**Exhibit10.4**

Prepared by and Recordand Return to:Lindquist & Vennum P.L.L.P. (RKV)4200 IDS Center80 South Eighth StreetMinneapolis, MN 55042Telephone:  (612) 371-3211

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**THIRD AMENDMENTTOFUTURE ADVANCE MORTGAGEAND SECURITY AGREEMENTAND FIXTURE FINANCING STATEMENTAND ASSIGNMENT OF LEASES AND RENTS**

THIS AMENDMENT is made effective as of June       ,2006, by and between EAST KANSAS AGRI-ENERGY, L.L.C., a Kansas limitedliability company, with an address at 1304 South Main, Garnett, Kansas 66032(the “**Mortgagor**”) and HOME FEDERALSAVINGS BANK, a federal savings bank, with an address at 1016 Civic CenterDrive N.W., Rochester, Minnesota 55903 (the “**Mortgagee**”).

RECITALS:

# A.            Mortgagee has provided Mortgagorwith loans in the aggregate, original principal amount of $26,000,000.00pursuant to two promissory notes dated as of November 23, 2004 made byMortgagor in favor of Mortgagee, and Mortgagee will provide additionalfinancing to the Mortgagor pursuant to one or more additional notes made byMortgagor in favor of Mortgagee (the existing notes and all future notes issuedby Mortgagor to Mortgagor are collectively referred to as the “**Notes**”) in connection with the constructionof a dry milling fuel ethanol plant near Garnett, Kansas (the “**Project**”).

# B.            Mortgagor’s obligations under theNotes are secured by, among other things, a Future Advance Mortgage andSecurity Agreement and Fixture Financing Statement and Assignment of Leases andRents dated November 23, 2004 and recorded in the office of the Anderson County,Kansas Register of Deeds on November 30, 2004, in Book 210 of Mortgages, Page10, covering that certain property located in Anderson County, Kansas, asdescribed therein, as amended by a First Amendment to Future Advance Mortgageand Security Agreement and Fixture Financing Statement and Assignment of Leasesand Rents, dated June 21, 2005, and recorded in the office of the AndersonCounty, Kansas, Register of Deeds on July 6, 2005, in Book 78-MCL of Mortgages,Page 24, and as amended by a Second Amendment to Future Advance Mortgage andSecurity Agreement and Fixture Financing Statement and Assignment of 

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# Leases and Rents, datedDecember 20, 2005, and recorded in the office of the Anderson County, Kansas,Register of Deeds on December 27, 2005, in Book 79-MCL of Mortgages, Page 103(collectively, as amended from time to time, the “**Mortgag**e”), secured by the real estate legally described on ExhibitA.

# C.            The parties desire to clarify thatthe Notes and this Mortgage provide that $4,000,000 of the loan from Mortgageeto Mortgagor shall be a revolving amount and the remaining $22,000,000 of theloan shall be payable as a fixed term amount.

# D.            The parties desire to amend theterms and conditions of the Mortgage to incorporate the changes set forth inthis Amendment.

# E.             The parties hereto have theauthority to enter into this amendment pursuant to section (g) of the WarrantyDeed dated December 20, 2005 and recorded in the office of the Anderson County,Kansas, Register of Deeds on December 27, 2005, in Book 164 of Deeds, Page 88between the Mortgagor and the City of Garnett, Kansas.

F.             Mortgagor hereby certifies that itis the Owner of 100% of the aggregate maximum principal amount of the Bonds (asdefined in the Trust Indenture).

NOW, THEREFORE, for good and valuable consideration,the receipt and legal sufficiency of which are hereby acknowledged, the partiesagree that the Mortgage is amended as follows:

## 1.                                       Uponthe request of Mortgagor, delivered to Mortgagee prior to the Maturity Date,Mortgagee may advance and re-advance up to $4,000,000 of the amount due underthe Notes and secured by this Mortgage. Any such advance shall be superior to the rights of the holder of anyintervening lien or encumbrance.  ThisMortgage secures all future advances by Mortgagee to Mortgagor and all futureobligations of Mortgagor to Mortgagee pursuant to the Credit Agreement, theNotes, and this Mortgage up to and including the maximum stated principalindebtedness of $26,000,000.

## 2.                                       Mortgagorconfirms the continuing accuracy of all representations and warranties setforth in the Mortgage.

## 3.                                       ThisAmendment shall be binding upon, and inure to the benefit of the Mortgagor andthe Mortgagee and their respective successors and assigns.

## 4.                                       Exceptas expressly amended and modified by this Amendment, all of the terms andconditions of the Mortgage remain unchanged and in full force and effectaccording to their terms and are hereby ratified by the Mortgagee andMortgagor.  All capitalized terms notseparately defined herein shall have the meanings assigned to them in theMortgage. On and after the effectiveness of this Amendment, each reference inthe Mortgage to “this Mortgage,” “hereunder,” “hereof” or words of like importreferring to the Mortgage, and each reference in the Loan Documents to theMortgage, shall mean the Mortgage as amended by this Amendment.

