Document:

Form of Warrant to Purchase 200,000 Shares

 Exhibit 10.4 
 THE WARRANTS REPRESENTED HEREBY AND THE SHARES OF COMMON STOCK ISSUABLE UPON ANY EXERCISE HEREOF WERE ORIGINALLY ISSUED IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS
AMENDED (THE “SECURITIES ACT”), AND THE WARRANTS REPRESENTED HEREBY AND THE COMMON STOCK ISSUABLE UPON ANY EXERCISE HEREOF MAY NOT BE SOLD OR OTHERWISE TRANSFERRED BY ANY PERSON, INCLUDING A PLEDGEE, UNLESS EITHER (1) A REGISTRATION
STATEMENT WITH RESPECT THERETO SHALL BE EFFECTIVE UNDER THE SECURITIES ACT, OR (2) THE COMPANY SHALL HAVE RECEIVED AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY THAT AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT IS AVAILABLE.

  

			
	April [•], 2012	  	Series A Warrant No. 2012-2

 AMERICAN ELECTRIC TECHNOLOGIES, INC. 

WARRANT TO PURCHASE SHARES OF COMMON STOCK 
 For value received, AMERICAN ELECTRIC TECHNOLOGIES, INC., a Florida corporation (the “Company”), hereby certifies that JCH Crenshaw Holdings, LLC, a Texas limited liability company, or
its transferees, successors or assigns (each person or entity holding all or part of this Warrant being referred to as a “Holder”), is the registered holder of Series A Warrants (the “Warrants”) to subscribe for and
purchase Two Hundred Thousand (200,000) shares (as may be adjusted as provided herein, the “Warrant Shares”) of the fully paid and nonassessable Common Stock (as defined below), at a purchase price per share initially equal to
$7.00 and subject to adjustment as provided herein (the “Warrant Price”) on or before, 5:00 P.M., Eastern Time, on April [•], 2020 (the “Expiration Time”), subject to the provisions and upon the terms and
conditions hereinafter set forth. As used in this Warrant, the term “Business Day” means any day other than a Saturday or Sunday on which commercial banks located in New York, New York are open for the general transaction of
business. 
 Section 1. Methods of Exercise; Issuance of New Warrant. 

(a) Subject to the provisions hereof, the Holder may exercise this Warrant at any time prior to the Expiration Time, in whole or in part
and from time to time, by the surrender of this Warrant at the principal office of the Company, or such other office or agency of the Company as it may reasonably designate by written notice to the Holder, during normal business hours on any
Business Day, with (i) the Notice of Exercise – Payment in Cash attached hereto as Appendix A duly executed and the payment by the Holder by cash, certified check payable to the Company or wire transfer of immediately available
funds to an account designated to the exercising Holder by the Company of an amount equal to the then applicable Warrant Price multiplied by the number of Warrant Shares then being purchased, or (ii) in the event of a cashless exercise pursuant
to Section 1(b) below, with the Notice of Exercise – Net Issuance attached hereto as Appendix B duly executed and completed. Effective as of the close of business on the date on which the Holder shall have satisfied in full the
Holder’s obligations set forth herein regarding an exercise of this Warrant (the “Exercise Date”) (provided such date is prior to the Expiration Time), the Holder (or such other person or persons as directed by the
Holder) shall be treated for all purposes as the holder of record of the number of Warrant Shares receivable upon such exercise. 

 (b) In addition to and without limiting the rights of the Holder hereof under the terms of
this Warrant, the Holder may elect to receive, without the payment by the Holder of the Warrant Price, Warrant Shares equal to the value of this Warrant or any portion hereof by the surrender of this Warrant (or such portion of this Warrant being so
exercised) together with the Notice of Exercise – Net Issuance attached hereto as Appendix B duly executed and completed. Thereupon, the Company shall issue to the Holder such number of Warrant Shares, as is computed using the following
formula: 
 X = Y(A-B) 
        A 
 where 

X = the number of shares of Common Stock to be issued to the Holder (or such other person or persons as directed by the Holder) upon such exercise of the
rights under this Section 1(b). 
 Y = the total number of shares of Common Stock covered by this Warrant which the Holder has surrendered
for cashless exercise (determined as if the Warrant Price were being paid in cash). 
 A = the Fair Market Value (as defined below) of one share
of Common Stock on the date that the Holder delivers the Notice of Exercise – Net Issuance to the Company as provided herein. 
 B = the
Warrant Price in effect under this Warrant on the date that the Holder delivers the Notice of Exercise – Net Issuance to the Company as provided herein. 
 The “Fair Market Value” of one share of Common Stock as of a particular date (the “Valuation Date”) shall mean the closing sale price of one share of Common Stock or, if
no closing sale price is reported, the last reported sale price of one share of Common Stock on the last trading day prior to the Valuation Date, as reported on the NASDAQ Global Select Market, the NASDAQ Global Market, the NASDAQ Capital Market or
the New York Stock Exchange (an “Approved Market”). If the Common Stock is not then traded on an Approved Market, the “Fair Market Value” of one share of Common Stock as of the Valuation Date shall mean the closing sale
price of one share of Common Stock or, if no closing sale price is reported, the last reported sale price of one share of Common Stock, on the last trading day prior to the Valuation Date as reported on the principal U.S. national or regional
securities exchange on which the Common Stock is then listed or quoted. If the Common Stock is not then traded on an Approved Market or listed or quoted on a U.S. national or regional securities exchange, the “Fair Market Value” of one
share of Common Stock as of the Valuation Date shall mean the last quoted bid price for one share of Common Stock on the last trading day prior to the Valuation Date as reported in the over-the-counter markets. If the Common Stock is not then traded
on an Approved Market or listed or quoted on a U.S. national or regional securities exchange and the bid price on the over-the-counter markets is not available, the “Fair Market Value” of one share of Common Stock as of the Valuation Date
shall be determined in good faith by the Board of 

  
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Directors of the Company (the “Board”). The Board shall respond promptly in writing to an inquiry by the Holder prior to the exercise hereunder as to the Fair Market Value of a
share of Common Stock. Such determination shall be binding on the Holder unless the Holder objects thereto in writing within 10 Business Days after receipt of such writing. In the event the Company and the Holder cannot agree on the Fair Market
Value per share within 10 Business Days after the date of the Holder’s objection, the Fair Market Value per share of Common Stock shall be determined by a disinterested appraiser (which may be a national or regional investment banking firm or
national accounting firm) selected by the Holder and reasonably acceptable to the Company, the fees and expenses of which shall be paid by the Company. Any determination of Fair Market Value by a disinterested appraiser shall be made within 30 days
after the date of selection. A “trading day” is a day during which the trading of securities generally occurs on the Approved Market on which the Common Stock is then listed or, if the Common Stock is not then listed on an Approved Market,
on the principal U.S. national or regional securities exchange on which the Common Stock is then listed or quoted, or if the Common Stock is not then listed or quoted on a U.S. national or regional securities exchange, on the over-the-counter market
on which the Common Stock is then quoted. 
 (c) In the event of any exercise of the rights represented by this Warrant, within
three Business Days after the Exercise Date at the Company’s expense, the Company shall deliver to the Holder (or such other person or persons as directed by the Holder) (i) certificate(s) for the whole number of shares of Common Stock so
purchased, in such name or names as the Holder may designate; (ii) unless this Warrant has been fully exercised, a new Warrant representing the whole number of Warrant Shares, if any, with respect to which this Warrant shall not then have been
exercised in such name or names as the Holder shall designate; and (iii) payment for any fractional shares in accordance with Section 6. 
 Section 2. Reservation of Shares; Stock Fully Paid; Listing. 
 (a) The
Company shall keep reserved and available a sufficient number of shares of the authorized and unissued shares of Common Stock, free from all taxes, liens, charges and security interests, to provide for the exercise of the rights of purchase
represented by this Warrant in compliance with its terms. The transfer agent for the Common Stock (the “Transfer Agent”) and every subsequent transfer agent for any shares of the Company’s capital stock issuable upon the
exercise of this Warrant will be irrevocably authorized and directed at all times to reserve such number of authorized shares as shall be required for such purpose. The Company will keep a copy of this Warrant on file with the Transfer Agent and
with every subsequent transfer agent for any shares of the Company’s capital stock issuable upon the exercise of this Warrant. The Company shall (i) instruct such Transfer Agent to make the appropriate book entries and
(ii) requisition from time to time from such Transfer Agent the stock certificates, if any, required to honor outstanding Warrants upon exercise thereof, in each case in accordance with the terms of this Warrant. The Company will furnish such
Transfer Agent a copy of all notices of adjustments and certificates related thereto transmitted to each Holder pursuant to Section 3(k) hereof. 
 (b) The Company covenants that all Warrant Shares which may be issued upon exercise of this Warrant will, upon issuance, be duly and validly authorized and issued, fully paid, nonassessable, free of
preemptive rights and free from all taxes, liens, charges and 

