Document:

Exhibit 10.5

 

GUARANTY AND CONTRIBUTION AGREEMENT

 

This Guaranty and
Contribution Agreement (this “Guaranty”), dated as of March 20, 2019, is made by PACIFIC ETHANOL CENTRAL, LLC,
a limited liability company organized and existing under the laws of Delaware (the “Guarantor”), for the benefit
of COMPEER FINANCIAL, PCA, a federally-chartered instrumentality of the United States, successor by merger to 1st Farm
Credit Services, PCA (“Lender”), and COBANK, ACB, a federally-chartered instrumentality of the United States
(“Agent” and collectively with Lender, the “Lender Parties”).

 

RECITALS:

 

WHEREAS, Lender, Agent
and PACIFIC ETHANOL PEKIN, LLC (“Borrower”) are parties to that certain Credit Agreement dated as of December
15, 2016, as amended by that certain Amendment No. 1 to Credit Agreement dated as of March 1, 2017, as further amended by that
certain Amendment No. 2 to Credit Agreement dated as of August 7, 2017, that certain Amendment No. 3 to Credit Agreement dated
as of March 30, 2018, and as further amended by that certain Amendment No. 4 to Credit Agreement (the “Amendment”)
of even date herewith (as may be amended, supplemented or restated from time to time, collectively the “Credit Agreement”),
pursuant to which the Lender Parties may make advances and extend other financial accommodations to Borrower.

 

WHEREAS,
pursuant to the Amendment, Guarantor will execute (i) a pledge agreement of even date herewith, in form acceptable to Agent, in
favor of Agent with respect to its membership interests in Pacific Aurora, LLC, a Delaware limited liability company (“PAL”),
and (ii) a security agreement of even date herewith, in form acceptable to Agent in favor of Agent, granting a security interest
to Agent in substantially all of the assets of Guarantor.

 

WHEREAS, Guarantor
will not consent to any limitation on the distribution of Net Income from the sale of any Aurora Assets or any lien or encumbrance
on any Aurora Assets as set forth herein.

 

WHEREAS, Guarantor
will receive substantial direct and indirect benefit from entering into the Guaranty.

 

WHEREAS, as a condition
to entering into the Amendment and continuing to extend such credit to Borrower, the Lender Parties have required the execution
and delivery of this Guaranty.

 

NOW, THEREFORE, Guarantor
agrees as follows:

 

1.       Definitions.
All capitalized terms defined in the Credit Agreement that are not otherwise defined in this Guaranty have the meanings given them
in the Credit Agreement. As used herein, the following terms shall have the following meanings:

 

“Aurora Assets” means
(a) the membership interests in PAL owned by Guarantor, and (b) the assets owned by PAL, Aurora East, and Aurora West.

 

    

     

    

 

“Aurora East” means Pacific
Ethanol Aurora East, LLC, a Delaware limited liability company.

 

“Aurora Plants” means
the real estate, the improvements thereon, and the personal property associated with the ethanol plants located in Aurora, Nebraska
and owned by PAL, Aurora East, and Aurora West.

 

“Aurora West” means Pacific
Ethanol Aurora West, LLC, a Delaware limited liability company.

 

“Guaranteed Amount” shall
mean the PEC Contribution Amount (as such term is defined in the Credit Agreement).

 

“JV Agreement” means
the Amended and Restated Limited Liability Company Agreement of Aurora in effect on the date hereof.

 

“Net Income” shall have
the meaning ascribed to it in the JV Agreement.

 

“Pledged Account” shall
have the meaning ascribed to it in Section 15.

 

“Sale Proceeds” means
all Net Income payable or distributable to Guarantor upon the sale of the Aurora Assets, or any portion thereof, whether as the
result of the sale of any of the real property and/or personal property owned by PAL, Aurora East, or Aurora West or the sale of
any of Guarantor’s membership interest in PAL.

 

2.       Agreement
to Guarantee.

 

2.1       Obligations
Guaranteed. For value received, Guarantor absolutely and unconditionally guarantees to the Lender Parties the full and prompt
payment and performance when due, whether at maturity or earlier by reason of acceleration or otherwise, of the Obligations, provided
that in no instance shall the obligations hereunder exceed an amount in excess of the Guaranteed Amount.

 

2.2       Savings
Provision. Notwithstanding anything contained in this Guaranty to the contrary, the liability of Guarantor at any time will
be limited to the maximum amount as will result in the liability of Guarantor not constituting a fraudulent conveyance or fraudulent
transfer to the extent applicable to this Guaranty and the liability of Guarantor.

 

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3.       Guarantor’s
Representations and Warranties. Guarantor represents and warrants to the Lender Parties that (a) Guarantor is an entity of
the type described in the preamble to this Guaranty, duly organized and existing in good standing and has full power and authority
to make and deliver this Guaranty; (b) the execution, delivery and performance of this Guaranty by Guarantor have been duly authorized
by all necessary action and does not and will not violate the provisions of, or constitute a default under, any presently applicable
law or its constituent documents or any agreement presently binding on Guarantor; (c) this Guaranty has been duly executed and
delivered by the authorized officers of Guarantor and constitutes its lawful, binding and legally enforceable obligation; and (d)
the authorization, execution, delivery and performance of this Guaranty do not require notification to, registration with, or consent
or approval by, any federal, state or local regulatory body or administrative agency. Guarantor represents and warrants to the
Lender Parties that Guarantor has a direct and substantial economic interest in Borrower and expects to derive substantial benefits
therefrom and from any loans, credit transactions, financial accommodations, discounts, purchases of property and other transactions
and events resulting in the creation of the Obligations guarantied hereby, and that this Guaranty is given for a corporate purpose.
The Lender Parties may rely conclusively on a continuing warranty, hereby made, that Guarantor continues to be benefited by this
Guaranty and the Lender Parties shall have no duty to inquire into or confirm the receipt of any such benefits, and this Guaranty
shall be effective and enforceable by the Lender Parties without regard to the receipt, nature or value of any such benefits. Guarantor
represents and warrants to the Lender Parties that, from and after the date of this Guaranty, none of PAL, Aurora East, or Aurora
West shall perform any of the following (and Guarantor hereby covenants and agrees that it shall not direct, authorize or otherwise
permit PAL, Aurora East, or Aurora West to perform any of the following (whether in its capacity as a member of PAL or otherwise)
and shall exercise all voting rights it may hold with respect to PAL, Aurora East, or Aurora West in a manner that ensures that
none of the following shall occur): (a) sell, assign, transfer or otherwise alienate ownership of any of the Aurora Assets
without the prior written consent of the Lender Parties, or (b) incur, create, assume, or suffer
to exist any lien, security interest, pledge, charge, encumbrance, or other limitation as to the Aurora Assets or the Sale Proceeds
or incur any indebtedness (secured or unsecured, direct or contingent including guaranteeing any obligation) without the prior
written consent of the Lender Parties. The Aurora Assets are now, and Guarantor will at all times ensure that the Aurora Assets
remain, free and clear of all liens and encumbrances except for any liens and encumbrances in favor of the Lender Parties.

