Document:

exv10w1

 

Exhibit 10.1

THE ASSOCIATED GENERAL CONTRACTORS OF AMERICA

 

STANDARD FORM OF AGREEMENT AND

GENERAL CONDITIONS BETWEEN OWNER

AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

 

TABLE OF ARTICLES

	 	1.	 	AGREEMENT
	 
	 	2.	 	GENERAL PROVISIONS
	 
	 	3.	 	CONTRACTOR’S RESPONSIBILITIES
	 
	 	4.	 	OWNER’S RESPONSIBILITIES
	 
	 	5.	 	SUBCONTRACTS
	 
	 	6.	 	CONTRACT TIME
	 
	 	7.	 	CONTRACT PRICE
	 
	 	8.	 	CHANGES
	 
	 	9.	 	PAYMENT
	 
	 	10.	 	INDEMNITY, INSURANCE AND WAIVERS
	 
	 	11.	 	TERMINATION OF THE AGREEMENT, SUSPENSION AND
NOTICE TO CURE
	 
	 	12.	 	DISPUTE RESOLUTION
	 
	 	13.	 	MISCELLANEOUS PROVISIONS
	 
	 	14.	 	CONTRACT DOCUMENTS

This Agreement has important legal and insurance consequences. Consultation with an attorney
and insurance
consultant is encouraged with respect to its completion or modification.

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

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STANDARD FORM OF AGREEMENT AND

GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

ARTICLE 1

1) AGREEMENT

This Agreement is made this 8th day of December
in the year 2005 by and between the

          a) OWNER

Siouxland Ethanol, LLC

Box 147

Jackson, NE 68743

and the

          b) CONTRACTOR

Blackhawk Foundation Co., Inc.

P.O. Box 29

Genesseo, IL 61254-0029

for services in connection with the following

          c) PROJECT

Siouxland Ethanol, LLC plant 50 MGY Ethanol Plant

Auger Cast Grout Piles

Notice to the parties shall be given at the above addresses.

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

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Section 1.02 ARTICLE 2

GENERAL PROVISIONS

2.1 RELATIONSHIP OF PARTIES The Owner and the Contractor agree to proceed with the Project on the
basis of good faith and fair dealing.

2.1.1 The Contractor shall furnish construction administration and management services and use the
Contractor’s best efforts to perform the Work in an expeditious manner consistent with the Contract
Documents. The Owner shall endeavor to promote harmony and cooperation among the Owner, Contractor
and Others.

2.1.2 The Contractor represents that it is an independent contractor and that in its performance
of the Work it is and shall act as an independent contractor.

2.1.3 Neither Contractor nor any of its agents or employees will act on behalf of or in the name
of Owner unless authorized in writing by Owner’s Representative.

2.2 EXTENT OF AGREEMENT This Agreement is solely for the benefit of the parties, represents the
entire and integrated agreement between the parties, and supersedes all prior negotiations,
representations or agreements, either written or oral. The Owner and Contractor agree to look
solely to each other with respect to the performance of the Contract. The Contract and each and
every provision thereof is for the exclusive benefit of the Owner and Contractor and not for the
benefit of any third party nor any third party beneficiary thereof, except to the extent
expressly provided in the Contract.

2.3 DEFINITIONS

.1 Changed Work means work which is deleted or omitted from, or different from the
original scope of Work.

.2 The Contract Documents consist of this Agreement, the drawings, specifications, addenda
issued prior to execution of the Contract, approved Shop Drawings, subsurface information,
if available, and other documents listed in this Agreement and any modifications
issued after execution of this Agreement.

.3 The Contract Time is the period between the Date of Commencement and final completion. See
Article 6.

.4 The Date of Commencement of the Work is the date established in the Agreement. See
Subparagraph 6.1.1.

.5 The term Day shall mean calendar day unless otherwise specifically defined.

.6 Defective Work is any portion of the Work which is not in conformance with the Contract
Documents as more fully described in Paragraphs 3.5 and 3.8.

.7 Designer means the licensed design professional, and its consultants, retained by Owner
to perform design services for the Project.

.8 Extra Work means work which is in addition to the original scope of the Work.

.9 Fee means salaries and other mandatory or customary compensation of the
Contractor’s employees at its principal and branch offices; general and administrative
expenses of the Contractor’s principal and branch offices other than the field office; and the
Contractor’s capital expenses, including interest on the Contractor’s capital employed for the
Work; and profit.

.10 Materials means any tangible item to be incorporated into the Work including, but not
limited to, all materials, equipment, machinery, and parts, whether furnished by Contractor, its
Subcontractors or material suppliers, the Owners or Others.

.11 Others means other contractors and all persons at the Worksite who are not employed by
Contractor, its subcontractors or material suppliers.

.12 Owner is the person or entity identified as such in this Agreement and includes the
Owner’s representative or the Owner’s representative’s designers, and the Designer.

.13 The Project, as identified in Article 1, is the building, facility and/or other improvements
for which the Contractor is to provide services under this Agreement. It may also
include construction by the Owner or Others.

.14 A Subcontractor is a party or entity retained by the Contractor as an independent contractor to
provide the labor, materials, equipment and/or services necessary to complete a specific
portion of the Work. The term Subcontractor does not include the Designer or Others as defined
in this Paragraph.

.15 Substantial Completion of the Work, or of a designated portion, occurs on the date when the
Contractor’s obligations are sufficiently complete in accordance with the Contract Documents so
that the Owner may occupy or utilize the Project, or a designated portion, for the use for which
it is intended. The issuance of a certificate of occupancy is not a prerequisite for Substantial
Completion if the inability to obtain the Certificate of Occupancy is due to factors beyond the
Contractor’s control. This date shall be confirmed by a certificate of Substantial Completion
signed by the Owner and Contractor. The certificate shall state the respective responsibilities
of the Owner and Contractor for security, maintenance, heat, utilities, damage to the Work, and
insurance. The certificate shall also list the items to be completed or corrected, and
establish the time for their completion and correction.

.16 A Subsubcontractor is a person or entity who has a contract with a Subcontractor to perform
any portion of the Work. The term “Subsubcontractor” is referred to throughout the Contract
Documents as if singular in number and means a Subsubcontractor or an authorized representative
of the Subsubcontractor.

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(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

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.17 Supplies means any tangible item which is used to
perform the Work or is necessary to perform the Work
but will not be incorporated into the Work including, but
not limited to, equipment, tools, machinery, apparatus
and scaffolding.

.18 The term Work means the construction and services necessary or incidental to fulfill the
Contractor’s obligations for the Project in conformance
with this Agreement and the other Contract Documents.
The Work may refer to the whole Project or only a part
Of the Project if work is also being performed by the
Owner or Others.

.19 Worksite means the geographical area at the
location mentioned in Article 1 where the Work is to be
performed.

ARTICLE 3

CONTRACTOR’S RESPONSIBILITIES

3.1 GENERAL RESPONSIBILITIES

3.1.1 The Contractor shall provide all labor, materials, equipment, and services necessary to
complete the following Work for the Project, all of which shall be provided in full accord with and
reasonably inferable from the Contract Documents as being necessary to produce the indicated
results.

3.1.2 The Contractor is responsible for the supervision and coordination of all of the Work,
including the construction means, methods, techniques, sequences and procedures utilized, unless
the Contract Documents give other specific instructions. In such case, the Contractor shall not be
liable to the Owner for damages resulting from compliance with such instructions unless the
Contractor recognized and failed to timely report to the Owner any error, inconsistency, omission
or unsafe practice that it discovered in the specified construction means, methods, techniques,
sequences or procedures.

3.1.3 The Contractor shall confine operations at the site to areas permitted by law, ordinances,
permits and the Contract Documents and shall not unreasonably encumber the site with materials or
equipment.

3.2 COOPERATION WITH WORK OF OTHERS

3.2.1 The Owner reserves the right to perform construction or operations related to the Project
with the Owner’s own forces, and to award separate contracts in connection with other portions of
the Project or other construction or operations on the site under contractual provisions identical
or substantially similar to those in this agreement, including those portions related to insurance,
waiver of subrogation and safety.

3.2.2 The Owner shall provide for coordination of the activities of the Owner’s own forces and
those of Others with the Work of the Contractor, who shall cooperate with them. The Contractor
shall participate with the Owner and Others in reviewing their construction schedules when directed
to do so. The Contractor shall make any revisions to the schedule of the
Work, Contract Time and Contract Price deemed necessary after a joint review and mutual agreement.
The construction schedules shall then constitute the schedules to be used by the Contractor,
separate contractors and the Owner until subsequently revised.

3.2.3 With regard to the work of the Owner and Others, the Contractor shall (a) proceed with the
Work in a manner which does not hinder, delay or interfere with the work of the Owner or Others or
cause the work of the Owner or Others to become defective, (b) afford the Owner or Others a
reasonable opportunity for introduction and storage of their materials and equipment and
performance of their activities, and (c) connect and coordinate the Contractor’s construction and
operations with theirs as required by the Contract Documents.

3.2.4 Before proceeding with any portion of the Work affected by the construction or operations of
the Owner or Others, the Contractor shall give the Owner prompt, written notification of any
defects the contractor discovers in their work which will prevent the proper execution of the
Contractor’s Work. The Contractor’s obligations in this paragraph do not create a responsibility
for the work of Others, but are for the purpose of facilitating the Contractor’s Work. If the
Contractor does not notify the Owner of patent defects interfering with the performance of the
Work, the Contractor acknowledges that the work of the Owner or Others is not defective and is
acceptable for the proper execution of the Contractor’s Work.

3.3 RESPONSIBILITY FOR CONTRACT DOCUMENTS

3.3.1 In order to facilitate its responsibilities for completion of the Work in accordance with and
as reasonably inferable from the Contract Documents, prior to commencing the Work the Contractor
shall examine and compare: the Contract Documents; information furnished by the Owner pursuant to
Paragraph 4.3; relevant field measurements made by the Contractor; and any visible conditions at
the site affecting the Work.

3.3.2 If in the course of the performance of the obligations in Subparagraph 3.3.1 the Contractor
discovers any errors, omissions or inconsistencies in the Contract Documents, the Contractor shall
promptly report them to the Owner. It is recognized, however, that the Contractor is not acting in
the capacity of a licensed design professional, and that the Contractor’s examination is to
facilitate construction and does not create an affirmative responsibility to detect errors,
omissions or inconsistencies or to ascertain compliance with applicable laws, building codes or
regulations.

3.3.3 The Contractor has no liability for errors, omissions or inconsistencies described in
Subparagraphs 3.3.1 and 3.3.2 unless the Contractor knowingly failed to report a recognized problem
to the Owner. If, however, the Contractor fails to perform the examination and reporting
obligations of these provisions, the Contractor shall be responsible for any avoidable costs or
direct damages.

3.3.4 The Contractor may be entitled to additional costs and/or time because of clarifications or
instructions growing out of the Contractor’s reports described in the three preceding
subparagraphs.

3.4 CONSTRUCTION PERSONNEL AND SUPERVISION

3.4.1 The Contractor shall provide a competent level of supervision for the performance of the Work
at the Project,

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(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

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including a Contractor’s Representative who shall possess full authority to receive instructions
from Owner and to act on those instructions.

3.4.2 Before beginning performance of the Work, Contractor shall notify Owner in writing of the
name and qualifications of its proposed superintendent (or foreman) so Owner may review the
individual’s qualifications. If, for reasonable cause, the Owner refuses to approve the individual,
or withdraws its approval after once giving it, Contractor shall name a different superintendent
for Owner’s review. Any disapproved superintendent will not perform in that capacity thereafter
at the Owner’s Worksite.

3.4.3 As between the Owner and Contractor, the Contractor shall be responsible to the Owner for
acts or omissions of parties or entities performing portions of the Work for or on behalf of the
Contractor or any of its Subcontractors.

3.4.4 Contractor shall permit only fit and skilled persons to perform the Work. Contractor shall
enforce safety procedures, strict discipline and good order among persons performing the Work. If
Owner determines that a particular person does not follow safety procedures, or is unfit or
unskilled for the assigned work, Contractor shall immediately reassign the person on receipt of
Owner’s written notice to do so.

3.5 WORKMANSHIP

3.5.1 Every part of the Work shall be executed in accordance with the Contract Documents and
submittals approved pursuant to paragraph 3.13 in a workerlike manner. All materials used in the
Work shall be furnished in sufficient quantities to facilitate the proper and expeditious execution
of the Work and shall be new except such materials as may be expressly provided in the Contract
Documents to be otherwise.

3.6 MATERIALS FURNISHED BY THE OWNER OR OTHERS

3.6.1 In the event the scope of the Work includes installation of materials or equipment furnished
by the Owner or Others, it shall be the responsibility of the Contractor to examine the items so
provided and thereupon handle, store and install the items, unless otherwise provided in the
Contract Documents, with such skill and care as to provide a satisfactory and proper installation.
Loss or damage due to acts or omissions of the Contractor shall be the responsibility of the
Contractor and may be deducted from any amounts due or to become due the Contractor.

3.7 TESTS AND INSPECTIONS

3.7.1 The Contractor shall schedule all required tests, approvals and inspections of the Work or
portions thereof at appropriate times so as not to delay the progress of the Work or other work
related to the Project. The Contractor shall give proper written notice to all required parties of
such tests, approvals and inspections. The Owner and Others may observe the tests promptly at the
normal place of testing if feasible. The Owner shall bear all expenses associated with tests,
inspections and approvals required by the Contract Documents which, unless otherwise agreed to,
shall be conducted by an independent testing laboratory or entity approved by the Owner. Unless
otherwise required by the Contract Documents, required certificates of testing approval or
inspection shall be secured by the Contractor and promptly delivered to the Owner.

3.7.2 If the Owner or appropriate authorities determine that testing, inspection or approval in
addition to those required by the Contract Documents will be necessary, the Contractor shall
arrange for the procedures and give timely notice to the Owner and Others who may observe the
procedures. Costs of the additional tests, inspections or approvals are at the Owner’s expense
except as provided in Subparagraph 3.7.3.

3.7.3 If the procedures described in Subparagraphs 3.7.1 and 3.7.2 indicate that portions of the
Work fail to comply with the Contract Documents, the Contractor shall be responsible for costs of
correction and retesting.

3.8 WARRANTY

3.8.1 The Contractor warrants to the Owner that to the extent consistence with the standards of
care and diligence normally practiced by construction contractors in performing Work of a similar
nature and to the extent either required or permitted by the Contract Documents, materials used and
equipment furnished shall be new and of good quality. At the Owner’s request, the Contractor shall
furnish satisfactory evidence of the quality and type of materials and equipment furnished. The
Contractor further warrants that the Work will be free from material defects not intrinsic to the
design or materials required in the Contract Documents. The Contractor’s warranty does not include
remedies for defects or damages caused by normal wear and tear during normal usage, use for a
purpose for which the Project was not intended, improper or insufficient maintenance, modifications
performed by the Owner or Others, or abuse.

3.8.2 If within one year after the date of Substantial Completion of the Work as defined in
Subparagraph 2.3.15, any Work is found to be defective as defined in Subparagraph 2.3.6, Paragraph
3.5, and Subparagraph 3.8.1 above, the Owner shall promptly notify the Contractor in writing.
Unless the Owner provides written acceptance of the condition, the Contractor shall promptly
correct the Defective Work. If within the one-year correction period the Owner discovers and does
not promptly notify the Contractor or give the Contractor an opportunity to test and/or correct
Defective Work as reasonably requested by the Contractor, the Owner waives the Contractor’s
obligation to correct that Defective Work as well as the Owner’s right to claim a breach of the
warranty with respect to that Defective Work.

3.8.3 With respect to any portion of Work first performed after Substantial Completion, the
warranty period of one year shall be extended by the period of time between Substantial Completion
and the actual performance of the Work. Correction periods shall not be extended by corrective work
performed by the Contractor.

3.8.4 The Contractor shall obtain from its Subcontractors and Suppliers any special or extended
warranties required by the Contract documents. Contractor’s liability for such warranties shall be
limited to the one year correction period referred to in Subparagraph 3.8.2. After that period
Contractor shall assign them to the Owner and provide reasonable assistance to the Owner in
enforcing the obligations of Subcontractors or suppliers.

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

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3.8.5 If after the one-year correction period but before the applicable limitation period the Owner
discovers any Defective Work, the Owner shall, unless the Defective Work requires emergency
correction, promptly notify the Contractor. The Owner may either (a) allow the Contractor at its
option to correct the Work or (b) have the Work corrected by itself or Others and charge the
Contractor for the reasonable cost of the correction.

3.8.6 If the Contractor fails to correct Defective Work within a reasonable time after receipt of
written notice from the Owner, the Owner may correct it in accordance with the Owner’s right to carry out the Work in Paragraph
11.2. In such case, an appropriate Change Document shall be issued deducting the cost of
correcting such deficiencies from payments then or thereafter due the Contractor. If payments then
or thereafter due Contractor are not sufficient to cover such amounts, the Contractor shall pay the
difference to the Owner.

3.8.7 If the Contractor’s correction or removal of Defective Work causes damage to or destroys
other completed or partially completed construction, the Contractor shall be responsible for
the cost of correcting the destroyed or damaged construction. The Owner shall be responsible for
the cost of correcting damaged or destroyed, completed or partially completed construction, when
the damage or destruction is caused by the Owner or Others.

3.8.8 The one-year period for correction of Defective Work does not affect a limitation period with
respect to the enforcement of the Contractor’s other obligations under the Contract Documents.

3.8.9 At the Owner’s option and with the Contractor’s agreement, the Owner may elect to accept
Defective Work rather than require its removal and correction. In such case the Contract Price
shall be equitably adjusted, whether or not the Owner has made final payment.

3.9 CORRECTION OF COVERED WORK

3.9.1 On request of the Owner, Work which has been covered without a requirement that it be
inspected prior to being covered may be uncovered for the Owner’s inspection. The Owner shall pay
for the costs of uncovering and replacement if the Work proves to be in conformance with
the Contract Documents, or if the defective condition was caused by the Owner or Others. If the
uncovered Work proves to be defective, the Contractor shall pay the costs of uncovering and
replacement.

3.9.2 If contrary to specific requirements in the Contract Documents or contrary to a specific
request from the Owner, a portion of the Work is covered, the Owner, by written request, may
require the Contractor to uncover the Work for the Owner’s observation. In this circumstance the
Work shall be replaced at the Contractor’s expense and with no adjustment to the Contract Time.

3.9.3 The Contractor is required to correct in a timely fashion any Work rejected by the Owner
which fails to comply with the Contract Documents prior to the commencement of the warranty
period(s) or during the warranty period(s) established under Paragraph 3.8. The Contractor shall
correct at its own cost and time and bear the expense of additional services for any Defective Work
for which it is responsible.

3.10 SAFETY OF PERSONS AND PROPERTY

3.10.1 SAFETY PRECAUTIONS AND PROGRAMS The Contractor shall have overall responsibility for
safety precautions and programs in the performance of the Work. While the provisions of this
Paragraph establish the responsibility for safety between the Owner and Contractor, they do not
relieve Subcontractors of their responsibility for the safety of persons or property in the
performance for their work, nor for compliance with the provisions of applicable laws and
regulations.

3.10.2 The Contractor shall seek to avoid injury, loss or damage to persons or property by taking
reasonable steps to protect:

.1 employees and other persons at the site;

.2 materials and equipment stored at on-site or off-site locations for use in performance of
the Work; and

.3 the Project and all property located at the site and adjacent to work areas, whether or not
said property or structures are part of the Project or involved in the Work.

3.10.3 CONTRACTOR’S SAFETY REPRESENTATIVE The Contractor shall designate an individual at the site
in the employ of the Contractor who shall act as the Contractor’s designated safety representative
with a duty to prevent accidents. Unless otherwise identified by the Contractor in writing to the
Owner, the designated safety representative shall be the Contractor’s project superintendent.
The Contractor will report immediately in writing all accidents and injuries occurring at the
Worksite to the Owner. When the Contractor is required to file an accident report with a public
authority, the Contractor shall furnish a copy of the report to
the Owner.

3.10.4 The Contractor shall provide the Owner with copies of all notices required of Contractor by
law or regulation. The
Contractor’s safety program shall comply with the requirements of governmental and
quasi-governmental authorities having jurisdiction.

3.10.5 Damage or loss not insured under property insurance which may arise from the performance of
the Work, to the extent of the negligence attributed to such acts or omissions of the Contractor,
or anyone for whose acts the Contractor may be liable, shall be promptly remedied by the
Contractor. Damage or loss attributable to the acts or omissions of the Owner or Others and not to
the Contractor shall be promptly remedied by the Owner.

3.10.6 If the Owner deems any part of the Work or Worksite unsafe, the Owner, without assuming
responsibility for the Contractor’s safety program, may require the Contractor to stop performance
of the Work or take corrective measures satisfactory to the Owner, or both. If the Contractor does
not adopt corrective measures, the Owner may perform them and deduct their cost from the Contract
Price. The Contractor agrees to make no claim for damages, for an increase in the Contract Price,
or for a change in the Contract Time based on the Contractor’s compliance with the Owner’s reasonable request.

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3.11 HAZARDOUS MATERIALS

3.11.1 A Hazardous Material is any substance or material identified now or in the future as
hazardous under any federal, state or local law or regulation, or any other substance material
which may be considered hazardous or otherwise subject to statutory or regulatory requirement
governing handling, disposal and/or clean-up. The Contractor shall not be obligated to commence or
continue work until any Hazardous Material discovered at the project site has been removed,
rendered or determined to be harmless by the Owner as certified by an independent testing
laboratory and approved by the appropriate government agency.

3.11.2 If after the commencement of the Work, Hazardous Material is discovered at the project site,
the Contractor shall be entitled to immediately stop Work in the affected area. The Contractor
shall report the condition to the Owner and, if required, the government agency with jurisdiction.

3.11.3 The Contractor shall not be required to perform any work relating to or in the area of
Hazardous Material without written mutual agreement.

3.11.4 The Owner shall be responsible for retaining an independent testing laboratory to determine
the nature of the material encountered and whether it is a Hazardous Material requiring corrective
measures and/or remedial action. Such measures shall be the sole responsibility of the Owner, and
shall be performed in a manner minimizing any adverse effects upon the work of the Contractor. The
Contractor shall resume Work in the area affected by any Hazardous Material only upon written
agreement between the parties after the Hazardous Material has been removed or rendered harmless
and only after approval, if necessary, of the governmental agency with jurisdiction.

3.11.5 If the Contractor incurs additional costs and/or is delayed due to the presence or
remediation of Hazardous Material, the Contractor shall be entitled to an equitable adjustment in
the Contract Price and/or the Contract Time.

3.11.6 To the extent not caused by the negligent acts or omissions of the Contractor, its
Subcontractors and subsubcontractors, and the agents, officers, directors and employees of each of
them, the Owner shall defend, indemnify and hold harmless the Contractor, its Subcontractors and
sub- subcontractors, and the agents, officers, directors and employees of each of them, from and
against any and all direct claims, damages, losses, costs and expenses, including but not limited
to attorney’s fees, costs and expenses incurred in connection with any dispute resolution process,
arising out of or relating to the performance of the Work in any area affected by Hazardous
Material. To the fullest extent permitted by law, such indemnification shall apply regardless of
the fault, negligence, breach of warranty or contract, or strict liability of the Owner.

3.11.7 Material Safety Data (MSD) sheets as required by law and pertaining to materials or
substances used or consumed in the performance of the Work, whether obtained by the Contractor,
Subcontractors, the Owner or Others, shall be maintained at the Site by the Contractor and made
available to the Owner, Subcontractors and Others.

3.11.8 During the Contractor’s performance of the Work, the Contractor shall be responsible for the
proper handling of all
materials brought to the site by the Contractor. Once the Owner takes possession of the Worksite,
the Owner shall be responsible under this Paragraph for materials and substances brought to the
site by the Contractor if such materials or substances were required by the Contract Documents.

3.11.9 The terms of this Paragraph shall survive the completion of the Work under this Contract
and/or any termination of this Contract.

3.12 EMERGENCIES

3.12.1 The Contractor shall act as it deems appropriate in an emergency situation threatening
personal injury or property damage. An equitable adjustment in compensation and/or time may be
determined in a Change Document.

3.13 SUBMITTALS

3.13.1 The Contractor shall submit to the Owner for review and approval all shop drawings, samples,
product data, and similar
submittals required by the Contract Documents. The Contractor shall be responsible to the Owner
for the accuracy and conformity of its submittals to the Contract Documents. The Contractor shall
prepare and deliver its submittals to the Owner in a manner consistent with the Project Schedule
and in such time and sequence so as not to delay the performance of the Work or the work of the
Owner and Others. The review and approval of any Contractor submittal shall not be deemed to
authorize deviations, substitutions or changes in the requirements of the Contact Documents unless
express written approval is obtained from the Owner specifically authorizing such deviation,
substitution or change. In the event that the Contract Documents do not contain submittal
requirements pertaining to the Work, the Contractor agrees upon request to submit in a timely
fashion to the Owner for review and approval by the Owner any shop drawings, samples, product data,
manufacturers’ literature or similar submittals as may reasonably be required by the Owner.

3.13.2 The Owner shall be responsible for review and approval of submittals with reasonable
promptness to avoid causing delay.

3.13.3 The Contractor shall perform all Work strictly in accordance with approved submittals.
Approval of shop drawings is not authorization to Contractor to perform Extra Work or Changed Work,
unless the procedures of Article 8 are followed. The Owner’s approval does not relieve the
Contractor from responsibility for Defective Work resulting from errors or omissions of any kind on
the approved Shop Drawings.

3.13.4 Current record copies incorporating field changes and selections made during construction of
the following are to be maintained at the Project site and available to the Owner upon request:
drawings, specifications, addenda, Change Document and other modifications, and required
submittals including product data, samples and shop drawings.

3.13.5 No substitutions shall be made in the Work unless permitted in the Contract Documents and
then only after the Contractor obtains all approvals required under the Contract Documents for
substitutions.

3.14 PROFESSIONAL SERVICES The Owner, through its Designer, shall provide all professional
services required for

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the completion of the Work. The Contractor shall not be required to provide professional services
which constitute the practice of architecture or engineering unless the Contractor needs to provide
such services in order to carry out its responsibilities for construction means and methods. The
Contractor shall not be required to provide such services in violation of existing taws, rules
and regulations in the jurisdiction where the Project is located.

3.15 SITE CONDITIONS

3.15.1 PRE-BID SITE VISIT The Contractor acknowledges that it has visited, or has had the
opportunity to visit, the Project site to visually inspect the general and local conditions which
could affect the Work.

3.15.2 POST-CONTRACT FIELD CONDITIONS The Contractor shall compare its field measurements and
observations with the Contract Documents and any other information before commencing the Work. The
Contractor shall promptly report any recognized errors, inconsistencies or omissions to the Owner.
If the Contractor fails to report to the Owner any recognized errors, inconsistencies or omissions,
the Contractor shall be liable to the Owner for damages resulting therefrom.

3.15.3 CONCEALED OR UNKNOWN SITE CONDITIONS If the conditions at the site are (a) subsurface or
other physical conditions which are materially different from those indicated in the Contract
Documents, or (b) unusual or unknown physical conditions which are materially different from
conditions ordinarily encountered and generally recognized as inherent in Work provided for in the
Contract Documents, then prompt notice shall be given to all affected parties before the conditions
are disturbed, but in no event later than seven (7) days after discovery. If appropriate, an
equitable adjustment to the Contract Price and Contract Time shall be made by Change Document. If
agreement cannot be reached by the parties, the party seeking an adjustment in the Contract Price
or Contract Time may assert a Claim in accordance with the Contract Documents.

3.16 PERMITS AND TAXES

3.16.1 Contractor shall give public authorities all notices required by law and, except for
permits and fees which are the responsibility of the Owner pursuant to Paragraph 4.4, shall obtain
and pay for all necessary permits, licenses and renewals pertaining to the Work. The entire cost
of obtaining all necessary notices, permits, licenses and renewals is included in the
Contract Price. Contractor will provide to Owner copies of all notices, permits, licenses and
renewals required under this Contract.

3.16.2 Contractor shall pay all applicable taxes legally enacted when bids are received or
negotiations concluded for the Work provided by the Contractor.

3.16.3 The Contractor shall be compensated for additional costs resulting from laws, ordinances,
rules, regulations and taxes enacted after the date of this Agreement.

3.16.4 If in accordance with the Owner’s direction an exemption is claimed for taxes, the Owner
agrees to defend, indemnify and hold the Contractor harmless from any liability, penalty, interest,
fine, tax assessment, attorneys fees or other expense or cost incurred by the Contractor as a
result of any action taken by the Contractor in accordance with the Owner’s direction.

3.17 CUTTING, FITTING AND PATCHING

3.17.1 The Contractor shall ensure the performance of all cutting, fitting and patching required to
coordinate the various parts of the Work and to prepare its Work for the work of the Owner or
Others by the Contract Documents.

3.17.2 Cutting, patching, or altering the Work or the work of the Owner or Others shall be done
with the prior written approval of the Owner and the consent of the Contractor or Others as
appropriate. Such consent shall not be unreasonably withheld.

3.18 CLEANING UP

3.18.1 The Contractor shall at all times during its performance of the Work keep the Worksite clean
and free from debris resulting from the Work. Prior to discontinuing Work in an area, the
Contractor shall clean the area and remove all rubbish and its construction equipment, tools,
machinery, waste and surplus materials. Contractor shall make provisions to minimize and confine
dust and debris resulting from construction activities.

3.18.2 If the Contractor fails to immediately commence compliance with cleanup duties within
forty-eight (48) hours after written notification from the Owner of non-compliance, the Owner may
implement appropriate cleanup measures without further notice and the cost thereof shall be
deducted from any amounts due or to become due the Contractor.

3.19 ACCESS TO WORK The Contractor shall facilitate the access of the Owner and Others to Work in
progress.

3.20 CONFIDENTIALITY Contractor agrees that it will treat as confidential information and not
disclose to third persons or use for its own benefit any of Owner’s developments, confidential
information, know-how, discoveries, production methods and the like that may be disclosed to
Contractor or which Contractor may acquire in connection with the Work.

3.20.1 Any drawings, plans, specifications, analyses, proposals, reports, photographs, models
or other information, data or documents proprietary to the Owner but not relating to the
Contractor’s means, methods, techniques or processes (whether in raw, preliminary or final form)
which are developed by the Contractor while performing Work under this Agreement belong to the
Owner and are Owner’s confidential information.

ARTICLE 4

OWNER’S RESPONSIBILITIES

4.1 INFORMATION AND SERVICES Any information or services to be provided by the Owner shall be
provided in a timely manner.

4.2 FINANCIAL INFORMATION Prior to commencement of the Work and thereafter at the written request
of the Contractor, the Owner shall provide the Contractor with evidence of Project financing.
Evidence of such financing

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shall be a condition precedent to the Contractor’s commencing or continuing the Work. The Contractor shall be notified prior to any material change in Projects
financing.

4.3 SITE INFORMATION Except to the extent that the Contractor knows of any inaccuracy, the
Contractor is entitled to rely on the following site information to be furnished at the Owner’s
expense and with reasonable promptness.

.1 information describing the physical characteristics of the site, including surveys, site
evaluations, legal descriptions, data or drawings depicting existing conditions, subsurface
and environmental studies, reports and investigations;

.2 structural, mechanical, chemical, air and water pollution tests, tests for hazardous
materials, and other laboratory and environmental tests, inspections and reports required by
law; and

.3 any other information or services requested in writing by the Contractor which is relevant
to the Contractor’s performance of the Work and under the Owner’s control.

The surveys and legal information shall include, as applicable, grades and lines of streets,
alleys, pavements and adjoining property and structures; adjacent drainage; rights-of-way,
restrictions, easements, encroachments, zoning, deed restrictions, boundaries and contours of the
site; locations, dimensions and necessary data pertaining to existing buildings, other improvements
and trees; and information concerning available utility services and lines, both public and
private, above and below grade, including inverts and depths. All information on the survey shall
be referenced to a project benchmark.

4.4 BUILDING PERMIT, FEES AND APPROVALS Except for those permits and fees related to the Work
which are the responsibility of the Contractor pursuant to Paragraph 3.16, the Owner shall secure
and pay for all other permits, approvals, easements, assessments and fees required for the
development, construction, use or occupancy of permanent structures or for permanent changes in
existing facilities, including the building permit.