  
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security interests with respect to the issuance thereof. The Company will take no action to increase the par value of the Common Stock to an amount in excess of the Warrant Price, and the Company
will not enter into any agreements inconsistent with the rights of the Holder hereunder. The Company will use its reasonable best efforts to obtain all such authorizations, exemptions or consents from any public regulatory body having jurisdiction
thereof as may be necessary to enable the Company to perform its obligations hereunder. 
 (c) The Company will from time to
time use commercially reasonable efforts to ensure that the Warrant Shares, immediately upon their issuance upon the exercise of Warrants, will be listed or authorized for quotation on the principal securities exchange or quotation system within the
United States of America, if any, on which the Common Stock is then listed. 
 Section 3. Adjustments and Distributions.
The number and kind of securities purchasable upon the exercise of this Warrant and the Warrant Price shall be subject to adjustment from time to time upon the occurrence of certain events, as follows: 

(a) If the Company (i) pays a dividend or otherwise distributes to holders of its Common Stock, as such, shares of its capital stock
(whether Common Stock or capital stock of any other class), (ii) subdivides its outstanding shares of Common Stock into a greater number of shares of Common Stock, (iii) combines its outstanding shares of Common Stock into a smaller number
of shares of Common Stock, or (iv) issues any shares of its capital stock in a reclassification of its outstanding shares of Common Stock (including any such reclassification in connection with a consolidation, merger or other business
combination transaction in which the Company is the continuing or surviving corporation), then the number and kind of securities purchasable upon exercise of this Warrant immediately prior thereto will be adjusted so that the Holder thereof will be
entitled to receive (A) in the case of a dividend or distribution, the sum of (1) the number of Warrant Shares that, if this Warrant had been exercised immediately prior to such adjustment, such Holder would have received upon such
exercise and (2) the number and kind of additional shares of capital stock that such Holder would have been entitled to receive as a result of such dividend or distribution by virtue of its ownership of such Warrant Shares, (B) in the case
of a subdivision or combination, the number of Warrant Shares that, if this Warrant had been exercised immediately prior to such adjustment, such Holder would have received upon such exercise, adjusted to give effect to such subdivision or
combination as if such Warrant Shares had been subject thereto, or (C) in the case of an issuance in a reclassification, the sum of (1) the number of Warrant Shares that, if this Warrant had been exercised immediately prior to such
adjustment, such Holder would have received upon such exercise and retained after giving effect to such reclassification as if such Warrants Shares had been subject thereto and (2) the number and kind of additional shares of capital stock that
such Holder would have been entitled to receive as a result of such reclassification as if such Warrant Shares had been subject thereto. An adjustment made pursuant to this Section 3(a), in the case of a dividend or distribution, will be made
whenever such dividend or distribution is made and, at such time, will become effective retroactive to the time that is immediately after the record date for the determination of shareholders entitled to receive such dividend or distribution and, in
the case of a subdivision, combination or reclassification, will become effective immediately after the effective date of such subdivision, combination or reclassification. 

  
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 (b) If the Company issues rights, options or warrants to holders of the outstanding shares
of Common Stock, as such, entitling the holders of such rights, options or warrants to subscribe for or purchase shares of Common Stock at a price per share that is lower on the record date mentioned below than the Conversion Price (as defined
below) per share of Series A Convertible Preferred Stock, par value $0.001 per share (the “Series A Convertible Preferred Stock”), of the Company as of such record date, then the number of Warrant Shares thereafter purchasable upon
the exercise of this Warrant will be adjusted to the number that results from multiplying the number of Warrant Shares purchasable upon exercise of this Warrant immediately prior to such adjustment by a fraction (not to be less than one), the
numerator of which will be the number of shares of Common Stock outstanding on such record date plus the number of additional shares of Common Stock offered by such rights, options or warrants for subscription or purchase and the denominator of
which will be the number of shares of Common Stock outstanding on such record date plus the number of shares of Common Stock which the aggregate subscription or purchase price of the total number of shares of Common Stock so offered would purchase
at the Conversion Price per share of Series A Convertible Preferred Stock on such record date. Such adjustment will be made whenever such rights, options or warrants are issued and, at such time, will become effective retroactive to the time that is
immediately after the record date for the determination of shareholders entitled to receive such rights, options or warrants. In case such subscription or purchase price may be paid in a consideration part or all of which is in a form other than
cash, the fair value of such consideration will be as determined by the Board, whose determination will be conclusive if based on the financial advice of a U.S. national or regional investment banking firm or national accounting firm. Except as
provided in Section 3(f), no further adjustments of the number of Warrant Shares will be made upon the actual issuance of shares of Common Stock upon exercise of such rights, options or warrants. “Conversion Price” means the
Conversion Price as determined under the Articles of Incorporation of the Company, as amended, restated or supplemented the “Articles of Incorporation”); provided, however, that if shares of Series A Convertible
Preferred Stock are no longer outstanding at the time of the occurrence of any event that would have required adjustment to such Conversion Price had the shares of Series A Preferred Stock been then outstanding, then “Conversion Price”
means the Conversion Price per share of Series A Convertible Preferred Stock that would have been in effect had shares of the Series A Convertible Preferred Stock been outstanding at all times since the initial issuance thereof through the date of
the occurrence of such event and all adjustments had been made to the Conversion Price pursuant to the Articles of Incorporation through the date of the occurrence of such event. 

