Escrow Administration Services

$[●] Investment Account Services

 

	4.	Addresses
                                            for Notices and Email:

 

Continental
Stock Transfer & Trust

1
State Street 30th Floor

New
York, NY 10004-1561

jgoraya@continentalstock.com

 

OPAL
Fuels Inc.

One
North Lexington Avenue Suite 1450

White
Plains, NY 10601

	 	Attn.: 	John H. Coghlin, General Counsel
	 	Email: 	jcoghlin@opalfuels.com

 

 

A-8

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