4.5 MECHANICS LIEN INFORMATION Within seven (7) days after receiving the Contractor’s written
request, the Owner shall provide the Contractor with the information necessary to give notice of or
enforce mechanics lien rights and where applicable stop notices. This information shall include
the Owner’s interest in the real property on which the Project is located and the record legal
title.

4.6 CONTRACT DOCUMENTS Unless otherwise specified, Owner shall provide a reasonable number of the
Contract Documents to the Contractor without cost.

4.7 OWNER’S REPRESENTATIVE The Owner’s
representative is Tim Smith, Construction Manager for
Siouxland Ethanol, LLC.

The representative or the representative’s designee:

.1 shall be fully acquainted with the Project;

.2 agrees to furnish the information and services required of the Owner pursuant to
Paragraph 4.3 so as not to delay the Contractor’s Work; and

.3 shall have authority to bind the Owner in all matters requiring the Owner’s approval,
authorization or written notice.

If the Owner changes its representative or the representative’s authority as listed above, the
Owner shall immediately notify the Contractor in writing.

4.8 STOPPING THE WORK If the Contractor is continually negligent in its performance of the Work in
accordance with the Contract Documents or fails to correct Defective Work as required in Paragraph
3.8, the Owner may order the Contractor in writing to stop the Work or any portion of the Work
until such negligent performance or failure is rectified. The Owner’s right to stop the Work,
however, does not create a responsibility to do so except in an emergency or in the mitigation of
damages.

4.9 CUTTING AND PATCHING As described in Subparagraph 3.17.2, the Owner and Others have
the same responsibility for cutting, patching, or altering the Work as the Contractor.

4.10 OWNER’S RIGHT TO CLEAN UP In case of a dispute between the Contractor and Others with regard
to respective responsibilities for cleaning up at the site, the Owner may implement appropriate
cleanup measures and apportionately allocate the cost among those responsible.

ARTICLE 5

SUBCONTRACTS

5.1 SUBCONTRACTORS The Work not performed by the Contractor with its own forces shall be
performed by Subcontractors.

5.2 AWARD OF SUBCONTRACTS AND OTHER
CONTRACTS FOR PORTIONS OF THE WORK

5.2.1 As soon after the award of the Contract as possible the Contractor shall provide the Owner
with a written list of the proposed Subcontractors and significant material suppliers. If the Owner
has a reasonable objection to any proposed Subcontractor or material supplier, the Owner shall
notify the Contractor in writing. Failure to promptly object shall constitute acceptance.

5.2.2 If the Owner has reasonably and promptly objected as provided in Subparagraph 5.2.1, the
Contractor shall not contract with proposed Subcontractor or material supplier, and the Contractor
shall propose another acceptable to the Owner. An appropriate Change Document shall reflect any
increase or decrease in the Contract Price or Contract Time required by the substitution.

5.3 BINDING OF SUBCONTRACTORS AND MATERIAL SUPPLIERS The Contractor agrees to bind every
Subcontractor and material supplier (and require every Subcontractor to so bind its subcontractors
and material suppliers) to all the provisions of this Agreement and the Contract Documents as they
apply to the Subcontractor’s and material supplier’s portions of the Work.

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5.4 LABOR RELATIONS

Contractor shall conduct his operations without any disruptions to other work operations on the
project site. Contractor shall be solely responsible for his own labor relations.

5.5 CONTINGENT ASSIGNMENT OF SUBCONTRACTS

5.5.1 If this Agreement is terminated, each subcontract agreement is assigned by the Contractor
to the Owner, subject to the prior rights of any surety provided that:

.1 the Contract is terminated by the Owner pursuant to Paragraphs 11.3 or 11.4; and

.2 the Owner accepts such assignment after termination by notifying the
Subcontractor and Contractor in writing.

5.5.2 If the Owner accepts such an assignment, and the Work
has been suspended for more than thirty (30) consecutive days, the Subcontractor’s compensation
shall be equitably adjusted as
a result of the suspension.

ARTICLE 6

CONTRACT TIME

6.1 PERFORMANCE OF THE WORK

6.1.1 DATE OF COMMENCEMENT The Date of Commencement is the effective date of this
Agreement as first written in Article 2 unless otherwise set forth below:

Contractor shall mobilize the jobsite and commence work by week of 12/12/2005 and begin Production
Piles on 1/3/2006

6.1.2 TIME Substantial Completion of the Work shall be achieved in seventy two (72) Days from the
Date of Commencement. Unless otherwise specified, the Work shall be finally complete within seventy
nine (79) days after the date of Substantial Completion, subject to adjustments as provided for in
the Contract Documents. Adjustments in schedule completion dates will be made for weather delays.

6.1.3 Time limits stated in the Contract Documents are of the essence.

6.1.4 Unless instructed by the Owner in writing, the Contractor shall not knowingly commence the
Work before the effective date of insurance that is required to be provided by the Contractor or
the Owner.

6.2 OWNER’S RIGHT TO DETERMINE THE ORDER OF
CONTRACTOR’S ACTIVITIES

6.2.1 Before submitting the first application for payment, the Contractor shall submit to the Owner
a progress construction schedule document which will specify the dates on which the Contractor
plans to begin and complete various parts of the Work, including dates on which information and
approvals are required from the Owner. On the Owner’s written approval of the schedule, the
Contractor shall comply with it unless directed by the Owner to do otherwise. The Contractor will
update the schedule on a monthly basis or at appropriate intervals as required by the conditions of
the Work and the Project.

6.2.2 The Owner may determine the sequence in which the Work is performed, provided it does not
unreasonably interfere with the approved project schedule. The Owner may require the Contractor to
make reasonable changes in the sequence at any time during the performance of the Work in order to
facilitate the performance of work by the Owner or Others. To the extent such changes increase
Contractor’s time and costs the Contract Price and Contract Time shall be equitably adjusted
including a reasonable overhead and profit resulting from the change in sequence.

6.2.3 The Owner, for any reason, may require the Contractor at any time to perform any portion of
the Work on an overtime basis or may require the Contractor not to perform any portion of the Work
on an overtime basis. If the Owner requires overtime Work, the overtime portion will be
considered Extra Work, provided the Owner exercised its right to accelerate the scheduled
completion date or to promote the Owner’s interests. Overtime Work required to enable the
Contractor to meet a scheduled completion date or to correct Defective Work is not Extra Work. The
Contract Price, the Contract Time or both will be increased or changed under Article 8 for all
overtime Work constituting Extra Work. In no event will an increase in the Contract Price be
greater than an amount equal to the additional costs incurred by the Contractor as a result of the
overtime Work (i.e., the overtime premium portion of the applicable wage rates plus the payroll
taxes, insurance, and overhead and profit applicable to the overtime premium portion of the
applicable wage rates).

6.3 DELAYS AND EXTENSIONS OF TIME

6.3.1 The Contract Time shall be equitably extended by Change Document if the Contractor is
delayed at any time in the commencement or the progress of the Work by any justifiable cause beyond
the Contractor’s control including but not limited to any of the following: an act or omission of
the Owner or Others; changes ordered in the Work, including multiple changes issued in a short
period of time whose cumulative impact may cause delay; labor disputes; fire; hazardous materials;
adverse weather conditions not reasonably anticipated; concealed or unknown conditions; or delay
authorized by the Owner pending dispute resolution.

6.3.2 In the event delays to the Work are encountered for any reason, the Owner and Contractor
agree to undertake reasonable steps to mitigate the effect of such delays. Subject to the
provisions of Article 12, if either party is entitled to additional costs as a result of such
mitigation, they shall be recoverable.

6.4 DELAY CLAIMS Subject to the provisions of Articles 8 and 12, if the Contractor is entitled to
recover additional costs incurred and/or to have an adjustment in the Contract Time as a result of
events set forth in Subparagraph 6.3.1, those costs shall be recoverable and an equitable time
extension granted. Subject to Paragraph 10.2, to the extent the Contractor causes delay in the
completion of the Work, the Owner shall be entitled to recover its additional costs following the
procedures established in Article 12.

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ARTICLE 7

CONTRACT PRICE

7.1 LUMP SUM As full compensation for performance by the Contractor of this Agreement, the Owner
agrees to pay the Contractor the lump sum price of

One million three hundred thirty four thousand four hundred dollars ($1,334,400)  subject
to additions and deductions as provided for in this Agreement. The lump sum price is hereinafter
referred to as the Contract Price.

7.2 ADJUSTMENTS The Contract Price is subject to increase or decrease solely as provided in
Article 8. The Contract Price, including authorized adjustments, is the total amount payable by
the Owner to the Contractor for performance of the Work under the Contract Documents.

7.3 ALLOWANCES

7.3.1 All allowances stated in the Contract Documents shall be included in the Contract Price.
While the Owner may direct the amounts of and particular suppliers for specific allowance items, if
the Contractor reasonably objects to a supplier, it cannot be required to contract with them. The
Owner shall select allowance items in a timely manner so as not to delay the Work.

7.3.2 Allowances shall include the costs of materials and equipment delivered to the site less
applicable trade discounts and including requisite taxes, unloading and handling at the Project
site, and labor and installation. The Contractor’s overhead and profit for the allowances shall be
included in the Contract Price, but not in the allowances. The Contract Price shall be adjusted by
Change Document to reflect the actual

ARTICLE 8

CHANGES

8.1 CHANGE DOCUMENTS

8.1.1 The Owner, without invalidating the Contract, may order changes in the Work within the
general scope of the Contract consisting of additions, deletions or other revisions, the Contract
Price and the Contract Time being adjusted accordingly. All such changes in the Work shall be
authorized by applicable Change Document, and shall be performed under the applicable conditions of
the Contract Documents. The Owner and Contractor shall negotiate in good faith an appropriate
adjustment to the Contract Price and Contract Time and shall conclude these negotiations as
expeditiously as possible. Acceptance of the Change Document and any adjustment in the Contract
Price or the Contract Time shall not be unreasonably withheld.

8.1.2 A Change Document is a written order signed by the Owner and the Contractor after execution
of this Agreement, indicating changes in the Work and substitutions proposed by the Contractor and
accepted by the Owner within the general scope of the Agreement. All such changes in the Work shall
be performed under the applicable conditions of the Contract Documents. The Contract Price and the
Contract Time may be modified only by Change Document. A Change Document signed by the Contractor
indicates agreement therewith, including the adjustment in the Contract Price or the Contract Time.

8.2 COST OR CREDIT DETERMINATION

8.2.1 The cost or credit to the Owner resulting from a change in the Work shall be determined in
one or more of the following ways:

.1 by mutual acceptance of an itemized lump sum;

.2 by unit prices as indicated in the Contract Documents or as subsequently agreed to by the
parties;

.3 by costs determined in a manner acceptable to the parties and a mutually acceptable fixed
or percentage fee; or

.4 by the method provided below.

If none of the methods set forth above is agreed upon, or if the proposed work must be expedited,
the Contractor, provided it receives from the Owner a written order to proceed with a
representation that a Change Document will be promptly signed by the Owner, shall promptly proceed
with the Work involved. Absent an agreement to one of the above methods, the cost of such Work
shall then be determined on the basis of reasonable expenditures and savings of those performing
the Work attributable to the change, including, in case of an increase in the Contract Price, a
reasonable allowance for overhead and profit. The Contractor shall keep and present, in such form
as the Owner may prescribe, an itemized accounting together with appropriate supporting data
for inclusion in a Change Document. Unless otherwise provided in the Contract Documents, costs
shall be limited to the following: cost of materials, supplies and equipment, including sales
tax and cost of delivery; costs of labor, including employee benefits, social security, retirement,
unemployment, and workers compensation insurance required by law, agreement or under Contractor’s
standard personnel policy; bond and insurance premiums; rental value of equipment and machinery;
costs of field office personnel and supervision; and fees and taxes related to the change.
Pending final determination of cost to the Owner, interim Change Documents shall be issued
each month for costs incurred in the past month. Payments on account for such costs shall be made
on the Certificate of Payment, and the Contract Price shall be increased accordingly.

8.2.2 Adjustments shall be based on net change in Contractor’s reasonable cost of performing
the changed Work plus, in the case of a net increase in cost, an agreed upon Fee not to exceed Ten
percent (10 %). For purposes of determining such adjustment, the allowable cost of equipment rental
for any Extra Work, if a lump sum is not agreed on, shall be subject to guidelines established by
the Owner and set forth in Paragraph 13.9.

8.3 UNIT PRICES If unit prices are indicated in the Contract Documents or are subsequently agreed
to by the parties, but the character or quantity of such unit items as originally contemplated is
so different in a proposed Change Document that the original unit prices will cause substantial
inequity to the Owner or the Contractor, such unit prices shall be equitably adjusted. Unit Prices
provided with the Bid Form shall apply.

8.4 PERFORMANCE OF CHANGED WORK The Contractor

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shall not be obligated to perform Changed Work until a Change Document has been executed by the
Owner and Contractor.

ARTICLE 9

(a) PAYMENT

9.1 SCHEDULE OF VALUES

9.1.1 Within twenty-one (21) calendar days from the date of execution of this Agreement, the
Contractor shall prepare and submit to the Owner a Schedule of Values apportioned to the various
divisions or phases of the Work. Each line item contained in the Schedule of Values shall be
assigned a monetary price such that the total of alt such items shall equal the Contract Price.

9.2 PROGRESS PAYMENTS

9.2.1 APPLICATIONS The Contractor shall submit to the Owner a Bi-monthly application for payment
no later than (Choose one of the following.):

Subcontractor’s applications for payment shall be itemized and supported by the Contractor’s
Schedule of Values and any other substantiating data as required by this Agreement. Payment
applications may include payment requests on account of properly authorized interim Change
Documents. The Owner shall pay the amount otherwise due on any payment application, less any
amounts as set forth below, no later than twenty (5) calendar days after the Contractor has
submitted a complete and accurate payment application. The Owner may deduct, from any progress
payment, such amounts as may be retained pursuant to Subparagraph 9.2.4 below.

9.2.2 STORED MATERIALS AND EQUIPMENT If approved by the Owner, applications for payment may
include materials and equipment not incorporated into the Work but delivered to and suitably stored
on-site, or off-site and applicable insurance, storage and transportation costs to the site.
Approval of payment applications for stored materials and equipment shall be conditioned on
submission by the Contractor of bills of sale and proof of applicable insurance, or such other
procedures satisfactory to the Owner to establish the proper valuation of the stored materials and
equipment, the Owner’s title to such materials and equipment, and to otherwise protect the Owner’s
interests therein, including transportation to the site

9.2.3 PARTIAL LIEN WAIVERS AND AFFIDAVITS As a prerequisite for payment, the Contractor shall
provide, if requested by the Owner, partial lien and claim waivers in the amount of the application
for payment and affidavits from its subcontractors, materialmen and suppliers for the completed
Work. Such waivers may be conditional upon payment. In no event shall the Contractor be required to
sign an unconditional waiver of lien or claim, either partial or final, prior to receiving payment
or in an amount in excess of what it has been paid.

9.2.4 RETAINAGE From each progress payment made prior to the time Substantial Completion of the
Work has been reached, the Owner shall retain ten percent (10 %), if required, of the amount
otherwise due after deduction of any amounts as

provided in Paragraph 9.3 of this Agreement. If the Owner chooses to use this retainage provision

.1 at the time the Work is fifty percent (50%) complete and thereafter, the Owner shall
withhold no more retainage and pay the Contractor the full amount of what is due on account of
progress payments;

.2 once each early finishing trade contractor has completed its work and that work has been
accepted by the Owner, the Owner may release final retention on such Work;

.3 in lieu of retainage, the Contractor may furnish securities, acceptable to the Owner, to
be held by the Owner. The interest on such securities shall accrue to the Contractor;

.4 the Owner may, in its sole discretion, reduce the amount to be retained at any time.

9.3 ADJUSTMENT OF CONTRACTOR’S PAYMENT APPLICATION The Owner may adjust or reject a Contractor
payment application or nullify a previously approved Contractor payment application, in whole or in
part, as may reasonably be necessary to protect the Owner from loss or damage based upon the
following, to the extent that the Contractor is responsible therefor under this Agreement:

.1 the Contractor’s repeated failure to perform the Work as required by the Contract
Documents;

.2 loss or damage arising out of or relating to this Agreement and caused by Contractor to the
Owner, or others to whom the Owner may be liable;

.3 the Contractor’s failure to properly pay Subcontractors for labor, materials,
equipment or supplies furnished in connection with the Work;

.4 nonconforming or Defective Work not corrected in a timely fashion;

.5 reasonable evidence of delay in performance of the Work such that the Work will not be
completed within the Contract Time, and that the unpaid balance of the Contract Price is not
sufficient to offset any direct damages that may be sustained by the Owner as a result of
the anticipated delay caused by the Contractor; and

.6 reasonable evidence demonstrating that the unpaid
balance of the Contract Price is insufficient to fund the

cost to complete the Work.

The Owner shall give written notice to the Contractor at the time of disapproving or nullifying an
application for payment of the specific reasons therefor. When the above reasons for disapproving
or nullifying an application for payment are removed, payment will be made for the amounts
previously withheld.

9.4 RESPONSIBILITY FOR LIENS If Owner has made payments in the time required by this Article 9,
the Contractor shall , within thirty (30) days after filing, cause the removal of any liens filed
against the premises or public improvement fund by any party or parties performing labor or
services or supplying materials in connection with the Work. If the Contractor fails to take such
action on a lien, the Owner may cause the lien to be removed at the Contractor’s expense, including
bond costs and reasonable attorney’s fees. This Paragraph shall not apply if there is a dispute
pursuant to Article 12 relating to the subject matter of the lien.

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9.5 ACCEPTANCE OF WORK Neither the Owner’s payment of progress payments nor its partial or full
use or occupancy of the Project constitutes acceptance of Work not complying with the Contract
Documents.

9.6 PAYMENT DELAY If for any reason not the fault of the Contractor, the Contractor does not
receive a progress payment from the Owner within seven (7) calendar days after the time such
payment is due, as defined in Subparagraph 9.2.1, then the Contractor, upon giving seven (7)
calendar days’ written notice to the Owner, and without prejudice to and in addition to any other
legal remedies, may stop Work until payment of the full amount owing to the Contractor has been
received. The Contract Price and Contract Time shall be equitably adjusted by a Change Document if
reasonable cost and delay resulting from shutdown, delay and start-up are incurred by the
Contractor.

9.7 SUBSTANTIAL COMPLETION

9.7.1 The Contractor shall notify the Owner when it considers the Substantial Completion of the
Work or a portion thereof to have been achieved. The Owner shall promptly conduct an inspection to
determine whether the Work or designated portion thereof can be occupied or utilized for its
intended use by the Owner without excessive interference by the Contractor in completing any
remaining unfinished Work. If the Owner determines that the Work or designated portion thereof
has not reached Substantial Completion, the Owner shall promptly compile a list of items to be
completed or corrected so the Owner may occupy or utilize the Work or designated portion thereof
for its intended use. The Contractor shall promptly complete all items on the list.

9.7.2 When Substantial Completion of the Work or a designated portion thereof is achieved, the
Contractor shall prepare a Certificate of Substantial Completion which shall establish the date of
Substantial Completion, recommending the respective responsibilities of the Owner and Contractor
for interim items such as security, maintenance, utilities, insurance, and damage to the
Work, and fixing the time for completion of all items on the list accompanying the Certificate. The
Certificate of Substantial Completion shall be submitted by the Contractor to the Owner for written
acceptance of responsibilities assigned in the Certificate.

9.7.3 Unless otherwise provided in the Certificate of Substantial Completion, warranties
required by the Contract Documents shall commence on the date of Substantial Completion of the Work
or a designated portion.

9.7.4 Upon acceptance by the Owner of the Certificate of Substantial Completion, the Owner shall
pay to the Contractor the remaining retainage held by the Owner for the Work described in the
Certificate of Substantial Completion less a sum equal to two hundred percent (200%) of the
estimated cost of completing or correcting remaining items on that part of the Work, as agreed to
by the Owner and Contractor as necessary to achieve final completion.

9.8 PARTIAL OCCUPANCY OR USE

9.8.1 The Owner may occupy or use completed or partially completed portions of the Work when (a)
the portion of the Work is designated in a Certificate of Substantial Completion, (b) appropriate
insurer(s) consent to the occupancy or use, and (c) appropriate public authorities authorize the
occupancy or use. Such partial occupancy or use shall constitute Substantial
Completion of that portion of the Work. The Contractor shall not unreasonably withhold consent to
partial occupancy or use. Owner shall not unreasonably refuse to accept partial occupancy.

9.9 FINAL PAYMENT

9.9.1 Upon notification from the Contractor that the Work is complete and ready for final
inspection and acceptance the Owner will promptly conduct an inspection to determine if the Work
has been completed and is acceptable under the Contract Documents. Uncompleted items shall be
completed by the Contractor in a mutually agreed time frame. The Owner shall pay the Contractor
monthly the amount retained for unfinished items as each item is completed.

9.9.2 When final completion has been achieved, the Contractor shall prepare for the Owner’s
acceptance a final application for payment staling that to the best of the Contractor’s knowledge,
and based on the Owner’s inspections, the Work has reached final completion in accordance with
the terms and conditions of the Contract Documents.

9.9.3 Final payment of the balance of the Contract Price shall be made to the Contractor within
twenty (20) days after the Contractor has submitted a complete and accurate application for final
payment.

9.9.4 Final payment and any retained amounts shall be due on the Contractor’s submission of the
following to the Owner:

.1 an affidavit declaring any indebtedness connected with the Work, e.g. payrolls or invoices
for materials or equipment, to have been paid, satisfied or to be paid with the proceeds of
final payment, so as not to encumber the Owner’s property;

.2 as-built drawings, manuals, copies of warranties and all other close out documents required
by the Contract Documents;

.3 release of any liens, conditioned on final payment being received;

.4 consent of any surety; and

.5 a report of any accidents or injuries experienced by the Contractor or its Subcontractors
at the Worksite.

9.9.5 If after Substantial Completion of the Work, the final completion of a portion of the Work is
materially delayed through no fault of the Contractor, the Owner shall pay the balance due for
portion(s) of the Work fully completed and accepted. If the remaining contract balance for Work not
fully completed and accepted is less than the retained amount prior to payment, the Contractor
shall submit to the Owner the written consent of any surety to payment of the balance due for

portions of the Work that are fully completed and accepted. Such payment shall not constitute a
waiver of claims, but otherwise shall be governed by these final payment provisions.

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9.9.6 Final payment shall constitute a waiver of Claims by the Owner except those arising from:

.1 unsettled liens, claims, security interests or encumbrances arising out of the
contract;

.2 failure of the Work to comply with the requirements of the Contract Documents;

.3 terms of warranties required by the Contract Documents; or

.4 latent defects.

9.9.7 ACCEPTANCE OF FINAL PAYMENT Unless the Contractor, Subcontractor or material supplier
provides written identification of unsettled claims with an application for final payment, their
acceptance of final payment constitutes a waiver of such claims.

9.10 LATE PAYMENT Payments due pursuant to Subparagraph 9.2.1, less any amount retained
pursuant to Subparagraphs 9.2.4 and 9.7.4, and Paragraph 9.9 may bear interest from the date
payment is due at the prime rate prevailing at the place of the Project.

ARTICLE 10

INDEMNITY, INSURANCE AND WAIVERS

10.1 INDEMNITY

10.1.1 To the fullest extent permitted by law, the Contractor shall defend, indemnify and hold the
Owner and Others harmless from all claims for bodily injury and property damage, other than to the
Work itself and other property insured under Paragraph 10.3.4, that may arise from the performance
of the Work to the extent of the negligence attributed to such acts or omissions by the Contractor,
Subcontractors or anyone employed directly or indirectly by any of them or by anyone for whose acts
any of them may be liable. The Contractor shall not be required to defend, indemnify or
hold harmless the Owner or Others for any acts, omissions or negligence of the Owner or Others.

10.1.2 The Owner shall cause any other contractor who may have a contract with the Owner to perform
work in the areas where Work will be performed under this Agreement to agree to indemnify the
Contractor, Subcontractors or anyone employed directly or indirectly by any of them or anyone for
whose acts any of them may be liable and hold them harmless from all claims for bodily injury and
property damage, other than property insured under Paragraph 10.3.4, that may arise from that
contractor’s operations. Such provisions shall be in a form satisfactory to the Contractor.

10.2 MUTUAL WAIVER OF CONSEQUENTIAL DAMAGES The Contractor and Owner waive all claims against each
other for all consequential damages arising out of or relating to this Contract. This mutual waiver
includes:

.1 damages incurred by the Owner for rental expenses
for losses of use, income, profit, financing, business and
reputation, and for loss of management or employee
productivity or of the services of such persons; and

.2 damages incurred by the Contractor for principal office expenses including the
compensation of personnel stationed there, for losses of financing, business and reputation,
and for loss of profit other than anticipated profits arising directly from this Project

This mutual waiver is applicable, without limitation, to ail consequential damages due to either
party’s termination in accordance with Article 11. Nothing contained in this Subparagraph shall be
deemed to preclude an award of liquidated direct damages, if applicable in accordance with the
requirements of the Contract Documents.

10.3 INSURANCE

10.3.1 Prior to the start of Work, the Contractor shall procure and maintain in force Workers’
Compensation Insurance, Employer’s Liability Insurance, Business Automobile Liability Insurance,
and Commercial General Liability Insurance (CGL). The CGL policy shall include coverage for
liability arising from premises, operations, independent contractors, products- completed
operations, personal injury and advertising injury, contractual liability, and broad form property
damage. The CGL will also name the Owner as an additional insured for liability arising out of the
Contractor’s Work.

The Contractor’s Employer’s Liability, Business Auto Liability, and Commercial General Liability
policies, as required in this Subparagraph 10.3.1, shall be written with limits of liability not
less than the following:

	 	 	 	 	 	 	 	 
	Employer’s Liability

	 	 	$	 	 	 1,000,000.00
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	 Bodily Injury by Accident
	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	 $ 1,000,000 — Policy Limit.
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	 Bodily Injury by Disease
	 
	 	 	 	 	 	 
	Business Auto Liability

	 	 	$	 	 	 1,000,000.00
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	 Each Accident
	 
	 	 	 	 	 	 
	Commercial General

	 	 	$	 	 	 1,000,000.00
	 

	 	 	 	 	 	 
	Liability

	 	 	 	 	 	 Each Occurrence
	 
	 	 	 	 	 	 
	 

	 	 	$	 	 	 2,000,000.00
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	 General Aggregate
	 
	 	 	 	 	 	 
	 

	 	 	$	 	 	 2,000,000.00
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	 Products/Completed 
 Operations Aggregate
	 
	 	 	 	 	 	 
	 

	 	 	$	 	 	 1,000,000.00
	 

	 	 	 	 	 	 
	 

	 	 	 	 	 	 Personal and Advertising Injury Limit

10.3.2 Employer’s Liability, Business Auto Liability and Commercial General Liability coverages
required under Subparagraph 10.3.1 may be arranged under a single policy for the full limits
required or by a combination of underlying policies with the balance provided by Excess and/or
Umbrella Liability policies.

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1997, The Associated General Contractors of America

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10.3.3 The Contractor shall maintain in effect all insurance coverage required under
Subparagraph 10.3.1 at the Contractor’s sole expense with insurance companies lawfully authorized
to do business in the jurisdiction in which the Project is located. If the Contractor fails to
obtain or maintain any insurance coverage required under this Agreement, the Owner may purchase
such coverage and charge the expense thereof to the Contractor, or terminate this Contract.

The policies of insurance required under Subparagraph 10.3.1 shall contain a provision that the
coverages afforded under the policies will not be cancelled or allowed to expire until at least
thirty days prior written notice has been given to the Owner. The Contractor shall maintain
completed operations liability insurance for one year after acceptance of the Work, substantial
completion of the Project, or to the time required by the Contract Documents, whichever is longer.
The Contractor shall furnish the Owner evidence of such insurance at the time of completion of the
Work.

Prior to commencement of the Work, Contractor and Owner will furnish each other with reasonably
acceptable certificate or certificates of insurance.

10.3.4 The Owner shall be solely responsible for all risk of physical loss or damage to the entire
Project including portions of the Work stored off-site, Work in transit, scaffolding, falsework,
temporary buildings located at the Project, and tenant improvements. Before the start of Work, the
Owner shall obtain and maintain property insurance upon the entire Project for the full cost of
replacement at the time of loss. This insurance shall list as named insureds the Owner, Contractor,
Subcontractors and Subsubcontractors. This insurance shall be written as a Builder’s Risk, “all
risk” or equivalent form to cover all risks or physical loss except those specifically excluded by
the policy, and shall insure at least against the perils of fire, lightning, explosion, windstorm,
and hail, smoke, aircraft (except aircraft, including helicopter, operated by or on behalf of
Contractor) and vehicles, riot and civil commotion, theft, vandalism, malicious mischief, debris
removal, flood, earthquake, earth movement, water damage, wind, testing if applicable, collapse
however caused, and damage resulting from defective design, workmanship or material. The Owner
shall be solely responsible for any deductible amounts or coinsurance penalties.

This insurance shall remain in effect until final payment has been made or until no person or
entity other than the Owner has an insurable interest in the property to be covered by this
insurance, whichever is sooner. Partial occupancy or use of the Work shall not commence until the
Owner has secured the consent of the insurance company or companies providing the coverage required
in this Subparagraph 10.3.4.

Upon written request of the Contractor, the Owner will provide a copy of the property policy or
policies obtained in compliance with this Subparagraph 10.3.4.

10.3.5 If the Owner does not intend to purchase the property insurance required by this Agreement
including all of the coverages and deductibles described herein, the Owner shall give written
notice to the Contractor before the Work is commenced. The Contractor may then provide insurance to
protect its interests and the interests of the Subcontractors and Subsubcontractors in the Work
including the coverage of deductibles. The cost of this insurance shall be charged to the Owner in
a Change Document. The Owner shall be responsible for all of Contractor’s costs reasonably
attributed to the Owner’s failure or neglect in purchasing or maintaining the coverage described
above.

10.3.6 Owner and Contractor waive all rights against each other and their perspective employees,
agents, contractors, subcontractors and subsubcontractors for damages caused by risks covered by
the property insurance in Subparagraph 10.3.4, except such rights as they may have to the proceeds
of such insurance and such rights the Contractor may have for the failure of the Owner to obtain
and maintain property insurance in compliance with Subparagraph 10.3.4. To the extent of the limits
of Contractor’s Commercial General Liability Insurance specified in Subparagraph 10.3.1 or two million dollars ($ 2,000,000 ) whichever is more, the
Contractor shall indemnify and hold harmless the Owner against any and all liability, claims,
demands, damages, losses and expenses, including attorney’s fees, in connection with or arising out
of any damage or alleged damage to any of Owner’s existing adjacent property that may arise from
the performance of the anyone employed directly or indirectly by any of them or by anyone for whose
acts any of them may be liable.

10.3.7 BUSINESS INCOME INSURANCE The Owner, at the Owner’s option, may purchase and maintain such
insurance as will insure the Owner against loss of use of the Owner’s property due to fire or other
hazards, however caused. The Owner waives all rights of action against the Contractor for loss of
use of the Owner’s property, including consequential losses due to fire or other hazards however
caused.

10.3.8 OWNER’S LIABILITY The Owner shall obtain and maintain its own liability insurance for
protection against claims arising out of the performance of this Agreement, including without
limitation, loss of use and claims, losses and expenses arising out of the Owner’s errors or
omissions.

10.4 ROYALTIES, PATENTS AND COPYRIGHTS The Contractor shall pay all royalties and license fees
which may be due on the inclusion of any patented or copyrighted materials, methods or systems
selected by the Contractor and incorporated in the Work. The Contractor shall defend, indemnify
and hold the Owner harmless from all suits or claims for infringement of any patent rights or
copyrights arising out of such selection. The Owner agrees to defend, indemnify and hold the
Contractor harmless from any suits or claims of infringement of any patent rights arising out of
any patented materials, methods or systems specified by the Owner.