(c) If the Company issues shares of Common Stock, securities convertible into or exchangeable for shares of Common Stock or rights,
options or warrants entitling the holders of such rights, options or warrants to subscribe for or purchase shares of Common Stock (excluding shares of Common Stock, convertible or exchangeable securities or rights, options or warrants issued in any
of the transactions described in Section 3(a) or Section 3(b)) for a purchase price per share of such Common Stock, for a conversion or exchange price per share of Common Stock initially deliverable upon conversion or exchange of such
securities, or for a subscription or purchase price per share of Common Stock initially deliverable upon exercise of such rights, options or warrants, that is less than the Conversion Price per share of Series A Convertible Preferred Stock on the
date the purchase, conversion, exchange or subscription price 

  
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of such additional shares of Common Stock are first fixed, then the number of Warrant Shares thereafter purchasable upon the exercise of this Warrant will be adjusted to the number that results
from multiplying the number of Warrant Shares purchasable upon exercise of this Warrant immediately prior to such adjustment by a fraction (not to be less than one), the numerator of which will be the number of shares of Common Stock outstanding on
such date plus the number of additional shares of Common Stock so issued or issuable upon such conversion, exchange or exercise, and the denominator of which will be the number of shares of Common Stock outstanding on such date plus the number of
shares of Common Stock which the aggregate purchase, conversion, exchange or subscription price received or receivable by the Company for such additional shares of Common Stock would purchase at the Conversion Price per share of Series A Convertible
Preferred Stock on such date prior to any adjustment for such event. Such adjustment will be made and become effective immediately after such shares of Common Stock or convertible or exchangeable securities are issued. In case such purchase,
conversion, exchange or subscription price may be paid in a consideration part or all of which is in a form other than cash, the fair value of such consideration will be as determined by the Board, whose determination will be conclusive if based on
the financial advice of a U.S. national or regional investment banking firm or national accounting firm. Except as provided in Section 3(f), no further adjustment will be made upon the actual issue of shares of Common Stock upon conversion or
exchange of such securities convertible into or exchangeable for shares of Common Stock or upon exercise of rights, options or warrants entitling the holders of such rights, options or warrants to subscribe for or purchase shares of Common Stock.

 (d) Whenever the number of Warrant Shares purchasable upon the exercise of this Warrant is adjusted as herein provided, the
Warrant Price will be adjusted to the Conversion Price per share of Series A Convertible Preferred Stock as of such date plus $2.00. No adjustment to the Warrant Price pursuant to this Section 3 shall have the effect of increasing the Warrant
Price above the Warrant Price in effect immediately prior to such adjustment. 
 (e) The term (“Common Stock”)
means (i) the class of shares designated as the Common Stock of the Company as of the date hereof, (ii) all shares of any class or classes (however designated) of the Company, now or hereafter authorized, the holders of which have the
right, without limitation as to amount, either to all or to a part of the balance of current dividends and liquidating dividends after the payment of dividends and distributions on any shares entitled to preference, and the holders of which are
ordinarily entitled to vote generally in the election of directors of the Company, or (iii) any other class of shares resulting from successive changes or reclassifications of such shares consisting solely of changes in par value, or from par
value to no par value, or from no par value to par value. In the event that at any time, as a result of an adjustment made pursuant to Section 3(a), the Warrants become exercisable to purchase Warrant Shares other than shares of Common Stock,
thereafter the number of such other shares so purchasable upon exercise of this Warrant and the Warrant Price payable in respect of such other shares upon the exercise of this Warrant will be subject to adjustment from time to time in a manner and
on terms as nearly equivalent as practicable to the provisions with respect to the Warrant Shares and the Warrant Price contained in this Section 3. 
 (f) Upon the expiration of any rights, options, warrants or conversion or exchange privileges for which an adjustment has been made, if none thereof have been exercised, the Warrant Price and the number
of Warrant Shares purchasable upon the exercise of this 

  
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Warrant will, upon such expiration, be readjusted and will thereafter each be such as it would have been had the original adjustment not been required; provided, however, that no
such readjustment will have the effect of increasing the Warrant Price or decreasing the number of Warrant Shares purchasable upon the exercise of this Warrant by an amount in excess of the amount of the adjustment initially made in respect of the
issuance, sale, or grant of such rights, options, warrants or conversion or exchange privileges. 
 (g) If any consolidation or
merger of the Company with another entity in which the Company is not the survivor, or sale, transfer or other disposition of all or substantially all of the Company’s assets to another entity, shall be effected, then, as a condition of such
consolidation, merger, sale, transfer or other disposition, lawful and adequate provision shall be made whereby the Holder shall thereafter have the right to purchase and receive upon the basis and upon the terms and conditions herein specified and
in lieu of the Warrant Shares immediately theretofore issuable upon exercise of this Warrant, such shares of stock, securities or assets as would have been issuable or payable with respect to or in exchange for a number of Warrant Shares equal to
the number of Warrant Shares immediately theretofore issuable upon exercise of this Warrant, had such consolidation, merger, sale, transfer or other disposition not taken place, and in any such case appropriate provision shall be made with respect
to the rights and interests of the Holder to the end that the provisions hereof (including, without limitation, provision for adjustment of the Warrant Price and of the number of Warrant Shares) shall thereafter be applicable, as nearly equivalent
as may be practicable in relation to any shares of stock, securities or properties thereafter deliverable upon the exercise thereof. The Company shall not effect any such consolidation, merger, sale, transfer or other disposition unless prior to or
simultaneously with the consummation thereof the successor entity (if other than the Company) resulting from such consolidation or merger, or the entity purchasing or otherwise acquiring such assets or other appropriate entity shall assume the
obligation to deliver to the Holder such shares of stock, securities or assets as, in accordance with the foregoing provisions, such Holder may be entitled to purchase, and the other obligations under this Warrant. The provisions of this
Section 3(g) shall similarly apply to successive consolidations, mergers, sales, transfers or other dispositions. 
 (h) In
the event of any dissolution of the Company following the transfer of all or substantially all of its properties or assets, the Company, prior to such dissolution, shall deliver or cause to be delivered the stock, securities and assets receivable by
the Holder after the effective date of the dissolution pursuant to this Section 3 to the Holder. 
 (i) The Company will
not, by amendment of its Articles of Incorporation or through any reorganization, transfer of assets, consolidation, merger, dissolution, issue or sale of securities or any other voluntary action, avoid or seek to avoid the observance or performance
of any of the terms of this Warrant, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all such action as may be necessary or appropriate in order to protect the rights of the Holder against
dilution or other impairment. 
 (j) All calculations with respect to the number of Warrant Shares will be made to the nearest
one-thousandth of a share and all calculations with respect to the Warrant Price will be to the nearest whole cent. If the Company distributed to holders of its Common Stock, as such, securities of another person, evidences of indebtedness issued by
the Company or 

  
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any other person, assets (excluding cash dividends) of the Company or any other person, or any rights, options or warrants to purchase any of the foregoing (excluding dividends in
Section 3(b)), then the Company shall issue or distribute to each Holder the securities, evidences of indebtedness, assets, rights, options or warrants that such Holder would have been entitled to receive had the Warrants been exercised prior
to the happening of such event or the record date with respect thereto. No adjustment in the number of Warrant Shares purchasable upon the exercise of a Warrant will be made on account of (i) any issuance of shares of Common Stock upon the
exercise of options, rights or warrants or upon the conversion or exchange of convertible or exchangeable securities, outstanding as of the date hereof, (ii) any issuance of shares of Common Stock, or of options, rights or warrants, or of other
securities, pursuant to a share purchase rights plan or any similar plan adopted by the Board, (iii) any issuance of shares of Common Stock, or of options, rights or warrants to purchase, or securities convertible into or exchangeable for,
shares of Common Stock, in accordance with any plan for the benefit of the employees or directors of the Company existing as of the date hereof or any other plan hereafter adopted by the Board for the benefit of the employees or directors of the
Company or any of its subsidiaries, and (iv) any issuance of shares of Common Stock in connection with a Company-sponsored plan for reinvestment of dividends or interest. 
 (k) Within three Business Days after each adjustment pursuant to this Section 3, the Company shall deliver a certificate signed by its chief financial officer or executive officer setting forth, in
reasonable detail, the event requiring the adjustment, the amount of the adjustment, the method by which such adjustment was calculated, and the Warrant Price and number of Warrant Shares purchasable hereunder after giving effect to such adjustment.