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## 5.                                       INWITNESS WHEREOF, this Amendment is executed as of the date first shown above.

|        | **MORTGAGEE:**            |
|--------|---------------------------|
|   |                      |
|   | HOME FEDERAL SAVINGS BANK |
|   |                      |
|   | By:                       | /s/ Eric Oftedahl |
|   | Name:                     | Eric Oftedahl |
|   | Its:                      | Vice President |

 
| STATE OF MINNESOTA | )     |
|--------------------|-------|
|               | ) ss. |
| COUNTY OF          | )     |

 

On this           day of June, 2006, before me personally appeared Eric Oftedahl, to me known,who being by me duly sworn, did say that he is the Vice President of HOMEFEDERAL SAVINGS BANK, a federal savings bank, that said instrument was signedon behalf of said federal savings bank, and acknowledged said instrument to bethe free act and deed of said federal savings bank.

IN WITNESS WHEREOF, I have hereunto set my hand andaffixed my notarial seal the day and year last above written.
|        |                                           |
|--------|------------------------------------------------|
|   |                                           |
|   | /s/ Stephanie W. Scott                         |
|   | Print Name:  Stephanie W. Scott      |
|   | Notary Public in and for said County and State |
|   | My Commission Expires:  1-31-2010    |

 

[Remainder of this page intentionally left blank.][Additional signature page follows.]

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|        | **MORTGAGOR:**                  |
|--------|---------------------------------|
|   |                            |
|   | EAST KANSAS AGRI-ENERGY, L.L.C. |
|   |                            |
|   | By:                             | /s/ William R. Pracht |
|   | Name:                           | William R. Pracht |
|   | Its:                            | President |

 
| STATE OF KANSAS     | )     |
|---------------------|-------|
|                | ) ss. |
| COUNTY OF  ANDERSON | )     |

 

On this           day of June, 2006, before me personally appeared William R. Pracht, to meknown, who being by me duly sworn, did say that he is the President of EASTKANSAS AGRI-ENERGY, L.L.C., a Kansas limited liability company, that saidinstrument was signed on behalf of said limited liability company, andacknowledged said instrument to be the free act and deed of said limitedliability company.

IN WITNESS WHEREOF, I have hereunto set my hand andaffixed my notarial seal the day and year last above written.
|   |                                           |
|--------|------------------------------------------------|
|   |                                           |
|        | /s/ Carol Foltz                                |
|   | Print Name:  Carol Foltz             |
|   | Notary Public in and for said County and State |
|   | My Commission Expires:  10-31-07     |

 

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**EXHIBIT A**LEGAL DESCRIPTION

Tract 1 (Parcel “A”):

All of Lots One (1), Two (2), Three (3) and Four (4),except the West 450 feet of said Lot Two (2) and Lot Three (3), in the GoldenPrairie Industrial Park Addition to the City of Garnett, Anderson County,Kansas.

A strip of land described as the South 50 feet of theWest 450 feet of Lot Two (2), in the Golden Prairie Industrial Park Addition tothe City of Garnett, Anderson County, Kansas;

together with the southern half of vacated NE 1700Road abutting the northern boundary of the land described above.

Tract 2 (Parcel “B”):

Beginning at a 1/2” rebar at the Southwest corner ofthe Southeast Quarter (SE1/4) of Section Thirty (30), Township (20) South,Range Twenty (20) East of the Sixth Principal Meridian, THENCE North 02o14’48”West for a distance of 925.52 feet to a 1/2” rebar on the West line of saidSoutheast Quarter (SE1/4), THENCE South 68o39’56” East for a distance of 896.17feet to a 1⁄2” rebar; THENCE South 74o03’04” East for a distance of 428.02 feet toa 1/2” rebar; THENCE South 02o14’48” East for a distance of 444.00 feet to a1/2” rebar on the South line of said Southeast Quarter (SE1/4); THENCE South88o15’01” West for a distance of 1228.00 feet along said South line to thepoint of beginning;

together with the northern half of vacated NE 1700Road abutting the southerly boundary of the land described above.

Tract 3:

Lot Five (5) and Lot Six-A (6-A), less the North 100feet of said Lot Six-A (6-A), in Golden Prairie Industrial Park Addition to theCity of Garnett, Anderson County, Kansas.

Tract 4:

Grant of Easement and Right of Way dated April 5, 2005recorded April 7, 2005 in Book 77 of MCL, page 59, in the office of theRegister of Deeds, Anderson County, Kansas, covering the following property:

Commencing at a 1/2” rebar at the Southeast Corner ofthe Southwest Quarter of Section 30, Township 20 South, Range 20 East of theSixth Principal Meridian, City of Garnett, Anderson County, Kansas; THENCENorth 02 degrees 14 minutes 48 seconds West for a distance of 798.23 feet alongthe East line of said Southwest Quarter; THENCE North 70 degrees 59 minutes 38seconds West for a distance of 51.33 feet to the East line of the Rail RoadDepot as described in Deed Book 16, Page 605 the POINT OF BEGINNING; THENCENorth 70 degrees 

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59 minutes 38 seconds West for a distance of 301.01feet to the West line of said Rail Road Depot; THENCE North 12 degrees 22minutes 55 seconds East for a distance of 60.40 feet along said West line;THENCE South 70 degrees 59 minutes 38 seconds East for a distance of 305.09feet to the East line of said Rail Road Depot; THENCE South 16 degrees 15minutes 12 seconds West for a distance of 60.06 feet to the POINT OFBEGINNING.  Together with and subject tocovenants, easements, and restrictions of record.

Note:      Tractdesignations are for convenience of reference only and do not constitute anintegral part of the legal description.

 

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