ARTICLE 11

TERMINATION OF THE AGREEMENT,

SUSPENSION AND NOTICE TO CURE

11.1 SUSPENSION BY OWNER FOR CONVENIENCE

11.1.1 OWNER SUSPENSION Should the Owner order the Contractor in writing to suspend, delay, or
interrupt the performance of this Agreement or any part which affects the Work for such period of
time as may be determined to be appropriate for the convenience of the Owner and not due to any act
or omission of the Contractor or any other person or entity for whose acts or omissions the
Contractor may be liable, then the Contractor shall immediately suspend, delay or

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

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interrupt that portion of the Work as ordered by the Owner.

11.1.1.1 ADJUSTMENTS The Contract Price and the Contract Time shall be equitably adjusted for
the cost and delay resulting from any such suspension, including any increases in the cost of
materials, equipment, construction equipment, labor and a reasonable overhead and profit on such
increase.

11.1.2 Any action taken by the Owner which is permitted by any other provision of the Contract
Documents and which results in a suspension of part or all of the Work, does not constitute a
suspension of Work under this Article.

11.2 NOTICE TO CURE If the Contractor refuses or fails to supply enough properly skilled workers,
proper materials, and/or equipment, to maintain the approved project schedule in accordance with
Article 6, or it fails to make prompt payment to its workers, subcontractors or suppliers,
disregards laws, ordinances, rules, regulations or orders of any public authority having
jurisdiction, or is otherwise guilty of a material breach of a provision of this Agreement the
Contractor may be deemed in default of this Agreement. If the Contractor fails within seven (7)
working days after written notification to commence and continue satisfactory correction of such
default, with diligence and promptness, then the Owner without prejudice to any other rights or
remedies may:

.1 supply such number of workers and quantity of materials, equipment and other
facilities as the Owner deems necessary for the satisfactory correction of such default, which
the Contractor has failed to complete or perform after the aforesaid notice, and charge the
cost thereof to the Contractor, who shall be liable for the payment of same including
reasonable overhead, profit and attorneys’ fees;

.2 contract with one or more additional trade contractors, to perform such part of the
Work as the Owner shall determine will provide the most expeditious correction of the default
and charge the cost thereof to the Contractor;

.3 withhold payment of moneys due the Contractor in accordance with Paragraph 9.3 of this
Agreement; and

.4 in the event of an emergency affecting the safety of persons or property, the Owner may
immediately commence and continue satisfactory correction of such default per (.1) or (.2)
above, without first giving written notice to the Contractor, but shall then give prompt
written notice of such action to the Contractor.

11.3 OWNER’S RIGHT TO TERMINATE FOR CAUSE

11.3.1 TERMINATION BY OWNER FOR CAUSE If the Contractor fails to commence and satisfactorily
continue correction of a default within seven (7) working days after the written notification
issued under Paragraph 11.2, or provide the Owner with written verification of positive action that
is in process, then the Owner may, in lieu of or in addition to the remedies set forth in Paragraph
11.2, issue a second written notification to the Contractor. Such notice shall state that if the
Contractor fails to commence and continue correction of the default within fourteen (14) working
days of the second written notification, this Agreement may be terminated. The Owner also may
furnish materials, equipment, appliances or tools and employ such workers or trade contractors as
the Owner deems necessary to maintain the orderly progress of the Work. A
written notice of termination shall be issued by the Owner to the Contractor at the time this
Agreement is terminated.

All costs incurred by the Owner in performing the Work, including attorney’s fees, shall be
deducted from any moneys due or to become due the Contractor under this Agreement. The Contractor
shall be liable for the payment of any amount by which such expense may exceed the unpaid balance
of the Contract Price. If the unpaid balance of the Contract Price for Work performed in accordance
with this Agreement exceeds the expense of finishing the Work, Contractor shall be paid for Work
performed in accordance with the Contract Documents up to the amount that the unpaid contract
balance exceeds the expense of finishing the Work.

Upon request of the Contractor the Owner shall furnish to the Contractor a detailed accounting of
the costs incurred by the
Owner in finishing the Work.

11.3.2 USE OF CONTRACTOR’S EQUIPMENT If the Owner performs work under this Paragraph 11.3, or
subcontracts such work to be so performed, the Owner shall have the right to take and use any
materials, implements, equipment, appliances or tools furnished by, belonging or delivered to the
Contractor and located at the Project for the purpose of completing any remaining Work. Immediately
upon completion of the Work, any remaining materials, implements, equipment, appliances or tools
not consumed or incorporated in performance of the Work, and furnished by, belonging to, or
delivered to the Project by or on behalf of the Contractor, shall be returned to the Contractor in
substantially the same condition as when they were taken, reasonable wear and tear excepted.

11.3.3 If the Contractor files a petition under the Bankruptcy Code, this Agreement shall terminate
if the Contractor or the Contractor’s trustee rejects the Agreement or, if there has been a
default, the Contractor is unable to give adequate assurance that the Contractor will perform as
required by this Agreement or otherwise is unable to comply with the requirements for assuming this
Agreement under the applicable provisions of the Bankruptcy Code.

11.4 TERMINATION BY OWNER FOR CONVENIENCE Upon written notice to the Contractor, the Owner may,
without cause, terminate this Agreement with the Contractor. The Contractor shall immediately stop
the Work, follow the Owner’s instructions regarding shutdown and termination procedures, and strive
to mitigate all costs.

11.4.1 ADJUSTMENTS If the Work is so terminated, the Contractor may recover from the Owner
payment for all Work performed in accordance with this Agreement, all costs from the termination,
plus a reasonable profit.

11.4.2 If the Owner terminates this Contract pursuant to Paragraphs 11.3 or 11.4, the Contractor
shall:

.1 execute and deliver to the Owner alt papers and take all action required to assign,
transfer and vest in the Owner the rights of the Contractor to all Materials and Supplies for
which payment has or will be made in accordance with the Contract Documents and alt
subcontracts, orders and commitments which have been made in accordance with the Contract
Documents;

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

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.2 exert every effort to reduce to a minimum the Owner’s liability for subcontracts,
orders and commitments which have not been fulfilled at the time of the termination;

.3 cancel any subcontracts, orders and commitments as the Owner directs; and

.4 sell at prices approved by the Owner any Materials and Supplies as the Owner directs with
all proceeds paid or credited to the Owner as Owner directs.

11.5 CONTRACTOR’S RIGHT TO TERMINATE

11.5.1 Upon seven (7) days’ written notice to the Owner, the Contractor may terminate this
Agreement if the Work has been stopped for a thirty (30) day period through no fault of the
Contractor for any of the following reasons:

.1 under court order or order of other governmental authorities having jurisdiction;

.2 as a result of the declaration of a national emergency or other governmental act during
which, through no act
or fault of the Contractor, materials are not available; or

.3 suspension by Owner for convenience pursuant to Paragraph 11.1.

11.5.2 The Contractor may terminate the Agreement for any of the following reasons:

.1 if the Owner fails to furnish reasonable evidence that sufficient funds are available and
committed for the entire cost of the Project in accordance with Paragraph 4.2 of this
Agreement, or

.2 if the Owner assigns this Agreement over the Contractor’s reasonable objection,

.3 if the Owner fails to pay the Contractor in accordance with this Agreement and the
Contractor has complied with Paragraph 9.6,

.4 if the Owner otherwise materially breaches this Agreement.

11.5.3 Upon termination by the Contractor in accordance with Paragraph 11.5, the Contractor shall
be entitled to recover from the Owner payment for all Work executed and for any proven loss, cost
or expense in connection with the Work, plus all demobilization costs and reasonable damages
plus a reasonable profit.

11.6 OBLIGATIONS ARISING BEFORE TERMINATION Even after termination pursuant to Article 11, the
provisions of this Agreement still apply to any Work performed, payments made, events occurring,
costs charged or incurred or obligations arising before the termination date.

ARTICLE 12

DISPUTE RESOLUTION

12.1 WORK CONTINUANCE AND PAYMENT Unless otherwise agreed in writing, the Contractor shall
continue the Work and maintain the approved schedules during any dispute resolution proceedings.
If the Contractor continues to perform, the Owner shall continue to make payments in accordance
with the Agreement.

12.2 INITIAL DISPUTE RESOLUTION If a dispute arises out of or relates to this Agreement or its
breach, the parties shall endeavor to settle the dispute first through direct discussions. If the
dispute cannot be settled through direct discussions, the parties shall endeavor to settle the
dispute by mediation under the Construction Industry Mediation Rules of the American Arbitration
Association before recourse to the dispute resolution procedures contained in this Agreement.
Once one party files a request for mediation with the other contracting party and with the American
Arbitration Association, the parties agree to conclude such mediation within sixty (60) days of
filing of the request. Either party may terminate the mediation at any time after the first
session, but the decision to terminate must be delivered in person by the party’s representative to
the other party’s representative and the mediator.

12.3 EXHIBIT NO. 1 If the dispute cannot be settled by mediation within sixty (60) days, the
parties shall submit the dispute to any dispute resolution process set forth in Exhibit No. 1 to
this Agreement.

12.4 MULTIPARTY PROCEEDING The parties agree that all parties necessary to resolve a claim shall be
parties to the same dispute resolution proceeding. Appropriate provisions shall be included in all
other contracts relating to the Work to provide for the consolidation of such dispute resolution
procedures.

12.5 COST OF DISPUTE RESOLUTION The prevailing party in any dispute arising out of or relating to
this Agreement or its breach that is resolved by the dispute resolution process set forth in
Exhibit No. 1 to this Agreement shall be entitled to recover from the other party reasonable
attorneys fees, costs and expenses incurred by the prevailing party in connection with such dispute
resolution process.

12.6 LIEN RIGHTS Nothing in this Article shall limit any rights or remedies not expressly waived by
the Contractor which the Contractor may have under lien laws.

ARTICLE 13

MISCELLANEOUS PROVISIONS

13.1 ASSIGNMENT Neither the Owner nor the Contractor shall assign their interest in this
Agreement without the written consent of the other except as to the assignment of proceed. The
Owner and Contractor respectively bind themselves, their partners, successors, assigns and legal
representatives to the other party hereto and to partners, successors, assigns and legal
representatives of such other party in respect to covenants, agreements and obligations contained
in the Contract Documents. Neither party to this Agreement shall assign the Contract as a whole
without written consent of the other except that the Owner may assign the Contract to a wholly
owned

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

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subsidiary of Owner when Owner has fully indemnified Contractor or to an institutional lender
providing construction financing for the Project as long as the assignment is no less favorable to
the Contractor than this Agreement. The Contractor shall execute all consents reasonably required
to facilitate such assignment. In such event, the wholly owned subsidiary or lender shall assume
the Owner’s rights and obligations under the Contract Documents. However, if the Contractor has a
reasonable objection to such assignment, it shall have the right to terminate this Agreement as
provided in Subparagraph 11.5.2.2. If either party attempts to make such an assignment, that party
shall nevertheless remain legally responsible for all obligations under the Contract, unless
otherwise agreed by the other party.

13.2 GOVERNING LAW This Agreement shall be governed by the law in effect at the location of the
Project.

13.3 SEVERABILITY The partial or complete invalidity of any one or more provisions of this
Agreement shall not affect the validity or continuing force and effect of any other provision.

13.4 NO WAIVER OF PERFORMANCE The failure of either party to insist, in any one or more
instances, on the performance of any of the terms, covenants or conditions of this Agreement, or to
exercise any of its rights, shall not be construed as a waiver or relinquishment of such term,
covenant, condition or right with respect to further performance.

13.5 TITLES AND GROUPINGS The title given to the Articles of this Agreement are for ease of
reference only and shall not be relied upon or cited for any other purpose. The grouping of the
articles in this Agreement and of the Owner’s specifications under the various headings is
solely for the purpose of convenient organization and in no event will the grouping of provisions,
the use of paragraphs or the use of headings be construed to limit or alter the meaning of any
provisions.

13.6 JOINT DRAFTING The parties hereto expressly agree that this Agreement was jointly drafted,
and that they both had opportunity to negotiate its terms and to obtain the assistance of counsel
in reviewing its terms prior to execution. Therefore, this
Agreement shall be construed neither against nor in favor of either party, but shall be construed
in a neutral manner.

13.7 RIGHTS AND REMEDIES The parties’ rights, liabilities, responsibilities and remedies with
respect to this Agreement, whether in contract, tort, negligence or otherwise shall be exclusively
those expressly set forth in this Agreement.

13.7.1 The parties agree to look solely to each other with respect to the performance of this
Agreement. This Agreement and each and every provision hereof is for the exclusive benefit of
Owner and Contractor and not for the benefit of any third party, and no third party shall be
entitled to rely upon or enforce the terms of this Agreement, or to be a third party beneficiary
thereof, except to the extent expressly provided in this Agreement.

13.8 PRECEDENCE If any provision of this Agreement conflicts with or is inconsistent with any
other provision of other Contract Documents, the provision of this Agreement governs, unless the
other provision specifically refers to the provision it supersedes and replaces in this Agreement.

13.9 OTHER PROVISIONS

ARTICLE 14

CONTRACT DOCUMENTS

14.1 The Contract Documents in existence at the time of execution of this Agreement are as follows:

.1 Drawings prepared by Fagen Engineering, Sheet 700, Sheets 702 thru 712

.2 Specification Documents

1) 01400-1-Quality Requirements

2) 02451-1 & 2-Pile Load Tests

3) 02466-1 thru 02466-5-Auger Cast Grout Piles

.3 Preliminary Pile Quantity Schedule

.4 Geotechnical Report prepared by Olsson Associates

.5 Siouxland Ethanol, LLC Instructions to Bidders

.6 Proposal submitted by Blackhawk Foundation dated 12/06/05 and supplemental letter
dated 12//07/0

.7 Bid Addendum #1 dated 12/02/05 including revised drawings, marked up drawings and
Pile Length and Quantity Schedule

.8 Bid Addendum #2 Dated 12/05/05

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

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1997, The Associated General Contractors of America

18

 

14.2 INTERPRETATION OF CONTRACT DOCUMENTS

14.2.1 The Owner’s drawings and specifications are complementary. If Work is shown only on
one but not on the other, the Contractor shall perform the Work as though fully described on both
consistent with the Contract Documents and reasonably inferable from them as being necessary to
produce the indicated results.

14.2.2 In case of conflicts between the Owner’s drawings and specifications, the specifications
govern. In any case of omissions or errors in figures, drawings or specifications, the Contractor
shall immediately submit the matter to the Owner for clarification. The Owner’s clarifications
are final and binding on all parties subject to an equitable adjustment in Contract Time or Price
pursuant to Article 8.

14.2.3 Where figures or memoranda are given, they will be preferred to scale dimensions.

14.2.4 Any terms which have well-known technical or trade meanings, unless otherwise specifically
defined in the Contract Documents, will be interpreted in accordance with their well-known
meanings.

This Agreement is entered into as of the date entered in Article 1.

	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	OWNER:
	 	Siouxland Ethanol, LLC
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	ATTEST:

	 	/s/ Timothy Smith
	 	 	 	BY:
	 	/s/ Tom Lynch
	 

	 	 
	 	 	 	 	 	 

	 	 	 	 	 
	 

	 	PRINT NAME:
	 	Tom Lynch
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	PRINT TITLE:
	 	President of the Board
	 

	 	 	 	 

	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	ATTEST:

	 	/s/ Tracey Sutor
	 	 	 	CONTRACTOR
	 	: Blackhawk Foundation Co., Inc.
	 

	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	BY:
	 	/s/ Kenneth Pippin
	 

	 	 	 	 	 	 	 	 

	 	 	 	 	 
	 
	 	 	 	 
	 

	 	PRINT NAME:
	 	Kenneth Pippin
	 

	 	 	 	 
	 
	 	 	 	 
	 

	 	PRINT TITLE:
	 	President
	 

	 	 	 	 

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

19

 

(i) Exhibit No.l, dated ___________________,

STANDARD FORM OF AGREEMENT AND GENERAL

CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

DISPUTE RESOLUTION MENU

Pursuant to Subparagraph 12.3, if neither direct discussions nor mediation successfully resolve the
Claim, the parties agree the following shall be used to resolve the Claim.

(Check the appropriate selection(s). These procedures can be used singularly, or progressively as
agreed to by the parties.)

	 	o	 	Dispute Review Board The Dispute Review Board is composed of one member selected by
the Owner, one selected by the Contractor, and a third member selected by the two
Owner and Contractor selected members. This Board shall be selected by the time
construction commences, shall meet periodically, and shall make advisory decisions
which may be introduced into evidence at any subsequent dispute resolution process. If
a Dispute Review Board is selected, it is understood its review will precede
mediation.
	 
	 	o	 	Advisory Arbitration Advisory Arbitration shall be pursuant to the Construction
Industry Rules of the American Arbitration Association.
	 
	 	o	 	Mini Trial Each party, in the presence of top management, shall submit its position
to a mutually selected individual who shall make a non-binding recommendation to the
parties. Such advisory decision may be introduced into evidence at any subsequent
dispute resolution process.
	 
	 	þ	 	Binding Arbitration Binding Arbitration shall be pursuant to the
Construction Industry Rules of the American Arbitration Association unless the parties
mutually agree otherwise. A written demand for arbitration shall be filed with the
American Arbitration Association and the other party to the Agreement within a
reasonable time after the dispute or claim has arisen, but in no event after the
applicable statute of limitations for a legal or equitable proceeding would have run.
The location of the arbitration proceedings shall be at the office of the American
Arbitration Association nearest the Project site, unless the parties agree otherwise.
The arbitration award shall be final. Notwithstanding Paragraph 13.2, this agreement
to arbitrate shall be governed by the Federal Arbitration Act and judgment upon the
award may be confirmed in any court having jurisdiction.
	 
	 	o	 	Litigation Action may be filed in the appropriate state or federal court located in
the jurisdiction in which the Project is located.

AGC DOCUMENT NO. 200 STANDARD FORM OF AGREEMENT AND GENERAL CONDITIONS BETWEEN OWNER AND CONTRACTOR

(Where the Contract Price is a Lump Sum)

1997, The Associated General Contractors of America

20exv10w2

 

Exhibit 10.2

LUMP SUM DESIGN-BUILD AGREEMENT

BETWEEN

SIOUXLAND ETHANOL, LLC (“OWNER”)

AND

FAGEN, INC. (“DESIGN-BUILDER”)

January 5, 2006

 

			
	*	 	Portions omitted pursuant to a request for confidential treatment and filed separately with the
Securities and Exchange Commission.

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page	 
	Article 1 Definitions; Rules of Interpretation
	 	 	1	 
	 
	 	 	 	 
	1.1 Rules of Construction
	 	 	1	 
	1.2 Defined Terms
	 	 	1	 
	 
	 	 	 	 
	Article 2 The Project
	 	 	6	 
	 
	 	 	 	 
	2.1 Services to be Performed
	 	 	6	 
	2.2 Extent of Agreement
	 	 	6	 
	2.3 Conflicting Provisions
	 	 	6	 
	 
	 	 	 	 
	Article 3 Design-Builder Responsibilities
	 	 	7	 
	 
	 	 	 	 
	3.1 Design-Builder’s Services in General
	 	 	7	 
	3.2 Design Development and Services
	 	 	7	 
	3.3 Standard of Care
	 	 	8	 
	3.4 Government Approvals and Permits
	 	 	9	 
	3.5 Subcontractors
	 	 	9	 
	3.6 Maintenance of Site
	 	 	9	 
	3.7 Project Safety
	 	 	9	 
	3.8 Submission of Reports
	 	 	10	 
	3.9 Training
	 	 	10	 
	 
	 	 	 	 
	Article 4 Owner’s Responsibilities
	 	 	11	 
	 
	 	 	 	 
	4.1 Duty to Cooperate
	 	 	11	 
	4.2 Furnishing of Services and Information
	 	 	11	 
	4.3 Financial Information; Cooperation with Lenders; Failure to Obtain Financial Closing
	 	 	12	 
	4.4 Owner’s Representative
	 	 	12	 
	4.5 Government Approvals and Permits
	 	 	13	 
	4.6 Owner’s Separate Contractors
	 	 	13	 
	4.7 Security
	 	 	13	 
	 
	 	 	 	 
	Article 5 Ownership of Work Product; Risk of Loss
	 	 	13	 
	 
	 	 	 	 
	5.1 Work Product
	 	 	13	 
	5.2 Owner’s Limited License Upon Payment in Full
	 	 	13	 
	5.3 Owner’s Limited License Upon Owner’s Termination for Convenience or Design-Builder’s
Election to Terminate
	 	 	14	 
	5.4 Owner’s Limited License Upon Design-Builder’s Default
	 	 	15	 
	5.5 Owner’s Indemnification for Use of Work Product
	 	 	15	 
	5.6 Risk of Loss
	 	 	15	 
	 
	 	 	 	 
	Article 6 Commencement and Completion of the Project
	 	 	15	 
	 
	 	 	 	 
	6.1 Work Schedule
	 	 	15	 
	6.2 Phase I and Phase II Engineering
	 	 	16	 
	6.3 Notice to Proceed; Commencement
	 	 	16	 
	6.4 Project Start-Up and Testing
	 	 	16	 

	 	 	 
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	 	 	Page	 
	6.5 Substantial Completion
	 	 	17	 
	6.6 Final Completion
	 	 	18	 
	6.7 Post Completion Support
	 	 	19	 
	 
	 	 	 	 
	Article 7 Performance Testing and Liquidated Damages
	 	 	20	 
	 
	 	 	 	 
	7.1 Performance Guarantee
	 	 	20	 
	7.2 Performance Testing
	 	 	20	 
	7.3 Liquidated Damages
	 	 	21	 
	7.4 Bonds and Other Performance Security
	 	 	22	 
	 
	 	 	 	 
	Article 8 Warranties
	 	 	23	 
	 
	 	 	 	 
	8.1 Design-Builder Warranty
	 	 	23	 
	8.2 Correction of Defective Work
	 	 	23	 
	8.3 Warranty Period Not Limitation to Owner’s Rights
	 	 	24	 
	 
	 	 	 	 
	Article 9 Contract Price
	 	 	24	 
	 
	 	 	 	 
	9.1 Contract Price
	 	 	24	 
	 
	 	 	 	 
	Article 10 Payment Procedures
	 	 	24	 
	 
	 	 	 	 
	10.1 Payment at Financial Closing
	 	 	24	 
	10.2 Progress Payments
	 	 	24	 
	10.3 Final Payment
	 	 	26	 
	10.4 Failure to Pay Amounts Due
	 	 	26	 
	10.5 Design-Builder’s Payment Obligations
	 	 	26	 
	10.6 Record Keeping and Finance Controls
	 	 	26	 
	 
	 	 	 	 
	Article 11 Hazardous Conditions and Differing Site Conditions
	 	 	26	 
	 
	 	 	 	 
	11.1 Hazardous Conditions
	 	 	26	 
	11.2 Differing Site Conditions; Inspection
	 	 	27	 
	 
	 	 	 	 
	Article 12 Force Majeure; Change in Legal Requirements
	 	 	28	 
	 
	 	 	 	 
	12.1 Force Majeure Event
	 	 	28	 
	12.2 Effect of Force Majeure Event
	 	 	28	 
	12.3 Change in Legal Requirements
	 	 	29	 
	12.4 Time Impact And Availability
	 	 	29	 
	 
	 	 	 	 
	Article 13 Changes to the Contract Price and Scheduled Completion Dates
	 	 	29	 
	 
	 	 	 	 
	13.1 Change Orders
	 	 	29	 
	13.2 Contract Price Adjustments
	 	 	30	 
	13.3 Emergencies
	 	 	31	 
	13.4 Requests for Contract Adjustments and Relief
	 	 	31	 
	 
	 	 	 	 
	Article 14 Indemnity
	 	 	31	 
	 
	 	 	 	 
	14.1 Tax Claim Indemnification
	 	 	31	 
	14.2 Payment Claim Indemnification
	 	 	31	 
	14.3 Design-Builder’s General Indemnification
	 	 	31	 
	14.4 Owner’s General Indemnification
	 	 	32	 

	 	 	 
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	 	 	Page	 
	Article 15 Stop Work; Termination for Cause
	 	 	33	 
	 
	 	 	 	 
	15.1 Owner’s Right to Stop Work
	 	 	33	 
	15.2 Owner’s Right to Perform and Terminate for Cause
	 	 	33	 
	15.3 Owner’s Right to Terminate for Convenience
	 	 	34	 
	15.4 Design-Builder’s Right to Stop Work
	 	 	35	 
	15.5 Design-Builder’s Right to Terminate for Cause
	 	 	35	 
	15.6 Bankruptcy of Owner or Design-Builder
	 	 	36	 
	15.7 Lenders’ Right to Cure
	 	 	36	 
	 
	 	 	 	 
	Article 16 Representatives of the Parties
	 	 	37	 
	 
	 	 	 	 
	16.1 Designation of Owner’s Representatives
	 	 	37	 
	16.2 Designation of Design-Builder’s Representatives
	 	 	37	 
	 
	 	 	 	 
	Article 17 Insurance
	 	 	38	 
	 
	 	 	 	 
	17.1 Insurance
	 	 	38	 
	17.2 Design-Builder’s Insurance Requirements
	 	 	38	 
	17.3 Owner’s Liability Insurance
	 	 	39	 
	17.4 Owner’s Property Insurance
	 	 	40	 
	17.5 Coordination with Loan Documents
	 	 	41	 
	 
	 	 	 	 
	Article 18 Representations and Warranties
	 	 	41	 
	 
	 	 	 	 
	18.1 Design-Builder and Owner Representations and Warranties
	 	 	41	 
	18.2 Design-Builder Representation and Warranties
	 	 	42	 
	 
	 	 	 	 
	Article 19 Dispute Resolution
	 	 	43	 
	 
	 	 	 	 
	19.1 Dispute Avoidance and Mediation
	 	 	43	 
	19.2 Arbitration
	 	 	43	 
	19.3 Duty to Continue Performance
	 	 	44	 
	19.4 Consequential Damages
	 	 	44	 
	 
	 	 	 	 
	Article 20 Confidentiality of Shared Information
	 	 	44	 
	 
	 	 	 	 
	20.1 Non-Disclosure Obligation
	 	 	44	 
	20.2 Publicity and Advertising
	 	 	45	 
	20.3 Term of Obligation
	 	 	45	 
	 
	 	 	 	 
	Article 21 Miscellaneous
	 	 	45	 
	 
	 	 	 	 
	21.1 Assignment
	 	 	45	 
	21.2 Successors
	 	 	45	 
	21.3 Governing Law
	 	 	45	 
	21.4 Severability
	 	 	45	 
	21.5 No Waiver
	 	 	46	 
	21.6 Headings
	 	 	46	 
	21.7 Notice
	 	 	46	 
	21.8 No Privity with Design Consultant/Subcontractors
	 	 	47	 
	21.9 Amendments
	 	 	47	 
	21.10 Entire Agreement
	 	 	47	 
	21.11 Third-Party Beneficiaries
	 	 	47	 

	 	 	 
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	 	 	Page	 
	21.12 Counterparts
	 	 	47	 
	21.13 Survival
	 	 	47	 
	 
	 	 	 	 
	EXHIBIT A Performance Guarantee Criteria
	 	 	A-1	 
	 
	 	 	 	 
	EXHIBIT B General Project Scope
	 	 	B-1	 
	 
	 	 	 	 
	EXHIBIT C Owner’s Responsibilities
	 	 	C-1	 
	 
	 	 	 	 
	EXHIBIT D ICM License Agreement
	 	 	D-1	 
	 
	 	 	 	 
	EXHIBIT E Schedule of Values
	 	 	E-1	 
	 
	 	 	 	 
	EXHIBIT F Form of Progress Report
	 	 	F-1	 
	 
	 	 	 	 
	EXHIBIT G Required Permits
	 	 	G-1	 
	 
	 	 	 	 
	EXHIBIT H Form of Performance Bond
	 	 	H-1	 
	 
	 	 	 	 
	EXHIBIT I Work Schedule and Owner’s Milestones
	 	 	I-1	 
	 
	 	 	 	 
	EXHIBIT J Preliminary Construction Documents
	 	 	J-1	 
	 
	 	 	 	 
	EXHIBIT K Draw (Payment) Schedule
	 	 	K-1	 
	 
	 	 	 	 
	EXHIBIT L Air Emissions Application or Permit
	 	 	L-1	 
	 
	 	 	 	 
	EXHIBIT M Phase I and Phase II Engineering Services Agreement
	 	 	M-1	 

	 	 	 
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LUMP SUM DESIGN-BUILD CONTRACT

     This LUMP SUM DESIGN-BUILD CONTRACT (the “Agreement”) is made as of January 5, 2006,
(the “Effective Date”) by and between Siouxland Ethanol, LLC, a Nebraska limited liability
company (the “Owner”) and Fagen, Inc., a Minnesota corporation (the “Design-Builder”) (each
a “Party” and collectively, the “Parties”).

RECITALS

     A. The Owner desires to develop, construct, own and operate a fifty (50) million gallons per
year (“MGY”) dry grind ethanol production facility located at Jackson, Nebraska (the
“Plant”); and

     B. Design-Builder desires to provide design, engineering, procurement and construction
services for the Plant.

     NOW, THEREFORE, in consideration of the mutual covenants and obligations contained herein and
for other good and valuable consideration, Owner and Design-Builder agree as follows.

AGREEMENT

Article 1

Definitions; Rules of Interpretation

     1.1 Rules of Construction. The capitalized terms listed in this Article shall have the
meanings set forth herein whenever the terms appear in this Agreement, whether in the singular or
the plural or in the present or past tense. Other terms used in this Agreement but not listed in
this Article shall have meanings as commonly used in the English language and, where applicable, in
generally accepted construction and design-build standards of the fuel ethanol industry in the
Midwest United States. Words not otherwise defined herein that have well known and generally
accepted technical or trade meanings are used herein in accordance with such recognized meanings.
In addition, the following rules of interpretation shall apply:

	 	(a)	 	The masculine shall include the feminine and neuter.
	 
	 	(b)	 	References to “Articles,” “Sections,” “Schedules,” or “Exhibits” shall be to
Articles, Sections, Schedules or Exhibits of this Agreement.
	 
	 	(c)	 	This Agreement was negotiated and prepared by each of the Parties with the
advice and participation of counsel. The Parties have agreed to the wording of this
Agreement and none of the provisions hereof shall be construed against one Party on the
ground that such Party is the author of this Agreement or any part hereof.

     1.2 Defined Terms. In addition to definitions appearing elsewhere in this Agreement, the
following terms have the following meanings:

	 	 	 
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AAA is defined in Section 19.1.

Agreement is defined in the Preamble.

Air Emissions Tester means a third party entity engaged by Owner meeting all required state and
federal requirements for such testing entities, to conduct air emissions testing of the Plant in
accordance with Exhibit A.

Applicable Law means

	 	(a)	 	any and all laws, legislation, statutes, codes, acts, rules, regulations,
ordinances, treaties or other similar legal requirements enacted, issued or promulgated
by a Governmental Authority;
	 
	 	(b)	 	any and all orders, judgments, writs, decrees, injunctions, Governmental
approvals or other decisions of a Governmental Authority; and
	 
	 	(c)	 	any and all legally binding announcements, directives or published practices or
interpretations, regarding any of the foregoing in (a) or (b) of this definition,
enacted, issued or promulgated by a Governmental Authority;

to the extent, for each of the foregoing in (a), (b) and (c) of this definition, applicable to or
binding upon (i) a Party, its affiliates, its shareholders, its members, it partners or their
respective representatives, to the extent any such person is engaged in activities related to the
Project; or (ii) the property of a Party, its affiliates, its shareholders, its members, its
partners or their respective representatives, to the extent such property is used in connection
with the Project or an activity related to the Project.

Application for Payment is defined in Section 10.2.1.

As Built Plans is defined in Section 5.2.

Bankrupt Party is defined in Section 15.6.1.

Certificate of Substantial Completion is defined in Section 6.5.3.

Construction Documents is defined in Section 3.2.2.

Contract Documents is defined in Section 2.2.

Contract Price is defined in Section 9.1.

Damages is defined in Section 14.3.1.

Day or Days shall mean calendar days unless otherwise specifically noted in the Contract Documents.

Design-Builder is defined in the Preamble.

	 	 	 
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Design-Builder’s Representative is defined in Section 16.2.

Design-Builder’s Senior Representative is defined in Section 16.2.