 Section 4. Transfer Taxes. The Company will pay any documentary stamp taxes attributable to the initial issuance of
Warrant Shares issuable upon the exercise of the Warrant; provided, however, that the Company shall not be required to pay any tax or taxes which may be payable in respect of any transfer involved in the issuance or delivery of any
certificates for Warrant Shares in a name other than that of the registered holder of this Warrant, and in such case, the Company shall not be required to issue or deliver any certificate for Warrant Shares or any Warrant until the person requesting
the same has paid to the Company the amount of such tax or has established to the Company’s reasonable satisfaction that such tax has been paid. 
 Section 5. Mutilated or Missing Warrants. In case this Warrant shall be mutilated, lost, stolen, or destroyed, the Company shall issue in exchange and substitution for and upon cancellation of the
mutilated Warrant, or in lieu of and substitution for the Warrant mutilated, lost, stolen or destroyed, a new Warrant of like tenor and for the purchase of a like number of Warrant Shares, but only upon receipt of evidence reasonably satisfactory to
the Company of such loss, theft or destruction of the Warrant, and with respect to a mutilated, lost, stolen or destroyed Warrant, reasonable indemnity or bond with respect thereto, if requested by the Company. 

Section 6. Fractional Shares. No fractional shares of Common Stock shall be issued in connection with any exercise hereunder, and
in lieu of any such fractional shares, the Company shall make a cash payment therefor to the Holder (or such other person or persons as directed by the Holder) based on the Fair Market Value of a share of Common Stock on the date of exercise of this
Warrant. 

  
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 Section 7. Compliance with Securities Act and Legends. The Holder, by acceptance
hereof, agrees that this Warrant and the Warrant Shares are being acquired for investment. All shares of Common Stock issued upon exercise of this Warrant (unless registered under the Securities Act of 1933, as amended, or transferable without
registration pursuant to the terms of such act or the rules and regulations promulgated thereunder) shall be stamped or imprinted with a legend as follows: 
 THIS SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR ANY OTHER SECURITIES LAWS AND MAY NOT BE OFFERED FOR SALE,
SOLD, DELIVERED AFTER SALE, TRANSFERRED, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF (1) AN EFFECTIVE REGISTRATION STATEMENT COVERING THESE SECURITIES UNDER THE ACT AND ANY OTHER APPLICABLE SECURITIES LAWS OR (2) AN OPINION OF COUNSEL
REASONABLY SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED. 
 Section 8. Rights as Stockholders;
Information. Except as expressly provided in this Warrant, no Holder, as such, shall be entitled to vote or receive dividends or be deemed the holder of Common Stock or any other securities of the Company which may at any time be issuable on the
exercise hereof for any purpose, nor shall anything contained herein be construed to confer upon the Holder, as such, any of the rights of a shareholder of the Company or any right to vote for the election of the directors or upon any matter
submitted to shareholders at any meeting thereof, or to receive notice of meetings, until this Warrant shall have been exercised and the Warrant Shares purchasable upon the exercise hereof shall have become deliverable, as provided herein;
provided, however, that if, at any time prior to the Expiration Time any of the following events occur: 
 (a) The
Company declares any dividend payable in any securities upon its shares of Common Stock or makes any distribution (other than a regular cash dividend or cash distributions payable out of surplus or net profits legally available therefor) to the
holders of its shares of Common Stock; 
 (b) The Company offers to the holders of its Common Stock any shares of capital stock
of the Company or any Subsidiary or securities convertible into or exchangeable for shares of capital stock of the Company or any Subsidiary or any option, right or warrant to subscribe for or purchase any thereof; 

(c) The Company distributes to the holders of its Common Stock evidences of indebtedness or assets of the Company or any Subsidiary;

 (d) Any reclassification of the Common Stock, any consolidation of the Company with or merger of the Company into another
corporation, any sale, transfer or lease to another corporation of all or substantially all the property of the Company, or any proposal of the Company to effect any of the foregoing transactions that has been publicly announced by the Company; or

  
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 (e) Any proposal by the Company to effect a dissolution, liquidation or winding up of the
Company that has been publicly announced by the Company; 
 then in any one or more of such events the Company will give notice of such event to
the Holder, such giving of notice to be completed at least 10 calendar days prior to the date fixed as a record date or the date of closing the transfer books for the determination of the shareholders entitled to such dividend, distribution or
subscription rights, or for the determination of shareholders entitled to vote on such proposed reclassification, consolidation, merger, sale, transfer or lease, dissolution, liquidation or winding up; provided, however, that no such
notice will be required in respect of any of the matters referred to in the last sentence of Section 3(j) unless such matter causes an adjustment of the Conversion Price of the Series A Convertible Preferred Stock of the Company. Such notice
will specify such record date or the date of closing the transfer books, as the case may be, for such event. 
 Section 9.
Issuance Limitation. Notwithstanding anything to the contrary contained herein, until the Company obtains the requisite shareholder approval (the “Approval”) under NASDAQ Corporate Governance Rule 5635 (the “Issuance
Limitation”), under no circumstances will the number of shares of Common Stock issued upon any exercise of this Warrant, when aggregated with the number of shares of Common Stock, if any, previously issued upon conversion of the Series A
Convertible Preferred Stock, upon prior exercise of this Warrant and upon the exercise of any other warrant issued pursuant to the Securities Purchase Agreement between the Company and JCH Crenshaw Holdings, LLC, dated as of April 13, 2012,
exceed 19.99% of the number of shares of Common Stock outstanding immediately prior to the issuance of this Warrant (as adjusted for any stock dividend, stock split, stock combination, reclassification or similar transaction). Immediately after the
Approval is obtained, the Issuance Limitation under this Section 9 shall no longer apply. At any time that the Issuance Limitation applies, the number of shares of Common Stock for which this Warrant may be exercised shall be limited to the
maximum number of shares of Common Stock that would not require the Approval to have been obtained. The Company shall use its commercially reasonable efforts to obtain the Approval as soon as reasonably practicable after the issuance of this
Warrant. 
 Section 10. Modification and Waiver. This Warrant and any provision hereof may be changed, waived, discharged
or terminated only by an instrument in writing signed by the Company and the then current Holder, and such change, waiver, discharge or termination shall be binding on all future Holders. 

Section 11. Notices. Any notices or other communications required or permitted hereunder shall be in writing and be deemed to have
been given if mailed, three Business Days after being deposited in the United States mail, postage prepaid and registered or certified, to the Holder at its address as shown on the books of the Company or to the Company at the address indicated
therefor on the signature page of this Warrant. Any party hereto may change its address for purposes of this Section 10 by giving the other party written notice of the new address and it is the obligation of any then current Holder of this
Warrant to advise the Company of any changes in its address. 

