UTILITIES, CHEMICALS OTHER THAN METHANOL AND CATALYST AND OTHER CONSUMABLES
USED IN SUCH PRODUCTION.
15.
TESTING. BLACKHAWK BIOFUELS SHALL BE RESPONSIBLE FOR THE COST OF
TESTING TO FULLY CERTIFY THE BIODIESEL MEETS THE SPECIFICATIONS IDENTIFIED IN
THE ORDER OR NOMINATION. ALL SAMPLING AND TESTING SHALL BE IN CONFORMANCE WITH
BQ-9000 RULES AND REGULATIONS.
16.
FREIGHT COSTS. REG MARKETING WILL BEAR THE COST OF ALL FREIGHT
CHARGES FOR THE FEEDSTOCKS, METHANOL, AND CATALYST PURCHASED BY REG MARKETING,
AND BIODIESEL AND CO- PRODUCTS TO BE PRODUCED THEREFROM, PURSUANT TO THIS
AGREEMENT.
17.
PROTECTION OF REG MARKETING'S TITLE. IN ORDER TO BETTER EVIDENCE
REG MARKETING'S OWNERSHIP OF THE FEEDSTOCKS AND THE BIODIESEL PRODUCED
THEREFROM, BLACKHAWK BIOFUELS HEREBY AUTHORIZES REG MARKETING ON ITS BEHALF, AT
ANY TIME AND FROM TIME TO TIME TO FILE PROTECTIVE FINANCING STATEMENTS IN ANY
UNIFORM COMMERCIAL CODE JURISDICTION, WHICH MAY INCLUDE WITHOUT LIMITATION ANY
INITIAL FINANCING STATEMENTS AND AMENDMENTS THERETO THAT (I) DESCRIBE THE
FEEDSTOCKS, AND THE BIODIESEL THAT IS THE SUBJECT OF THIS AGREEMENT, AND
(II) CONTAIN ANY OTHER INFORMATION REQUIRED OR APPROPRIATE TO BE INCLUDED
PURSUANT TO THE UNIFORM COMMERCIAL CODE OF THE STATE WHERE FILED, INCLUDING THAT
THE ORGANIZATIONAL IDENTIFICATION NUMBER OF BLACKHAWK BIOFUELS IS 20-2760722.
BLACKHAWK BIOFUELS AGREES TO FURNISH ANY SUCH INFORMATION TO REG MARKETING
PROMPTLY UPON REQUEST. BLACKHAWK BIOFUELS WILL NOT PURPORT TO PLEDGE, MORTGAGE
OR CREATE, OR SUFFER TO EXIST A SECURITY INTEREST IN THE FEEDSTOCKS AND THE
BIODIESEL THAT IS PRODUCED THEREFROM, IN FAVOR OF ANY THIRD PARTY, AND BLACKHAWK
BIOFUELS, UPON THE REQUEST OF REG MARKETING OR IN RESPONSE TO ANY INQUIRY THAT
MAY BE MADE, WILL INFORM ANY LENDER, LESSOR OR OTHER THIRD PARTY THAT HAS OR MAY
HAVE A LIEN OR SECURITY INTEREST OR ANY OTHER INTEREST IN PROPERTY OF BLACKHAWK
BIOFUELS THAT REG MARKETING IS THE OWNER OF THE FEEDSTOCKS AND THE BIODIESEL
THAT IS THE SUBJECT OF THIS AGREEMENT.
18.
PRODUCT SEGREGATION. BLACKHAWK BIOFUELS SHALL BE ALLOWED TO ADD
ADDITIONAL FEEDSTOCKS OWNED BY BLACKHAWK BIOFUELS AS NEEDED TO MEET THE QUALITY
AND YIELD REQUIREMENTS HEREUNDER, SO LONG AS SUCH ADDITIONAL FEEDSTOCKS HAVE
COLD FLOW CHARACTERISTICS THAT ARE CAPABLE OF MEETING THE COLD FLOW
SPECIFICATIONS SET OUT ON THE APPLICABLE ORDER OR NOMINATION, AND THE BIODIESEL
TO BE PRODUCED SHALL IN ANY EVENT MEET THE SPECIFICATIONS REQUIRED HEREUNDER, AS
MODIFIED BY THE ORDER OR NOMINATION AND ACCEPTANCE APPLICABLE.
19.
FAILURE TO PROCESS. IF FOR ANY REASON OTHER THAN REG MARKETING'S
FAILURE TO DELIVER FEEDSTOCKS, METHANOL, AND CATALYST AS REQUIRED UNDER THIS
AGREEMENT (AND OTHER THAN A MATTER
6
COVERED BY THE FORCE MAJEURE PROVISIONS OF THIS AGREEMENT) BLACKHAWK BIOFUELS
FAILS TO PROCESS THE FEEDSTOCKS IN TO THE CERTIFIED BIODIESEL WITHIN THE TIME
FRAME CONTEMPLATED BY THIS AGREEMENT, BLACKHAWK BIOFUELS WILL PAY TO REG
MARKETING THE AMOUNT DETERMINED BY FIRST DIVIDING THE NUMBER OF POUNDS OF
FEEDSTOCKS DELIVERED TO BLACKHAWK BIOFUELS BY THE MAXIMUM FEEDSTOCK USAGE PER
GALLON YIELD UNDER SECTION 7 AND CONVERTING TO GALLONS TO DETERMINE THE GALLONS
OF BIODIESEL WHICH SHOULD HAVE BEEN PROCESSED