 

4.       Unconditional
Nature. No act or thing need occur to establish Guarantor’s liability hereunder, and no act or thing, except full payment
and discharge of all of the Obligations, shall in any way exonerate Guarantor hereunder or modify, reduce, limit or release Guarantor’s
liability hereunder. This is an absolute, unconditional and continuing guaranty of payment of the Obligations and shall continue
to be in force and be binding upon Guarantor, until the earlier of the date that (a) all of the Obligations are paid in full and
the Lender Parties’ commitment to make Loans have terminated, or (b) this Guaranty shall be terminated in accordance with
Section 16.

 

5.       Dissolution
or Insolvency of Guarantor. The dissolution or adjudication of bankruptcy of Guarantor shall not revoke this Guaranty. If Guarantor
dissolves or becomes insolvent (however defined), then the Lender Parties shall have the right to declare immediately due and payable,
and Guarantor will pay to the Lender Parties, the full amount of all of the Obligations whether due and payable or unmatured. If
Guarantor voluntarily commences or there is commenced involuntarily against Guarantor a case under the United States Bankruptcy
Code, the full amount of all Obligations, whether due and payable or unmatured, shall be immediately due and payable without demand
or notice thereof.

 

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6.       Subrogation.
Guarantor hereby waives all rights that Guarantor may now have or hereafter acquire, whether by subrogation, contribution, reimbursement,
recourse, exoneration, contract or otherwise, to recover from Borrower or from any property of Borrower any sums paid under this
Guaranty. Guarantor will not exercise or enforce any right of contribution to recover any such sums from any person who is a co-obligor
with Borrower or a guarantor or surety of the Obligations or from any property of any such person until all of the Obligations
shall have been fully paid and discharged.

 

7.       Subordination.
The Obligations, whether now existing or hereafter created, shall be superior to any claim that Guarantor may now have or hereafter
acquire against Borrower, whether or not Borrower becomes insolvent. Guarantor hereby subordinates any claim Guarantor may have
against Borrower, upon any account whatsoever, to any claim that the Lender Parties may now or hereafter have against Borrower.
In the event of insolvency and consequent liquidation of the assets of Borrower, through bankruptcy, by an assignment for the benefit
of creditors, by voluntary liquidation, or otherwise, the assets of Borrower applicable to the payment of the claims of both the
Lender Parties and Guarantor shall be paid to the Lender Parties and shall be first applied by the Lender Parties to the Obligations.
Guarantor hereby assigns to the Lender Parties all claims that it may have or acquire against Borrower or against any assignee
or trustee in bankruptcy of Borrower; provided, however, that such assignment shall be effective only for the purpose of assuring
to the Lender Parties full payment in legal tender of the Obligations. If the Lender Parties so request, any notes or credit agreements
now or hereafter evidencing any debts or obligations of Borrower to Guarantor shall be marked with a legend that the same are subject
to this Guaranty and shall be delivered to the Lender Parties. Guarantor agrees, and the Lender Parties are hereby authorized,
in the name of Guarantor, from time to time, to file financing statements and continuation statements and to execute documents
and to take such other actions as the Lender Parties deem necessary or appropriate to perfect, preserve and enforce its rights
under this Guaranty.

 

8.       Enforcement
Expenses. Guarantor shall pay on demand all costs and expenses, including reasonable attorneys’ fees, incurred by the
Lender Parties (a) in collecting the Obligations and in enforcing its rights under this Guaranty and the other Loan Documents,
(b) in any bankruptcy, insolvency, assignment for the benefit of creditors, receivership, or other similar proceeding relating
to Borrower, Borrower’s assets, or Guarantor, (c) in any actual or threatened suit, action, proceeding, or adversary proceeding
(including all appeals) by, against, or in any way involving the Lender Parties and Borrower or Guarantor, or in any way arising
from this Guaranty or the Lender Parties’ dealings with Guarantor, and (d) to retain any payments or transfers of any
kind made to the Lender Parties by or on account of this Guaranty, including the granting of liens, collateral rights, security
interests, or payment protection of any type.

 

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9.       Lender
Parties’ Rights. The Lender Parties shall not be obligated by reason of its acceptance of this Guaranty to engage in
any transactions with or for Borrower. Whether or not any existing relationship between Guarantor and Borrower has been changed
or ended and whether or not this Guaranty has been revoked, the Lender Parties may enter into transactions resulting in the creation
or continuance of the Obligations and may otherwise agree, consent to or suffer the creation or continuance of any of the Obligations,
without any consent or approval by Guarantor and without any prior or subsequent notice to Guarantor. Guarantor’s liability
shall not be affected or impaired by any of the following acts or things (which the Lender Parties are expressly authorized to
do, omit or suffer from time to time, both before and after revocation of this Guaranty, without consent or approval by or notice
to Guarantor): (a) any acceptance of collateral security, guarantors, accommodation parties or sureties for any or all of the Obligations;
(b) one or more extensions or renewals of the Obligations (whether or not for longer than the original period) or any modification
of the interest rates, maturities, if any, or other contractual terms applicable to any of the Obligations or any amendment or
modification of any of the terms or provisions of any loan agreement or other agreement under which the Obligations or any part
thereof arose; (c) any waiver or indulgence granted to Borrower, any delay or lack of diligence in the enforcement of the Obligations
or any failure to institute proceedings, file a claim, give any required notices or otherwise protect any of the Obligations; (d)
any full or partial release of, compromise or settlement with, or agreement not to sue, Borrower or any guarantor or other person
liable in respect of any of the Obligations; (e) any release, surrender, cancellation or other discharge of any evidence of the
Obligations or the acceptance of any instrument in renewal or substitution therefor; (f) any failure to obtain collateral security
(including rights of setoff) for the Obligations, or to see to the proper or sufficient creation and perfection thereof, or to
establish the priority thereof, or to preserve, protect, insure, care for, exercise or enforce any collateral security; (g) any
modification, alteration, substitution, exchange, surrender, cancellation, termination, release or other change, impairment, limitation,
loss or discharge of any collateral security; (h) any collection, sale, lease or disposition of, or any other foreclosure or enforcement
of or realization on, any collateral security; (i) any assignment, pledge or other transfer of any of the Obligations or any evidence
thereof; (j) any manner, order or method of application of any payments or credits upon the Obligations; and (k) any election by
the Lender Parties under Section 1111(b) of the United States Bankruptcy Code.

 

10.       Waivers
by Guarantor. Guarantor waives any and all defenses and discharges available to a surety, guarantor or accommodation co-obligor.
Guarantor waives any and all defenses, claims, setoffs and discharges of Borrower, or any other obligor, pertaining to the Obligations,
except the defense of discharge by payment in full. Without limiting the generality of the foregoing, Guarantor will not assert,
plead or enforce against the Lender Parties any defense of waiver, release, discharge or disallowance in bankruptcy, statute of
limitations, res judicata, statute of frauds, anti-deficiency statute, fraud, incapacity, minority, usury, illegality or unenforceability
which may be available to Borrower or any other person liable in respect of any of the Obligations, or any setoff available against
the Lender Parties to Borrower or any other such person, whether or not on account of a related transaction. Guarantor shall be
and remain liable for any deficiency remaining after foreclosure of any mortgage or security interest securing the Obligations,
whether or not the liability of Borrower or any other obligor for such deficiency is discharged pursuant to statute or judicial
decision. The liability of Guarantor shall not be affected or impaired by any voluntary or involuntary liquidation, dissolution,
sale or other disposition of all or substantially all of the assets, marshalling of assets and liabilities, receivership, insolvency,
bankruptcy, assignment for the benefit of creditors, reorganization, arrangement, composition or readjustment of, or other similar
event or proceeding affecting, Borrower or any of its assets. Guarantor will not assert, plead or enforce against the Lender Parties
any claim, defense or setoff available to Guarantor against Borrower. Guarantor waives presentment, demand for payment, notice
of dishonor or nonpayment and protest of any instrument evidencing the Obligations. The Lender Parties shall not be required first
to resort for payment of the Obligations to Borrower or other persons, or their properties, or first to enforce, realize upon or
exhaust any collateral security for the Obligations, before enforcing this Guaranty.