Design Consultant is a qualified, licensed design professional that is not an employee of
Design-Builder, but is retained by Design-Builder, or employed or retained by anyone under contract
with Design-Builder or Subcontractor, to furnish design services required under the Contract
Documents.

Differing Site Conditions is defined in Section 11.2.1.

Early Completion Bonus is defined in Section 6.5.4.

Effective Date is defined in the Preamble.

Final Application for Payment is defined in Section 10.3.

Final Completion is defined in Section 6.6.2.

Final Completion Date is the date that is 90 Days after the Substantial Completion Date.

Final Payment is defined in Section 10.3.

Financial Closing means the execution of the Financing Documents by all the parties thereto, and
the fulfillment of all conditions precedent thereunder necessary to permit the advance of funds to
pay amounts due under this Agreement.

Financing Documents means the final loan documents with the lender or lenders providing financing
for the construction or term financing of the Plant.

Force Majeure Event is defined in Section 12.1.

Governmental Approvals are any material authorizations or permissions issued or granted by any
Governmental Authority to the Project, its Owner, the Design-Builder, Subcontractors and their
affiliates in connection with any activity related to the Project.

Governmental Authority means any federal, state, local or municipal governmental body; any
governmental, quasi-governmental, regulatory or administrative agency, commission, body or other
authority exercising or entitled to exercise any administrative, executive, judicial, legislative,
policy, regulatory or taxing authority or power; or any court or governmental tribunal; in each
case having jurisdiction over the Owner, the Design-Builder, the Project, or the Site.

Hazardous Conditions are any materials, wastes, substances and chemicals deemed to be hazardous
under applicable Legal Requirements, or the handling, storage, remediation, or disposal of which
are regulated by applicable Legal Requirements.

ICM is defined in Section 5.2.1.

	 	 	 
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ICM License Agreement means the license agreement to be executed between Owner and ICM, Inc.,
substantially in the form attached hereto as Exhibit D.

Indemnified Parties is defined in Section 5.2.

Independent Engineer means Owner’s and Lenders’ independent engineer.

Industry Wide Disruption is defined in Section 12.4.

Legal Requirements or Laws are all applicable federal, state and local statutes, laws, codes,
ordinances, rules, regulations, judicial decisions, orders, decrees, plans, injunctions, permits,
tariffs, governmental agreements and governmental restrictions, whether now or hereafter in effect,
of any government or quasi-government entity having jurisdiction over the Project or Site, the
practices involved in the Project or Site, or any Work, including any consensus standards for
materials, products, systems, and services established by ASTM International, any successor
organization thereto, or any Governmental Authority.

Lenders means the lenders that are party to the Financing Documents.

Lenders’ Agent means an agent or agents acting on behalf of the Lenders.

Manufacturer’s Warranty shall mean a warranty provided by the original manufacturer or vendor of
equipment used by Design-Builder in the Plant.

MGY is defined in the Recitals.

Notice to Proceed is defined in Section 6.3.

Oversight Items is defined in Section 4.3.

Owner is defined in the Preamble.

Owner Indemnified Parties is defined in Section 14.3.1.

Owner’s Representative is defined in Section 16.1.

Owner’s Senior Representative is defined in Section 16.1.

Pass Through Warranties mean any warranties provided to Design-Builder by a Subcontractor which
are assigned to Owner.

Pay Period means, with respect to a given Application for Payment or Progress Report, the one month
period following the last day of the previous Pay Period to which the immediately prior
Application for Payment or Progress Report is applied; provided that the initial Pay Period shall
commence on the date of delivery of the Notice to Proceed and end on the twenty fourth (24th) day
of the calendar month during which the Notice to Proceed is issued.

Performance Bond is defined in Section 7.4.1.

	 	 	 
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Performance Guarantee Criteria means the criteria listed in Exhibit A.

Performance Tests is defined in Section 7.2.1.

Phase I is defined in Exhibit C.

Phase II is defined in Exhibit C.

Plant is defined in the Recitals.

Preliminary Construction Documents is defined in Section 3.2.1.

Progress Report is defined in Section 3.8.

Project is defined in Section 2.1.

Project Scope is defined in Exhibit B.

Punch List is defined in Section 6.5.3.

Qualified Independent Expert means an expert retained by Owner and approved by Design-Builder
pursuant to Section 11.1.2.

Safety Representative is defined in Section 3.7.1.

Schedule of Values is defined in Section 10.2.5.

Scheduled Substantial Completion Date is defined in Section 6.5.1.

Site is the land or premises on which the Project is located.

Subcontractor is any person or entity retained by Design-Builder, or by any person or entity
retained directly or indirectly by Design-Builder, in each case as an independent contractor to
perform a portion of the Work and shall include materialmen and suppliers.

Substantial Completion is defined in Section 6.5.2.

Work is defined in Section 3.1.

Work Product is defined in Section 5.1.

Work Schedule is defined in Section 6.1.

	 	 	 
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Article 2

The Project

     2.1 Services to be Performed. Pursuant to this Agreement, Design-Builder shall perform all
work and services in connection with the engineering, design, procurement, construction startup,
testing and training for the operation and maintenance of the Plant, and provide all material,
equipment, tools and labor necessary to complete the Plant in accordance with the terms of this
Agreement. The Plant, together with all equipment, labor, services and materials furnished
hereunder is defined as the “Project.”

     2.2 Extent of Agreement. This Agreement consists of the following documents, and all
exhibits, schedules, appendices and attachments hereto and thereto (collectively, the “Contract
Documents”):

          2.2.1 All written modifications, amendments and change orders to this Agreement.

          2.2.2 This Agreement, including all exhibits and attachments, executed by Owner and
Design-Builder, including those below:

	 	 	 	 	 	 	 
	 	 	List of Exhibits
	 
	 	 	 	 	 	 
	 

	 	Exhibit A
	 	Performance Guarantee Criteria	 	 
	 

	 	Exhibit B
	 	General Project Scope	 	 
	 

	 	Exhibit C
	 	Owner’s Responsibilities	 	 
	 

	 	Exhibit D
	 	ICM License Agreement	 	 
	 

	 	Exhibit E
	 	Schedule of Values	 	 
	 

	 	Exhibit F
	 	Progress Report	 	 
	 

	 	Exhibit G
	 	Permits Required	 	 
	 

	 	Exhibit H
	 	Form of Performance Bond	 	 
	 

	 	Exhibit I
	 	Work Schedule and Owner’s Milestones	 	 
	 

	 	Exhibit J
	 	Preliminary Construction Documents	 	 
	 

	 	Exhibit K
	 	Draw (Payment) Schedule	 	 
	 

	 	Exhibit L
	 	Air Emissions Application or Permit	 	 
	 

	 	Exhibit M
	 	Phase I and Phase II Engineering Services Agreement	 	 

          2.2.3 Preliminary Construction Documents prepared by Design-Builder pursuant to Section 3.2.1
and the Construction Documents to be prepared by Design-Builder pursuant to Section 3.2.2 shall be
incorporated in this Agreement.

          2.3 Conflicting Provisions. In the event of any conflict or inconsistency between the body of
this Agreement and any Exhibit or Schedule hereto, the terms and provisions of this Agreement, as
amended from time to time, shall prevail and be given priority. Subject to the foregoing, the
several documents and instruments forming part of this Agreement are to be taken as mutually
explanatory of one another and in the case of ambiguities or discrepancies within or between such
parts the same shall be explained and interpreted, if possible, in a manner which gives effect to
each part and which avoids or minimizes conflicts among such parts. No oral

	 	 	 
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representations or
other agreements have been made by the Parties except as specifically stated in the Contract
Documents.

Article 3

Design-Builder Responsibilities

     3.1 Design-Builder’s Services in General. Except for services and information to be provided
by Owner and specifically set forth in Article 4 and Exhibit C, Design-Builder shall perform or
cause to be performed all design, engineering, procurement, construction services, supervision,
labor, inspection, testing, start-up, material, equipment, machinery, temporary utilities and other
temporary facilities to complete construction of the Project consistent with the Contract Documents
(the “Work”). All design and engineering and construction services and other Work of the
Design-Builder shall be performed in accordance with (i) the Project Scope as set forth in Exhibit
B, (ii) the Construction Documents, (iii) all Legal Requirements, and (iv) generally accepted
construction and design-build standards of the fuel ethanol industry in the Midwest United States.
Any design and engineering or other professional service to be performed pursuant to this
Agreement, which under Applicable Law must be performed by licensed personnel, shall be performed
by licensed personnel as required by Law. The enumeration of specific duties and obligations to be
performed by the Design-Builder under the Contract Documents shall not be construed to limit in any
way the general undertakings of the Design-Builder as set forth herein. Design-Builder’s
Representative shall be reasonably available to Owner and shall have the necessary expertise and
experience required to supervise the Work. Design-Builder’s Representative shall communicate
regularly with Owner and shall be vested with the authority to act on behalf of Design-Builder.

     3.2 Design Development and Services.

          3.2.1 As of the Effective Date, but in no event later than thirty (30) Days from the Effective
Date, Design-Builder has or shall have provided to Owner the following documents, and any other
documents reasonably agreed to by Design-Builder and Owner as applying to the conceptual design of
the Project and required to apply for the construction air permit or completion of the Site layout
in cooperation with Owner’s rail engineer (collectively, the “Preliminary Construction
Documents”), which shall be consistent with the Project Scope and once approved by Owner, shall
be part of this Agreement:

	 	(a)	 	major equipment lists, with sizes;
	 
	 	(b)	 	process flow diagram;
	 
	 	(c)	 	process design criteria and/or process description; and
	 
	 	(d)	 	Site layout.

Owner shall have thirty (30) days from the date it receives the Preliminary Construction Documents
to review and approve such documents. The Preliminary Construction Documents shall establish
performance standards for the completed Project and identify components required to meet those
performance standards. Any changes to the Preliminary Construction

	 	 	 
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Documents shall be subject to
the prior review and approval by Owner, such approval not to be unreasonably withheld or delayed.

          3.2.2 Where required by Law, Design-Builder shall provide through qualified, licensed design
professionals employed by Design-Builder, or procured from qualified, independent licensed Design
Consultants, the necessary design services, including architectural, engineering and other design
professional services, for the preparation of the required drawings, specifications and other
design submittals required to permit construction and completion of the Work in accordance with
this Agreement and the Preliminary Construction Documents (such drawings, specifications and design
submittals collectively and together with the Preliminary Construction Documents, the
“Construction Documents”). To the extent not prohibited by Legal Requirements,
Design-Builder may prepare Construction Documents for a portion of the Work to permit construction
to proceed on that portion of the Work prior to completion of the Construction Documents for the
entire Work.

          3.2.3 Construction of the Plant shall be consistent with the Construction Documents.

          3.2.4 Design-Builder shall maintain a current, complete set of drawings and specifications at
the Site. Owner shall the right to review such drawings and specifications. Owner and Independent
Engineer may not make copies of the available drawings and specifications without Design-Builder’s
written permission, and, granted such permission, may only do so to the extent such drawings and
specifications directly pertain to the Plant; provided however that, pursuant to Section 5.1 of
this Agreement, Design-Builder retains ownership of and property interests in any drawing or
specifications made available and/or copied.

          3.2.5 Except as provided elsewhere in this Agreement, it is understood and agreed that review,
comment and/or approval by Owner (or its designees) or Independent Engineer of any documents or
submittals that Design-Builder is required to submit to Owner (or its designees) or Independent
Engineer hereunder for their review, comment and/or approval (including without limitation the
Preliminary Construction Documents pursuant to Section 3.2.1 hereof or other Construction Documents
pursuant to Sections 3.2.2 and 3.2.4 hereof) shall not relieve or release Design-Builder from any
of its duties, obligations or liabilities provided for under the terms of this Agreement or
transfer any design liability from Design-Builder to Owner.

     3.3 Standard of Care. All services performed by the Design-Builder and its Subcontractors pursuant to the
Construction Documents shall be performed in accordance with the standard of care and skill
generally accepted in the fuel ethanol industry in the Midwest United States during the relevant
time period or in accordance with any of the practices, methods and acts that in the exercise of
reasonable judgment in light of the facts known at the time the decision was made, could have been
expected to accomplish the desired result at a reasonable cost consistent with good business
practices, safety and expedition. This standard of care is not intended to be limited to the
optimum practice, method or act to the exclusion of all others, but rather to be acceptable
practices, methods or acts generally accepted in the construction and design-build standards of the
fuel ethanol industry in the Midwest United States. Design-Builder and its Subcontractors shall
perform all construction activities efficiently and with the requisite expertise, skill,
competence, resources and care to satisfy the requirements of the Contract

	 	 	 
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Documents and all
applicable Legal Requirements. Design-Builder shall at all times exercise complete and exclusive
control over the means, methods, sequences and techniques of construction.

     3.4 Government Approvals and Permits. Except as identified in Exhibit C and, with respect to
items identified as Owner’s responsibility, in Exhibit G (which items shall be obtained by Owner
pursuant to Section 4.5), Design-Builder shall obtain and pay for all necessary permits, approvals,
licenses, government charges and inspection fees required for the prosecution of the Work by any
government or quasi-government entity having jurisdiction over the Project. Design-Builder shall
provide reasonable assistance to Owner in obtaining those permits, approvals and licenses that are
Owner’s responsibility.

     3.5 Subcontractors.

          3.5.1 Design-Builder may subcontract portions of the Work in accordance with the terms hereof.
Design-Builder shall employ only Subcontractors who are duly licensed and qualified to perform the
Work consistent with the Contract Documents.

          3.5.2 Design-Builder assumes responsibility to Owner for the proper performance of the Work of
Subcontractors and any acts and omissions in connection with such performance. Nothing in the
Contract Documents is intended or deemed to create any legal or contractual relationship between
Owner and any Subcontractor, including but not limited to any third-party beneficiary rights.

          3.5.3 Design-Builder shall coordinate the activities of all of Design-Builder’s
Subcontractors. If Owner performs other work on the Project or at the Site with separate
contractors under Owner’s control, Design-Builder agrees to reasonably cooperate and coordinate its
activities with those separate contractors so that the Project can be completed in an orderly and
coordinated manner without unreasonable disruption.

          3.5.4 Design-Builder shall ensure that each subcontract with a Subcontractor is assignable to
Owner without consent of the Subcontractor or any other person or entity in the
event that Design-Builder shall be in an uncured default or terminated with cause under the
terms of this Agreement.

     3.6 Maintenance of Site. Design-Builder shall keep the Site reasonably free from debris,
trash and construction wastes to permit Design-Builder to perform its construction services
efficiently, safely and without interfering with the use of adjacent land areas. Upon Substantial
Completion of the Work, or portion of the Work, as applicable, Design-Builder shall remove all
debris, trash, construction wastes, materials, equipment, machinery and tools arising from the Work
or applicable portions thereof to permit Owner to occupy the Project for its intended use.

     3.7 Project Safety.

          3.7.1 Design-Builder recognizes the importance of performing the Work in a safe manner so as
to prevent damage, injury or loss to (i) any individuals at the Site, whether working or visiting,
(ii) the Work, including materials and equipment incorporated into the Work

	 	 	 
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or stored on-Site or
off-Site, and (iii) any other property at the Site or adjacent thereto. Design-Builder assumes
responsibility for implementing and monitoring all safety precautions and programs related to the
performance of the Work. Design-Builder shall, prior to commencing construction, designate a
representative (the “Safety Representative”) with the necessary qualifications and
experience to supervise the implementation and monitoring of all safety precautions and programs
related to the Work. Unless otherwise required by the Contract Documents, Design-Builder’s Safety
Representative shall be an individual stationed at the Site who may have responsibilities on the
Project in addition to safety. The Safety Representative shall make routine daily inspections of
the Site and shall hold weekly safety meetings with Design-Builder’s personnel, Subcontractors and
others as applicable.

          3.7.2 Design-Builder and Subcontractors shall comply with all Legal Requirements relating to
safety, as well as any Owner-specific safety requirements set forth in the Contract Documents;
provided, that such Owner-specific requirements do not violate any applicable Legal Requirement.
As promptly as practicable, Design-Builder will report in writing any safety-related injury, loss,
damage or accident arising from the Work to Owner’s Representative and, to the extent mandated by
Legal Requirements, to all government or quasi-government authorities having jurisdiction over
safety-related matters involving the Project or the Work.

          3.7.3 Design-Builder’s responsibility for safety under this Section 3.7 is not intended in any
way to relieve Subcontractors of their own contractual and legal obligations and responsibility for
(i) complying with all Legal Requirements, including those related to health and safety matters,
and (ii) taking all necessary measures to implement and monitor all safety precautions and programs
to guard against injury, losses, damages or accidents resulting from their performance of the Work.

     3.8 Submission of Reports. Design-Builder shall provide Owner with regular communication (no less frequently than
monthly) regarding the progress (“Progress Report”) and any revisions to the drawings and
specifications of the Work, including whether (i) the Work is proceeding according to schedule,
(ii) discrepancies, conflicts, or ambiguities exist in the Contract Documents that require
resolution, (iii) health and safety issues exist in connection with the Work, and (iv) other items
require resolution so as not to jeopardize Design-Builder’s ability to complete the Work for the
Contract Price and within the contract time(s). Progress Reports shall be in the form of Exhibit F
attached hereto.

     3.9 Training. At a mutually agreed time prior to start-up, Design-Builder shall provide two
(2) weeks of training at a plant in Russell, Kansas (or other location) for all of Owner’s
employees required for the operation and maintenance of the Plant in accordance with all design
specifications therefor contained in the Contract Documents and necessary in order to maintain the
Performance Guarantee Criteria, including operators, laboratory personnel, general, plant and
maintenance managers. Other personnel of Owner may receive such off-site training by separate
arrangement between Owner and Design-Builder and as time is available. All training personnel and
costs associated with such training personnel, including labor and all training materials will be
provided to Owner within the Contract Price at no additional cost. Owner will be responsible for
all travel and expenses of their employees and the Owner will pay all wages and all other expenses
for their personnel during the training. The training services will include

	 	 	 
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training on computers,
laboratory procedures, field operating procedures, and overall plant section performance
expectations. Prior to the start-up training, Design-Builder shall provide Owner training manuals
and operating manuals and other documents reasonably necessary for the start-up process.

Article 4

Owner’s Responsibilities

     4.1 Duty to Cooperate.

          4.1.1 Owner shall, throughout the performance of the Work, cooperate with Design-Builder and
perform its responsibilities, obligations and services in a timely manner to facilitate
Design-Builder’s timely and efficient performance of the Work and so as not to delay or interfere
with Design-Builder’s performance of its obligations under the Contract Documents.

          4.1.2 Owner shall provide timely review and approval of Preliminary Construction Documents
subject to Section 3.2.1.

          4.1.3 Owner shall have no responsibility for any winter construction related activities,
including but not limited to, special material costs, sheltering, heating, and equipment rental,
except Owner shall pay all the reasonable costs incurred by Design-Builder for frost removal so
that winter construction can proceed. Such costs may include but are not limited to, equipment
costs, equipment rental costs, and associated labor costs. Owner acknowledges and agrees that such
costs are in addition to, and not included in, the Contract Price.

     4.2 Furnishing of Services and Information.

          4.2.1 Prior to the issuance of the Notice to Proceed, Owner shall provide to Design-Builder,
at Owner’s own cost and expense, for Design-Builder’s information and use, the following, all of
which Design-Builder is entitled to rely upon in performing the Work:

	 	(a)	 	surveys describing the property, boundaries, topography and reference points
for use during construction, including existing service and utility lines;
	 
	 	(b)	 	geotechnical studies describing subsurface conditions including soil borings,
and other surveys describing other latent or concealed physical conditions at the Site;
	 
	 	(c)	 	temporary and permanent easements, zoning and other requirements and
encumbrances affecting land use, or necessary to permit the proper design and
construction of the Project and enable Design-Builder to perform the Work;
	 
	 	(d)	 	A legal description of the Site;
	 
	 	(e)	 	to the extent available, as-built and record drawings of any existing
structures at the Site;

	 	 	 
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	 	(f)	 	environmental studies, reports and impact statements describing the
environmental conditions, including Hazardous Conditions, in existence at the Site;

          4.2.2 Owner shall provide to Design-Builder all Owner’s deliverables under Exhibit C pursuant
to Owner’s Milestones. Such deliverables shall be provided, at Owner’s own cost and expense, for
Design-Builder’s information and use. Design-Builder is entitled to rely upon such deliverables in
performing the Work.

          4.2.3 Owner is responsible for securing and executing all necessary agreements with adjacent
land or property owners that are necessary to enable Design-Builder to perform the Work and that
have been identified and notified in writing by Design-Builder to Owner prior to the Effective
Date. Owner is further responsible for all costs, including attorneys’ fees, incurred in securing
these necessary agreements.

     4.3 Financial Information; Cooperation with Lenders; Failure to Obtain Financial Closing.
Design-Builder acknowledges that Owner is seeking financing for the Project. Design-Builder agrees
to cooperate with Owner in good faith in order to satisfy the requirements of Owners’ financing
arrangements, including, where appropriate, the execution and delivery of documents or instruments
necessary to accommodate the Financial Closing. Owner agrees to pay all documented costs incurred
by Design-Builder incurred prior to and at Financial Closing,
and thereafter during the term of this Agreement, in connection with satisfying the
requirements of Owners’ financing arrangements including all documented attorney’s fees, and
Design-Builder shall provide written Notice to Owner prior to incurring such costs. Design-Builder
and Owner also acknowledge that the Lenders, as a condition to providing financing for the Plant,
shall require Owner to provide the Independent Engineer with certain participation and review
rights with respect to Design-Builder’s performance of the Work. Design-Builder acknowledges and
agrees that such participation and review rights shall consist of the right to (i) enter the Site
and inspect the Work upon reasonable notice to Design-Builder; (ii) attend all start-up and testing
procedures; and (iii) review and approve such other items for which Owner is required by Lenders to
obtain the concurrence, opinion or a certificate of the Independent Engineer or the Lenders
pursuant to the Financing Documents which items do not alter the rights or impose additional
obligations on Design-Builder (collectively, the “Oversight Items”). Nothing in this
Section 4.3 shall be deemed to require Design-Builder to agree to any amendments to this Agreement
that would adversely affect Design-Builder’s risks, rights or obligations under this Agreement.
Upon Financial Closing, Owner shall promptly provide to Design-Builder an officer’s certificate
certifying that Financial Closing has occurred and such Owner’s officer’s certificate shall
constitute evidence satisfactory to Design-Builder that Owner has adequate funds available and
committed to fulfill its obligations under the Contract Documents for all purposes hereunder.
Owner must obtain Financial Closing prior to issuing the Notice to Proceed.

     4.4 Owner’s Representative. Owner’s Representative, as set forth in Section 16.1 hereof,
shall be responsible for providing Owner-supplied information and approvals in a timely manner to
permit Design-Builder to fulfill its obligations under the Contract Documents.

	 	 	 
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Owner’s
Representative shall also provide Design-Builder with prompt notice if it observes any failure on
the part of Design-Builder to fulfill its contractual obligations, including any errors, omissions
or defects in the performance of the Work. Owner’s Representative shall be vested with the
authority to act on behalf of Owner and Design-Builder shall be entitled to rely on written
communication from Owner’s Representative with respect to a Project matter.

     4.5 Government Approvals and Permits. Owner shall obtain and pay for all necessary
Governmental Approvals required by Law, including permits, approvals, licenses, government charges
and inspection fees set forth in Exhibit C and, to the extent identified as Owner’s responsibility,
Exhibit G. Owner shall provide reasonable assistance to Design-Builder in obtaining those permits,
approvals and licenses that are Design-Builder’s responsibility pursuant to Exhibits G and Section
3.4.

     4.6 Owner’s Separate Contractors. Owner is responsible for all work, including such work
listed on Exhibit C, performed on the Project or at the Site by separate contractors under Owner’s
control. Owner shall contractually require its separate contractors to cooperate with, and
coordinate their activities so as not to interfere with, Design-Builder in order to enable
Design-Builder to timely complete the Work consistent with the Contract Documents.

     4.7 Security.

          4.7.1 Owner shall be responsible for Site security (including fencing, alarm systems, security
guarding services and the like) at all times during the term of this Agreement to prevent
vandalism, theft and danger to the Project, the Site, and personnel. Owner shall coordinate and
supervise ingress and egress from the Site so as to minimize disruption to the Work.

          4.7.2 Design-Builder shall at all times conduct its operations in a manner to minimize the
risk of loss, theft, or damage by vandalism, sabotage, or any other means. Design-Builder shall
continuously inspect all Work, materials, and equipment to discover and determine any conditions
that might involve such risks and shall be solely responsible for discovery, determination, and
correction of any such conditions.

Article 5

Ownership of Work Product; Risk of Loss

     5.1 Work Product. All drawings, specifications, calculations, data, notes and other materials
and documents, including electronic data furnished by Design-Builder to Owner under this Agreement
(“Work Product”) shall be instruments of service and Design-Builder shall retain the
ownership and property interests therein, including the copyrights thereto.

     5.2 Owner’s Limited License Upon Payment in Full. Upon Owner’s payment in full for all Work
performed under the Contract Documents, Design-Builder shall grant Owner a limited license to use
the Work Product in connection with Owner’s use, operation, occupancy and repair of the Plant.
Design-Builder acknowledges and agrees that the limited license to use the Work Product granted
hereby shall provide Owner sufficient rights in and to the Work Product as shall be necessary for
Owner to operate and maintain the Plant and shall include any

	 	 	 
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Pass Through Warranties in connection
therewith. Design-Builder shall provide Owner with a copy of the plans of the Plant, as built,
(the “As Built Plans”) conditioned on Owner’s express understanding that its use of the
Work Product and its acceptance of the As Built Plans is at Owner’s sole risk and without liability
or legal exposure to Design-Builder or anyone working by or through Design-Builder, including
Design Consultants of any tier (collectively the “Indemnified Parties”); provided, however,
that any performance guarantees, and warranties (of equipment or otherwise) shall remain in effect
according to the terms of this Agreement.

          5.2.1 Owner shall be entitled to use the Work Product solely for purposes relating to the
Plant, but shall not be entitled to use the Work Product for any other purposes whatsoever,
including without limitation, expansion of the Plant. Notwithstanding the foregoing sentence,
Owner shall be entitled to use the Work Product for the operation, maintenance and repair of the
plant including the interconnection of, but not the design of, any future expansions to the Plant.
The limited license granted to Owner under Sections 5.2, 5.3 or 5.4 to use the Work Product shall
be limited by and construed according to the same terms contained in the ICM
License Agreement between Owner and ICM, Inc., attached hereto as Exhibit D and incorporated
herein by reference thereto, except (i) references in such ICM License Agreement to ICM and
Proprietary Property shall refer to Design-Builder and Work Product, respectively, (ii) the Laws of
the State of Minnesota shall govern such limited license, and (iii) the dispute resolution
provisions contained in Article 19 hereof shall apply to any breach or threatened breach of Owner’s
duties or obligations under such limited license, except that Design-Builder shall have the right
to seek injunctive relief in a court of competent jurisdiction against Owner or its Representatives
for any such breach or threatened breach. Design-Builder is utilizing certain proprietary property
and information of ICM, Inc., a Kansas corporation (“ICM”), in the design and construction
of the Project, and Design-Builder may incorporate proprietary property and information of ICM into
the Work Product. Owner’s use of the proprietary property and information of ICM shall be governed
by the terms and provisions of the License Agreement between Owner and ICM, attached hereto as
Exhibit D, to be executed by such parties in connection with the execution of this Agreement. This
paragraph also applies to Articles 5.3 and 5.4 below.

     5.3 Owner’s Limited License Upon Owner’s Termination for Convenience or Design-Builder’s
Election to Terminate. If Owner terminates the Project for its convenience as set forth in Section
15.3 hereof, or if Design-Builder elects to terminate this Agreement in accordance with Section
15.5, Design-Builder shall, upon Owner’s payment in full of the amounts due Design-Builder under
this Agreement, grant Owner a limited license to use the Work Product to complete the Plant and
subsequently occupy and repair the Plant, subject to the following:

	 	(a)	 	Use of the Work Product is at Owner’s sole risk without liability or legal
exposure to any Indemnified Party; provided, however, that any Pass Through Warranties
regarding equipment or express warranties regarding equipment provided by this
Agreement shall remain in effect according to their terms; and
	 
	 	(b)	 	If the termination for convenience is by Owner in accordance with Section 15.3
hereof, or if Design-Builder elects to terminate this Agreement in accordance with
Section 15.5, then Owner agrees to pay Design-Builder the additional sum of One

	 	 	 
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Million
Two Hundred Thousand Dollars ($1,200,000.00) as compensation for the limited right to
use the Work Product completed “as is” on the date of termination in accordance with
this Article 5.

     5.4 Owner’s Limited License Upon Design-Builder’s Default. If this Agreement is terminated
due to Design-Builder’s default pursuant to Section 15.2 and (i) it is adjudged that Design-Builder
was in default, and (ii) Owner has fully satisfied all of its obligations under the Contract
Documents through the time of Design-Builder’s default, then Design-Builder shall grant Owner a
limited license to use the Work Product in connection with Owner’s completion and occupancy and
repair of the Plant. This limited license is conditioned on Owner’s express agreement that its use
of the Work Product is at Owner’s sole risk without liability or legal exposure to any Indemnified
Party; provided, however, that any Pass Through Warranties regarding equipment or express
warranties regarding equipment provided by this
Agreement shall remain in effect according to their terms. This limited license grants Owner
the ability to repair the Plant at Owner’s discretion.

     5.5 Owner’s Indemnification for Use of Work Product. If Owner uses the Work Product or Plant
under any of the circumstances identified in this Article 5, to the fullest extent allowed by Law,
Owner shall defend, indemnify and hold harmless the Indemnified Parties from and against any and
all claims, damages, liabilities, losses and expenses, including attorneys’ fees, arising out of or
resulting from the use of the Work Product and Plant; provided, however, that any Pass Through
Warranties regarding equipment or express warranties regarding equipment provided by this Agreement
shall remain in effect according to their terms.

     5.6 Risk of Loss. Design-Builder shall have no liability for a physical loss of or damage to
the Work unless such loss or damage is caused by Design-Builder or someone acting under its
direction or control. Design-Builder shall not be liable for physical loss of or damage to the Work
where such loss or damage is caused by the willful misconduct or gross negligence of Owner’s
employees or third parties who are not Subcontractors. Design-Builder shall have no liability for
losses or damages for which insurance coverage under this Agreement is available to Owner; in such
circumstances, Design Builder’s liability for losses and damages as described in this Section 5.6
shall be limited to losses or damages which exceed insurance coverage available to the Owner.

Article 6

Commencement and Completion of the Project

     6.1 Work Schedule. The preliminary schedule for the execution of the Work is attached as
Exhibit I hereto (the “Work Schedule”). The final schedule for execution of the Work shall
be provided within thirty (30) Days after receipt of the Notice to Proceed. The Work Schedule
provides the scheduled dates for the commencement and completion of the various stages of Work,
including the dates when Owner’s obligations are required to be complete to enable Design-Builder
to achieve the contract time(s). The Work Schedule shall be revised as required by conditions and
progress of the Work but such revisions shall not relieve Design-Builder of its obligations to
complete the Work within the contract time(s), unless such revisions to the Work Schedule are
required as a result of any delay in the completion of Owner’s

	 	 	 
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obligations or as a result of a
Force Majeure Event. In such event, the Work Schedule shall be revised to provide, without penalty
to Design-Builder, a Day-for-Day extension of the contract time(s) for completion of the Work for
each Day during which Owner’s failure to complete its obligations or a Force Majeure Event causes
such delay.

     6.2 Phase I and Phase II Engineering. Owner and Design-Builder have entered into that certain
Phase I and Phase II Engineering Services Agreement dated September 28, 2005 and attached hereto as
Exhibit M. The Phase I and Phase II Engineering Services Agreement provides for Design-builder to
commence work on the Phase I and Phase II engineering for the Project as set forth therein. Owner
has agreed to pay Design-Builder Ninety-Two Thousand Five hundred Dollars ($92,500.00) for such
engineering services pursuant to the terms of that agreement, the full amount of which shall be
included in and credited to the Contract Price. Notwithstanding the foregoing sentence, if a
Notice to Proceed is not issued pursuant to Section 6.2, or Financial Closing is not obtained
pursuant to Section 4.3, then Design-Builder shall keep the full amount paid under the Phase I and
Phase II Engineering Services Agreement as compensation for the services provided thereunder.