  
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 Section 12. Descriptive Headings. The descriptive headings contained in this Warrant
are inserted for convenience only and do not constitute a part of this Warrant. 
 Section 13. Governing Law. The
validity, interpretation and performance of this Warrant shall be governed by, and construed in accordance with, the laws of the State of Texas applicable to contracts made and to be performed entirely within such State, regardless of the law that
might be applied under principles of conflicts of law. 
 Section 14. Jurisdiction and Venue. The parties (a) hereby
irrevocably and unconditionally submit to the jurisdiction of the state courts of the State of Texas and to the jurisdiction of the United States federal courts located within the State of Texas for the purpose of any suit, action or other
proceeding arising out of or based upon this Warrant, (b) agree not to commence any suit, action or other proceeding arising out of or based upon this Warrant except in the state courts of the State of Texas or the United States federal courts
located within the State of Texas, and (c) hereby waive, and agree not to assert, by way of motion, as a defense, or otherwise, in any such suit, action or proceeding, any claim that it is not subject personally to the jurisdiction of the
above-named courts, that the suit, action or proceeding is brought in an inconvenient forum, that the venue of the suit, action or proceeding is improper or that this Warrant or the subject matter hereof may not be enforced in or by such court.

 Section 15. Acceptance. Receipt of this Warrant by the Holder hereof shall constitute acceptance of and agreement to
the foregoing terms and conditions. 
 Section 16. Assignment. This Warrant and all rights hereunder (including, without
limitation, any registration rights) are not transferable, in whole or in part, unless such transfer or assignment is in compliance with applicable securities laws and, if so requested by the Company, the Company receives an opinion of counsel, in
form and substance satisfactory to the Company, stating that such transfer or assignment is in compliance with all applicable securities laws. Subject to previous sentence, upon surrender of this Warrant at the principal office of the Company,
together with a written assignment duly executed by the Holder, the Company shall execute and deliver a new Warrant or Warrants in the name of the assignee or assignees, as applicable, and in the denomination or denominations specified in such
instrument of assignment, and shall issue to the assignor a new Warrant evidencing the portion of this Warrant not so assigned. 

Section 17. Successors. All the covenants and provisions of this Warrant by or for the benefit of the Company or any Holder hereof
shall bind and inure to the benefit of their respective successors and assigns hereunder. 
 Section 18. Certain Interpretive
Matters. Unless the context otherwise requires, (i) all references to Sections or Appendices are to Sections or Appendices of or to this Warrant, (ii) each term defined in this Warrant has the meaning assigned to it,
(iii) “or” is disjunctive but not necessarily exclusive, and (iv) words in the singular include the plural and vice versa. All references to “$” or dollar amounts are to lawful currency of the United
States of America. 
 [Remainder of Page Intentionally Left Blank] 

  
 11 

 IN WITNESS WHEREOF, the Company has caused this Warrant to be executed on its behalf by one
of its officers thereunto duly authorized. 
  

			
	AMERICAN ELECTRIC TECHNOLOGIES, INC.
		
	By:	 	 
	 Name:
	 	 
	 Title:
	 	 
		
	Address:	 	
	
	 American Electric Technologies, Inc.

6410 Long Drive
 Houston, Texas
77087

 SIGNATURE PAGE TO WARRANT 

 APPENDIX A 

Notice of Exercise—Payment in Cash 
 To: American Electric Technologies, Inc. 
 1. The undersigned hereby irrevocably
elects to purchase                      shares of Common Stock of American Electric Technologies, Inc. pursuant to the terms of the attached Warrant,
and tenders herewith payment of the purchase price of such shares in full, by cash/certified check/wire transfer (circle one) of the originally executed Warrant. 
 2. Please issue a certificate or certificates representing said shares in the name of the undersigned or in such other name or names as are specified below and deliver said certificate(s) to the
address(es) specified below: 
  

			
	(Printed Name)	  	
		
	 	  	
		
	 	  	

 3. Please issue a new Warrant or Warrants of equivalent form and tenor for the unexercised portion, if
any, of the attached Warrant in the name of the undersigned or in such other name or names as are specified below and deliver said Warrant(s) to the address(es) specified below: 

 

			
	(Printed Name)	  	
		
	 	  	
		
	 	  	

 IN WITNESS WHEREOF, the undersigned has executed this Notice as of the date set forth below. 

 

					
	     (Printed Name of Warrantholder)
	  	Date:                           
     
			
	By:	 	 	  	
		 	
Printed Name:                     
                                         
                    
	  	
		 	
Title:                       
                                         
                                 
	  	

 APPENDIX A 
 TO WARRANT 

 APPENDIX B 

Notice of Exercise—Net Issuance 
 To: American Electric Technologies, Inc. 
 1. The undersigned hereby elects to
purchase                      shares of Common Stock of American Electric Technologies, Inc. pursuant to the terms of the attached Warrant and
tenders herewith payment of the purchase price therefor by surrender of                      shares of Common Stock issuable pursuant to the attached
Warrant. 
 2. Please issue a certificate or certificates representing the shares issuable upon such net exercise election in
the name of the undersigned or in such other name or names as are specified below and deliver said certificate(s) to the address(es) specified below. 
  

			
	(Printed Name)	  	
		
	 	  	
		
	 	  	
	(Address)	  	

 3. Please issue a new Warrant or Warrants of equivalent form and tenor for the unexercised portion, if
any, of the attached Warrant in the name of the undersigned or in such other name or names as are specified below and deliver said Warrant(s) to the address(es) specified below: 

 

			
	(Printed Name)	  	
		
	 	  	
		
	 	  	
	(Address)	  	

 4. Please remit any cash in lieu of fractional shares payable in connection with this net exercise
election to the undersigned or to such other person as is specified below and deliver said payment to the address specified below: 
  

			
	(Printed Name)	  	
		
	 	  	
		
	 	  	
	(Address)	  	

 IN WITNESS WHEREOF, the undersigned has executed this Notice as of the date set forth below. 

 

					
	     (Printed Name of Warrantholder)
	  	Date:                           
     
			
	By:	 	 	  	
		 	
Printed Name:                     
                                         
                    
	  	
		 	
Title:                       
                                         
                                 
	  	

 APPENDIX B 
 TO WARRANTForm of Investors Rights Agreement

 Exhibit 10.5 
 INVESTOR’S RIGHTS AGREEMENT 
 This INVESTOR’S RIGHTS
AGREEMENT (this “Agreement”) dated as of March [Ÿ], 2012 (the “Effective Date”),
is entered into by and between American Electric Technologies, Inc., a Florida corporation (the “Company”), and JCH Crenshaw Holdings, LLC, a Texas limited liability company (“Investor”). Investor together with the
Company shall collectively be referred to as the “Parties” and each individually as a “Party.” 

RECITALS: 
 A. Contemporaneously with the execution and delivery of this Agreement, the Company and Investor will execute and deliver a Securities Purchase Agreement (the “Purchase Agreement”)
pursuant to which the Company is issuing and selling to Investor and Investor is purchasing from the Company (i) 1,000,000 shares of Series A Convertible Preferred Stock of the Company, par value $.001 per share (the “Series A Preferred
Stock”) and (ii) warrants (the “Warrants”) to purchase 325,000 shares of common stock of the Company, par value $.001 per share (the “Common Stock”) on the terms contained therein. 

B. A condition to Investor’s obligations under the Purchase Agreement is that the Company and Investor enter into this
Agreement in order to provide Investor with (i) certain rights to receive certain information from the Company, (ii) preemptive rights, (iii) a tag along right, (iv) rights to designate a member of the Board of Directors of the
Company and (v) certain other rights as set forth in this Agreement. 
 AGREEMENT: 

NOW, THEREFORE, in consideration of the foregoing recitals and the mutual promises hereinafter set forth, the Parties
hereto agree as follows. 
 1. Definitions. For purposes of this Agreement: 

“Affiliate” of a Person means any Person that directly or indirectly through one or more intermediaries controls or is
controlled by, or is under common control with, such other Person. For purposes of this definition, the term “control” (including the terms “controlling,” “controlled by” and “under common
control with”) means the possession, direct or indirect, of the power to cause the direction of the management and policies of a Person, whether through the ownership of voting securities, by contract or otherwise. 