 

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11.       Reinstatement.
If the Lender Parties repay, restore, or return, in whole or in part, any payment or property previously paid or transferred to
the Lender Parties in full or partial satisfaction of any Obligation, because the payment or transfer was declared void, voidable,
or otherwise recoverable under any law, or because the Lender Parties elect to repay, restore, or return all or any portion of
the payment or transfer in connection with a claim that the payment or transfer was void, voidable, or otherwise recoverable, then
the liability of Guarantor will automatically and immediately be revived, reinstated, and restored as to the amount repaid, returned,
or restored as though the payment or transfer to the Lender Parties had never been made.

 

12.       Additional
Obligation of Guarantor. Guarantor’s liability under this Guaranty is in addition to and shall be cumulative with all
other liabilities of Guarantor to the Lender Parties as guarantor, surety, endorser, accommodation co-obligor or otherwise of any
of the Obligations or obligation of Borrower, without any limitation as to amount, unless the instrument or agreement evidencing
or creating such other liability specifically provides to the contrary.

 

13.       Financial
Information. Guarantor will deliver to the Lender Parties all financial information concerning Guarantor required to be delivered
under the Credit Agreement, or as may be reasonably requested by the Lender Parties from time to time.

 

14.       No
Duties Owed by the Lender Parties. Guarantor acknowledges and agrees that the Lender Parties (a) have not made any representations
or warranties with respect to, (b) do not assume any responsibility to Guarantor for, and (c) have no duty to provide information
to Guarantor regarding, the enforceability of any of the Obligations or the financial condition of Borrower or any guarantor. Guarantor
has independently determined the creditworthiness of Borrower and the enforceability of the Obligations and until the Obligations
are paid in full will independently and without reliance on the Lender Parties continue to make such determinations.

 

15.       Direction
and Contribution. Guarantor represents and warrants that (i) it is a member of PAL and holds 73.93% of the membership interests
in PAL, (ii) PAL holds title to all real property comprising the Aurora Plants, and (iii) PAL is the sole member of each of each
of Pacific West and Pacific East, which entities have leasehold interests in the improvement portions of the Aurora Plants and
hold title to all personal property associated with the Aurora Plants. Guarantor hereby covenants and agrees that (i) as a member
of PAL it shall take all necessary actions to cause all Sale Proceeds to be distributed to Guarantor based on Guarantor’s
pro rata membership interest as set forth in the JV Agreement, and (ii) all Sale Proceeds distributed to Guarantor shall be immediately
deposited into the deposit account set forth on Schedule 1 attached hereto (the “Pledged Account”). Guarantor
shall promptly, but in all events within two (2) business days, contribute such Sale Proceeds to Borrower in an amount not to exceed
the Guaranteed Amount.

 

16.       Termination.
Upon contribution of the Guaranteed Amount to Borrower, but subject to Section 11 hereof, this Guaranty shall automatically terminate.

 

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		17.	Miscellaneous.

 

17.1       Recitals.
The recitals set forth above are true and correct, and each recital is hereby encorporated into this Agreement by reference.

 

17.2       Notices.
Except as otherwise specified herein, any notice, consent, request or other communication required or permitted to be given hereunder
shall be in writing, addressed to the other party as set forth below such party’s signature to this Guaranty or below for
the Lender Parties (or to such other address or person as either party or person entitled to notice may by notice to the other
party specify), and shall be: (a) personally delivered; (b) delivered by Federal Express or other comparable overnight delivery
service; or (c) transmitted by United States certified mail, return receipt requested with postage prepaid.

 

	 If to the Agent:	6340
S. Fiddlers Green Grove
	 	Greenwood
Village, Colorado 80111-1914
	 	Attention:
Credit Information Services
	 	 
	 If to the Guarantor:	400
Capitol Mall, Suite 2060
	 	Sacramento,
California 95814

  

All such notices and communications shall
have been duly given and shall be effective: (i) when delivered; (ii) the Business Day following the day on which the same has
been delivered prepaid (or pursuant to an invoice arrangement) to Federal Express or other comparable overnight delivery service;
or (iii) the third Business Day following the day on which the same is sent by certified mail, postage prepaid.

 

17.3       No
Oral Amendments. This Guaranty may not be modified, amended, waived, extended, changed, discharged, revoked or terminated orally
or by any act or failure to act on the part of Guarantor or the Lender Parties, but only by an agreement in writing signed by the
party against whom enforcement of any modification, amendment, waiver, extension, change, discharge, revocation or termination
is sought.

 

17.4       Counterparts;
Integration; Effectiveness. This Guaranty and any amendments, waivers, consents or supplements may be executed in any number
of counterparts and by different parties hereto in separate counterparts, each of which, when so executed and delivered, shall
be deemed an original, but all of which counterparts together shall constitute but one agreement. This Guaranty and the other Loan
Documents to which Guarantor is a party constitute the entire contract among the parties with respect to the subject matter hereof
and supersede all previous agreements and understandings, oral or written, with respect thereto. Delivery of an executed counterpart
of a signature page to this Guaranty by facsimile or in electronic (i.e., “pdf” or “tif”) format shall
be effective as delivery of a manually executed counterpart signature page.

 

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17.5       Successors
and Assigns. The terms and conditions of this Guaranty shall be binding upon Guarantor and Guarantor’s successors, assigns
and legal representatives; provided that this Guaranty shall not be assigned by Guarantor without the prior written consent of
the Lender Parties.

 

17.6       Severability.
If any term, covenant or condition of this Guaranty is held to be invalid, illegal or unenforceable in any respect, this Guaranty
shall be construed without such provision.

 

17.7       Governing
Law; Jurisdiction; Etc.

 

17.7.1       Governing
Law. The laws of the State of Colorado will govern this Guaranty and any claim, controversy, dispute or cause of action (whether
in contract or tort or otherwise) based upon, arising out of or relating to this Guaranty and the transactions contemplated hereby
and thereby.

 

17.7.2       Submission
to Jurisdiction. Guarantor irrevocably and unconditionally agrees that it will not commence
any action, litigation or proceeding of any kind whatsoever, whether in law or equity, or whether in contract or tort or otherwise,
against the Lender Parties in any way relating to this Guaranty or the transactions contemplated hereby, in any forum other than
the courts of the State of Colorado sitting in Denver County, and of the United States District Court of Colorado, and any appellate
court from any thereof, and each of the parties hereto irrevocably and unconditionally submits to the jurisdiction of such courts
and agrees that any such action, litigation or proceeding may be brought in any such Colorado State court or, to the fullest extent
permitted by applicable law, in such federal court. Each of the parties hereto agrees that a final judgment in any such action,
litigation or proceeding will be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other
manner provided by law. Nothing herein will affect any right the Lender Parties may otherwise have to bring any action or proceeding
relating to this Guaranty against Guarantor or its properties in the courts of any jurisdiction.