     6.3 Notice to Proceed; Commencement. The Work shall commence within five (5) Days of
Design-Builder’s receipt of Owner’s written valid notice to proceed (“Notice to Proceed”)
unless the Parties mutually agree otherwise in writing. The Parties agree that a valid Owner’s
Notice to Proceed cannot be given until: [*] Design-Builder must receive a valid Owner’s Notice to
Proceed within one hundred and eighty (180) Days of the Effective Date; otherwise, the Contract
Price referred to in Section 9.1 is shall be subject to a price increase, or this Agreement shall
terminate, either at Design-Builder’s sole option. If Design-Builder chooses to terminate this
Agreement pursuant to its right under the immediately preceding sentence, then Design-Builder shall
have no further obligations hereunder.

     6.4 Project Start-Up and Testing. Owner shall provide, at Owner’s cost, equipment, tools,
instruments and materials necessary for Owner to comply with its obligations under Exhibit C, raw
materials, consumables and personnel, necessary for start-up and testing of the Plant, and
Design-Builder shall provide supervision, standard and special test instruments, tools, equipment
and materials required to perform component and equipment checkout and testing, initial start-up,
operations supervision and corrective maintenance of all permanent Plant equipment within the scope
of the Work. Notwithstanding the foregoing sentence, Design-Builder shall be responsible for raw
materials and consumables to the extent such amounts provided by Owner are destroyed or damaged (as
opposed to consumed in the ordinary course of

	 	 	 
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[*] Portion
omitted pursuant to a request for confidential treatment and filed
separately with the Securities and Exchange Commission.

 

 

start-up and testing) by Design-Builder or its
personnel during start-up and testing. Design-Builder shall supervise and direct Owner’s personnel
who shall participate in the start-up activities with Design-Builder’s personnel to become familiar
with all aspects of the Plant. Owner and the Independent Engineer may witness
start-up and testing activities. Performance testing will be conducted in accordance with the
provisions of Section 7.2 hereof.

     6.5 Substantial Completion.

          6.5.1 Substantial Completion of the entire Work shall be achieved no later than Four Hundred
and Eighty Five (485) Days after the date of the Notice to Proceed, subject to adjustment in
accordance with the Contract Documents hereof (the “Scheduled Substantial Completion
Date”).

          6.5.2 “Substantial Completion” shall be deemed to occur on the date on which the Work is
sufficiently complete so that Owner can occupy and use the Plant for its intended purposes.
Substantial Completion shall be attained at the point in time when the Plant is ready to grind corn
and begin operation for its intended use as a 50 MGY fuel ethanol production plant.

          6.5.3 Procedures. Design-Builder shall notify Owner in writing when it believes Substantial
Completion has been achieved with respect to the Work. Within five (5) Days of Owner’s receipt of
Design-Builder’s notice, Owner and Design-Builder will jointly inspect such Work to verify that it
is substantially complete in accordance with the requirements of the Contract Documents. If such
Work is deemed substantially complete, Design-Builder shall prepare and Owner and Design-Builder
shall signed, which signature shall not be unreasonable withheld, a “Certificate of Substantial
Completion” for the Work that will set forth (i) the date of Substantial Completion, (ii) the
remaining items of Work that have to be completed before Final Payment (“Punch List”),
(iii) provisions (to the extent not already provided in this Agreement) establishing Owner’s and
Design-Builder’s responsibility for the Project’s security, maintenance, utilities and insurance
pending Final Payment, and (iv) an acknowledgment that warranties with respect to the Work commence
on the date of Substantial Completion, except as may otherwise be noted in the Certificate of
Substantial Completion. Upon Substantial Completion of the entire Work and satisfaction of the
Performance Guarantee Criteria listed in Exhibit A, Owner shall release to Design-Builder all
retained amounts relating, as applicable, to the entire Work or completed portion of the Work, less
an amount equal to the reasonable value of all remaining or incomplete items of Work as noted in
the Certificate of Substantial Completion, and less an amount equal to the value of any
Subcontractor lien waivers not yet obtained.

	 	(a)	 	Owner, at its option, may use a portion of the Work prior to completion of the
entire Work; provided, that (i) a Certificate of Substantial completion has been issued
for the portion of Work addressing the items set forth in Section 6.4.3 above, (ii)
Design-Builder and Owner have, to the extent required, obtained the consent of their
sureties and insurers and the appropriate Governmental Authorities having jurisdiction
over the Project, and (iii) Owner and Design-Builder agree that Owner’s use or
occupancy will not interfere with Design-Builder’s completion of the remaining Work in
accordance with the Contract Documents.

	 	 	 
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          6.5.4 Early Completion Bonus. If Substantial Completion is attained within four hundred and
eighty-five (485) Days after the date of the Notice to Proceed, Owner shall pay Design-Builder at
the time of Final Payment under Section 10.3 hereof an early completion bonus (“Early
Completion Bonus”) of [*] per Day for each Day that Substantial Completion occurred in advance
of said four hundred and eighty-five (485) Days.

 

			
	*	 	Portion omitted pursuant to a request for confidential treatment and filed separately with the
Securities and Exchange Commission.

          6.5.5 In all events, payment of said bonus, if applicable, at the time of Final Payment is
subject to release of funds by senior lender. If senior lender does not allow release of funds at
the time of Final Payment to pay said early completion bonus in full, any unpaid balance shall be
converted to an unsecured promissory note payable by Owner to Design-Builder, accruing interest at
ten percent (10%). On each anniversary of the note, any unpaid accrued interest shall be converted
to principal and shall accrue interest as principal thereafter. Owner shall pay said promissory
note as soon as allowed by senior lender; in any event, the note, plus accrued interest, shall be
paid in full before Owner pays or makes any distributions to or for the benefit of its owners
(shareholders, members, partners, etc.). All payments shall be applied first to accrued interest
and then to principal.

     6.6 Final Completion.

          6.6.1 Final Completion of the Work shall be achieved as expeditiously as reasonably
practicable, but in no event later than Ninety (90) Days after the date of Substantial Completion.

          6.6.2 “Final Completion” shall be achieved when the Owner reasonably determines that the
following conditions have been met:

	 	(a)	 	Substantial Completion has been achieved;
	 
	 	(b)	 	any outstanding amounts owed by Design-Builder to Owner have been paid in full;
	 
	 	(c)	 	the items identified on the Punch List have been completed by Design-Builder;
	 
	 	(d)	 	clean-up of the Site has been completed;
	 
	 	(e)	 	all permits required to have been obtained by Design-Builder have been
obtained;
	 
	 	(f)	 	the information in Section 6.6.4 has been provided to Owner;
	 
	 	(g)	 	certificates of insurance confirming that required coverages will remain in
effect consistent with the requirements of the Contract Documents have been obtained;

	 	 	 
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	 	(h)	 	release and waiver of all claims and liens from Design-Builder and
Subcontractors have been provided; and
	 
	 	(i)	 	the Performance Tests have been successfully completed.

          6.6.3 After receipt of a Final Application for Payment from Design-Builder, Owner shall make
Final Payment in accordance with Section 10.3, less an amount equal to the value of any
Subcontractor lien waivers not yet obtained.

          6.6.4 at the time of submission of its Final Application for Payment, Design-Builder shall
provide the following information:

	 	(a)	 	an affidavit that there are no claims, obligations or liens outstanding or
unsatisfied for labor, services, material, equipment, taxes or other items performed,
furnished or incurred for or in connection with the Work which will in any way affect
Owner’s interests;
	 
	 	(b)	 	a general release executed by Design-Builder waiving, upon receipt of final
payment by Design-Builder, all claims for payment, additional compensation, or damages
for delay, except those previously made to Owner in writing and remaining unsettled at
the time of Final Payment provided such general release shall not waive defenses to
claims that may be asserted by Owner after payment or claims arising after payment;
	 
	 	(c)	 	consent of Design-Builder’s surety, if any, to Final Payment;
	 
	 	(d)	 	a hard copy of the As Built Plans; provided, however, that such plans will
remain the Work Product of the Design-Builder and subject in all respects to Article 5;
and
	 
	 	(e)	 	all operating manuals and warranties required by the Contract Documents.

          6.6.5 Upon making Final Payment, Owner waives all claims against Design-Builder except claims
relating to (i) Design-Builder’s failure to satisfy its payment obligations, (ii) Design-Builder’s
failure to complete the Work consistent with the Contract Documents, including defects appearing
within one year after Substantial Completion, and (iii) the terms of any warranties required by the
Contract Documents.

     6.7 Post Completion Support. Adequate personnel to complete all Work within the Work
Schedule will be maintained on-Site by Design-Builder or a Subcontractor until Final Completion has
been achieved. In addition to prosecuting the Work until Final Completion has been achieved,
Design-Builder or its Subcontractor will provide one month of on-Site operational support for
Owner’s personnel after successful completion of the Performance Tests and, from the date of
Substantial Completion, will provide six (6) months of off-Site technical and operating procedure
support by telephone and other electronic data transmission and communication.

	 	 	 
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Article 7

Performance Testing and Liquidated Damages

     7.1 Performance Guarantee. The Design-Builder guarantees that the Plant will meet the
performance criteria listed in Exhibit A (the “Performance Guarantee Criteria”) during a
performance test conducted and concluded pursuant to the terms hereof not later than Ninety (90)
Days after the date of Substantial Completion. If there is a performance shortfall, Design-Builder
shall take all actions as necessary to remedy the deficiencies that prevented the successful
completion of the performance tests and will pay all design and construction costs associated with
making the necessary corrections. Design-Builder retains the right to use its sole discretion in
determining the method (which shall be in accordance with generally accepted construction and
design-build standards of the fuel ethanol industry in the Midwest United States) to remedy any
performance related issues.

          7.1.1 If Owner, for whatever reason, prevents Design-Builder from demonstrating the
Performance Guarantee Criteria within thirty (30) Days of Design-Builder’s notice that the Plant is
ready for Performance Testing, then Design-Builder shall be excused from demonstrating compliance
with the Performance Guarantee Criteria during such period of time that Design-Builder is prevented
from demonstrating compliance with the Performance Guarantee Criteria; provided however that
Design-Builder will be deemed to have fulfilled all of its obligations to demonstrate that the
Plant meets the Performance Guarantee Criteria should such period of time during which
Design-Builder is prevented from demonstrating the Performance Criteria exceed thirty (30) Days or
extend ninety (90) days beyond Substantial Completion.

     7.2 Performance Testing. The Design-Builder shall direct and supervise the tests and,
if necessary, the retests of the Plant using Design-Builder’s supervisory personnel and the Air
Emissions Tester shall conduct the air emissions test, in each case, in accordance with the testing
procedures set forth in Exhibit A (the “Performance Tests”), to demonstrate, at a minimum,
compliance with the Performance Guarantee Criteria. Design-Builder shall cooperate with the Air
Emissions Tester to facilitate performance of all air emissions tests. To the extent that Owner’s
employees, or third parties that are not Subcontractors, are involved in the Performance Testing
and conducting the Performance Tests pursuant to the direction of the Design-Builder, the failure
of such third parties or Owner’s employees to properly follow the directions of the Design-Builder
in conducting the Performance Tests, except in instances of the willful misconduct or gross
negligence of such third parties or Owner’s employees, shall not relieve the Design-Builder of its
obligation to meet the Performance Tests. Design-Builder shall not be held responsible for the
willful misconduct or gross negligence of Owner’s employees and third parties involved in the
Performance Testing.

          7.2.2 No later than thirty (30) Days prior to the earlier of the Scheduled Substantial
Completion Date or Substantial Completion, Design-Builder shall provide to Owner for review a
detailed testing plan for the Performance Tests (other than for air emissions).
Owner and Design-Builder shall agree upon a testing plan that shall be consistent with the
Performance Test Protocol contained in Exhibit A hereto. After such agreement has been reached,
Design-Builder shall notify the Owner five (5) business days prior to the date Design-Builder
intends to commence the Performance Tests and shall notify the Owner upon

	 	 	 
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commencement of the
Performance Tests. Owner and Independent Engineer each have the right to witness all testing,
including the Performance Tests and any equipment testing, whether at the Site or at the
Subcontractor’s or equipment supplier’s premises during the course of this Agreement.
Notwithstanding the foregoing sentence, Owner shall bear the costs of providing a witness to any
such testing and all such witnesses shall comply at all times with Design-Builder’s,
Subcontractor’s or equipment supplier’s safety and security procedures and other reasonable
requirements, and otherwise conduct themselves in a manner that does not interfere with
Design-Builder’s, Subcontractor’s or equipment supplier’s activities or operations.

          7.2.3 Design-Builder shall provide to Owner a performance test report (excluding results from
air emissions testing), including all applicable test data, calculations and certificates
indicating the results of the Performance Tests and, within five (5) business days of Owner’s
receipt of such results, Owner, Independent Engineer and Design-Builder will jointly inspect such
Work and review the results of the Performance Tests to verify that the Performance Guarantee
Criteria have been met. If Owner or Independent Engineer reasonably determines that the
Performance Guarantee Criteria have not been met, Owner shall notify Design-Builder the reasons why
Owner determined that the Performance Guarantee Criteria have not been met and Design-Builder shall
promptly take such action or perform such additional work as will achieve the Performance Guarantee
Criteria and shall issue to the Owner another notice in accordance with Section 7.2.2; provided
however that if the notice relates to a retest, the notice may be provided no less than two (2)
business days prior to the Performance Tests. Such procedure shall be repeated as necessary until
Owner and Independent Engineer verifies that the Performance Guarantee Criteria have been met.

     7.3 Liquidated Damages. Design-Builder understands that if Substantial Completion is not
attained by the Scheduled Substantial Completion Date, Owner will suffer damages which are
difficult to determine and accurately specify. Design-Builder agrees that if Substantial
Completion is not attained by the Scheduled Substantial Completion Date, Design-Builder shall pay
Owner as Liquidated Damages [*] per Day for each Day that Substantial Completion occurs after the
Scheduled Substantial Completion Date. Owner, at its discretion, may elect to offset any such
liquidated damages from any retainage. Liquidated damages shall be paid by Design-Builder by the
15th Day of the month following the month in which the liquidated damages were incurred. The
liquidated damages provided herein shall be in lieu of all liability for any and all extra costs,
losses, loss of profits, expenses, claims, penalties and any other damages, whether special or
consequential, and of whatsoever nature incurred by Owner which are occasioned solely by any delay
in achieving Substantial Completion.

 

			
	*	 	Portion omitted pursuant to a request for confidential treatment and filed separately with the
Securities and Exchange Commission.

          7.3.1 The liquidated damages provided herein shall be in lieu of all liability for any and all
extra costs, losses, loss of profits, expenses, claims, penalties and any other damages, whether
special or consequential, and of whatsoever nature incurred by Owner which arise solely due to a
delay in achieving Final Completion by the Final Completion Date; provided that such liquidated
damages shall not in any way detract from or limit Owner’s remedies or Design-Builder’s liabilities
in connection with any default by Design-Builder under Section 15.2 hereof.

	 	 	 
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          7.3.2 Design-Builder shall not be liable for liquidated damages during any period of time for
which an extension of the Scheduled Substantial Completion Date and/or Final Completion Date is
available pursuant to Article 12.

     7.4 Bonds and Other Performance Security.

          7.4.1 If requested by Owner, on or prior to the date of Financial Closing the Design-Builder
shall deliver to Owner a bond substantially in the form attached as Exhibit H (the “Performance
Bond”) in an initial amount equivalent to the Contract Price. Owner shall pay on the date of
Financial Closing all costs of obtaining such bond, plus pay Design-Builder a fee of seven and
one-half percent (7.5%) for obtaining such bond, such fee to be calculated by multiplying seven
and one-half percent (7.5%) times the cost of the Performance Bond. Any amounts payable to the
surety due to Design-Builder’s default under this Agreement or the Performance Bond shall be for
the account of Design-Builder.

	 	(a)	 	Design-Builder shall post additional bonds or security (which must be in form
and substance satisfactory to Owner and the Lenders) or shall increase the amount of
the Performance Bond by the amount of any increases to the Contract Price; provided,
however, that Owner shall pay all costs of obtaining such bonds or security, plus pay
Design-Builder a fee of seven and one-half percent (7.5%) for obtaining such bonds or
security, such fee to be calculated by multiplying seven and one-half percent (7.5%)
times the cost of the bonds or security.
	 
	 	(b)	 	The Performance Bond shall secure the Design-Builder’s obligations to complete
the Work in accordance with this Agreement.

	 	 	 
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Article 8

Warranties

     8.1 Design-Builder Warranty. Design-Builder warrants to Owner that the construction,
including all materials and equipment furnished as part of the construction, shall be new, of good
quality, in conformance with the Contract Documents and all Legal Requirements, free of defects in
materials and workmanship. Design-Builder’s warranty obligation excludes defects caused by abuse,
alterations, or failure to maintain the Work by persons other than Design-Builder or anyone for
whose acts Design-Builder may be liable. Nothing in this warranty is intended to limit any
Manufacturer’s Warranty which provides Owner with greater warranty rights than set forth in
this Section 8.1 or the Contract Documents. Design-Builder will provide to Owner all
manufacturers’ and Subcontractors’ warranties upon the earlier of Substantial Completion or
termination of this Agreement. Owner’s failure to comply with all Operating Procedures shall void
those guarantees, representations and warranties, whether expressed or implied, that were given by
Design-Builder to Owner, concerning the performance of the Plant that are reasonably determined by
Design-Builder to be affected by such failure. If Design-Builder reasonably determines that all
damage caused by such failure can be repaired and Owner makes all repairs needed to correct such
damage, as reasonably determined by Design-Builder, all guarantees, representations and warranties
shall be reinstated for the remaining term thereof, if any, from the date of the repair.

     8.2 Correction of Defective Work.

          8.2.1 Design-Builder agrees to correct any Work that is found to not be in conformance with
the Contract Documents, including that part of the Work subject to Section 8.1, within a period of
one year from the date of Substantial Completion of the Work; provided that such one-year period
shall be extended one Day for any part of the Work that is found to be not in conformance with the
Contract Documents for each Day that such part of the Work is not operating in conformity with the
Contract Documents, including any time during which any part of the Work is repaired or replaced
pursuant to this Article 8.

          8.2.2 Design-Builder shall, within seven (7) Days of receipt of written notice from Owner that
the Work is not in conformance with the Contract Documents, take meaningful steps to commence
correction of such nonconforming Work, including the correction, removal or replacement of the
nonconforming Work and correction or replacement of any Work damaged by such nonconforming Work.
If Design-Builder fails to commence the necessary steps within such seven (7) Day period or fails
to continue to perform such steps through completion, Owner, in addition to any other remedies
provided under the Contract Documents, may provide Design-Builder with written notice that Owner
will commence or assume correction of such nonconforming Work and repair of such damaged Work with
its own resources. If, following such written notice, Owner performs such corrective and repair
Work, Design-Builder shall be responsible for all reasonable costs incurred by Owner in performing
the correction. If the nonconforming Work creates an emergency requiring an immediate response,
the seven (7) Day periods identified herein shall be inapplicable and Design-Builder shall
immediately correct, remove or replace the nonconforming Work.

	 	 	 
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     8.3 Warranty Period Not Limitation to Owner’s Rights. The one-year period referenced in
Section 8.2 above applies only to Design-Builder’s obligation to correct nonconforming Work and is
not intended to constitute a period of limitations for any other rights or remedies Owner may have
regarding Design-Builder’s other obligations under the Contract Documents.

Article 9

Contract Price

     9.1 Contract Price. As full consideration to Design-Builder for full and complete performance
of the Work and all costs incurred in connection therewith, Owner shall pay Design-Builder in
accordance with the terms of Article 10, the sum of Fifty-six Million Six Hundred Nineteen Thousand
Dollars ($56,619,000.00) (“Contract Price”), subject to adjustments made in accordance with
Article 13. The Contract Price does not include the water pre-treatment system and the fire
protection system which shall be provided by Fagen pursuant to a Change Order executed by Owner on
a time plus materials basis. Owner acknowledges that it has taken no action which would impose a
union labor or prevailing wage requirement on Design-Builder, Owner or the Project. The Parties
acknowledge and agree that if after the date hereof, action by Owner, a change in Applicable Law or
a Governmental Authority acting pursuant to a change in Applicable Law shall require Design-Builder
to employ union labor or compensate labor at prevailing wages, the Contract Price shall be adjusted
upwards to include any increased costs associated with such labor or wages.

Article 10

Payment Procedures

     10.1 Payment at Financial Closing. As part of the Contract Price, Owner shall pay
Design-Builder Five Million Dollars ($5,000,000.00) as soon as allowed by its organizational
documents and any other agreements or Laws and at the latest, at Financial Closing, as a
mobilization fee. Said Five Million Dollars ($5,000,000.00) mobilization fee payment shall be
subject to retainage as provided by Section 10.2.7.

     10.2 Progress Payments.

          10.2.1 Application for Payment. On or before the twenty-fifth (25th) Day of each month
beginning with the first month following the Notice to Proceed, Design-Builder shall submit to
Owner its request for payment for all Work performed and not paid for during the previous Pay
Period (the “Application for Payment”). Design-Builder shall submit to Owner, along with
each Application for Payment, signed lien waivers received from Subcontractors and suppliers for
the Work included in the Application for Payment submitted for the immediately preceding Pay Period
and for which payment has been received.

          10.2.2 The Application for Payment shall constitute Design-Builder’s representation that the
Work has been performed consistent with the Contract Documents and has progressed to the point
indicated in the Application for Payment. Title to the Work shall

	 	 	 
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pass to Owner free and clear of
all claims, liens, encumbrances, and security interests upon
Design-Builder’s receipt of payment therefor, or upon the incorporation of the Work into the
Project, whichever occurs earlier.

          10.2.3 Within ten (10) Days after Owner’s receipt of each properly submitted Application for
Payment, Owner shall pay Design-Builder all amounts properly due, but in each case less the total
of payments previously made, and less amounts properly withheld under this Agreement.

          10.2.4 The Application for Payment may request payment for equipment and materials not yet
incorporated into the Project; provided that (i) Owner is satisfied that the equipment and
materials are suitably stored at either the Site or another acceptable location, (ii) the equipment
and materials are protected by suitable insurance, and (iii) upon payment, Owner will receive the
equipment and materials free and clear of all liens and encumbrances except for liens of the
Lenders and other liens and encumbrances permitted under the Financing Documents.

          10.2.5 Schedule of Values. Attached as Exhibit E is the “Schedule of Values” for all of the
Work. The Schedule of Values (i) subdivides the Work into its respective parts, (ii) includes
values for all items comprising the Work, and (iii) serves as the basis for monthly progress
payments made to Design-Builder throughout the Work.

          10.2.6 Withholding of Payments. On or before the date set forth in Section 10.2.3, Owner
shall pay Design-Builder all amounts properly due. If Owner determines that Design-Builder is not
entitled to all or part of an Application for Payment, it will notify Design-Builder in writing at
least five (5) Days prior to the date payment is due. The notice shall indicate the specific
amounts Owner intends to withhold, the reasons and contractual basis for the withholding, and the
specific measures Design-Builder must take to rectify Owner’s concerns. Design-Builder and Owner
will attempt to resolve Owner’s concerns prior to the date payment is due. If the Parties cannot
resolve such concerns, Design-Builder may pursue its rights under the Contract Documents, including
those under Article 19. Notwithstanding anything to the contrary in the Contract Documents, Owner
shall pay Design-Builder all undisputed amounts in an Application for Payment within the times
required by the Agreement.

          10.2.7 Retainage on Progress Payments. Owner will retain ten percent (10%) of each payment up
to a maximum of Two Million Eight hundred and Thirty Thousand, Nine Hundred and Fifty Dollars
($2,830,950.00). Once Two Million Eight hundred and Thirty Thousand, Nine Hundred and Fifty
Dollars has been retained, in total, Owner will not retain any additional amounts from any
subsequent payments. Owner will also reasonably consider reducing retainage for Subcontractors
completing their work early in the Project. Upon Substantial Completion of the entire Work
pursuant to Section 6.5, Owner shall release to Design-Builder all retained amounts relating to the
entire Work, less an amount equal to the reasonable value of all remaining or incomplete items of
Work and less an amount equal to the value of any Subcontractor lien waivers not yet obtained, as
noted in the Certificate of Substantial Completion, provided that such payment shall only be made
if Design-Builder has met the Performance Guarantee Criteria listed in Exhibit A.

	 	 	 
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     10.3 Final Payment. Design-Builder shall deliver to Owner a request for final payment (the “Final Application
for Payment”) when Final Completion has been achieved in accordance with Section 6.5. Owner
shall make final payment within thirty (30) Days after Owner’s receipt of the Final Application for
Payment (“Final Payment”).

     10.4 Failure to Pay Amounts Due.

          10.4.1 Interest. Payments which are due and unpaid by Owner to Design-Builder, whether
progress payments or Final Payment, shall bear interest commencing five (5) Days after payment is
due at the rate of Eighteen Percent (18%) per annum, or the maximum rate allowed by Law.

          10.4.2 Right to Suspend Work. If Owner fails to pay Design-Builder any undisputed amount that
becomes due, Design-Builder, in addition to all other remedies provided in the Contract Documents,
may stop Work pursuant to Section 15.4 hereof. All payments properly due and unpaid shall bear
interest at the rate set forth in Section 10.4.1.

     10.5 Design-Builder’s Payment Obligations. Design-Builder will pay Design Consultants and
Subcontractors, in accordance with its contractual obligations to such parties, all the amounts
Design-Builder has received from Owner on account of their work. Design-Builder will impose
similar requirements on Design Consultants and Subcontractors to pay those parties with whom they
have contracted. Design-Builder will indemnify and defend Owner against any claims for payment and
mechanic’s liens as set forth in Section 14.2 hereof.

     10.6 Record Keeping and Finance Controls. With respect to changes in the Work performed on a
cost basis by Design-Builder pursuant to the Contract Documents, Design-Builder shall keep full and
detailed accounts and exercise such controls as may be necessary for proper financial management,
using accounting and control systems in accordance with generally accepted accounting principles
and as may be provided in the Contract Documents. During the performance of the Work and for a
period of three (3) years after Final Payment, Owner and Owner’s accountants shall be afforded
access from time to time, upon reasonable notice, to Design-Builder’s records, books,
correspondence, receipts, subcontracts, purchase orders, vouchers, memoranda and other data
relating to changes in the Work performed on a cost basis in accordance with the Contract
Documents, all of which Design-Builder shall preserve for a period of three (3) years after Final
Payment.

Article 11

Hazardous Conditions and Differing Site Conditions

     11.1 Hazardous Conditions.

          11.1.1 Unless otherwise expressly provided in the Contract Documents to be part of the Work,
Design-Builder is not responsible for any Hazardous Conditions encountered at the Site. Upon
encountering any Hazardous Conditions, Design-Builder will stop Work immediately in the affected
area and as promptly as practicable notify Owner and, if Design-Builder is specifically required to
do so by Legal Requirements, all government or quasi-government entities with jurisdiction over the
Project or Site. Design-Builder shall not remove,

	 	 	 
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remediate or handle in any way (except in case
of emergency) any Hazardous Conditions encountered at the Site without prior written approval of
Owner.

          11.1.2 Upon receiving notice of the presence of suspected Hazardous Conditions, Owner shall
take the necessary measures required to ensure that the Hazardous Conditions are remediated or
rendered harmless. Such necessary measures shall include Owner retaining Qualified Independent
Experts to (i) ascertain whether Hazardous Conditions have actually been encountered, and, if they
have been encountered, (ii) prescribe the remedial measures that Owner is required under applicable
Legal Requirements to take with respect to such Hazardous Conditions in order for the Work to
proceed. Owner’s choice of such Qualified Independent Experts shall be subject to the prior
approval of Design-Builder, which approval shall not be unreasonably withheld or delayed.

          11.1.3 Design-Builder shall be obligated to resume Work at the affected area of the Project
only after Owner’s Qualified Independent Expert provides it with written certification that (i) the
Hazardous Conditions have been removed or rendered harmless, and (ii) all necessary approvals have
been obtained from all Governmental Authorities having jurisdiction over the Project or Site and a
remediation plan has been undertaken permitting the Work to proceed.

          11.1.4 Design-Builder will be entitled, in accordance with this Article 11, to an adjustment
in its Contract Price and/or contract time(s) to the extent Design-Builder’s cost and/or time of
performance have been adversely impacted by the presence of Hazardous Conditions, provided that
such Hazardous Materials were not introduced to the Site by Design-Builder, Subcontractors or
anyone for whose acts they may be liable.

          11.1.5 To the fullest extent permitted by Law, Owner shall indemnify, defend and hold harmless
Design-Builder, Design Consultants, Subcontractors, anyone employed directly or indirectly for any
of them, and their officers, directors, employees and agents, from and against any and all claims,
losses, damages, liabilities and expenses, including attorneys’ fees and expenses, arising out of
or resulting from the presence, removal or remediation of Hazardous Conditions at the Site.

          11.1.6 Notwithstanding the preceding provisions of this Section 11.1, Owner is not responsible
for Hazardous Conditions introduced to the Site by Design-Builder, Subcontractors or anyone for
whose acts they may be liable. Design-Builder shall indemnify,
defend and hold harmless Owner and Owner’s officers, directors, employees and agents from and
against all claims, losses, damages, liabilities and expenses, including attorneys’ fees and
expenses, arising out of or resulting from those Hazardous Conditions introduced to the Site by
Design-Builder, Subcontractors or anyone for whose acts they may be liable.

     11.2 Differing Site Conditions; Inspection.

          11.2.1 Concealed or latent physical conditions or subsurface conditions at the Site that (i)
differ from the conditions indicated in the Contract Documents, or (ii) are of an unusual nature,
differing from the conditions ordinarily encountered and generally recognized as inherent in the
Work are collectively referred to herein as “Differing Site Conditions.” If Design-Builder
encounters a Differing Site Condition, Design-Builder will be entitled to an

	 	 	 
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adjustment in the
Contract Price and/or contract time(s) to the extent Design-Builder’s cost and/or time of
performance are materially adversely impacted by the Differing Site Condition.

          11.2.2 Upon encountering a Differing Site Condition, Design-Builder shall provide prompt
written notice to Owner of such condition, which notice shall not be later than fourteen (14)
business days after such condition has been encountered. Design-Builder shall, to the extent
reasonably possible, provide such notice before the Differing Site Condition has been substantially
disturbed or altered.

Article 12

Force Majeure; Change in Legal Requirements

     12.1 Force Majeure Event. Shall mean a cause or event beyond the reasonable control of, and
without the fault or negligence of a Party claiming Force Majeure, including, without limitation,
an emergency, floods, earthquakes, hurricanes, tornadoes, adverse weather conditions not reasonably
anticipated or acts of God; sabotage; vandalism beyond that which could reasonably be prevented by
a Party claiming Force Majeure; terrorism; war; riots; fire; explosion; blockades; insurrection;
strike; slow down or labor disruptions (even if such difficulties could be resolved by conceding to
the demands of a labor group); economic hardship or delay in the delivery of materials or equipment
that is beyond the control of a Party claiming Force Majeure, and action or failure to take action
by any Governmental Authority after the Effective Date (including the adoption or change in any
rule or regulation or environmental constraints lawfully imposed by such Governmental Authority),
but only if such requirements, actions, or failures to act prevent or delay performance; and
inability, despite due diligence, to obtain any licenses, permits, or approvals required by any
Governmental Authority (any such event, a “Force Majeure Event”).