“Agreement” has the meaning set forth in the introductory paragraph of this Agreement. 

“Articles of Incorporation” means the Articles of Incorporation of the Company as may be amended or restated from time
to time. 
 “Board” or “Board of Directors” means the Board of Directors of the Company.

 “Business Day” means any day except a Saturday, Sunday or other day on which banking institutions in
Houston, Texas are authorized by law to close. 

 “Bylaws” means the bylaws of the Company as in effect immediately prior to
the Effective Date. 
 “Common Stock” has the meaning set forth in the Recitals. 

“Company” has the meaning set forth in the introductory paragraph of this Agreement. 

“Convertible Securities” means any capital stock, warrants, rights, calls, options, debt or other securities
exchangeable or exercisable for or convertible into Common Stock which, with or without payment of additional consideration, either immediately or upon a specified date or the happening of a specified event. 

“Effective Date” has the meaning set forth in the introductory paragraph of this Agreement. 

“Equity Securities” has the meaning set forth in Section 4.1. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended. 

“Investor” has the meaning set forth in the introductory paragraph of this Agreement. 

“Party” and “Parties” has the meaning set forth in the introductory paragraph of this Agreement.

 “Person” means an individual, corporation, general partnership, limited partnership, limited liability
company, association, joint stock company, trust or trustee thereof, estate or executor thereof, tribunal, or any other legally recognizable entity. 
 “Preferred Director” has the meaning set forth in Section 5.1. 
 “Purchase Agreement” has the meaning set forth in the Recitals. 

“Rule 144A” means Rule 144A under the Securities Act, as such rule may be amended from time to time, or any successor
rule that may be promulgated by the SEC. 
 “SEC” means the Securities and Exchange Commission. 

“Securities Act” means the Securities Act of 1933, as amended. 

“Selling Shareholder” has the meaning set forth in Section 3.1. 

“Series A Preferred Stock” has the meaning set forth in the Recitals. 

“Tag-Along Notice” has the meaning set forth in Section 3.1. 

“Tag Exercise Period” has the meaning set forth in Section 3.2(a). 

  
 2 

 “Transfer” means any issuance, sale, assignment, transfer, conveyance,
gift, pledge, distribution, hypothecation or other encumbrance or any other disposition, whether voluntary, involuntary or by operation of law, and whether effected directly or indirectly. 

“Warrants” has the meaning set forth in the Recitals. 

 

	 	2.	Information Rights. Promptly after written request to the Company made by Investor, the Company shall provide any such written information
reasonably requested by Investor, including any financial statements of the Company prepared by Investor in the ordinary course, that Investor reasonably determines it requires in order to appropriately manage and evaluate its investment in the
Company and to comply with its obligations under applicable securities and tax laws, including to the extent applicable, Rule 13a-15 under the Exchange Act. 

 

	 	3.	Tag-Along Rights. 

3.1 Tag Notice. In the event Charles Dauber, Arthur Dauber and/or any of their respective Affiliate(s) proposes to Transfer any
shares of Common Stock and/or Convertible Securities (not including Transfers made pursuant to a written plan meeting the requirements of Rule 10b5-1 under the Exchange Act) that collectively represent more than 1% of the issued and outstanding
shares of Common Stock of the Company (such Person or Persons proposing to make a Transfer, the “Selling Shareholder”), the Company shall promptly provide notice thereof to Investor (such notice is referred to herein as the
“Tag-Along Notice”) disclosing in reasonable detail the identity of the prospective transferee(s), the number of shares of Common Stock to be Transferred, the price per share to be paid for such Common Stock in such Transfer and the
other terms and conditions of the Transfer. 
 3.2 Mechanics of Tag-Along. 

(a) Upon delivery of a Tag-Along Notice, Investor will have the right (but not the obligation), exercisable at any time
within 20 days (the “Tag Exercise Period”) from the date on which the Tag-Along Notice was given, to participate in the contemplated Transfer and sell shares of Common Stock (on an as-converted basis) on the terms set forth herein.

 (b) If Investor elects to participate in such Transfer, Investor will be entitled to sell in the contemplated
Transfer, at the price per share of Common Stock offered by the prospective transferee to the Selling Shareholder and otherwise on the same terms and conditions as the Selling Shareholder, the number of shares of Common Stock determined by
multiplying (i) the number of shares of Common Stock to be sold by the Selling Shareholder in the contemplated Transfer by (ii) a fraction, (A) the numerator of which is the number of shares of Common Stock held by Investor (on an
as-converted basis), and (B) the denominator of which is the sum of (1) the number of shares of Common Stock held by Investor (on an as-converted basis) and (2) the number of shares of Common Stock held by the Selling Shareholder (on
an as-converted basis) (and, if and to the extent Investor shall exercise such right, then the number of shares of Common Stock to be sold by the Selling Shareholder in such transaction shall be correspondingly reduced). 

  
 3 

 (c) If Investor has not elected to participate in the contemplated Transfer
(through notice to such effect or expiration of the 15-day period after delivery of the Tag-Along Notice), then the Selling Shareholder may Transfer the Common Stock specified in the Tag-Along Notice at a price and on terms not materially more
favorable to the Selling Shareholder than specified in the Tag-Along Notice during the 90-day period immediately following the date that the Tag-Along Notice was given. Any Selling Shareholder’s Common Stock not Transferred within such 90-day
period shall be subject to the provisions of this Section 3 upon subsequent Transfer. 
 (d) The
Selling Shareholder shall use its reasonable best efforts to obtain the agreement of the prospective transferee(s) to the participation of Investor in any contemplated Transfer for which Investor has elected to participate, and no Selling
Shareholder shall Transfer any of its Common Stock to any prospective transferee unless concurrently with such Transfer, the prospective transferee(s) purchases from Investor the shares of Common Stock (on an as-converted basis) which Investor is
entitled to sell, and has requested to be sold, to such prospective transferee(s) pursuant to this Section 3. To the extent Investor has elected to participate in any contemplated Transfer and Investor participates in such Transfer,
directly or indirectly, Investor shall bear its pro rata portion (based on the number of shares of Common Stock transferred by it in such Transfer relative to the total number of shares of Common Stock transferred in such Transfer) of the expenses
incurred in connection with such Transfer to the extent such expenses are incurred for the benefit of both the Selling Shareholder and Investor. 
 3.3 Termination of Right. The rights set forth in this Section 3 shall terminate if the Series A Preferred Stock owned by Investor represent, on an as converted basis, less than 5% of
the Company’s outstanding common stock. 
  