 

17.7.3       Waiver
of Venue. Guarantor irrevocably and unconditionally waives, to the fullest extent permitted
by applicable law, any objection that it may now or hereafter have to the laying of venue of any action or proceeding arising out
of or relating to this Guaranty in any such court referred to in Section 17.7.2. Each of the
parties hereto hereby irrevocably waives, to the fullest extent permitted by applicable law, the defense of an inconvenient forum
to the maintenance of such action or proceeding in any such court.

 

17.7.4       Service
of Process. Guarantor irrevocably consents to the service of process in the manner provided
for notices in Section 17.1 and agrees that nothing herein will affect the right of any party hereto to serve process in any other
manner permitted by applicable law.

 

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17.8       Waiver
of Jury Trial. GUARANTOR HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES
ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION
BASED ON THE LOAN OR ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT, OR ANY OF
THE LOAN DOCUMENTS OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENT (WHETHER VERBAL OR WRITTEN) OR ACTION OF GUARANTOR
OR LENDER PARTIES. THIS PROVISION IS A MATERIAL INDUCEMENT FOR LENDER PARTIES’ MAKING OF THE
LOAN.

 

[signature page to follow]

 

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Guarantor has executed
this Guaranty as of the date set forth in the introductory clause.

 

	PACIFIC ETHANOL CENTRAL, LLC,	 	
	a Delaware limited liability company	 	Address:
	 	 	 	 
	By:	/s/ Bryon
    T. McGregor 	 	400 Capital Mall
	Name:	Bryon
T. McGregor 	 	Suite 2060
	Title:	CFO	 	Sacramento, CA 95814

 

Signature Page to Guaranty

 

    

     

    

 

SCHEDULE 1

 

PLEDGED ACCOUNT

 

	Depository Bank	Account Holder	Account Number	Account Name
	Bank of America	Pacific Ethanol Central, LLC	325000605601	Pacific Ethanol Central, LLC

 

Schedule 1Exhibit 10.6

 

PLEDGE AGREEMENT

 

THIS PLEDGE AGREEMENT
(this “Agreement”) is made on March 20, 2019, by and among PACIFIC ETHANOL CENTRAL, LLC, a limited liability
company organized under the laws of Delaware (“Pledgor”), PACIFIC AURORA, LLC, a limited liability company organized
under the laws of Delaware (“Aurora”), and COBANK, ACB, a federally-chartered instrumentality of the United
States, as Agent for the benefit of the Lenders under the Credit Agreement (together with its successors and assigns, “Agent”).

 

RECITALS:

 

WHEREAS, COMPEER FINANCIAL,
PCA, a federally-chartered instrumentality of the United States, successor by merger to 1st Farm Credit Services, PCA
(together with its successors and assigns, “Lender” and together with Agent, the “Lender Parties”),
Agent and PACIFIC ETHANOL PEKIN, LLC, a limited liability company organized under the laws of Delaware (“Borrower”)
are parties to that certain Credit Agreement dated as of December 15, 2016, as amended by that certain Amendment No. 1 to Credit
Agreement dated as of March 1, 2017, as further amended by that certain Amendment No. 2 to Credit Agreement dated as of August
7, 2017, that certain Amendment No. 3 to Credit Agreement dated as of March 30, 2018, and as further amended by that certain Amendment
No. 4 to Credit Agreement (the “Amendment”) of even date herewith (as may be amended, supplemented or restated
from time to time, collectively the “Credit Agreement”), pursuant to which the Lender Parties may make advances
and extend other financial accommodations to Borrower.

 

WHEREAS, Pledgor executed
and delivered a Guaranty and Contribution Agreement in favor of Lender and Agent of even date herewith (the “Guaranty”).

 

WHEREAS, as a condition
to Lender and Agent entering into the Amendment, Pledgor shall enter into this Agreement.

 

NOW, THEREFORE, for
Ten Dollars ($10.00) in hand paid to Pledgor and in consideration of the premises and mutual covenants herein contained and other
good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and to secure the timely payment
and performance of the Secured Obligations (as hereinafter defined), the parties hereto agree as follows:

 

1.       Definitions.
Each capitalized term used herein, unless otherwise defined herein, shall have the meaning ascribed to such term in the Credit
Agreement. As used herein, the following terms shall have the following meanings:

 

“Companies”
shall mean each of the entities identified as an “Issuer” on Annex A hereto, and each such entity individually
is referred to herein as a “Company”.

 

“Equity
Interests” shall mean means all shares of capital stock (whether denominated as common stock or preferred stock), equity
interests, beneficial partnership or membership interests, joint venture interests, units, limited liability company interests,
participations or other ownership or profit interests in or equivalents (regardless of how designated) of or in a Person (other
than an individual), whether voting or non-voting.

 

“Pledged
Collateral” shall have the meaning ascribed to it in Section 2 hereof.

 

“Power”
shall have the meaning ascribed to it in Section 2 hereof.

 

    

     

    

 

“Secured
Obligations” shall mean (i) all obligations of Pledgor under the Guaranty and (ii) and all obligations of Pledgor now
or hereafter existing under this Agreement.

 

2.            Pledge;
Agent’s Duties.

 

(a)       Pledgor
hereby pledges, assigns, transfers, sets over and delivers to Agent, and hereby grants to Agent, for the benefit of Lender Parties,
a security interest in, all of the Equity Interests of the Companies now or hereafter held by such Pledgor, including the Equity
Interests more particularly described on Annex A hereto and all of such Pledgor’s options, if any, for the purchase
of any Equity Interests of any of the Companies, herewith delivered to Agent, and where certificated, accompanied by powers (“Powers”)
duly executed in blank, and all proceeds thereof including, without limitation, all proceeds from the sale of any such Equity Interests
and all dividends and distributions at any time payable in connection such Equity Interests (said Equity Interests, Powers, options,
and proceeds hereinafter collectively called the “Pledged Collateral”) as security for the due and punctual
payment and performance of the Secured Obligations.

 

(b)       Agent
shall have no duty with respect to any part or all of the Pledged Collateral of any nature or kind other than the duty to use reasonable
care in the safe custody of any tangible items of the Pledged Collateral in its possession. Without limiting the generality of
the foregoing, Agent shall be under no obligation to sell any of the Pledged Collateral or otherwise to take any steps necessary
to preserve the value of any of the Pledged Collateral or to preserve rights in the Pledged Collateral against any other Persons,
but may do so at its option upon an Event of Default, and all expenses incurred in connection therewith shall be for the sole account
of Pledgor.