     12.2 Effect of Force Majeure Event. Neither Party shall be considered in default in the
performance of any of the obligations contained in the Contract Documents, except for the Owners or
the Design-Builder’s obligations to pay money (including but not limited to, Progress Payments and
payments of liquidated
damages which become due and payable with respect to the period prior to the occurrence of the
Force Majeure Event), when and to the extent the failure of performance shall be caused by a Force
Majeure Event. If either Party is rendered wholly or partly unable to perform its obligations
under the Contract Documents because of a Force Majeure Event, such Party will be excused from
performance affected by the Force Majeure Event to the extent and for the period of time so
affected; provided that:

	 	(a)	 	the nonperforming Party, within forty-eight (48) hours after the nonperforming
Party actually becomes aware of the occurrence and impact of the Force Majeure Event,
gives the other Party written notice describing the event or circumstance in detail,
including an estimation of its expected duration and probable impact on the performance
of the affected Party’s obligations hereunder, and continues to furnish timely regular
reports with respect thereto during the continuation of and upon the termination of the
Force Majeure Event;

	 	 	 
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	 	(b)	 	the suspension of performance is of no greater scope and of no longer duration
than is reasonably required by the Force Majeure Event;
	 
	 	(c)	 	the obligations of either Party that arose before the occurrence causing the
suspension of performance and the performance that is not prevented by the occurrence,
shall not be excused as a result of such occurrence;
	 
	 	(d)	 	the nonperforming Party uses its best efforts to remedy its inability to
perform and mitigate the effect of such event and resumes its performance at the
earliest practical time after cessation of such occurrence or until such time that
performance is practicable;
	 
	 	(e)	 	when the nonperforming Party is able to resume performance of its obligations
under the Contract Documents, that Party shall give the other Party written notice to
that effect; and
	 
	 	(f)	 	Upon mutual agreement of the Parties, Design-Builder shall be entitled to a Day
for Day time extension for those events set forth in Section 12.1 to the extent the
occurrence of such event delayed Design-Builder’s performance of its obligations under
this Agreement.

     12.3 Change in Legal Requirements. The Contract Price and/or the contract time(s) shall be
adjusted to compensate Design-Builder for the effects of any changes to the Legal Requirements that
occur after the date of this Agreement and as a result of such change, the performance of the Work
is adversely affected; provided, however that any extension to contract time(s) must be upon mutual
agreement of the Parties. Such effects may include, without limitation, revisions Design-Builder
is required to make to the Construction Documents because of changes in Legal Requirements.

     12.4 Time Impact And Availability. If the Design-Builder is delayed at any time in the commencement or progress of the Work due
to a delay in the delivery of, or unavailability of, essential materials to the Project as a result
of a significant industry-wide economic fluctuation or disruption beyond the control of and without
the fault of the Design-Builder or its Subcontractors which is experienced or expected to be
experienced by certain markets providing essential materials and equipment to the Project during
the performance of the Work and such economic fluctuation or disruption adversely impacts the
price, availability, and delivery timeframes of essential materials and equipment (such event an
“Industry-Wide Disruption”), the Design-Builder shall be entitled to, upon mutual agreement
of the Parties, an equitable extension of the Contract Time on a day-for-day basis equal to such
delay. The Owner and Design-Builder shall undertake reasonable steps to mitigate the effect of
such delays. Notwithstanding any other provision to the contrary, the Design-Builder shall not be
liable to the Owner for any expenses, losses or damages arising from a delay, or unavailability of,
essential materials to the Project as a result of an Industry-Wide Disruption.

Article 13

Changes to the Contract Price and Scheduled Completion Dates

     13.1 Change Orders.

	 	 	 
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          13.1.1 A Change Order is a written instrument issued after execution of this Agreement signed
by Owner and Design-Builder, stating their agreement upon all of the following:

	 	(a)	 	the scope of the change in the Work;
	 
	 	(b)	 	the amount of the adjustment to the Contract Price; and
	 
	 	(c)	 	the extent of the adjustment to the contract time(s).

          13.1.2 All changes in the Work authorized by an applicable Change Order shall be performed
under the applicable conditions of the Contract Documents. Owner and Design-Builder shall
negotiate in good faith and as expeditiously as possible the appropriate adjustments for such
changes. Prior to incurring any costs with respect to estimating services, design services and any
other services involved in the preparation of the proposed revisions to the Contract Documents,
Design-Builder must obtain the written approval of Owner for such costs.

          13.1.3 If Owner requests a proposal for a change in the Work from Design-Builder and
subsequently elects not to proceed with the change, a Change Order shall be issued to reimburse
Design-Builder for reasonable costs incurred for estimating services, design services and any other
services involved in the preparation of proposed revisions to the Contract Documents; provided that
such costs were previously approved by Owner pursuant to Section 13.1.2.

     13.2 Contract Price Adjustments.

          13.2.1 The increase or decrease in Contract Price resulting from a change in the Work shall be
a mutually accepted lump sum, properly itemized and supported by sufficient substantiating data to
permit evaluation by Owner.

          13.2.2 If Owner and Design-Builder disagree upon whether Design-Builder is entitled to be paid
for any services required by Owner, or if there are any other disagreements over the scope of Work
or proposed changes to the Work, Owner and Design-Builder shall resolve the disagreement pursuant
to Article 19 hereof. As part of the negotiation process, Design-Builder shall furnish Owner with
a good faith estimate of the costs to perform the disputed services in accordance with Owner’s
interpretations. If the Parties are unable to agree and Owner expects Design-Builder to perform
the services in accordance with Owner’s interpretations, Design-Builder shall proceed to perform
the disputed services, conditioned upon Owner issuing a written order to Design-Builder (i)
directing Design-Builder to proceed, and (ii) specifying Owner’s interpretation of the services
that are to be performed. If this occurs, Design-Builder shall be entitled to submit in its
Applications for Payment an amount equal to fifty percent (50%) of its reasonable estimated direct
cost to perform the services, and Owner agrees to pay such amounts, with the express understanding
that (x) such payment by Owner does not prejudice Owner’s right to argue that it has no
responsibility to pay for such services, and (y) receipt of such payment by Design-Builder does not
prejudice Design-Builder’s right to seek full payment of the disputed services if Owner’s order is
deemed to be a change to the Work.

	 	 	 
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     13.3 Emergencies. In any emergency affecting the safety of persons and/or property,
Design-Builder shall act, at its discretion, to prevent threatened damage, injury or loss and shall
notify the Owner as soon as practicable and in any event within forty-eight (48) hours after
Design-Builder becomes aware of the emergency. The notice to Owner shall describe the emergency in
detail, including a reasonable estimation of its expected duration and impact, if any, on the
performance of Design-Builder’s obligations hereunder. Any change in the Contract Price and/or the
contract time(s) on account of emergency work shall be determined as provided in this Article 13.

     13.4 Requests for Contract Adjustments and Relief. If either Design-Builder or Owner believes
that it is entitled to relief against the other for any event arising out of or related to the Work
or Project, such Party shall provide written notice to the other Party of the basis for its claim
for relief. Such notice shall, if possible, be made prior to incurring any cost or expense and in
accordance with the notice requirements contained in Section 21.7. In the absence of any specific
notice requirement, written notice shall be given within a reasonable time, not to exceed
twenty-one (21) Days, after the occurrence giving rise to the claim for relief or after the
claiming Party reasonably should have recognized the event or condition giving rise to the request,
whichever is later. Such notice shall include sufficient information to advise the other Party of
the circumstances giving rise to the claim for relief, the specific contractual adjustment or
relief requested and the basis of such request.

Article 14

Indemnity

     14.1 Tax Claim Indemnification. If, in accordance with Owner’s direction, an exemption for
all or part of the Work is claimed for taxes, Owner shall indemnify, defend and hold harmless
Design-Builder from and against any liability, penalty, interest, fine, tax assessment, attorneys’
fees or other expenses or costs incurred by Design-Builder as a result of any action taken by
Design-Builder in accordance with Owner’s directive.

     14.2 Payment Claim Indemnification. To the extent Design-Builder has received payment for the
Work, Design-Builder shall indemnify, defend and hold harmless Owner Indemnified Parties from any
claims or mechanic’s liens brought against Owner Indemnified Parties or against the Project as a
result of the failure of Design-Builder, or those for whose acts it is responsible, to pay for any
services, materials, labor, equipment, taxes or other items or obligations furnished or incurred
for or in connection with the Work. Within three (3) business days of receiving written notice
from Owner that such a claim or mechanic’s lien has been filed, Design-Builder shall commence to
take the steps necessary to discharge such claim or lien, including, if necessary, the furnishing
of a mechanic’s lien bond. If Design-Builder fails to do so, Owner will have the right to
discharge the claim or lien and hold Design-Builder liable for costs and expenses incurred,
including attorneys’ fees.

     14.3 Design-Builder’s General Indemnification.

          14.3.1 Design-Builder, to the fullest extent permitted by Law, shall indemnify, hold harmless
and defend Owner, Lenders, Lenders’ Agent, and their successors, assigns,

	 	 	 
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officers, directors,
employees and agents (“Owner Indemnified Parties”) from and against any and all losses,
costs, damages, injuries, liabilities, claims, demands, penalties, interest and causes of action,
including without limitation attorney’s fees (collectively, the “Damages”) for bodily
injury, sickness or death, and property damage or destruction (other than to the Work itself) to
the extent resulting from the negligent or intentionally wrongful acts or from omissions of
Design-Builder, Design Consultants, Subcontractors, anyone employed directly or indirectly by any
of them or anyone for whose acts any of them may be liable.

          14.3.2 If an employee of Design-Builder, Design Consultants, Subcontractors, anyone employed
directly or indirectly by any of them or anyone for whose acts any of them may be liable has a
claim against Owner Indemnified Parties, Design-Builder’s indemnity obligation set forth in Section
14.4.1 above shall not be limited by any limitation on the amount of damages, compensation or
benefits payable by or for Design-Builder, Design Consultants, Subcontractors, or other entity
under any employee benefit acts, including workers’ compensation or disability acts.

          14.3.3 Without limiting the generality of Section 14.3.1 hereof, Design-Builder shall fully
indemnify, save harmless and defend the Owner Indemnified Parties from and against any and all
Damages in favor of any Governmental Authority or other third party to the extent caused by (a)
failure of Design-Builder or any Subcontractor to comply with Legal Requirements as required by
this Agreement, or (b) failure of Design-Builder or any Subcontractor to properly administer and
pay any taxes or fees required to be paid by Design-Builder under this Agreement.

          14.3.4 Nothing in the Design-Builder’s General Indemnification contained in this Section 14.4
shall be read to limit in any way any entitlement Design-Builder shall have to insurance coverage
under any insurance policy, including any insurance policy required by either Party under this
Agreement.

     14.4 Owner’s General Indemnification. Owner, to the fullest extent permitted by Law, shall
indemnify, hold harmless and defend Design-Builder and any of Design-Builder’s officers, directors,
employees, or agents from and against claims, losses, damages, liabilities, including attorneys’
fees and expenses, for bodily injury, sickness or death, and property damage or destruction (other
than to the Work itself) to the extent resulting from the negligent acts or omissions of Owner, its
officers, directors, employees, agents, or anyone for whose acts any of them may be liable.

          14.4.1 Without limiting the generality of Section 14.4 hereof, Owner shall fully indemnify,
save harmless and defend the Design-Builder and any of Design-Builder’s officers, directors,
employees, or agents from and against any and all Damages in favor of any Governmental Authority or
other third party to the extent caused by (a) failure of Owner or any of Owner’s agents to comply
with Legal Requirements as required by this Agreement, or (b) failure of Owner or Owner’s agents to
properly administer and pay any taxes or fees required to be paid by Owner under this Agreement.

          14.4.2 Nothing in the Owner’s General Indemnification contained in this Section 14.5 shall be
read to limit in any way any entitlement Owner shall have to insurance coverage

	 	 	 
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under any insurance
policy, including any insurance policy required by either Party under this Agreement

Article 15

Stop Work; Termination for Cause

     15.1 Owner’s Right to Stop Work. Owner may, without cause and for its convenience, order
Design-Builder in writing to stop and suspend the Work. Such suspension shall not exceed sixty
(60) consecutive Days or aggregate more than ninety (90) Days during the duration of the Project.
Design-Builder is entitled to seek an adjustment of the Contract Price and/or the contract time(s)
if its cost or time to perform the Work has been adversely impacted by any suspension or stoppage
of work by Owner.

     15.2 Owner’s Right to Perform and Terminate for Cause.

          15.2.1 If Design-Builder persistently fails to: (i) provide a sufficient number of skilled
workers; (ii) supply the materials required by the Contract Documents; (iii) comply with applicable
Legal Requirements; (iv) timely pay, without cause, Design Consultants or Subcontractors; (v)
perform the Work with promptness and diligence to ensure that the Work is completed by the contract
time(s), as such times may be adjusted in accordance with this Agreement; or (vi) perform material
obligations under the Contract Documents; then Owner, in addition to any other rights and remedies
provided in the Contract Documents or by law or equity, shall have the rights set forth in Sections
15.2.2 and 15.2.3 below.

          15.2.2 Upon the occurrence of an event set forth in Section 15.2.1 above, Owner may provide
written notice to Design-Builder that it intends to terminate the Agreement unless the problem
cited is cured, or commenced to be cured within seven (7) Days of Design-Builder’s receipt of such
notice. If Design-Builder fails to cure, or reasonably commence to cure such problem and
thereafter diligently pursue such cure to completion, then Owner may give a second written notice
to Design-Builder of its intent to terminate following an additional seven (7) Day period. If
Design-Builder, within such second seven (7) Day period, fails to cure, or reasonably commence to
cure such problem and thereafter diligently pursue such cure to completion, then Owner may declare
the Agreement terminated for default by providing written notice to Design-Builder of such
declaration. If (i) the insurance coverage required by Design-Builder pursuant Article 17 hereof
is suspended or cancelled without Design-Builder providing immediate replacement coverage (and, in
any case, within fourteen (14) Days of the occurrence thereof) meeting the requirements specified
in Section 17 hereof; (ii) a default occurs under the Performance Bond or the Payment Bond, or the
Performance Bond or Payment Bond is revoked or terminated and such Performance Bond or the Payment
Bond is not immediately replaced (and, in any case, within fourteen (14) Days of the occurrence
thereof) by Design-Builder with a Performance Bond or a Payment Bond providing at least the same
level of coverage in a form and from a surety acceptable to Owner and Lenders, or the surety under
the Performance Bond or Payment Bond institutes or has instituted against it a case under the
United States Bankruptcy Code; (iiii) Design-Builder purports to make an assignment of this
Agreement in breach of the provisions of Section 20.1 hereof, or (iv) any representation or
warranty made by Design-Builder

	 	 	 
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under Section 18.1 hereof was false or materially misleading when made, then Owner may
terminate this Agreement upon written notice to Design-Builder.

          15.2.3 Upon declaring the Agreement terminated pursuant to Section 15.2.2 above, Owner may
enter upon the premises and take possession, for the purpose of completing the Work, of all
materials, equipment, scaffolds, tools, appliances and other items thereon, which have been
purchased for the performance of the Work, all of which Design-Builder hereby transfers, assigns
and sets over to Owner for such purpose, and to employ any person or persons to complete the Work
and provide all of the required labor, services, materials, equipment and other items. In the
event of such termination, Design-Builder shall not be entitled to receive any further payments
under the Contract Documents until the Work shall be finally completed in accordance with the
Contract Documents. At such time, if the unpaid balance of the Contract Price exceeds the cost and
expense incurred by Owner in completing the Work, Design-Builder will be paid promptly by Owner for
Work performed prior to its default. If Owner’s cost and expense of completing the Work exceeds
the unpaid balance of the Contract Price, then Design-Builder shall be obligated to promptly pay
the difference to Owner. Such costs and expense shall include not only the cost of completing the
Work, but also losses, damages, costs and expenses, including attorneys’ fees and expenses,
incurred by Owner in connection with the re-procurement and defense of claims arising from
Design-Builder’s default, subject to the waiver of consequential damages set forth in Section 19.4
hereof.

          15.2.4 If Owner improperly terminates the Agreement for cause, the termination for cause will
be converted to a termination for convenience in accordance with the provisions of Section 15.3.

     15.3 Owner’s Right to Terminate for Convenience.

          15.3.1 Upon ten (10) Days’ written notice to Design-Builder, Owner may, for its convenience
and without cause, elect to terminate this Agreement. In such event, Owner shall pay
Design-Builder for the following:

	 	(a)	 	to the extent not already paid, all Work executed, and for proven loss, cost or
expense in connection with the Work;
	 
	 	(b)	 	the reasonable costs and expenses attributable to such termination, including
demobilization costs;
	 
	 	(c)	 	amounts due in settlement of terminated contracts with Subcontractors and
Design Consultants;
	 
	 	(d)	 	overhead and profit margin in the amount of fifteen percent (15%) on the sum of
items (a) and (b) above; and
	 
	 	(e)	 	all retainage withheld by Owner on account of Work that has been completed in
accordance with the Contract Documents.

	 	 	 
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          15.3.2 If Owner terminates this Agreement pursuant to this Section 15.3 and proceeds to design
and construct the Project through its employees, agents or third parties, Owner’s rights to use the
Work Product shall be as set forth in Section 5.3.

     15.4 Design-Builder’s Right to Stop Work.

          15.4.1 Design-Builder may, in addition to any other rights afforded under the Contract
Documents or at Law, stop work for Owner’s failure to pay amounts properly due under
Design-Builder’s Application for Payment; provided that Design-Builder shall not be entitled to
stop Work as a result of non-payment of amounts withheld by Owner pursuant to Section 10.2.6.

          15.4.2 If any of the events set forth in Section 15.4.1 above occur, Design-Builder has the
right to stop work by providing written notice to Owner that Design-Builder will stop work unless
such event is cured within seven (7) Days from Owner’s receipt of Design-Builder’s notice. If Owner
fails to cure or reasonably commence to cure such problem and thereafter diligently pursue such
cure to completion, then Design-Builder may give a second written notice to Owner of its intent to
stop work within an additional seven (7) Day period. If Owner, within such second seven (7) Day
period, fails to cure, or reasonably commence to cure such problem and thereafter diligently pursue
such cure to completion, then Design-Builder may stop work; provided that Design-Builder shall not
be entitled to stop Work as a result of non-payment of amounts withheld by Owner pursuant to
Section 10.2.6. In such case, Design-Builder shall be entitled to make a claim for adjustment to
the Contract Price and contract time(s) to the extent it has been adversely impacted by such
stoppage.

     15.5 Design-Builder’s Right to Terminate for Cause.

          15.5.1 Design-Builder, in addition to any other rights and remedies provided in the Contract
Documents or by Law, may terminate the Agreement for cause for the following reasons:

	 	(a)	 	The Work has been stopped for sixty (60) consecutive Days, or more than ninety
(90) Days during the duration of the Project, because of court order, any Governmental
Authority having jurisdiction over the Work, or orders by Owner under Section 15.1
hereof, provided that such stoppages are not due to the acts or omissions of
Design-Builder, Design Consultant and their respective officers, agents, employees,
Subcontractors or any other person for whose acts the Design-Builder may be liable
under Law.
	 
	 	(b)	 	Owner’s failure to provide Design-Builder with any information, permits or
approvals that are Owner’s responsibility under the Contract Documents which result in
the Work being stopped for sixty (60) consecutive Days, or more than ninety (90) Days
during the duration of the Project, even though Owner has not ordered Design-Builder in
writing to stop and suspend the Work pursuant to Section 15.1 hereof.
	 
	 	(c)	 	Owner fails to meet its obligations under Exhibit C and such failure results in
the Work being stopped for sixty (60) consecutive Days, or more than ninety (90) Days
during the duration of the Project even though Owner has not ordered

	 	 	 
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	 	 	 	Design-Builder in
writing to stop and suspend the Work pursuant to Section 15.1 hereof.
	 
	 	(d)	 	Owner’s failure to cure the problems set forth in Section 15.4.1 above within
seven (7) Days after Design-Builder has stopped the Work.

          15.5.2 Upon the occurrence of an event set forth in Section 15.5.1 above, Design-Builder may
elect to terminate this Agreement by providing written notice to Owner that it intends to terminate
the Agreement unless the problem cited is cured within seven (7) Days of Owner’s receipt of such
notice. If Owner fails to cure, or reasonably commence to cure, such problem, then Design-Builder
may give a second written notice to Owner of its intent to terminate within an additional seven (7)
Day period. If Owner, within such second seven (7) Day period, fails to cure such problem, then
Design-Builder may declare the Agreement terminated for default by providing written notice to
Owner of such declaration. In such case, Design-Builder shall be entitled to recover in the same
manner as if Owner had terminated the Agreement for its convenience under Section 15.3.

     15.6 Bankruptcy of Owner or Design-Builder.

          15.6.1 If either Owner or Design-Builder institutes or has instituted against it a case under
the United States Bankruptcy Code (such Party being referred to as the “Bankrupt Party”),
such event may impair or frustrate the Bankrupt Party’s ability to perform its obligations under
the Contract Documents. Accordingly, should such event occur:

	 	(a)	 	The Bankrupt Party, its trustee or other successor, shall furnish, upon request
of the non-Bankrupt Party, adequate assurance of the ability of the Bankrupt Party to
perform all future obligations under the Contract Documents, which assurances shall be
provided within ten (10) Days after receiving notice of the request; and
	 
	 	(b)	 	The Bankrupt Party shall file an appropriate action within the bankruptcy court
to seek assumption or rejection of the Agreement within sixty (60) Days of the
institution of the bankruptcy filing and shall diligently prosecute such action.

          15.6.2 If the Bankrupt Party fails to comply with its foregoing obligations, the non-Bankrupt
Party shall be entitled to request the bankruptcy court to reject the Agreement, declare the
Agreement terminated and pursue any other recourse available to the non-Bankrupt Party under this
Article 15.

          15.6.3 The rights and remedies under this Section 15.6 shall not be deemed to limit the
ability of the non-Bankrupt Party to seek any other rights and remedies provided by the Contract
Documents or by Law, including its ability to seek relief from any automatic stays under the United
States Bankruptcy Code or the right of Design-Builder to stop Work under any applicable provision
of this Agreement.

     15.7 Lenders’ Right to Cure. At any time after the occurrence of any event set forth in
Section 15.4.1 or Section 15.5.1, the Lenders shall have the right, but not the obligation, to cure
such default on behalf of Owner.

	 	 	 
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Article 16

Representatives of the Parties

     16.1 Designation of Owner’s Representatives. Owner designates the individual listed below
as its senior representative (“Owner’s Senior Representative”), which individual has the
authority and responsibility for avoiding and resolving disputes under Article 19:

Tim Smith

Construction Manager

PO Box 147

Jackson, NE 68743

Telephone: (402) 632-2676

Facsimile: (402) 632-2677

Owner designates the individual listed below as its representative (“Owner’s
Representative”), which individual has the authority and responsibility set forth in Section
4.4:

Tom Lynch

Chairman

PO Box 147

Jackson, NE 68743

Telephone: (402) 632-2676

Facsimile: (402) 632-2677

     16.2 Designation of Design-Builder’s Representatives. Design-Builder designates the
individual listed below as its senior representative (“Design-Builder’s Senior
Representative”), which individual has the authority and responsibility for avoiding and
resolving disputes under Article 19:

Roland “Ron” Fagen

CEO and President

501 W. Highway 212

P.O. Box 159

Granite Falls, MN 56241

Telephone: (320) 564-3324

Design-Builder designates the individual listed below as its representative (“Design-Builder’s
Representative”), which individual has the authority and responsibility set forth in Section
3.1:

Aaron Fagen

Chief Operating Officer

501 W. Highway 212

P.O. Box 159

Granite Falls, MN 56241

Telephone: (320) 564-3324

	 	 	 
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Article 17

Insurance

     17.1 Insurance. Design-Builder shall procure and maintain in force through the Final
Completion Date the following insurance coverages with the policy limits indicated, and otherwise
in compliance with the provisions of this Agreement:

	 	 	 	 	 
	Commercial General Liability:
	 	 	 	 
	 
	 	 	 	 
	General Aggregate
	 	 	 	 
	Products-Comp/Op AGG
	 	$	2,000,000	 
	Personal & Adv Injury
	 	$	1,000,000	 
	Each Occurrence
	 	$	1,000,000	 
	Fire Damage (Any one fire)
	 	$	50,000	 
	Med Exp (Any one person)
	 	$	5,000	 
	 
	 	 	 	 
	Automobile Liability:
	 	 	 	 
	 
	 	 	 	 
	Combined Single Limit
	 	 	 	 
	Each Occurrence
	 	$	1,000,000	 
	 
	 	 	 	 
	Excess Liability — Umbrella Form:
	 	 	 	 
	 
	 	 	 	 
	Each Occurrence
	 	$	20,000,000	 
	Aggregate
	 	$	20,000,000	 
	 
	 	 	 	 
	Workers’ Compensation
	 	 	 	 
	 
	 	 	 	 
	Statutory limits as required by the state
in which the Work is performed.
	 	 	 	 
	 
	 	 	 	 
	Employers’ Liability:
	 	 	 	 
	 
	 	 	 	 
	Each Accident
	 	$	1,000,000	 
	Disease-Policy Limit
	 	$	1,000,000	 
	Disease-Each Employee
	 	$	1,000,000	 
	 
	 	 	 	 
	Professional Errors and Omissions
	 	 	 	 
	Per Claim
	 	$	5,000,000	 
	Annual
	 	$	5,000,000	 

     17.2 Design-Builder’s Insurance Requirements.

          17.2.1 Design-Builder is responsible for procuring and maintaining from insurance companies
authorized to do business in the state in which the Project is located, and with the minimum rating
set forth below, the following insurance coverages for certain claims which may arise from or out
of the performance of the Work and obligations under the Contract Documents:

	 	 	 
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	 	(a)	 	coverage for claims arising under workers’ compensation, disability and other
similar employee benefit Laws applicable to the Work;
	 
	 	(b)	 	coverage for claims by Design-Builder’s employees for bodily injury, sickness,
disease, or death;
	 
	 	(c)	 	coverage for claims by any person other than Design-Builder’s employees for
bodily injury, sickness, disease, or death;
	 
	 	(d)	 	coverage for usual personal injury liability claims for damages sustained by a
person as a direct or indirect result of Design-Builder’s employment of the person, or
sustained by any other person;
	 
	 	(e)	 	coverage for claims for damages (other than to the Work) because of injury to
or destruction of tangible property, including loss of use;
	 
	 	(f)	 	coverage for claims of damages because of personal injury or death, or property
damage resulting from ownership, use and maintenance of any motor vehicle; and
	 
	 	(g)	 	coverage for contractual liability claims arising out of Design-Builder’s
obligations under Section 14.2.

          17.2.2 Design-Builder’s liability insurance required by this Section 17.2 shall be written for
the coverage amounts set forth in Section 17.1 and shall include completed operations insurance for
the period of time set forth in the Agreement.

          17.2.3 Design-Builder’s liability insurance set forth in Sections 17.2.1 (a) through (g) above
shall specifically delete any design-build or similar exclusions that could compromise coverages
because of the design-build delivery of the Project.

          17.2.4 To the extent Owner requires Design-Builder or any Design Consultant to provide
professional liability insurance for claims arising from the negligent performance of design
services by Design-Builder or the Design Consultant, the coverage limits, duration and other
specifics of such insurance shall be as set forth in the Agreement. Any professional
liability shall specifically delete any design-build or similar exclusions that could
compromise coverages because of the design-build delivery of the Project. Such policies shall be
provided prior to the commencement of any design services hereunder.

          17.2.5 Prior to commencing any construction services hereunder, Design-Builder shall provide
Owner with certificates evidencing that (i) all insurance obligations required by the Contract
Documents are in full force and in effect and will remain in effect for the duration required by
the Contract Documents and (ii) no insurance coverage required hereunder will be canceled, renewal
refused, or changed unless at least thirty (30) Days prior written notice is given to Owner.

     17.3 Owner’s Liability Insurance. Owner shall procure and maintain from insurance companies
authorized to do business in the state in which the Project is located such liability insurance to
protect Owner from claims which may arise from the performance of Owner’s

	 	 	 
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obligations under the
Contract Documents or Owner’s conduct during the course of the Project. The general and
professional liability insurance obtained by Owner shall name Design-Builder, Design Consultants,
Subcontractors, the Lenders and Lenders’ Agent as additional insureds, without application of
deductible, retention or retrospective premiums as to the additional insureds.

     17.4 Owner’s Property Insurance.

          17.4.1 Unless otherwise provided in the Contract Documents, Owner shall procure from insurance
companies authorized to do business in the state in which the Project is located, and maintain
through Final Completion, property insurance upon the entire Project in a minimum amount equal to
the full insurable value of the Project, including professional fees, overtime premiums and all
other expenses incurred to replace or repair the insured property. The property insurance obtained
by Owner shall include as additional insureds the interests of Owner, Design-Builder, Design
Consultants, Subcontractors, the Lenders and Lenders’ Agent and shall insure against the perils of
fire and extended coverage, theft, vandalism, malicious mischief, collapse, flood, earthquake,
debris removal and other perils or causes of loss as called for in the Contract Documents and
without application of any deductible, retention or retrospective premium. Owner shall maintain
coverage equal to or in excess of the value of each of Design-Builder’s, Design Consultants’, and
Subcontractors’ property on the Site. The property insurance shall include physical loss or damage
to the Work, including materials and equipment in transit, at the Site or at another location as
may be indicated in Design-Builder’s Application for Payment and approved by Owner.

          17.4.2 Unless the Contract Documents provide otherwise, Owner shall procure and maintain
boiler and machinery insurance that will include as additional insureds the Owner, Design-Builder,
Design Consultants, and Subcontractors, in an amount not less than the Contract Price and without
application of any deductible, retention or retrospective premium as to the additional insureds.
Owner shall maintain coverage equal to or in excess of the value of each of
Design-Builder’s, Design Consultants’, and Subcontractors’ interest or investment in boiler or
machinery equipment on the Site.

          17.4.3 Prior to Design-Builder commencing any Work, Owner shall obtain a builder’s risk
insurance policy naming Owner as the insured, with Design-Builder, Design Consultants and
Subcontractors as additional insureds, in an amount not less than the Contract Price and without
application of deductible, retention or retrospective premium as to the additional insureds.

          17.4.4 Owner shall also obtain, prior to Design-Builder commencing any Work, terrorism
coverage as described by the Terrorism Risk Insurance Act of 2002, Pub. L. No. 107-297, 116 Stat.
2322 (2002) or any successor act or renewing act for the period during which the Terrorism Risk
Insurance Act or any successor act or renewing act is in effect.

          17.4.5 Prior to Design-Builder commencing any Work, Owner shall provide Design-Builder with
copies of the insurance policies required under this Section 17.4 evidencing that (i) all Owner’s
insurance obligations required by the Contract Documents are in full force and in effect and will
remain in effect until Design-Builder has completed all of the Work and

	 	 	 
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has received Final Payment
from Owner, and (ii) no insurance coverage will be canceled, renewal refused, or changed unless at
least thirty (30) Days prior written notice is given to Design-Builder. Owner’s property insurance
shall not lapse or be cancelled if Owner occupies a portion of the Work pursuant to Section 6.6.3.
Owner shall be required to provide Design-Builder, for Design-Builder’s possession, copies of all
insurance policies to which Design-Builder, Design Consultant, and Subcontractors are named as
additional insureds. In the event Owner replaces insurance providers for any policy required under
this Section, revises policy coverages, or otherwise modifies any applicable insurance policy in
any way, Owner shall provide Design-Builder, for its review or possession as provided under this
subsection 17.4.5, a copy of such new, revised or modified policy.

          17.4.6 Any loss covered under Owner’s property insurance shall be adjusted with Owner and
Design-Builder and made payable to both of them as trustees for the insureds as their interests may
appear, subject to any applicable mortgage clause. All insurance proceeds received as a result of
any loss will be placed in a separate account and distributed in accordance with such agreement as
the interested parties may reach. Any disagreement concerning the distribution of any proceeds
will be resolved in accordance with Article 19 hereof.

          17.4.7 Owner and Design-Builder waive against each other and Owner’s separate contracts,
Design Consultants, Subcontractors, agents and employees of each and all of them all damages
covered by property insurance provided herein, except such rights as they may have to the proceeds
of such insurance. Design-Builder and Owner shall, where appropriate, require similar waivers of
subrogation from Owner’s separate contractors, Design Consultants Subcontractors, and insurance
providers and shall require each of them to include similar waivers in their contracts or policies.

     17.5 Coordination with Loan Documents. Notwithstanding anything herein to the contrary, all provisions relating to insurance and insurance
proceeds shall be conformed to the requirements of the Lenders in connection with any financing.