	 	4.	Preemptive Rights. 

4.1 Right. From and after the Effective Date, at any time the Company makes any public or nonpublic offering or sale of any equity
securities or Convertible Securities of the Company (“Equity Securities”), Investor shall be afforded the opportunity to acquire from the Company for the same price and on the same terms as such securities are proposed to be offered
to others, Equity Securities of the same type in the aggregate amount required to enable it to maintain its proportionate Common Stock-equivalent interest in the Company and/or its subsidiaries immediately prior to any such issuance of Equity
Securities. Notwithstanding the foregoing, the term “Equity Securities” shall not include any issuances made: (a) to employees, officers, directors, consultants and advisors of the Company pursuant to any incentive plan, stock
purchase plan, agreement or other arrangement duly adopted by the Company and approved by the compensation committee of the Board; (b) upon exercise of the Warrants; (c) upon issuance or conversion of the Series A Preferred Stock;
(c) in connection with a merger, acquisition, asset acquisition, lease, joint venture or similar acquisitive transaction approved by the Board; and (d) for services to financial institutions in connection with investment banking,
commercial credit transactions, equipment financing or similar transactions approved by the Board. The amount of Equity Securities that Investor shall be entitled to purchase in the aggregate shall be determined by multiplying (i) the total
number or principal amount of such offered Equity Securities by (ii) a fraction, (x) the numerator of which is the number of shares of Common Stock held by Investor (determined on an as converted basis), and (y) the denominator of
which is the number of shares of Common Stock then outstanding (determined on an as converted basis with respect to the Investor’s holdings). 

  
 4 

 4.2 Notice. In the event the Company proposes to offer or sell Equity Securities, it
shall give Investor written notice of its intention, describing the price (or range of prices), anticipated type and amount of securities, timing and other terms upon which the Company proposes to offer the same (including, in the case of a
registered public offering and to the extent possible, a copy of the prospectus included in the registration statement filed with respect to such offering), no later than ten Business Days, as the case may be, after the initial filing of a
registration statement with the SEC with respect to an underwritten public offering, after the commencement of marketing with respect to a Rule 144A offering or after the Company proposes to pursue any other offering. Investor shall have 15 Business
Days from the date such a notice is given to notify the Company in writing that it intends to exercise its rights provided in this Section 4 and as to the amount of Equity Securities Investor desires to purchase, up to the maximum amount
calculated pursuant to Section 4.1. 
 4.3 Purchase Mechanism. If Investor exercises its rights provided in
this Section 4, the closing of the purchase of the Equity Securities with respect to which such right has been exercised shall take place within 30 days after the giving of notice of such exercise, which period of time shall be extended
for a maximum of three months at the election of Investor in order to comply with applicable laws and regulations (including receipt of any applicable regulatory or shareholder approvals). The Company agrees to use its reasonable commercial efforts
to secure any regulatory or shareholder approvals or other consents, and to comply with any law or regulation necessary in connection with the offer, sale and purchase of, such Equity Securities. 

4.4 Failure of Purchase. In the event Investor does not exercise the rights provided in this Section 4 within the
15-Business Day period or, if so exercised, Investor is unable to consummate such purchase within the time period specified in Section 4.3, the Company shall thereafter be entitled (during the period of 90 days following the conclusion
of the applicable period) to sell or enter into an agreement (pursuant to which the sale of the Equity Securities covered thereby shall be consummated, if at all, within 90 days from the date of said agreement) to sell the Equity Securities not
elected to be purchased pursuant to this Section 4.4, at a price and upon terms, taken together in the aggregate, no more favorable to the purchasers of such securities than were specified in the Company’s notice to Investor. In the
event the Company has not sold the Equity Securities or entered into an agreement to sell the Equity Securities within such 90-day period (or sold and issued Equity Securities in accordance with the foregoing within 90 days from the date of said
agreement), the Company shall not thereafter offer, issue or sell such Equity Securities without first offering such securities to Investor in the manner provided above. 
 4.5 Termination of Right. The rights set forth in this Section 4 shall terminate if the Series A Preferred Stock owned by Investor represent, on an as converted basis, less than 5% of
the Company’s outstanding common stock. 

  
 5 

	 	5.	Corporate Governance. 

 5.1 Board Representation. So long as the shares of Series A Preferred Stock on an as converted to Common Stock basis represent 5% or more of the Corporation’s outstanding Common Stock, holders
of the Series A Preferred Stock (which initially shall be Investor) shall be entitled to elect one member of the Board (and to fill any vacancy with respect thereto). The director elected under this Section 5.1 is referred to as a
“Preferred Director”. On or as promptly as possible after the Effective Date, the Company shall cause the Board to take or cause to be taken such corporate action as shall be necessary to increase the size of the Board to permit the
election of the Preferred Director. The initial Preferred Director shall be Casey Crenshaw. 
 5.2 Vacancies. Any
vacancy, whether resulting from the resignation, retirement, removal from office or other cause, of the Preferred Director shall be filled with a replacement Preferred Director designated by the holders of Series A Preferred Stock (which initially
shall be Investor). 
 5.3 Committees. The Company shall, to the extent permitted by applicable laws, rules and
regulations (including any requirements under the Exchange Act or the rules of Nasdaq or any other applicable securities exchange or automated inter-dealer quotation system on which the Common Stock is then listed or quoted), cause each committee of
the Board to include as a member the Preferred Director, in each case as appropriate and to the extent requested by the Preferred Director. 
 5.4 Expenses. The Preferred Director shall be entitled to reimbursement of expenses pursuant to his or her service on the Board and committees thereof on the same basis as the Company provides such
reimbursement to the other members of its Board who are not officers or employees of the Company. 
 5.5 Directors and
Officers Insurance. The Company shall add Preferred Director as a beneficiary to the Company’s directors’ and officers’ liability insurance policy effective from the Effective Date and shall provide all other contractual or
insurance director liability or indemnification coverages provided to other members of the Board. 
  

	 	6.	General Provisions. 

6.1 Articles of Incorporation and Bylaws. The Company shall take or cause to be taken all lawful action necessary or appropriate to
ensure that at all times the Articles of Incorporation and the Bylaws and the corresponding constituent documents of the Company’s subsidiaries contain provisions consistent with the terms of this Agreement and do not contain any provisions
inconsistent therewith or which would in any way nullify or impair the terms of this Agreement or the rights provided hereunder to any of the Parties hereto. 
 6.2 Notices. Any notices or other communications required or permitted hereunder shall be in writing and be deemed to have been given if mailed, three business days after being deposited in the
United States mail, postage prepaid and registered or certified, to the address of such Party stated below: 

  
 6 

 To the Company: 
 American Electric Technologies, Inc. 
 6410 Long Drive 

Houston, Texas 77087 
 Attn: Frances Powell Hawes 
 With a copy (which shall not constitute notice) to:

 Joel Bernstein, Esq. 
 2666 Tigertail Avenue, Suite 104 
 Miami, Florida 33133 

To Investor: 

JCH Crenshaw Holdings, LLC 
 470 Orleans St., 7th Floor 
 Beaumont, Texas 77701 

Attention: Casey Crenshaw 
 With a copy (which shall not constitute notice) to: 
 Thompson & Knight,
LLP 
 Attention: Jerry L. Metcalf 
 333 Clay Street, Suite 3300 
 Houston, Texas 77002 

6.4 Specific Performance. Each Party acknowledges and agrees that the other Parties would be irreparably damaged if any provision
of this Agreement is not performed in accordance with its specific terms or is otherwise breached. Accordingly, each Party agrees that the other Parties will be entitled to an injunction or injunctions to prevent breaches of the provisions of this
Agreement and to specifically enforce this Agreement and its terms and provisions in any action instituted in any court of the United States or any state thereof having jurisdiction over the Parties in addition to any other remedy to which they may
be entitled, at law or in equity. 
 6.5 GOVERNING LAW; FORUM SELECTION; CONSENT TO JURISDICTION AND SERVICE. THIS
AGREEMENT AND THE TRANSACTION DOCUMENTS SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF TEXAS. IN ANY ACTION OR PROCEEDING BETWEEN INVESTOR AND THE COMPANY ARISING OUT OF OR RELATING TO THIS AGREEMENT, ANY OF THE
TRANSACTION DOCUMENTS, OR THE TRANSACTIONS CONTEMPLATED THEREIN, EACH OF INVESTOR AND THE COMPANY (A) IRREVOCABLY AND UNCONDITIONALLY CONSENTS AND SUBMITS TO THE EXCLUSIVE JURISDICTION OF AND THE LAYING OF VENUE IN ANY FEDERAL COURT LOCATED IN
THE SOUTHERN DISTRICT OF TEXAS (HOUSTON DIVISION) OR ANY STATE COURT IN HARRIS COUNTY, TEXAS; (B) AGREES THAT ALL 