 

3.            Voting
Rights. During the term of this Agreement, and so long as no Event of Default shall have occurred, Pledgor shall have the
right to vote all or any portion of the Equity Interests owned by such Pledgor on all corporate and other company questions for
all purposes not inconsistent with the terms of this Agreement or any of the other Loan Documents. To that end, if Agent transfers
all or any portion of the Pledged Collateral into its name or the name of its nominee, to the extent authorized to do so under
this Agreement or any of the other Loan Documents, Agent shall, upon the request of a Pledgor, unless an Event of Default shall
have occurred, execute and deliver or cause to be executed and delivered to such Pledgor, proxies with respect to such Pledgor’s
respective portion of the Pledged Collateral. Pledgor hereby grants to Agent, effective upon or after the occurrence of an Event
of Default, an IRREVOCABLE PROXY pursuant to which Agent shall be entitled (but shall not be obligated) to exercise all
voting powers pertaining to its respective portion of the Pledged Collateral, including to call and attend all meetings of the
shareholders, members or partners of the Companies to be held from time to time with full power to act and vote in the name, place
and stead of such Pledgor (whether or not the Equity Interests shall have been transferred into its name or the name of its nominee
or nominees), give all consents, waivers and ratifications in respect of the Pledged Collateral and otherwise act with respect
thereto as though it were the outright owner thereof, and any and all proxies theretofore executed by such Pledgor shall terminate
and thereafter be null and void and of no effect whatsoever.

 

4.            Collection
of Dividend Payments. During the term of this Agreement, and so long as there no Event of Default shall exist, Pledgor
shall have the right to receive and retain any and all dividends and other distributions payable by any Company to such Pledgor
on account of any of the Pledged Collateral except as otherwise provided in the Loan Documents. Upon or after the occurrence of
any Event of Default, all dividends and other distributions payable by any Company on account of any of the Pledged Collateral
shall be paid to Agent and any such sum received by Pledgor shall be deemed to be held by such Pledgor in trust for the benefit
of Agent and the other Lender Parties and shall be forthwith turned over to Agent for application by Agent to the Secured Obligations
in the manner authorized by the Credit Agreement.

 

    - 2 -

     

    

 

5.            Representations
and Warranties of Pledgor. Pledgor hereby represents and warrants to Agent and Lenders as follows (which representations
and warranties shall be deemed continuing): (a) such Pledgor is the legal and beneficial owner of its respective portion of the
Pledged Collateral identified on Annex A; (b) all of the Equity Interests have been duly and validly issued, are fully paid
and nonassessable, and are owned by such Pledgor free of any Liens except for Agent’s security interest hereunder and under
the Credit Agreement; (c) the Pledged Collateral constitutes the percentage of the issued and outstanding Equity Interests of each
of the Companies identified on Annex A hereto; (d) there are no contractual or charter restrictions upon the voting rights
or upon the transfer of any of the Pledged Collateral; (e) such Pledgor has the right to vote, pledge and grant a security interest
in or otherwise transfer its respective portion of the Pledged Collateral without the consent of any other Person and free of any
Liens and applicable restrictions imposed by any governmental authority, and without any restriction under the Organizational Documents
of such Pledgor or any Company or any agreement among such Pledgor’s or any Company’s shareholders, partners or members;
(f) this Agreement has been duly authorized, executed and delivered by such Pledgor and constitutes a legal, valid and binding
obligation of such Pledgor, enforceable in accordance with its terms except to the extent that the enforceability thereof may be
limited by bankruptcy, insolvency or other similar laws of general application affecting the enforcement of creditors’ rights;
(g) the execution, delivery and performance by such Pledgor of this Agreement and the exercise by Agent of its rights and remedies
hereunder do not and will not result in the violation of any of the Organizational Documents of such Pledgor, any agreement, indenture,
instrument or Law by which such Pledgor or any Company is bound or to which such Pledgor or any Company is subject (except that
such Pledgor makes no representation or warranty with respect to Agent’s prospective compliance with any federal or state
laws or regulations governing the sale or exchange of securities); (h) no consent, filing, approval, registration or recording
is required (1) for the pledge by such Pledgor of its respective portion of the Pledged Collateral pursuant to this Agreement or
(2) except for the filing of an appropriate UCC financing statement, to perfect the Lien created by this Agreement (to the extent
that a Lien created by this Agreement can be perfected by filing a financing statement); (i) none of the Pledged Collateral is
held or maintained in the form of a securities entitlement or credited to any securities account; and (j) if the Pledged Collateral
is certificated, Pledgor shall cause such certificates or other documents evidencing or representing such Pledged Collateral, accompanied
by Powers, all in form and substance satisfactory to Agent to be delivered to Agent.

 

6.            Affirmative
Covenants of Pledgor. Until Payment in Full of all of the Secured Obligations and termination of the Credit Agreement,
Pledgor covenants that it will: (a) warrant and defend at its own expense Agent’s right, title and security interest in and
to the Pledged Collateral against the claims of any Person; (b) promptly deliver to Agent all written notices with respect to the
Pledged Collateral, and promptly give written notice to Agent of any other notices received by such Pledgor with respect to the
Pledged Collateral; (c) promptly deliver to Agent to hold under this Agreement any Equity Interests of any Company subsequently
acquired by such Pledgor, whether acquired by such Pledgor by virtue of the exercise of any options included within the Pledged
Collateral or otherwise (which Equity Interests, whether or not delivered, shall be deemed to be a part of the Pledged Collateral);
(d) if any of the Pledged Collateral constituting membership interests in a limited liability company or general or limited partnership
interests in a limited partnership or limited liability partnership is hereafter designated by the relevant Company as a “security”
under (and as defined in) Article 8 of the UCC, cause such Pledged Collateral to be certificated and deliver to Agent all certificates
evidencing such Pledged Collateral, accompanied by Powers, all in form and substance satisfactory to Agent; and (e) if at any time
hereafter any of the Pledged Collateral that is not currently certificated becomes certificated, deliver all certificates or other
documents evidencing or representing the Pledged Collateral to Agent, accompanied by Powers, all in form and substance satisfactory
to Agent.

 

    - 3 -

     

    

 

7.             Negative
Covenants of Pledgor. Until Payment in Full of the Secured Obligations and termination of the Credit Agreement, Pledgor
covenants that it will not, without the prior written consent of Agent, (a) sell, convey or otherwise dispose of any of the Pledged
Collateral or any interest therein other than as permitted under the Credit Agreement; (b) grant or permit to exist any Lien whatsoever
upon or with respect to any of the Pledged Collateral or the proceeds thereof, other than the security interest created hereby;
(c) consent to the issuance by any Company of any new Equity Interests; (d) consent to any merger or other consolidation of any
Company with or into any corporation or other entity other than as permitted under the Credit Agreement; (e) cause any Pledged
Collateral to be held or maintained in the form of a security entitlement or credited to any securities account; (f) designate,
or cause any Company to designate, any of the Pledged Collateral constituting membership interests in a limited liability company
or general or limited partnership interests in a limited partnership or limited liability partnership as a “security”
under Article 8 of the UCC, unless such Company has caused such Pledged Collateral to become certificated and has complied with
the requirements of Section 6(e) hereof with respect to such Pledged Collateral; (g) evidence, or permit any Company to
evidence, any of the Pledged Collateral that is not currently certificated, with any certificates, instruments or other writings,
unless such Company has complied with the provisions of Section 6(e) of this Agreement; or (h) consent to or permit any
amendment of the Organizational Documents of any Company that would restrict such Pledgor’s right to vote, pledge or grant
a security interest in or otherwise transfer its respective portion of the Pledged Collateral.