Article 18

Representations and Warranties

     18.1 Design-Builder and Owner Representations and Warranties. Each of Design-Builder and
Owner represents that:

	 	(a)	 	it is duly organized, validly existing and in good standing under the Laws of
its formation and has all requisite power and authority to execute and deliver this
Agreement, to perform its obligations hereunder and to consummate the transactions
contemplated hereby;
	 
	 	(b)	 	this Agreement has been duly executed and delivered by such Party and
constitutes the legal, valid and binding obligations of such Party, enforceable against
such Party in accordance with their respective terms, except as enforcement may be
limited by bankruptcy, insolvency, moratorium or similar Laws affecting creditor’s
rights or by general equitable principles;

	 	 	 
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	 	(c)	 	the execution, delivery and performance of this Agreement and the consummation
of the transactions contemplated hereby do not and will not conflict with or violate
(a) the certificate of incorporation or bylaws or equivalent organizational documents
of such Party, or (b) any Law applicable to such Party and other than the permits
listed on Exhibit G, such execution, delivery and performance of this Agreement does
not require any Governmental Approval; and
	 
	 	(d)	 	there is no action pending or, to the knowledge of such Party, threatened,
which would hinder, modify, delay or otherwise adversely affect such Party’s ability to
perform its obligations under the Contract Documents.

     18.2 Design-Builder Representation and Warranties. Design-Builder further represents that it
has the necessary financial resources to fulfill its obligations under this Agreement.

	 	 	 
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Article 19

Dispute Resolution

     19.1 Dispute Avoidance and Mediation. The Parties are fully committed to working with each
other throughout the Project and agree to communicate regularly with each other at all times so as
to avoid or minimize disputes or disagreements. If disputes or disagreements do arise,
Design-Builder and Owner each commit to resolving such disputes or disagreements in an amicable,
professional and expeditious manner so as to avoid unnecessary losses, delays and disruptions to
the Work.

Design-Builder and Owner will first attempt to resolve disputes or disagreements at the field level
through discussions between Design-Builder’s Representative and Owner’s Representative.

     If a dispute or disagreement cannot be resolved through Design-Builder’s Representative and Owner’s
Representative, Design-Builder’s Senior Representative and Owner’s Senior Representative, upon the
request of either Party, shall meet as soon as conveniently possible, but in no case later than
thirty (30) Days after such a request is made, to attempt to resolve such dispute or disagreement.
Prior to any meetings between the Senior Representatives, the Parties will exchange relevant
information that will assist the Parties in resolving their dispute or disagreement.

     If, after meeting, the Senior Representatives determine that the dispute or disagreement cannot be
resolved on terms satisfactory to both Parties, the Parties shall submit the dispute or
disagreement to non-binding mediation. The mediation shall be conducted in Minneapolis, Minnesota
by a mutually agreeable impartial mediator, or if the Parties cannot so agree, a mediator
designated by the American Arbitration Association (“AAA”) pursuant to its Construction
Industry Arbitration Rules and Mediation Procedures. The mediation will be governed by and
conducted pursuant to a mediation agreement negotiated by the Parties or, if the Parties cannot so
agree, by procedures established by the mediator.

     19.2 Arbitration. Any claims, disputes or controversies between the Parties arising out of or
relating to the Agreement, or the breach thereof, which have not been resolved in accordance with
the procedures set forth in Section 19.1 above shall be decided by arbitration to be conducted in
Minneapolis, Minnesota in accordance with the Construction Industry Arbitration Rules and Mediation
Procedures of the AAA then in effect, unless the Parties mutually agree otherwise.

     The award of the arbitrator(s) shall be final and binding upon the Parties without the right of
appeal to the courts. Judgment may be entered upon it in accordance with Applicable Law by any
court having jurisdiction thereof.

Design-Builder and Owner expressly agree that any arbitration pursuant to this Section 19.2 may be
joined or consolidated with any arbitration involving any other person or entity (i) necessary to
resolve the claim, dispute or controversy, or (ii) substantially involved in or affected by such
claim, dispute or controversy. Both Design-Builder and Owner will include appropriate

	 	 	 	 	 
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provisions
in all contracts they execute with other parties in connection with the Project to require such
joinder or consolidation.

The prevailing Party in any arbitration, or any other final, binding dispute proceeding upon which
the Parties may agree, shall be entitled to recover from the other Party reasonable attorneys’ fees
and expenses incurred by the prevailing Party.

     19.3 Duty to Continue Performance. Unless provided to the contrary in the Contract Documents,
Design-Builder shall continue to perform the Work and Owner shall continue to satisfy its payment
obligations to Design-Builder, pending the final resolution of any dispute or disagreement between
Design-Builder and Owner.

     19.4 Consequential Damages.

          19.4.1 Notwithstanding anything herein to the contrary (except as set forth in Section 19.4.2
below), neither Design-Builder nor Owner shall be liable to the other for any consequential losses
or damages, whether arising in contract, warranty, tort (including negligence), strict liability or
otherwise, including but not limited to, losses of use, profits, business, reputation or financing,
except that Design-Builder does not waive any such damages resulting from or arising out of any
breach of Owner’s duties and obligations under the limited license granted by Design-Builder to
Owner pursuant to Article 5.

          19.4.2 The consequential damages limitation set forth in Section 19.4.1 above is not intended
to affect the payment of liquidated damages, if any, set forth in Section 7.3 of the Agreement,
which both Parties recognize has been established, in part, to reimburse Owner for some damages
that might otherwise be deemed to be consequential.

Article 20

Confidentiality of Shared Information

     20.1 Non-Disclosure Obligation. Except as required by court order, subpoena, or Applicable
Law, neither Party shall disclose to third parties any confidential or proprietary information
regarding the other Party’s business affairs, finances, technology, processes, plans or
installations, product information, know-how, or other information that is received from the other
Party pursuant to this Agreement or the Parties’ relationship prior thereto or is developed
pursuant to this Agreement, without the express written consent of the other Party, which consent
shall not be unreasonably withheld. The Parties shall at all times use their respective reasonable
efforts to keep all information regarding the terms and conditions of this Agreement confidential
and shall disclose such information to third persons only as reasonably required for the permitting
of the Project; financing the development, construction, ownership, operation and maintenance of
the Plant; or as reasonably required by either party for performing its obligations hereunder and
if prior to such disclosure, the disclosing Party informs such third persons of the existence of
this
confidentiality obligation and only if such third persons agree to maintain the
confidentiality of any information received. This Article 20 shall not apply to information that
was already in the possession of one Party prior to receipt from the other, that is now or
hereafter becomes a part of the public domain through no fault of the Party wishing to disclose, or
that

	 	 	 	 	 
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corresponds in substance to information heretofore or hereafter furnished by third parties
without restriction on disclosure.

     20.2 Publicity and Advertising. Neither Owner nor Design-Builder shall make or permit any of
their subcontractors, agents, or vendors to make any external announcement or publication, release
any photographs or information concerning the Project or any part thereof, or make any other type
of communication to any member of the public, press, business entity, or any official body which
names the other Party unless prior written consent is obtained from the other Party, which consent
shall not be unreasonably withheld.

     20.3 Term of Obligation. The confidentiality obligations of the Parties pursuant to this
Article 20 shall survive the expiration or other termination of this Agreement for a period of two
(2) years.

Article 21

Miscellaneous

     21.1 Assignment This Agreement shall be binding upon, shall inure to the benefit of, and may
be performed by, the successors and permitted assigns of the parties, except that neither
Design-Builder nor Owner shall, without the written consent of the other, assign or transfer this
Agreement or any of the Contract Documents. Design-Builder’s subcontracting portions of the Work
in accordance with this Agreement shall not be deemed to be an assignment of this Agreement. Owner
may assign all of its rights and obligations under the Contract Documents to its Lenders or
Lenders’ Agent as collateral security in connection with Owner obtaining or arranging any financing
for the Project; provided, however, Owner shall deliver, at least ten (10) Days prior to any such
assignment, to Design-Builder (i) written notice of such assignment and (ii) a copy of the
instrument of assignment. The Lenders or Lenders’ Agent may assign the Contract Documents or their
rights under the Contract Documents, including without limitation in connection with any
foreclosure or other enforcement of their security interest. Design-Builder shall execute, if
requested, a consent to assignment for the benefit of the Lenders and/or the Lenders’ Agent,
provided that with respect to any such assignments such assignee demonstrates to Design-Builder’s
satisfaction that it has the capability to fulfill Owner’s obligations under this Agreement.

     21.2 Successors.
Design-Builder and Owner intend that the provisions of the Contract Documents are binding upon
the Parties, their employees, agents, heirs, successors and assigns.

     21.3 Governing Law. This Agreement shall be governed by and construed and enforced in
accordance with, the substantive laws of the state of Minnesota, without regard to the conflict of
laws provisions thereof.

     21.4 Severability. If any provision or any part of a provision of the Contract Documents
shall be finally determined to be superseded, invalid, illegal, or otherwise unenforceable pursuant
to any applicable Legal Requirements, such determination shall not impair or otherwise affect the
validity, legality, or enforceability of the remaining provision or

 

	 	 	 	 	 
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parts of the provision of
the
Contract Documents, which shall remain in full force and effect as if the unenforceable provision
or part were deleted.

     21.5 No Waiver. The failure of either Design-Builder or Owner to insist, in any one or more
instances, on the performance of any of the obligations required by the other under the Contract
Documents shall not be construed as a waiver or relinquishment of such obligation or right with
respect to future performance.

     21.6 Headings. The table of contents and the headings used in this Agreement or any other
Contract Document, are for ease of reference only and shall not in any way be construed to limit,
define, extend, describe, alter, or otherwise affect the scope or the meaning of any provision of
this Agreement.

     21.7 Notice. Whenever the Contract Documents require that notice be provided to a Party,
notice shall be delivered in writing to such Party at the address listed below. Notice will be
deemed to have been validly given if delivered (i) in person to the individual intended to receive
such notice, (ii) by registered or by certified mail, postage prepaid to the address indicated in
the Agreement within four (4) Days after being sent, or (iii) by facsimile, by the time stated in a
machine-generated confirmation that notice was received at the facsimile number of the intended
recipient.

     If to Design-Builder, to:

Fagen, Inc.

501 W. Highway 212

P. O. Box 159

Granite Falls, MN 56241

Attention: Aaron Fagen

Fax: (320) 564-3278

     with a copy to:

Fagen, Inc.

501 W. Highway 212

P. O. Box 159

Granite Falls, MN 56241

Attention: Bruce Langseth

Fax: (320) 564-3278

     If to Owner, to:

Siouxland Ethanol, LLC

PO Box 147

Jackson, NE 68743

Attention: Tim Smith

Fax: (402) 632-2677

 

	 	 	 	 	 
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     and

	 	 	Lender’s Agent at the address provided for Lender’s Agent to Design-Builder by Owner
by notice within five Days following the Financial Closing.

     21.8 No Privity with Design Consultant/Subcontractors. Nothing in the Contract Documents is
intended or deemed to create any legal or contractual relationship between Owner and any Design
Consultant or Subcontractor.

     21.9 Amendments. The Contract Documents may not be changed, altered, or amended in any way
except in writing signed by a duly authorized representative of each Party.

     21.10 Entire Agreement. This Agreement consists of the terms and conditions set forth herein,
as well as the Exhibits hereto, which are incorporated by reference herein and made a part hereof.
This Agreement sets forth the full and complete understanding of the Parties as of the Effective
Date with respect to the subject matter hereof.

     21.11 Third-Party Beneficiaries. Except as expressly provided herein, this Agreement is
intended to be solely for the benefit of the Owner, the Design-Builder and permitted assigns, and
is not intended to and shall not confer any rights or benefits on any person not a signatory
hereto.

     21.12 Counterparts. This Agreement may be executed in one or more counterparts, each of which
shall be deemed an original and all of which together shall be deemed one and the same Agreement,
and may be executed and delivered by facsimile signature, which shall be considered an original.

     21.13 Survival. Notwithstanding any provisions herein to the contrary, the Work Product
provisions set forth in Article 5 and the indemnity obligations set forth herein shall survive (in
full force) the expiration or termination of this Agreement, and shall continue to apply to the
Parties to this Agreement even after termination of this Agreement or the transfer of such Party’s
interest in this Agreement.

[The next page is the signature page.]

	 	 	 	 	 
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     IN WITNESS WHEREOF, the Parties hereto have caused their names to be hereunto subscribed by
their officers thereunto duly authorized, intending thereby that this Agreement shall be effective
as of January 5, 2006.

	 	 	 	 	 
	OWNER:

	 	DESIGN-BUILDER:
	 	 
	 
	 	 	 	 
	Siouxland Ethanol, LLC

	 	Fagen, Inc.	 	 
	 

	 	 	 	 
	(Name of Owner)

	 	(Name of Design-Builder)	 	 
	 
	 	 	 	 
	/s/ Tom Lynch

	 	/s/ Ron Fagen	 	 
	 

	 	 	 	 
	(Signature)

	 	(Signature)	 	 
	 
	 	 	 	 
	Tom Lynch

	 	Roland “Ron” Fagen	 	 
	 

	 	 	 	 
	(Printed Name)

	 	(Printed Name)	 	 
	 
	 	 	 	 
	COB and President

	 	CEO and President	 	 
	 

	 	 	 	 
	(Title)

	 	(Title)	 	 
	 
	 	 	 	 
	Date: January 5, 2006

	 	Date: January 9, 2006	 	 

	 	 	 	 	 
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SCHEDULE 4.2.1

Owner’s Obligations to be Furnished Pursuant to Section 4.2.1

	 	 	 	 	 
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EXHIBIT A

Performance Guarantee Criteria

	 	 	 	 	 	 	 
	Criteria	 	Specification	 	Testing Statement	 	Documentation
	Plant Capacity –
fuel grade ethanol

	 	Operate at a rate
of 50 million
gallons per year of
denatured fuel
grade ethanol
meeting the
specifications of
ASTM 4806 based on
353 days of
operation per
calendar year and
4.76% denaturant.
	 	Seven day

performance test
	 	Production records
and a written
report by
Design-Builder.
	 
	 	 	 	 	 	 
	Corn
to Ethanol
Conversion ratio;
Corn must be #2
Yellow or better,
54.6#/bushel min.,
16% or less
moisture, zero
aflatoxin tolerance

	 	Not be less than
2.80 denatured
gallons of ethanol
per bushel (56#) of
corn
	 	As determined by
meter readings
during a seven day
performance test.
	 	Production records
and written
analysis by
Design-Builder.
	 
	 	 	 	 	 	 
	Electrical Energy

	 	[*] kWh per
denatured gallon of
fuel grade ethanol
(less CO2 plant and
chiller, and water
supply and
treatment).
	 	As determined by
meter readings
during a seven day
performance test.
	 	Production records
and written
analysis by
Design-Builder.
	 
	 	 	 	 	 	 
	Natural Gas

	 	Shall not exceed
[*] Btu per
denatured gallon of
fuel grade ethanol.
(This Performance
Criteria relates to
production of
ethanol and
excludes any
natural gas usage
that may occur for
drying corn.)
	 	As determined by
meter readings
during a seven day
performance test.
	 	Production records
and written
analysis by
Design-Builder.
	 
	 	 	 	 	 	 
	Process Water
Discharge (not
including cooling
tower and boiler
blowdown and water
pre-treatment (RO
discharge)

	 	Zero gallons under

normal operations
	 	Process discharge

meter
	 	Control System

reports

	 	 	 	 	 
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	Criteria	 	Specification	 	Testing Statement	 	Documentation
	Air Emissions

	 	Must meet the
requirements
prescribed as of
the date hereof by
the State of
Nebraska Department
of Environmental
Quality Air
Division
	 	As required by
State agency and
performed by
Owner’s Air
Emission Tester.
	 	Written report by
Owner’s Air
Emission Tester.

As part of the performance Guarantee Criteria the Plant shall operate in accordance with all Legal
Requirements.

 

			
	*	 	Portion omitted pursuant to a request for confidential treatment and filed separately with
the Securities and Exchange Commission.

	 	 	 	 	 
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DISCLAIMER:

Owner’s failure to materially comply with the operating procedures issued by ICM, Inc./Fagen, Inc.
shall void all performance guaranties and warranties set forth in this Design-Build Agreement.

Owner understands that the startup of the plant requires resources and cooperation of the Owner,
vendors and other suppliers to the project. Design-Builder disclaims any liability and Owner
indemnifies Design-Builder for non-attainment of the Performance Guarantee Criteria directly or
indirectly caused by material non-performance or negligence of third parties not retained by
Design-Builder.

	 	 	 	 	 
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EXHIBIT B

General Project Scope

Construct a 50 million-gallon per year (MGY) dry mill fuel ethanol plant near Jackson, Nebraska.
The plant will grind approximately 17.875 million bushels of corn per year to produce approximately
50 MGY year of denatured fuel ethanol. The plant will also produce approximately 160,750 tons per
year of 11% moisture dried distillers grains with solubles (DDGS), and approximately 151,250 tons
per year of raw carbon dioxide (CO2) gas.

Delivered corn will be dumped in the receiving building. The receiving building will have two
truck grain receiving bays and a rail receiving bay, including an underground conveyor from the
rail pit to the second truck receiving bay both of which share a common receiving leg. Said
receiving building shall have sufficient height to accommodate end-dump trailers. The truck driver
will drive onto the pitless scale located near the administration building, be weighed and sampled,
then drive to the receiving building, dump the grain, then proceed back to the pitless scale and
obtain a final weight ticket from the scale operator. The trucks will not be required to move
during the unloading process in the receiving building. Maximum truck dump time is ten minutes.
Two independent 15,000-bushel legs will lift the corn to one of two 250,000 – bushel concrete
storage bins. A dust collection system will be installed on the grain receiving system to limit
particulate emissions as described in the Air Quality Permit application.

Ground corn will be mixed in a slurry tank, routed through a pressure vessel and steam flashed off
in a flash vessel. Cooked mash will continue through liquefaction tanks and into one of four
fermenters. Simultaneously, propagated yeast will be added to the mash as the fermenter is
filling. After batch fermentation is complete, the beer will be pumped to the beer well and then
to the beer column to vaporize the alcohol from the mash.

Alcohol streams are purified in the rectifier column and the side stripper, and the molecular sieve
system. Two hundred proof alcohol is pumped to the tank farm day tank and blended with five
percent natural gasoline as the product is being pumped into one of two 750,000 gallon final
storage tanks. Loading facilities for truck and rail cars will be provided. Tank farm tanks
include: one tank for 190 proof storage, one tank for 200 proof storage, one tank for denaturant
storage and two 750,000 gallon tanks for denatured ethanol storage.

Corn mash from the beer stripper is dewatered in the centrifuge(s). Wet cake from the
centrifuge(s) is conveyed to the DDGS dryer system. Wet cake is conveyed from the centrifuges to
the dryer where the water is removed from the cake and the product is dried to 11% moisture. A
modified wet or wet cake pad is located along side the DDGS dryer building to divert modified wet
or wet cake to the pad when necessary or for limited production of modified wet or wet cake for
sales. Water in the thin stillage is evaporated and recycled by the Bio-Methanation system. Syrup
is added to the wet cake entering the dryer. DDGS is pneumatically conveyed to flat storage in the
DDGS storage building. Shipping is accomplished by scooping and pushing the product with a
front-end loader into an in-floor conveyor system. The DDGS load out pit has capacity for
approximately one semi-trailer load. DDGS is weighed with a bulk weigh system.

	 	 	 	 	 
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Fresh water for the boilers, cooking, cooling tower and other processes will be obtained from the
Owner supplied water pretreatment system. Boiler water conditioned in regenerative softeners will
be pumped through a deaerator scrubber and into a deaerator tank. Appropriate boiler chemicals
will be added as preheated water is sent to the boiler.

Steam energy will be provided by one Thermal Oxidizer (TO) driven boiler system utilizing a high
percentage of condensate return to a condensate receiver tank.

The TO/Heat Recovery Steam Generator is a process used to thermally oxidize the exhaust gasses from
the Dryers. This process will be used to reduce VOCs and particulates that are in the dryer
exhaust and ensure compliance with environmental regulations. The energy required to complete
thermal oxidization will then be ducted to a waste heat boiler that will produce 100% of the steam
requirements of the ethanol plant. The exhaust gasses from the waste heat boiler will be ducted
through stack gas economizer(s) to recover the maximum amount of energy possible from the exhaust
gas stream. After the economizer(s), the gas stream will be vented to atmosphere through a stack.

The process will be cooled by circulating water through heat exchangers, a chiller, and a cooling
tower.

The design includes a compressed air system consisting of air compressor(s), a receiver tank,
pre-filter, coalescing filter, and double air dryer(s).

The design also incorporates the use of a clean-in-place (CIP) system for cleaning cook,
fermentation, distillation, evaporation, centrifuges, and other systems. Fifty percent caustic
soda is received by truck and stored in a tank.

Under normal operating circumstances, the plant will not have any wastewater discharges that have
been in contact with corn, corn mash, cleaning system, or contact process water. An ICM/Phoenix
Bio-Methanator will reduce the BOD in process water allowing complete reuse within the plant. The
plant will have blowdown discharges from the cooling tower and may have water discharge from any
water pre-treatment processes. Owner shall provide on-site connection to sanitary sewer or septic
system.

Most plant processes are computer controlled by a Siemens/Moore APACS distributed control system
with graphical user interface and three workstations. The control room control console will have
dual monitors to facilitate operator interface between two graphics screens at the same time.
Additional programmable logic controllers (PLCs) will control certain process equipment. Design
Builder provides lab equipment.

The cooking system requires the use of anhydrous ammonia, and other systems require the use of
sulfuric acid. Therefore, a storage tank for ammonia and a storage tank for acid will be on site
to provide the quantities necessary. The ammonia storage requires that plant management implement
and enforce a Process Safety Management (PSM) program. The plant design may require additional
programs to ensure safety and to satisfy regulatory authorities.

	 	 	 	 	 
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EXHIBIT C

Owner’s Responsibilities

     The Owner shall perform and provide the permits, authorizations, services and construction as
specifically described hereafter:

	1)	 	Land and Grading – Owner shall provide a site near or in Jackson, Nebraska. Owner shall
obtain all legal authority to use the site for its intended purpose and perform technical due
diligence to allow Design-Builder to perform including, but not limited to, proper zoning
approvals, building permits, elevation restrictions, soil tests, and water tests. The site
shall be rough graded per Design-Builder specifications and be +/- three inches of final grade
including the rough grading for Site roadways. The site soils shall be modified as required
to provide a minimum allowable soil bearing pressure as described in Table 1.

     Other items to be provided by the Owner include, but are not limited to, the following:
initial site survey (boundary and topographic) as required by the Design-Builder, layout of
the property corners including two construction benchmarks, Soil Borings and subsequent
Geotechnical Report describing recommendation for Roads, foundations and if required, soil
stabilization/remediation, land disturbance permit, erosion control permit, site grading as
described above with minimum soil standards, placement of erosion control measures, plant
access road from a county, state or federal road designed to meet local county road
standards, plant storm and sanitary sewers, fire water system with hydrants and plant water
main branches taken from the system to be within five feet of the designated building
locations, all tanks, motors and other equipment associated with or necessary to operate the
fire water loop and associated systems, plant roads as specified and designed for the
permanent elevations and effective depth, “construction” grading plan as drawn (including
site retention pond), plant water well and associated permit(s). Owner shall also provide
the final grading, seeding and mulching, and site fencing at the site.

     Owner is encouraged to obtain preliminary designs/information and estimates of the cost
of performing all Owner required permits and services as stated in this Exhibit C.
Specifically, the cost of the fire water systems (including associated fire water pumps,
required tank, building (if required), sprinklers, and all other equipment and materials
associated with the fire water delivery systems) is estimated being in excess of $1,000,000.
The requirements of each state and the decisions of each Owner will increase or decrease
the actual cost.

     The Owner’s required activities related to site preparation for construction are to be
divided into Phase I and Phase II activities as described below:

Deliverables by Owner prior to start of Phase 1 Civil Design:

     Procure Boundary & Topographic Survey (to one foot contours)

	 	 	 	 	 
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Procure Soil Borings and Geotechnical Report with recommendations (at Design-Builder’s requested
locations and depth)

     Phase I (Deliverable Site):

     Design-Builder provides engineering services to develop these items (if required):

	 	1.	 	Final Plant Layout with FFE and Top of Road Elevations
	 
	 	2.	 	Cut/Fill Quantity Calculations (estimate)
	 
	 	3.	 	Grading and Erosion Control Plan
	 
	 	4.	 	Plant Access Road and all in-plant roads (which will act as base for final
roadway system)
	 
	 	5.	 	Site Grading
	 
	 	6.	 	Construction Layout (parking, laydown, access areas, temp. drainage)
	 
	 	7.	 	Storm Water Drainage and Detention

 

			
	*	 	Owner shall prepare site according to Design-Builder’s engineering plans for the above items.

Deliverables by Owner prior to start of Phase II Civil Design:

	 	 	 	Owner shall determine its water source and provide Design-Builder an independent
analysis of the water source.

Phase II (Final Civil Design Plans):

     Design-Builder provides engineering services to develop these items (if required):

     Site Work and Utilities (Within Property Line):

	 	1.	 	Potable Water Supply and Distribution
	 
	 	2.	 	Process Water Supply and Distribution
	 
	 	3.	 	Fire Loop and Fire Protection System
	 
	 	4.	 	Site Electric
	 
	 	5.	 	Site Natural Gas
	 
	 	6.	 	Utility Water Discharge Line
	 
	 	7.	 	Wells and Well Pump (supply of sufficient quantity for
construction activities)
	 
	 	8.	 	Minimum 3 Phase, 480 Volt, 1,000 KVA Electrical Power Available
for Construction (at Engineer’s requested location)
	 
	 	9.	 	Site Work (final grading, seeding and mulching)

	 
	 	10.	 	Fencing

 

			
	*	 	Owner shall prepare site according to Design-Builder’s engineering plans for the above items.

     Design/Builder shall be reimbursed on a “Time & Material” basis for any management of these
Owner requirements and any design engineering requested by the Owner not otherwise required to be
provided by Design-Builder pursuant to this Agreement.

	2)	 	Permits - Owner shall obtain all Operating Permits including, but not limited to, air quality
permits, in a timely manner to allow construction and startup of the plant as scheduled by
Design-Builder.

	 	 	 	 	 
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	3)	 	Storm Water Runoff Permit – Owner shall obtain the construction storm-water runoff permit and
permanent storm-water runoff permit. Design-Builder shall obtain the erosion control/land
disturbance permit.

	4)	 	Nebraska Pollutant Elimination Discharge Permit – Owner shall obtain a permit to discharge
cooling tower water, boiler blowdown water, reverse osmosis (“R.O.”) reject water, and any
other waste water directly to a designated waterway or other location. If required by item 8
below, Owner will secure appropriate permits for emergency process water discharges.

	5)	 	Natural Gas Supply and Service Agreement – Owner shall procure and supply a continuous supply
of natural gas of at least 1.5 billion cubic feet per year, at a minimum rate of 200-400 MCF
per hour and at a minimum pressure of at least 200 psi at the plant site, then reduced to 60
psig for distribution to the use points. Pressure reducing stations must be located so as to
provide stable pressure at the point of use. Owner shall provide all gas piping to the use
points and supply meters and regulators to provide burner tip pressures as specified by
Design-Builder. Owner shall also supply a digital flowmeter on-site with appropriate output
for monitoring by the plant’s computer control system.

	6)	 	Electrical Service – (1) The Owner is responsible to secure continuous service from an energy
supplier to serve the facility. The service from the energy supplier shall be of sufficient
size to provide at a minimum 10 MW of electrical capacity to the site. (2) The Owner is
responsible for procurement, installation and maintenance of the site supply and distribution
system, including but not limited to the required substation and all associated distribution
lines. An on-site digital meter is also to be supplied for monitoring of electrical usage.
(3) The responsibility of the Design-Builder starts at the secondary electrical terminals of
the site distribution system transformers that have been installed by Owner (i.e., the 480
volt terminals for the process building transformers; the 480 volt terminals for the energy
center transformers; the 480 volt terminals for the grains transformer; the 480 volt terminals
for the pumphouse transformer; and the 4160 volt terminals for the chiller transformer; and
the 4160 volt terminals of the thermal oxidizer transformer). (4) The site distribution
system requirements, layout, and meters are to be determined jointly by the Owner, the
Design-Builder and the energy supplier.
	 
	 	 	Design-Builder will be providing soft start motor controllers for all motors greater than
150 horsepower and where demanded by process requirements. Owner is encouraged to discuss
with its electrical service supplier whether additional soft start motor controllers are
advisable for this facility and such can be added, with any increased cost being an Owner’s
cost.
	 
	 	 	Design-Builder will provide power factor correction to 0.92 lagging at plant nameplate
capacity. Owner is encouraged to discuss with its electrical service supplier any
requirements for power factor correction above 0.92 lagging. Additional power factor
correction can be added with any increased cost being an Owner’s cost.

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	C-3	 	 
	January 5, 2006
	 	 	 	 

 

 

	7)	 	Water Supply, Service Agreement, and Pre-Treatment System – Owner shall supply on-site
process wells or other water source that is capable of providing a quantity of raw water
satisfying the needs of the Plant. Owner should consider providing a redundant water supply
source. Design-Builder shall provide the standard zeolite water softener system for boiler
feedwater polishing. Owner will supply one process fresh water supply line terminating within
five (5) feet of the point of entry designated by Design-Builder, and one potable supply line
terminating within five (5) feet of the process building and to the administration building at
a point of entry designated by administration building contractor.
	 
	 	 	Owner shall pay for a water pre-treatment system to be designed and constructed by
Design-Builder and to be integrated into the Plant. The pre-treatment system will be
designed to provide the Plant with the quantity and quality of raw and treated water needed
to supply the Plant’s process needs. The water pre-treatment system design will also
consider and recommend to Owner equipment required to meet the discharge requirements under
the Plant’s wastewater discharge permit. Owner is to execute Change Orders as necessary for
the design and construction of such water pre-treatment system. Design-Builder shall
recover costs for the design and construction of such system from the on a time plus
material basis. A Change Order, pursuant to Article 13.1, shall be executed by Owner and
Design-Builder to compensate Design-Builder, on a time plus materials basis, for any costs
and expenses related to such water pre-treatment system.

	8)	 	Wastewater Discharge System, Permits and/or Service Agreement – Owner shall provide the
discharge piping, septic tank and drainfield system or connect to municipal system as required
for the sanitary sewer requirements of the Plant. These provisions shall comply with all
federal, state, and local regulations, including any permitting issues.

	9)	 	Roads and Utilities – Owner shall provide and maintain the ditches and permanent roads,
including the gravel, pavement or concrete, with the roads passing standard compaction tests.
(Design-Builder will maintain aggregate construction roads during construction of the Plant
and will return to original pre-construction condition prior to Owner completing final grade
and surfacing.)
	 
	 	 	Except as otherwise specifically stated herein the Owner shall install all utilities so that
they are within five (5) feet of the designated building/structure locations.

	10)	 	Administration Building – The administration building – one story free standing, office
computer system, telephone system, office copier and fax machine and office furniture and any
other office equipment and personal property for the administration building shall be the sole
and absolute cost and responsibility of Owner and Design-Builder shall have no responsibility
in regards thereto.

	11)	 	Maintenance and Power Equipment – The maintenance and power equipment as described in Table 2
and any other maintenance and power equipment as required by the plant or desired by Owner
shall be the sole and absolute cost and responsibility of Owner and Design-Builder shall have
no responsibility in regards thereto.

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	C-4	 	 
	January 5, 2006
	 	 	 	 

 

 

	12)	 	Railroads – Owner is responsible for any costs associated with the railroads including, but
not limited to, all rail design and engineering and construction and Design-Builder shall have
no responsibility in regards thereto.

	13)	 	Drawings – Owner shall supply drawings to Design-Builder of items supplied under items 10)
and 12) and also supply Phase II redline drawings.

	14)	 	Fire Protection System – Fire Protection System requirements vary by governmental
requirements per location and by insurance carrier requirements. Owner is responsible to
provide the required fire protection system for the Plant. This may include storage tanks,
pumps, underground fire water mains, fire hydrants, foam or water monitor valves, sprinkler
systems, smoke and heat detection, deluge systems, or other provisions as required by
governmental codes or Owner’s insurance carrier’s fire protection criteria.
	 