  
 7 

 
CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING SHALL BE HEARD AND DETERMINED EXCLUSIVELY IN ACCORDANCE WITH CLAUSE (A) OF THIS SECTION 6.5; (C) WAIVES ANY OBJECTION TO THE LAYING
OF VENUE IN ANY SUCH ACTION OR PROCEEDING IN SUCH COURTS; (D) WAIVES ANY OBJECTION THAT SUCH COURTS ARE AN INCONVENIENT FORUM OR DO NOT HAVE JURISDICTION OVER ANY PARTY; AND (E) AGREES THAT SERVICE OF PROCESS UPON SUCH PARTY IN ANY SUCH
ACTION OR PROCEEDING SHALL BE EFFECTIVE IF SUCH PROCESS IS GIVEN AS A NOTICE IN ACCORDANCE WITH SECTION 6.2. 
 6.6
WAIVER OF RIGHT TO TRIAL BY JURY. INVESTOR AND THE COMPANY EACH HEREBY WAIVE ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION (A) ARISING UNDER THIS AGREEMENT, OR ANY OTHER INSTRUMENT, DOCUMENT OR AGREEMENT
EXECUTED OR DELIVERED IN CONNECTION HEREWITH OR THEREWITH, OR (B) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM IN RESPECT TO THIS AGREEMENT. INVESTOR AND THE COMPANY EACH AGREE THAT THE
OTHER MAY FILE A COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE PARTIES HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY. 
 6.7 Entire Agreement. This Agreement and each of the other Transaction Documents (as defined in the Purchase Agreement) constitute the entire agreement and understanding of the Parties in respect
of its subject matters 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 the transactions contemplated hereby.

 6.8 Confidentiality. Except as required by law, Investor agrees that it will keep confidential and will not use or
disclose or divulge any confidential, proprietary or secret information which such Investor may obtain from the Company pursuant to financial statements, reports and other materials provided or made available to Investor pursuant to this Agreement
or otherwise, unless such information is known by, or until such information becomes available to, the public other than as a result of a breach or violation hereof by Investor; provided, however, that Investor may disclose such information
(a) to its attorneys, accountants, consultants and other professionals to the extent necessary to obtain their services in connection with its investment in the Company and who are informed by Investor in advance of the confidential nature of
such information and who agree to comply with the use and confidentiality obligations contained in this agreement as if they are a party hereto and are under a legal obligation to comply with the restrictions set forth herein, (b) to any
Affiliate of Investor or to a current or former member, manager, officer, representative, agent, employee, member or beneficiary of Investor who is informed by Investor in advance of the confidential nature of such information and who agrees to
comply with the use and confidentiality obligations contained in this agreement as if they are a party hereto and are under a legal obligation to comply with the restrictions set forth herein, and (c) as is required to be disclosed by order of
a court of competent jurisdiction, administrative body or governmental body, or by subpoena, summons or legal process, or by law, rule or regulation; provided, further, however, that if Investor becomes so compelled to disclose such information,
then Investor will provide the Company with prompt notice thereof and cooperate with the Company at the Company’s expense, to the extent the Company reasonably requests, so that the Company may seek a protective order or other appropriate
remedy. 

  
 8 

 6.10 Third Parties. Nothing in this Agreement, express or implied, is intended to
confer upon any Person other than the Parties and their successors and assigns, any rights or remedies under or by reason of this Agreement. 
 6.11 Further Assurances. All Parties agree to take such actions and execute and deliver such other documents or agreements as may be necessary or desirable for the implementation of this Agreement
and the consummation of the transactions contemplated hereby and thereby. 
 6.12 Remedies. The Parties shall have all
remedies for breach of this Agreement available to them as provided by law or equity. Without limiting the generality of the foregoing, the Parties agree that in addition to any other rights and remedies available at law or in equity, the Parties
shall be entitled to obtain specific performance of the obligations of each Party and immediate injunctive relief and that, in the event any action or proceeding is brought in equity or to enforce the same, no Party will urge, as a defense, that
there is an adequate remedy at law. No single or partial assertion or exercise of any right, power or remedy of a Party shall preclude any other or further assertion or exercise thereof. 

6.13 Transfer; Successors and Assigns. The terms and conditions of this Agreement shall inure to the benefit of and be binding
upon the respective successors and assigns of the Parties. Nothing in this Agreement, express or implied, is intended to confer upon any Party other than the Parties hereto 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. 
 6.14
Counterparts; Facsimile. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument. A facsimile, telecopy or other reproduction of this
Agreement may be executed by one or more Parties to this Agreement, and an executed copy of this Agreement may be delivered by one or more Parties to this Agreement by facsimile or similar electronic transmission device pursuant to which the
signature of or on behalf of such Party can be seen, and such execution and delivery shall be considered valid, binding and effective for all purposes. At the request of any Party to this Agreement, all Parties to this Agreement agree to execute an
original of this Agreement as well as any facsimile, telecopy or other reproduction of this Agreement. 
 6.15 Titles and
Subtitles. The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement. 
 6.16 Fees and Expenses. All expenses incurred in connection with this Agreement shall be paid by the Party incurring such expenses. 

  
 9 

 6.17 Attorney’s Fees. If any action at law or in equity (including arbitration)
is necessary to enforce or interpret the terms of this Agreement, the prevailing Party shall be entitled to reasonable attorney’s fees, costs and necessary disbursements in addition to any other relief to which such Party may be entitled.

 6.18 Amendments and Waivers. Any term of this Agreement may be amended or waived subsequent to the execution hereof
only upon the mutual written consent of the Company and Investor. Any amendment or waiver effected in accordance with this Section 6.16 shall be binding upon Investor and each transferee of the shares of Series A Preferred Stock and/or
the underlying securities of such Series A Preferred Stock, each future holder of all such securities and the Company. 
 6.19
Severability. Any term or provision of this Agreement which is invalid or unenforceable in any jurisdiction shall, as to that jurisdiction, be ineffective to the extent of such invalidity or unenforceability without rendering invalid
or unenforceable the remaining terms and provisions of this Agreement or affecting the validity or enforceability of any of the terms or provisions of this Agreement in any other jurisdiction. If any provision of this Agreement is deemed to be so
broad as to be unenforceable, the provision shall be interpreted to be only so broad as is enforceable. 
 [remainder of
page intentionally left blank] 

  
 10 

 IN WITNESS WHEREOF, the Parties have executed the Investor’s Rights Agreement as of the
date first above written. 
  

			
	COMPANY:
	
	American Electric Technologies, Inc.
		
	By:	 	 
	Name:	 	 
	 Title:
	 	 

  

			
	INVESTOR:
	
	JCH Crenshaw Holdings, LLC
		
	By:	 	 
	Name:	 	 
	 Title:
	 	 

 SIGNATURE PAGE – INVESTOR’S RIGHTS AGREEMENT

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00202-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00202-of-00352.parquet"}]]