 

8.            Irrevocable
Authorization and Instruction to Companies. To the extent that any portion of the Pledged Collateral might now or hereafter
consist of uncertificated securities within the meaning of Article 8 of the UCC, Pledgor irrevocably authorizes and instructs each
Company to comply with any instruction received by such Company from Agent with respect to such Pledged Collateral without any
other or further instructions from or consent of Pledgor, and Pledgor agrees that each Company shall be fully protected in so complying;
provided, however, that Agent agrees that Agent will not issue or deliver any such instructions to any Company except
upon or after the occurrence of an Event of Default.

 

9.            Subsequent
Changes Affecting Pledged Collateral. Pledgor hereby represents to Agent that such Pledgor has made its own arrangements
for keeping informed of changes or potential changes affecting the Pledged Collateral (including rights to convert, rights to subscribe,
payment of dividends and distributions, reorganization or other exchanges, tender offers and voting rights), and such Pledgor hereby
agrees that Agent shall have no responsibility or liability for informing such Pledgor of any such changes or potential changes
or for taking any action or omitting to take any action with respect thereto. Agent may, at any time that an Event of Default exists,
at its option and without notice to Pledgor, transfer or register the Pledged Collateral or any portion thereof into its or its
nominee’s name with or without any indication that such Pledged Collateral is subject to the security interest hereunder.

 

10.          Equity
Interest Adjustments. If during the term of this Agreement any dividend, reclassification, readjustment or other change
is declared or made in the capital structure of any of the Companies, or any option included within the Pledged Collateral is exercised,
or both, all new, substituted and additional Equity Interests or other securities issued by reason of any such change or exercise
shall, if received by Pledgor, be held in trust for Lenders’ benefit and shall be promptly delivered to and held by Agent
under the terms of this Agreement in the same manner as the Pledged Collateral originally pledged hereunder.

 

11.          Warrants,
Options and Rights. If during the term of this Agreement subscription warrants or any other rights or options are issued
or exercised by Pledgor in connection with the Pledged Collateral, then such warrants, rights and options shall be promptly assigned
by such Pledgor to Agent and all certificates evidencing new Equity Interests or other securities so acquired by such Pledgor shall
be promptly delivered to Agent to be held under the terms of this Agreement in the same manner as the Pledged Collateral originally
pledged hereunder.

 

    - 4 -

     

    

 

12.          Registration.
If Agent determines that it is required to register under or otherwise comply in any way with the Securities Act of 1933, as amended
from time to time (the “Securities Act”) or any similar federal or state law with respect to the securities,
if any, included in the Pledged Collateral prior to sale thereof by Agent, then upon or after the occurrence of any Event of Default,
Pledgor will use its best efforts to cause any such registration to be effectively made, at no expense to Agent, and to continue
such registration effective for such time as may be necessary in the reasonable opinion of Agent, and will reimburse Agent for
any out-of-pocket expense incurred by Agent, including reasonable attorneys’ fees and accountants’ fees and expenses,
in connection therewith.

 

13.          Consent.
Pledgor hereby consents that from time to time, before or after the occurrence or existence of any Default or Event of Default,
with or without notice to or assent from such Pledgor, any other security at any time held by or available to Agent for any of
the Secured Obligations may be exchanged, surrendered, or released, and any of the Secured Obligations may be changed, altered,
renewed, extended, continued, surrendered, compromised, waived or released, in whole or in part, as Agent may see fit, and Pledgor
shall remain bound under this Agreement and under the other Loan Documents notwithstanding any such exchange, surrender, release,
alteration, renewal, extension, continuance, compromise, waiver or inaction, extension of further credit or other dealing.

 

14.          Remedies
Upon Default. Upon or after the occurrence of any Event of Default, (i) Agent shall have, in addition to any other rights
given by law or the rights given hereunder or under each of the other Loan Documents, all of the rights and remedies with respect
to the Pledged Collateral of a secured party under the UCC and (ii) Agent may cause all or any part of the Equity Interests held
by it to be transferred into its name or the name of its nominee or nominees. In addition, upon or at any time after the occurrence
of an Event of Default, Agent may sell or cause the Pledged Collateral, or any part thereof, which shall then be or shall thereafter
come into Agent’s possession or custody, to be sold at any broker’s board or at public or private sale, in one or more
sales or lots, at such price as Agent may deem best, and for cash or on credit or for future delivery, and the purchaser of any
or all of the Pledged Collateral so sold shall thereafter hold the same absolutely, free from any claim, encumbrance or right of
any kind whatsoever of Pledgor or arising through Pledgor. If any of the Pledged Collateral is sold by Agent upon credit or for
future delivery, Agent shall not be liable for the failure of the purchaser to pay the same and in such event Agent may resell
such Pledged Collateral. Unless the Pledged Collateral threatens to decline speedily in value or is or becomes of a type sold on
a recognized market, Agent will give the applicable Pledgor reasonable notice of the time and place of any public sale thereof,
or of the time after which any private sale or other intended disposition is to be made. Any sale of the Pledged Collateral conducted
in conformity with reasonable commercial practices of banks, insurance companies or other financial institutions disposing of property
similar to the Pledged Collateral shall be deemed to be commercially reasonable. Any requirements of reasonable notice shall be
met if such notice is mailed to the applicable Pledgor, as provided in Section 22 below, at least ten (10) days before the
time of the sale or disposition. Any other requirement of notice, demand or advertisement for sale is, to the fullest extent permitted
by applicable Law, waived. Agent may, in its own name, or in the name of a designee or nominee, buy at any public sale of the Pledged
Collateral and, if permitted by applicable Law, buy at any private sale thereof. Pledgor will pay to Agent on demand all expenses
(including court costs and reasonable attorneys’ fees and expenses) of, or incident to, the enforcement of any of the provisions
hereof and all other charges due against the Pledged Collateral, including taxes, assessments or Liens upon the Pledged Collateral
and any expenses, including transfer or other taxes, arising in connection with any sale, transfer or other disposition of Pledged
Collateral. In connection with any sale of Pledged Collateral by Agent, Agent shall have the right to execute any document or form,
in its name or in the name of Pledgor, that may be necessary or desirable in connection with such sale, including Form 144 promulgated
by the Securities and Exchange Commission. In view of the fact that federal and state securities laws may impose certain restrictions
on the method by which a sale of the Pledged Collateral may be effected after an Event of Default, Pledgor agrees that Agent may,
from time to time, attempt to sell all or any part of the Pledged Collateral by means of a private placement restricting the bidders
and prospective purchasers to those who will represent and agree that they are purchasing for investment only and not for distribution.
Pledgor agrees that any such private sales may be at prices and other terms less favorable to the seller than if sold at public
sales and that such private sales shall not by reason thereof be deemed not to have been made in a commercially reasonable manner.
Agent shall be under no obligation to delay a sale of any of the Pledged Collateral for the period of time necessary to permit
the issuer of such securities to register such securities for public sale under the Securities Act even if the issuer would agree
to do so. Agent shall apply the cash proceeds actually received from any sale or other disposition to the reasonable expenses of
retaking, holding, preparing for sale, selling and the like, to reasonable attorneys’ fees, and all legal expenses, travel
and other expenses that might be incurred by Agent in attempting to collect the Secured Obligations or to enforce this Agreement
or in the prosecution or defense of any action or proceeding related to the subject matter of this Agreement; and then to the Secured
Obligations in the manner authorized by the Credit Agreement.

