FAR EAST ENERGY CORPORATION
FORM OF NON-QUALIFIED STOCK OPTION AGREEMENT
FOR GOOD AND VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, Far
East Energy Corporation (the " Company "), a Nevada corporation, hereby grants to ______________ (the "
Option Holder "), the option to purchase shares of the common stock, $0.001 par value per share, of the
Company (" Shares "), upon the terms set forth in this stock option agreement (this " Agreement "):
WHEREAS, the Option Holder has been granted the following award in connection with his or her
retention to provide services to the Company, and the following terms reflect the Company's 2005 Stock
Incentive Plan (the " Plan ");
NOW, THEREFORE, in consideration of the premises and mutual covenants contained herein, the
parties hereto agree as follows.
1. Defined Terms; Plan . Terms used but not defined herein shall have the same meaning
ascribed to such terms in the Plan. This Agreement and the grant herein is subject to the terms and conditions
herein and the terms and conditions of the applicable provisions of the Plan, the terms of which are incorporated
herein by reference.
2. Grant . The Option Holder is hereby granted an option (the " Option ") to purchase
___________ Shares (the " Option Shares ") pursuant to the Plan. The Option is granted as of ____________
(the " Date of Grant "). This Option shall not be treated as an "incentive stock option" as defined in Section 422
of the Code.
3. Status of Option Shares . The Option Shares shall upon issue rank equally in all respects
with the other Shares.
4. Option Price . The purchase price for the Option Shares shall be, except as herein
provided, $_____ per Option Share, hereinafter sometimes referred to as the " Option Price ," payable
immediately in full upon the exercise of the Option.
5. Term of Option . The Option may be exercised only during the period (the " Option