 

    - 5 -

     

    

 

15.          Redemption;
Marshaling. Pledgor hereby waives and releases to the fullest extent permitted by applicable Law any right or equity of
redemption with respect to the Pledged Collateral before or after a sale conducted pursuant to Section 14 hereof. Pledgor
agrees that Agent shall not be required to marshal any present or future security (including this Agreement and the Pledged Collateral
pledged hereunder) for, or guaranties of, the Secured Obligations or any of them, or to resort to such security or guaranties in
any particular order; and all of Agent’s rights hereunder and in respect of such security and guaranties shall be cumulative
and in addition to all other rights, however existing or arising. To the fullest extent that it lawfully may, Pledgor hereby agrees
that it will not invoke any law relating to the marshaling of collateral that might cause delay in or impede the enforcement of
Agent’s rights under this Agreement or under any other instrument evidencing any of the Secured Obligations or under which
any of the Secured Obligations is outstanding or by which any of the Secured Obligations is secured or guaranteed, and to the fullest
extent that it lawfully may, Pledgor hereby irrevocably waives the benefits of all such laws.

 

16.          Term.
This Agreement shall become effective only when accepted by Agent and, when so accepted, shall constitute a continuing agreement
and shall remain in full force and effect until Payment in Full of the Secured Obligations and termination of the Guaranty, at
which time this Agreement shall terminate and Agent shall deliver to the Pledgor, at Pledgor’s expense, such of the Pledged
Collateral as shall not have been sold or otherwise applied pursuant to this Agreement. Notwithstanding the foregoing, in no event
shall any termination of this Agreement terminate any indemnity set forth in this Agreement or any of the other Loan Documents,
all of which indemnities shall survive any termination of this Agreement or any of the other Loan Documents. For the avoidance
of doubt, this Agreement shall automatically terminate on the date on which the PEC Contribution Amount (as defined in the Amendment)
has been paid in full to Borrower.

 

17.          Rules
and Construction. The singular shall include the plural and vice versa, and any gender shall include any other gender as
the text shall indicate. All references to “including” shall mean “including, without limitation.” Each
reference in this Agreement to a “corporation” shall also be deemed to include a reference to a limited liability company,
limited partnership or limited liability partnership and vice versa, each reference to “shareholders” of a Person shall
also be deemed to include a reference to members or partners and vice versa and each reference to “certificate of incorporation”
or “articles of incorporation” or “bylaws” shall also be deemed to include a reference to “certificate
of formation” or “certificate of limited partnership” and “limited liability company operating agreement”
or “limited partnership agreement” or other Organizational Documents of a limited liability company, limited partnership
or limited liability partnership and vice versa.

 

    - 6 -

     

    

 

18.          Successors
and Assigns. This Agreement shall be binding upon Pledgor and its respective successors and assigns, and shall inure to
the benefit of Agent and Lender Parties and their respective successors and assigns. This Agreement is fully assignable by any
Lender Party without the consent of Pledgor or Aurora; provided that this Agreement may not be assigned by Pledgor or Aurora without
the prior written consent of the Lender Parties.

 

19.          Construction
and Applicable Law. Whenever possible, each provision of this Agreement shall be interpreted in such manner as to be effective
and valid under applicable Law, but, if any provision of this Agreement shall be held to be prohibited or invalid under any applicable
Law, such provision shall be ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder
of such provision or the remaining provisions of this Agreement. This Agreement shall be governed by and the rights and liabilities
of the parties hereto determined and construed in accordance with the internal laws of the State of Colorado without regard to
its conflicts of law provisions. This Agreement is intended to take effect as a document executed and delivered under seal.

 

20.          Cooperation
and Further Assurances. Pledgor agrees that it will cooperate with Agent and will, upon Agent’s request, execute
and deliver, or cause to be executed and delivered, all such other powers, instruments, financing statements, certificates, legal
opinions and other documents, and will take all such other action as Agent requests from time to time, in order to carry out the
provisions and purposes hereof, including delivering to Agent, if requested by Agent, irrevocable proxies with respect to the Equity
Interests in form satisfactory to Agent. Until receipt thereof, this Agreement shall constitute Pledgor’s proxy to Agent
or its nominee to vote all shares of the Equity Interests then registered in such Pledgor’s name (subject to such Pledgor’s
voting rights under Section 3 hereof) upon or after the occurrence of an Event of Default.

 

21.          Agent’s
Exoneration. Under no circumstances shall Agent be deemed to assume any responsibility for or obligation or duty with respect
to any part or all of the Pledged Collateral of any nature or kind, other than the physical custody thereof, or any matter or proceedings
arising out of or relating thereto. Agent shall not be required to take any action of any kind to collect, preserve or protect
its or Pledgor’s rights in the Pledged Collateral or against other parties thereto. Agent’s prior recourse to any part
or all of the Pledged Collateral shall not constitute a condition of any demand, suit or proceeding for payment or collection of
the Secured Obligations.

 

22.          Notices.
All notices, requests and demands to or upon any party hereto shall be given in the manner and become effective as stipulated in
the Credit Agreement. Regardless of the manner in which notice is provided, notices may be sent to Agent at the Agent’s address
or telecopier number set forth in the signature pages to the Credit Agreement and to Pledgor at the address or telecopier number
of Borrower set forth in the signature pages to the Credit Agreement or to such other address or telecopier number as any party
may give to the other for such purpose in accordance with this paragraph.

 

23.          Pledgor’s
Obligations Not Affected. The obligations of Pledgor hereunder shall remain in full force and effect without regard to,
and shall not be impaired by (a) any bankruptcy, insolvency, reorganization, arrangement, readjustment, composition, liquidation
or the like of Pledgor; (b) any exercise or nonexercise, or any waiver, by Agent of any right, remedy, power or privilege under
or in respect of any of the Secured Obligations or any security thereof (including this Agreement); (c) any amendment to or modification
of the Credit Agreement, the other Loan Documents or any of the Secured Obligations; (d) any amendment to or modification of any
instrument (other than this Agreement) securing any of the Secured Obligations; or (e) the taking of additional security for, or
any guaranty of, any of the Secured Obligations or the release or discharge or termination of any security or guaranty for any
of the Secured Obligations, regardless of whether or not Pledgor shall have notice or knowledge of any of the foregoing.

 

    - 7 -

     

    

 

24.          No
Waiver, Etc. No act, failure or delay by Agent shall constitute a waiver of any of its rights and remedies hereunder
or otherwise. No single or partial waiver by Agent of any Default or Event of Default or right or remedy that Agent might have
shall operate as a waiver of any other Default, Event of Default, right or remedy or of the same Default, Event of Default, right
or remedy on a future occasion. Pledgor hereby waives presentment, notice of dishonor and protest of all instruments included in
or evidencing any of the Secured Obligations or the Pledged Collateral, and any and all other notices and demands whatsoever (except
as expressly provided herein).

 

25.          Section
Headings. The section headings herein are for convenience of reference only, and shall not affect in any way the interpretation
of any of the provisions hereof.

 

26.          Agent
Appointed Attorney-In-Fact. Upon and after the occurrence of an Event of Default, Agent shall be deemed to be Pledgor’s
attorney-in-fact, with full power of substitution, for the purpose of carrying out the provisions of this Agreement and taking
any action and executing any instrument that Agent reasonably deems necessary or advisable to accomplish the purposes hereof, which
appointment is coupled with an interest and is irrevocable. Without limiting the generality of the foregoing, Agent shall have
the power to arrange for the transfer, upon or at any time after the occurrence of an Event of Default, of any of the Pledged Collateral
on the books of any or all of the Companies to the name of Agent or Agent’s nominee. Pledgor agrees to indemnify and save
Agent harmless from and against any liability or damage that Agent might suffer or incur, in the exercise or performance of any
of Agent’s powers and duties specifically set forth herein, except to the extent that such liability or damage arises from
Agent’s gross negligence or willful misconduct.

 

27.          Use
of Loan Proceeds. Pledgor hereby represents and warrants to Agent that none of the loan proceeds heretofore and hereafter
received by it under the Credit Agreement are for the purpose of purchasing any “margin stock” as that term is defined
in either Regulation U promulgated by the Board of Governors of the Federal Reserve System, or refinancing any indebtedness originally
incurred to purchase any such “margin stock.”

 

28.          Waiver
of Subrogation and Other Claims. Pledgor recognizes that Agent, in exercising its rights and remedies with respect to the
Pledged Collateral, may likely be unable to find one or more purchasers thereof if, after the sale of the Pledged Collateral, the
Company were, because of any claim based on subrogation or any other theory, liable to such Pledgor on account of the sale by Agent
of the Pledged Collateral in full or partial satisfaction of the Secured Obligations or liable to such Pledgor on account of any
indebtedness owing to such Pledgor that is subordinated to any or all of the Secured Obligations. Pledgor hereby agrees, therefore,
that if Agent sells any of the Pledged Collateral in full or partial satisfaction of the Secured Obligations, such Pledgor shall
in such case have no right or claim against any Company on account of any such subordinated indebtedness or on the theory that
such Pledgor has become subrogated to any claim or right of Agent against such Company or on any basis whatsoever, and Pledgor
hereby expressly waives and relinquishes, to the fullest extent permitted by applicable Law, all such rights and claims against
Companies.

 

29.          Execution
in Counterparts. This Agreement may be executed in any number of counterparts and by different parties hereto in separate
counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which counterparts taken
together shall constitute but one and the same instrument. In proving this Agreement in any judicial proceeding, it shall not be
necessary to produce or account for more than one such counterpart signed by the party against whom such enforcement is sought.
Any manually-executed signature page delivered by a party by facsimile or other electronic transmission shall be deemed to be an
original signature page hereto.

 

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30.          WAIVERS.
PLEDGOR HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW: NOTICE OF AGENT’S ACCEPTANCE OF THIS AGREEMENT;
NOTICE OF EXTENSIONS OF CREDIT, LOANS, ADVANCES OR OTHER FINANCIAL ASSISTANCE BY LENDERS TO PLEDGOR; THE RIGHT TO TRIAL BY JURY
(WHICH AGENT ALSO WAIVES) IN ANY ACTION, SUIT, PROCEEDING OR COUNTERCLAIM CONCERNING THIS AGREEMENT OR ANY OF THE PLEDGED COLLATERAL;
PRESENTMENT AND DEMAND FOR PAYMENT OF ANY OF THE SECURED OBLIGATIONS; PROTEST AND NOTICE OF DISHONOR OR DEFAULT WITH RESPECT TO
ANY OF THE SECURED OBLIGATIONS; AND ALL OTHER NOTICES TO WHICH SUCH PLEDGOR MIGHT OTHERWISE BE ENTITLED EXCEPT AS HEREIN OTHERWISE
EXPRESSLY PROVIDED.

 

[Remainder of page intentionally left blank;
signatures begin on following page.]

 

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IN WITNESS WHEREOF,
Pledgor has caused this Agreement to be signed, sealed and delivered by its duly authorized representative on the day and year
first above written.

 

	 	PLEDGOR:
	 	 	 
	 	PACIFIC ETHANOL CENTRAL, LLC
	 	 	 
	 	By:	/s/
    Bryon T. McGregor

	 	 Name:	Bryon
T. McGregor

	 	Title:	
        CFO

        

         

        

 

	 	Accepted:
	 	 
	 	AGENT:
	 	 	 
	 	COBANK, ACB
	 	 	 
	 	By:	/s/ Tom D. Houser

	 	 Name:	Tom D. Houser

	 	Title:	Vice President

 

[Signature
page to Pledge Agreement]

 

    

     

    

 

ANNEX A

 

to Pledge Agreement

 

	Pledgor	Issuer	
        Type and Class of 

         Equity Interests 
	
        Number of Pledged 

        

        Shares
	Certificate Number	
        Percentage of Outstanding Equity Interests

	Pacific Ethanol Central, LLC	Pacific Aurora, LLC	Membership Interest	73.93 units	N/A	73.93%

 

    

     

    

 

ACKNOWLEDGMENT AND AGREEMENT OF ISSUER

 

The undersigned (“Issuer”)
hereby acknowledges, represents and agrees that: (i) such Issuer has received a true and correct copy of the within and foregoing
Pledge Agreement (the “Agreement”) by and among PACIFIC ETHANOL CENTRAL, LLC, a limited liability company organized
under the laws of Delaware (“Pledgor”), PACIFIC AURORA, LLC, a limited liability company organized under the
laws of Delaware (“Aurora”), COMPEER FINANCIAL, PCA, a federally-chartered instrumentality of the United States,
successor by merger to 1st Farm Credit Services, PCA (together with its successors and assigns, “Lender”), and
COBANK, ACB, a federally-chartered instrumentality of the United States (together with its successors and assigns, “Agent”
and together with the Lender, the “Lender Parties”); (ii) the Agreement has been duly recorded and noted on
the books and records of Issuer and will be maintained as part of such books and records; (iii) the Agreement does not violate
any term, condition or covenant of the organizational documents of Issuer, or of any other agreement to which Issuer is a party;
(iv) Issuer will comply with written instructions originated by Agent without further consent of Pledgor as the registered owner
of such Pledgor’s respective portion of the Pledged Collateral; (v) Issuer consents to the execution of the Agreement and
to the assignment, transfer and pledge of the Pledged Collateral effected thereby; and (vi) upon and after the occurrence of an
Event of Default, Issuer consents to a public or private sale or sales of all or any part of the Pledged Collateral by Agent in
accordance with the terms of the Agreement and consents to each purchaser of all or any part of the Pledged Collateral at such
sale or sales becoming a shareholder, member, partner or other owner, as applicable, of Issuer thereby entitled to the same rights
and privileges and subject to the same duties as the owner of the applicable Pledged Collateral under the Organizational Documents
of Issuer.

 

Each capitalized term
used herein, unless otherwise defined herein, shall have the meaning ascribed to such term in the Agreement. Any manually-executed
signature page delivered by a party by facsimile or other electronic transmission shall be deemed to be an original signature page
hereto.

 

[Remainder of page intentionally left blank;
signature appears on the following page.]

 

    

     

    

 

IN WITNESS WHEREOF,
Issuer has executed this Acknowledgment and Agreement of Issuer under seal as of the date of the Agreement referenced above.

 

	 	ISSUER:
	 	 	 
	 	PACIFIC AURORA, LLC
	 	 	 
	 	By:	 	/s/
    Bryon T. McGregor
	 	Name:	Bryon
    T. McGregor
	 	Title:	CFO

 

[Acknowledgment and Agreement of
Issuer]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00295-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00295-of-00352.parquet"}]]