	 	 	Owner shall pay for a Fire Protection System to be designed and constructed by
Design-Builder and to be integrated into the Plant. The Fire Protection System shall be
designed and constructed to meet the governmental and insurance requirements. Owner is to
execute Change Orders as necessary for the design and construction of such Fire Protection
System. Design-Builder shall recover costs for the design and construction of such system
from on a time plus material basis. A Change Order, pursuant to Article 13.1, shall be
executed by Owner and Design-Builder to compensate Design-Builder, on a tipartme plus
materials basis, for any costs and expenses related to such water pre-treatment system.

Table 1 Minimum Soil Bearing Pressure – Responsibility of Owner

	 	 	 	 	 
	 	 	Required Allowable Soil Bearing Pressure
	Description	 	(pounds per square foot)
	Grain Storage Silos
	 	 	8,000	 
	Cook Water Tank
	 	 	3,500	 
	Methanator Feed Tank
	 	 	3,500	 
	Liquifaction Tank #1
	 	 	3,500	 
	Liquifaction Tank #2
	 	 	3,500	 
	Fermentation Tank #1
	 	 	5,000	 
	Fermentation Tank #2
	 	 	5,000	 
	Fermentation Tank #3
	 	 	5,000	 
	Fermentation Tank #4
	 	 	5,000	 
	Beerwell
	 	 	5,000	 
	Whole Stillage Tank
	 	 	3,500	 
	Thin Stillage Tank
	 	 	3,500	 
	Syrup Tank
	 	 	3,500	 
	190 Proof Day Tank
	 	 	3,000	 
	200 Proof Day Tank
	 	 	3,000	 
	Denaturant Tank
	 	 	3,000	 
	Fire Water Tank
	 	 	3,000	 

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	C-5	 	 
	January 5, 2006
	 	 	 	 

 

 

	 	 	 	 	 
	 	 	Required Allowable Soil Bearing Pressure
	Description	 	(pounds per square foot)
	Denatured Ethanol Tank #1
	 	 	4,000	 
	Denatured Ethanol Tank #2
	 	 	4,000	 
	All Other Areas
	 	 	3,000	 

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	C-6	 	 
	January 5, 2006
	 	 	 	 

 

 

Table 2 Maintenance and Power Equipment – Responsibility of Owner

	 	 	 
	Description	 	Additional Description
	Spare Parts

	 	Spare parts
	 

	 	Parts bins
	 

	 	Misc. materials, supplies and equipment
	 
	 	 
	Shop supplies and equipment

	 	One shop welder
	 

	 	One portable gas welder
	 

	 	One plasma torch
	 

	 	One acetylene torch
	 

	 	One set of power tools
	 

	 	Two sets of hand tools with tool boxes
	 

	 	Carts and dollies
	 

	 	Hoists (except centrifuge overhead crane)
	 

	 	Shop tables
	 

	 	Maintenance office furnishings & supplies
	 

	 	Fire Extinguishers
	 

	 	Reference books
	 

	 	Safety manuals
	 

	 	Safety cabinets & supplies, etc.
	 
	 	 
	Rolling stock

	 	Used 1 1/2 yard front end loader
	 

	 	New Skid loader
	 

	 	Used Fork lift
	 

	 	Used Scissors lift, 30 foot
	 

	 	Used Pickup truck
	 

	 	Track Mobile

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	C-7	 	 
	January 5, 2006
	 	 	 	 

 

 

EXHIBIT D

ICM License Agreement

THIS LICENSE AGREEMENT (this “License Agreement”) is entered into and made effective as of the
30th day of September, 2005 (“Effective Date”) by and between Siouxland Ethanol, LLC, a Nebraska
limited liability company (“OWNER”), and ICM, Inc., a Kansas corporation (“ICM”).

     WHEREAS, OWNER has entered into that certain Design-Build Lump Sum Contract dated September
30, 2005 (the “Contract”) with Fagen, Inc., a Minnesota corporation (“Fagen”), under which Fagen is
to design and construct a 50 million gallon per year ethanol plant for OWNER to be located in or
near Jackson, Nebraska (the “Plant”);

     WHEREAS, ICM has granted Fagen the right to use certain proprietary technology and information
of ICM in the design and construction of the Plant; and

     WHEREAS, OWNER desires from ICM, and ICM desires to grant to OWNER, a license to use such
proprietary technology and information in connection with OWNER’s ownership, operation, maintenance
and repair of the Plant, all upon the terms and conditions set forth herein;

     NOW, THEREFORE, the parties, in consideration of the foregoing premises and the mutual
promises contained herein and for other good and valuable consideration, receipt of which is hereby
acknowledged, agree as follows:

1. Upon substantial completion of the Plant by Fagen pursuant to the terms of the Contract or,
if later, payment by OWNER of all amounts due and owing to Fagen under the Contract, ICM grants
to OWNER a limited license to use the Proprietary Property (hereinafter defined) solely in
connection with the ownership, operation, maintenance and repair of the Plant, subject to the
limitations provided herein (the “Purpose”).

2. The “Proprietary Property” means, without limitation, documents, Operating Procedures
(hereinafter defined), materials and other information that are furnished by ICM to OWNER in
connection with the Purpose, whether orally, visually, in writing, or by any other means,
whether tangible or intangible, directly or indirectly (including, without limitation, through
Fagen) and in whatever form or medium including, without limitation, the design, arrangement,
configuration, and specifications of (i) the combinations of distillation, evaporation, and
alcohol dehydration equipment (including, but not limited to, pumps, vessels, tanks, heat
exchangers, piping, valves and associated electronic control equipment) and all documents
supporting those combinations; (ii) the combination of the distillers grain drying (DGD), and
heat recovery steam generation (HRSG) equipment (including, but not limited to, pumps, vessels,
tanks, heat exchangers, piping and associated electronic control equipment) and all documents
supporting those combinations; and (iii) the computer system, known as the distributed control
system (DCS and/or PLC) (including, but not limited to, the software configuration, programming,
parameters, set points, alarm points, ranges, graphical interface, and system hardware
connections) and all documents supporting that system. The “Operating Procedures” means,
without limitation, the process equipment and specifications manuals, standards of quality,
service protocols, data collection methods, construction specifications, training methods,
engineering standards and any other information prescribed by ICM from time to time concerning
the Purpose. Proprietary Property shall not include any information or materials that OWNER can
demonstrate by clear and convincing written evidence: (i) was lawfully in the possession of
OWNER prior to disclosure by ICM or Fagen; (ii) was in the public domain prior to disclosure by
ICM or

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	D-1	 	 
	January 5, 2006
	 	 	 	 

 

 

Fagen; (iii) was disclosed to OWNER by a third party other than Fagen having the legal right to
possess and disclose such information or materials; or (iv) after disclosure by ICM or Fagen
comes into the public domain through no fault of OWNER or its members, directors, officers,
employees, agents, contractors, consultants or other representatives (hereinafter collectively
referred to as “Representatives”). Information and materials shall not be deemed to be in the
public domain merely because such information is embraced by more general disclosures in the
public domain, and any combination of features shall not be deemed to be within the foregoing
exceptions merely because individual features are in the public domain if the combination itself
and its principles of operation are not in the public domain.

3. OWNER shall not use the Proprietary Property for any purpose other than the Purpose. OWNER
shall not use the Proprietary Property in connection with any expansion or enlargement of the
Plant. ICM and its Representatives shall have the express right at any time to enter upon the
premises of the Plant to inspect the Plant and its operation to ensure that OWNER is complying
with the terms of this License Agreement.

4. OWNER’s failure to materially comply with the Operating Procedures shall void all guarantees,
representations and warranties, whether expressed or implied, if any, that were given by ICM to
OWNER, directly or indirectly through Fagen, concerning the performance of the Plant that ICM
reasonably determines are materially affected by OWNER’s failure to materially comply with such
Operating Procedures. OWNER agrees to indemnify, defend and hold harmless ICM, Fagen and their
respective Representatives from any and all losses, damages and expenses including, without
limitation, reasonable attorneys’ fees resulting from, relating to or arising out of Owner’s or
its Representatives’ (a) failure to materially comply with the Operating Procedures or (b)
negligent use of the Proprietary Property.

5. Any and all modifications to the Proprietary Property made by OWNER or its Representatives
shall be the property of ICM. OWNER shall promptly notify ICM of any such modification and
OWNER agrees to assign all right, title and interest in such modification to ICM; provided,
however, OWNER shall retain the right, at no cost, to use such modification in connection with
the Purpose.

6. ICM has the exclusive right and interest in and to the Proprietary Property and the goodwill
associated therewith. OWNER will not, directly or indirectly, contest ICM’s ownership of the
Proprietary Property. OWNER’s use of the Proprietary Property does not give OWNER any ownership
interest or other interest in or to the Proprietary Property except for the limited license
granted to OWNER herein.

7. OWNER shall pay no license fee or royalty to ICM for OWNER’s use of the Proprietary Property
pursuant to this License Agreement, the consideration for the limited license granted herein is
certain payments by Fagen to ICM, which is funded by and included in the amounts payable by
OWNER to Fagen for the construction of the Plant under the Contract.

8. OWNER may not assign the limited license granted herein, in whole or in part,
without the prior written consent of ICM, which will not be unreasonably withheld or delayed.
Prior to any assignment, OWNER shall obtain from such assignee a written instrument, in form and
substance reasonably acceptable to ICM, agreeing to be bound by all the terms and provisions of
this License Agreement. Any assignment of this License Agreement shall not release OWNER from
(i) its duties and obligations hereunder concerning the disclosure and use of the Proprietary
Property by OWNER or its Representatives, or (ii) damages to ICM resulting from, or arising out
of, a breach of such duties or obligations by OWNER or its Representatives. ICM may assign its
right, title and interest in the Proprietary Property, in whole or part, subject to the limited
license granted herein.

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	D-2	 	 
	January 5, 2006
	 	 	 	 

 

 

9. The Proprietary Property is confidential and proprietary. OWNER shall keep the Proprietary
Property confidential and shall use all reasonable efforts to maintain the Proprietary Property
as secret and confidential for the sole use of OWNER and its Representatives for the Purpose.
OWNER shall retain all Proprietary Property at its principal place of business and/or the Plant.
OWNER shall not at any time without ICM’s prior written consent, copy, duplicate, record, or
otherwise reproduce the Proprietary Property, in whole or in part, or otherwise make the same
available to any unauthorized person provided, OWNER shall be permitted to copy, duplicate or
otherwise reproduce the Proprietary Property in whole or in part in connection with, and to the
extent it is necessary and essential for, the Purpose so long as all such copies, duplicates or
reproductions are kept at its principal place of business and/or the Plant and are treated the
same as any other Proprietary Property. OWNER shall not disclose the Proprietary Property
except to its Representatives who are directly involved with the Purpose, and even then only to
such extent as is necessary and essential for such Representative’s involvement. OWNER shall
inform such Representatives of the confidential and proprietary nature of such information and,
if requested by ICM, OWNER shall obtain from such Representative a written instrument, in form
and substance reasonably acceptable to ICM, agreeing to be bound by all of the terms and
provisions of this License Agreement to the same extent as OWNER. OWNER shall make all
reasonable efforts to safeguard the Proprietary Property from disclosure by its Representatives
to anyone other than permitted hereby. OWNER shall notify ICM immediately upon discovery of any
unauthorized use or disclosure of the Proprietary Property, or any other breach of this License
Agreement by OWNER or its Representatives, and shall cooperate with ICM in every reasonable way
to help ICM regain possession of the Proprietary Property and prevent its further unauthorized
use or disclosure. In the event that OWNER or its Representatives are required by law
to disclose the Proprietary Property, OWNER shall provide ICM with prompt written notice of same
so that ICM may seek a protective order or other appropriate remedy. In the event that such
protective order or other appropriate remedy is not obtained, OWNER or its Representatives will
furnish only that portion of the Proprietary Property which in the reasonable opinion of its or
their legal counsel is legally required and will exercise its reasonable efforts to obtain
reliable assurance that the Proprietary Property so disclosed will be accorded confidential
treatment.

10. OWNER agrees to indemnify ICM for any and all damages (including, without limitation,
reasonable attorneys’ fees) arising out of or resulting from any unauthorized disclosure or use
of the Proprietary Property by OWNER or its Representatives. OWNER agrees that ICM would be
irreparably damaged by reason of a violation of the provisions contained herein and that any
remedy at law for a breach of such provisions would be inadequate. OWNER agrees that ICM shall
be entitled to seek injunctive or other equitable relief in a court of competent jurisdiction
against OWNER or its Representatives for any unauthorized disclosure or use of the Proprietary
Property without the necessity of proving actual monetary loss or posting any bond. It is
expressly understood that the remedy described herein shall not be the exclusive remedy of ICM
for any breach of such covenants, and ICM shall be entitled to seek such other relief or remedy,
at law or in equity, to which it may be entitled as a consequence of any breach of such duties
or obligations.

11. The duties and obligations of OWNER under this License Agreement, and all provisions
relating to the enforcement of such duties and obligations shall survive and remain in full
force and effect notwithstanding any termination or expiration of the Contract or this License
Agreement.

12. ICM may terminate this License Agreement upon written notice to OWNER if OWNER willfully or
wantonly (a) uses the Proprietary Property for any purpose, or (b) discloses the Proprietary
Property to anyone, in each case other than permitted herein. Upon termination of this License
Agreement, OWNER shall cease using the Proprietary Property for any purpose (including the
Purpose) and, upon request by ICM, shall promptly return to ICM all documents or other materials
in

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	D-3	 	 
	January 5, 2006
	 	 	 	 

 

 

OWNER’s or its Representatives’ possession that contain Proprietary Property in whatever format,
whether written or electronic, including any and all copies or reproductions of the Proprietary
Property. OWNER shall permanently delete all such Proprietary Property from its computer hard
drives and any other electronic storage medium (including any backup or archive system). OWNER
shall deliver to ICM a written certificate which certifies that all electronic copies or
reproductions of the Proprietary Property have been permanently deleted.

13. The laws of the State of Kansas, United States of America (or US), shall govern the validity
of the provisions contained herein, the construction of such provisions, and the interpretation
of the rights and duties of the parties. Any legal action brought to enforce or construe the
provisions of this License Agreement shall be brought in the federal or state courts located in
Wichita, Kansas, and the parties agree to and hereby submit to the exclusive jurisdiction of
such courts and agree that they will not invoke the doctrine of forum non conveniens or other
similar defenses in any such action brought in such courts. Notwithstanding the foregoing,
nothing in this License Agreement will affect any right ICM may otherwise have to bring any
action or proceeding relating to this License Agreement against OWNER or its properties in the
courts of any jurisdiction. In the event the Plant is located in, or OWNER is organized under
the laws of, a country other than the US, OWNER hereby specifically agrees that any injunctive
or other equitable relief granted by a court located in the State of Kansas, US, or any award by
a court located in the State of Kansas, shall be specifically enforceable as a foreign judgment
in the country in which the Plant is located, OWNER is organized or both, as the case may be,
and agrees not to contest the validity of such relief or award in such foreign jurisdiction,
regardless of whether the laws of such foreign jurisdiction would otherwise authorize such
injunctive or other equitable relief, or award.

14. OWNER hereby agrees to waive all claims against ICM and ICM’s Representatives for any
consequential damages that may arise out of or relate to this License Agreement, the Contract or
the Proprietary Property whether arising in contract, warranty, tort (including negligence),
strict liability or otherwise, including but not limited to losses of use, profits, business,
reputation or financing. OWNER further agrees that the aggregate recovery of OWNER and Fagen
(and everyone claiming by or through OWNER and Fagen), as a whole, against ICM and ICM’s
Representatives, collectively, for any and all claims that arise out of, relate to or result
from this License Agreement, the Proprietary Property or the Contract, whether arising in
contract, warranty, tort (including negligence), strict liability or otherwise, shall
not exceed One Million US Dollars ($1,000,000).

15. The terms and conditions of this License Agreement constitute the entire agreement between
the parties with respect to the subject matter hereof and supersede any prior understandings,
agreements or representations by or between the parties, written or oral. Any rule of
construction to the effect that any ambiguity is to be resolved against the drafting party shall
not be applicable in the interpretation of this License Agreement. This License Agreement may
not be modified or amended at any time without the written consent of the parties.

16. All notices, requests, demands, reports, statements or other communications (herein referred
to collectively as “Notices”) required to be given hereunder or relating to this License
Agreement shall be in writing and shall be deemed to have been duly given if transmitted by
personal delivery or mailed by certified mail, return receipt requested, postage prepaid, to the
address of the party as set forth below. Any such Notice shall be deemed to be delivered and
received as of the date so delivered, if delivered personally, or as of the third business day
following the day sent, if sent by certified mail. Any party may, at any time, designate a
different address to which Notices shall be directed by providing written notice in the manner
set forth in this paragraph.

17. In the event that any of the terms, conditions, covenants or agreements contained in this
License

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	D-4	 	 
	January 5, 2006
	 	 	 	 

 

 

Agreement, or the application of any thereof, shall be held by a court of competent jurisdiction
to be invalid, illegal or unenforceable, such term, condition, covenant or agreement shall be
deemed void ab initio and shall be deemed severed from this License Agreement. In such event,
and except if such determination by a court of competent jurisdiction materially changes the
rights, benefits and obligations of the parties under this License Agreement, the remaining
provisions of this License Agreement shall remain unchanged unaffected and unimpaired thereby
and, to the extent possible, such remaining provisions shall be construed such that the purpose
of this License Agreement and the intent of the parties can be achieved in a lawful manner.

18. The duties and obligations herein contained shall bind, and the benefits and advantages
shall inure to, the respective successors and permitted assigns of the parties hereto.

19. The waiver by any party hereto of the breach of any term, covenant, agreement or condition
herein contained shall not be deemed a waiver of any subsequent breach of the same or any other
term, covenant, agreement or condition herein, nor shall any custom, practice or course of
dealings arising among the parties hereto in the administration hereof be construed as a waiver
or diminution of the right of any party hereto to insist upon the strict performance by any
other party of the terms, covenants, agreement and conditions herein contained.

20. In this License Agreement, where applicable, (i) references to the singular shall include
the plural and references to the plural shall include the singular, and (ii) references to the
male, female, or neuter gender shall include references to all other such genders where the
context so requires.

IN WITNESS WHEREOF, the parties hereto have executed this License Agreement, the Effective
Date of which is indicated on page 1 of this License Agreement.

OWNER:     ICM:

	 	 	 
	Siouxland Ethanol, LLC

	 	ICM, Inc.
	 
	 	 
	 

	 	 
	(Signature)

	 	(Signature)
	 
	 	 
	 

	 	 
	(Printed Name)

	 	(Printed Name)
	 
	 	 
	 

	 	 
	(Title)

	 	(Title)
	 
	 	 

	 	 	 	 	 	 	 	 	 
	Date:

	 	 	 	Date:
	 	 	 	 
	 

	 	 
	 	 	 	 	 	 

	 	 	 
	Address for giving notices:

	 	Address for giving notices:
	 
	 	 
	 

	 	301 N First Street
	 

	 	 
	 

	 	Colwich, KS 67030
	 

	 	 

	 	 	 	 	 
	Siouxland Ethanol, LLC

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	January 5, 2006
	 	 	 	 

 

 

EXHIBIT E

Schedule of Values

Siouxland Ethanol, LLC

50 MGPY ETHANOL PLANT

Jackson, NE

9/29/05

	 	 	 	 	 	 	 
	 	 	DESCRIPTION	 	VALUE
	1

	 	MOBILIZATION
	 	 	*	 
	2

	 	ENGINEERING
	 	 	*	 
	3

	 	GENERAL CONDITIONS (16 months)
	 	 	*	 
	4

	 	SITEWORK
	 	 	*	 
	5

	 	CONCRETE
	 	 	*	 
	6

	 	MASONRY / ARCHITECTURAL
	 	 	*	 
	7

	 	STRUCTURAL STEEL & MISC. METALS
	 	 	*	 
	8

	 	PRE-ENGINEERED BUILDINGS
	 	 	*	 
	9

	 	GRAIN HANDLING SYSTEM
	 	 	*	 
	10

	 	PROCESS TANKS & VESSELS
	 	 	*	 
	11

	 	FIELD ERECTED TANKS
	 	 	*	 
	12

	 	HEAT EXCHANGERS
	 	 	*	 
	13

	 	PROCESS EQUIPMENT
	 	 	*	 
	14

	 	CENTRIFUGES
	 	 	*	 
	15

	 	CHILLER
	 	 	*	 
	16

	 	TRUCK SCALES & PROBE
	 	 	*	 
	17

	 	ETHANOL LOADOUT & VAPOR FLARE SYSTEM
	 	 	*	 
	18

	 	COOLING TOWER
	 	 	*	 
	19

	 	DRYER SYSTEM
	 	 	*	 
	20

	 	THERMAL OXIDIZER
	 	 	*	 
	21

	 	METHANATOR
	 	 	*	 
	22

	 	PROCESS PIPING & VALVES
	 	 	*	 
	23

	 	PAINTING
	 	 	*	 
	24

	 	INSULATION
	 	 	*	 
	25

	 	PLUMBING & HVAC
	 	 	*	 
	26

	 	ELECTRICAL
	 	 	*	 
	27

	 	INSTRUMENTATION
	 	 	*	 
	28

	 	START-UP
	 	 	*	 
	29

	 	DEMOBILIZATION
	 	 	*	 
	 
	 	 	 	 	 	 
	CONTRACT AMOUNT	 	$	56,619,000	 

 

			
	*	 	Portion omitted pursuant to a request for confidential treatment and filed separately with the
Securities and Exchange Commission.

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	E-1	 	 
	January 5, 2006
	 	 	 	 

 

 

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	D-2	 	 
	January 5, 2006
	 	 	 	 

 

 

EXHIBIT F

Form of Progress Report

	A.	 	Project Overview — Brief description of project including plant capacity, major contractors
(if applicable), completion dates (including Substantial Completion, Final Completion Date,
estimated performance testing start, etc.), etc. Should also include progress reporting
period.

	B.	 	Project Status – Divided into engineering, construction, and Owner responsibilities as well
as a summary describing project status as a whole. Subsections include:

               B1 – Engineering – Current month progress and status as compared to plan, 1-month look
ahead/goals, issues being worked, critical path activities, and statement regarding support of
construction activities.

               B2 – Construction — Current month progress and status as compared to plan, 1-month look
ahead/goals, issues being worked, critical path activities, procurement activities (if applicable),
subcontracting activities (if applicable), and statement regarding completion of owner
responsibilities as it relates to Design-Builder completion of work schedule. In addition, it
should include:

A. Site Work and Utilities  —  Owner Responsibility

	 	1.	 	Plant Fire Water Loop — 98% Complete.
	 
	 	2.	 	Railroad: Rail ties on tracks A and B are up to Rail Load out; tracks C and D
are installed past DDG building to rail car storage area. Tracks A and B to be complete
when Grains building is complete.
	 
	 	3.	 	Power Company is 100% complete on permanent power.

	 
	 	4.	 	Gas line to plant has commenced, gas to be on site by Oct. 21.
	 
	 	5.	 	City water main from main entrance to tank is installed, awaiting word from
City.
	 
	 	6.	 	Road work has started at main entrance and Admin. Area, final grading has
started in these areas as well.

B. Grains Storage & Handling

	 	1.	 	Grains receiving building is 95% complete.
	 
	 	2.	 	Continuing to installing all miscellaneous ladders and platforms for collectors
and bag houses. Continuing to install dust collection system for Grains receiving.
	 
	 	3.	 	Electrical is right behind installing conduit and wire to equipment.
	 
	 	4.	 	Pit area 95% complete.
	 
	 	5.	 	Continue to install main legs for Grain to Silos.
	 
	 	6.	 	HVAC equipment on site, yet to be installed.

     C. Energy Building

	 	 	 	 	 
	Siouxland Ethanol, LLC

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	 	1.	 	99% of Equipment installed.
	 
	 	2.	 	Electrical nearly 94% complete. Have started bumping motors and conveyors for
rotation.
	 
	 	3.	 	Steel 100% complete.
	 
	 	4.	 	All end walls are complete with siding. Half of the roof is installed.
	 
	 	5.	 	Mechanical piping is at 30% complete.
	 
	 	6.	 	All RO equipment is installed. All totes are installed. Tubing to Boiler and DA
has started. Electrical completing installation for power and controls to RO equipment.

D. Process / Fermentation Building

	 	1.	 	99% of the Equipment is installed.
	 
	 	2.	 	Piping is 98% complete.
	 
	 	3.	 	Vinyl Composite tile 70% complete. Ceramic tile to bathrooms is complete.
	 
	 	4.	 	HVAC equipment installation is complete. Final tie ins for office area, server
room and maintenance room continuing.

E. Distillation and Evap Area

	 	1.	 	Mechanical is about 98% complete. Complete small bore piping where needed.

	 
	 	2.	 	Electrical is behind Mechanical installing instruments and wiring.

F. Tank Farm

	 	1.	 	Mechanical is 98% complete, waiting on Specialty items to arrive for
installation.
	 
	 	2.	 	All pumps have been installed and piping is complete to and from.
	 
	 	3.	 	Electrical continuing installation of cable tray, 95% of instruments are
installed, wire is about 85% complete.

G. Chiller – Cooling Tower

	 	1.	 	Chiller Building –Overhead doors have been completed.
	 
	 	2.	 	Cooling Tower erection is 100% complete.
	 
	 	3.	 	HVAC unit on site, yet to be installed.

               B3 – Commissioning and Start-up – Activities related to commissioning and start-up including
training completed, turnover packages completed, status of testing procedures, etc.

               B4 — Total Project – Overall project status, including critical path activities.

C – Health and Safety – Summary including number of craft, number of first aid cases, number of
recordable cases, and number of lost time accidents. If applicable, safety programs implemented at
site, etc.

	 	 	 	 	 
	Siouxland Ethanol, LLC

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	January 5, 2006
	 	 	 	 

 

 

D – Schedule – Including most recent updated schedule accompanied with schedule overview,
comparison to baseline, and critical path activities. The schedule should correspond to
application for payment.

E – Financial – Including total of invoices submitted to date as well as change orders submitted
and status.

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	F-3	 	 
	January 5, 2006
	 	 	 	 

 

 

EXHIBIT G

Required Permits

	 	 	 	 	 	 	 	 	 
	 	 	 	 	Responsibility	 	 	 	 
	 	 	Type of	 	for Obtaining	 	Assistance in	 	 
	No.	 	Application/Permit	 	Permit	 	Preparation	 	Notes
	1

	 	Underground Utility

Locating Service
	 	Design-Builder/Owner
	 	 	 	Notification
service for
underground work.
	 
	 	 	 	 	 	 	 	 
	2

	 	Septic Tank & Drain

Field Permit
	 	Owner	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	3

	 	Railroad Permit/Approval
	 	Owner
	 	Design-Builder	 	 
	 
	 	 	 	 	 	 	 	 
	4

	 	Archeological Survey
	 	Owner	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	5

	 	Highway Access Permit
	 	Owner
	 	 	 	State Department of
Transportation or
County
	 
	 	 	 	 	 	 	 	 
	6

	 	Building Permits
	 	Design-Builder	 	 	 	 
	 

	 	Mechanical
	 	Design-Builder	 	 	 	 
	 

	 	Electrical
	 	Design-Builder	 	 	 	 
	 

	 	Structures
	 	Design-Builder	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	7

	 	Construction Air Permit
	 	Owner
	 	Design-Builder	 	 
	 
	 	 	 	 	 	 	 	 
	8

	 	Construction Permit
	 	Owner
	 	Design-Builder	 	 
	 
	 	 	 	 	 	 	 	 
	9

	 	Operations Permit
	 	Owner
	 	Design-Builder	 	 
	 
	 	 	 	 	 	 	 	 
	10

	 	Wastewater Permit
	 	Owner
	 	Design-Builder	 	 
	 
	 	 	 	 	 	 	 	 
	11

	 	Water Appropriation

Permit
	 	Owner
	 	Design-Builder	 	 
	 
	 	 	 	 	 	 	 	 
	12

	 	Fire Protection
	 	Owner
	 	Design-Builder	 	 

	 	 	 	 	 
	Siouxland Ethanol, LLC

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	 	 	 	 	Responsibility	 	 	 	 
	 	 	Type of	 	for Obtaining	 	Assistance in	 	 
	No.	 	Application/Permit	 	Permit	 	Preparation	 	Notes
	13

	 	Above Ground Storage

Tank Permit
	 	Design-Builder	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	14

	 	BATF
	 	Owner	 	 	 	 

	 	 	 	 	 
	Siouxland Ethanol, LLC

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	January 5, 2006
	 	 	 	 

 

 

EXHIBIT H

Form of Performance Bond

PERFORMANCE BOND

The American Institute of Architects,

AIA Document No. A312 (December, 1984 Edition)

Any singular reference to Contractor, Surety, Owner or other

party shall be considered plural where applicable.

	 	 	 
	CONTRACTOR (Name and Address):

	 	Amount: [Amount]
	Fagen, Inc.

	 	Description (Name and Location):
	P. O. Box 159 [Project Name and Location]
	 	 
	Granite Falls, MN 56241

	 	OWNER (Name and Address):
	CONSTRUCTION CONTRACT

	 	[Owner Name/Address]
	Date:

	 	SURETY (Name and Principal Place of
	 

	 	Business): [Name/Place of Business]

BOND#

Date (Not earlier than Construction Contract Date):

Amount:

Modifications to this Bond:           o None            o See Page 2

CONTRACTOR AS PRINCIPAL                      SURETY

	 	 	 	 	 	 	 
	Company:

	 	(Corporate Seal)
	 	Company:
	 	(Corporate Seal)

Fagen, Inc.

	 	 	 	 	 	 	 	 	 
	Signature:

	 	 	 	Signature:
	 	 	 	 
	 

	 	 
	 	 	 	 	 	 

	 	 	 	 	 	 	 	 	 
	Name and Title:

	 	 	 	Name and Title:
	 	 	 	 
	 

	 	 
	 	 	 	 	 	 

(Any additional signatures appear an page 2.)

(FOR INFORMATION Only- Name, Address and Telephone)

OWNER’S REPRESENTATIVE (Architect, Engineer or other party):

AGENT OR BROKER:

1. The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors,
administrators, successors and assigns to the Owner for the performance of the Construction
Contract, which is incorporated herein by reference.

	 	 	 	 	 
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2. If the Contractor performs the Construction Contract, the Surety and the Contractor shall have
no obligation under this Bond, except to participate in conferences as provided in Subparagraph
3.1.

3. If there is no Owner Default, the Surety’s obligation under this Bond shall arise after:

3.1 The Owner has notified the Contractor and the Surety at its address described in Paragraph 10
below that the Owner is considering declaring a Contractor Default and has requested and attempted
to arrange a conference with the Contractor and the Surety to be held not later than fifteen days
after receipt of such notice to discuss methods of performing the Construction Contract. If the
Owner, the Contractor and the Surety agree, the Contractor shall be allowed a reasonable time to
perform the Construction Contract, but such an agreement shall not waive the Owner’s right, if any,
subsequently to declare a Contractor Default; and

3.2 The Owner has declared a Contractor Default and formally terminated the Contractor’s right to
complete the contract. Such Contractor Default shall not be declared earlier than twenty days
after the Contractor and Surety have received notice as provided in Subparagraph 3.1; and

3.3 The Owner has agreed to pay the Balance of the Contract Price to the Surety in accordance with
the terms of the Construction Contract or to a contractor selected to perform the Construction
Contract in accordance with the terms of the contract with the Owner.

4. When the Owner has satisfied the conditions of Paragraph 3, the Surety shall promptly and at the
Surety’s expense take one of the following actions:

4.1 Arrange for the Contractor with consent of the Owner, to perform and complete the Construction
Contract; or

4.2 Undertake to perform and complete the Construction Contract itself, through its agents or
through independent contractors; or

4.3 Obtain bids or negotiated proposals from qualified contractors acceptable to the Owner for a
contract for performance and completion of the Construction Contract, arrange for a contract to be
prepared for execution by the Owner and the contractor selected with the Owner’s concurrence, to be
secured with performance and payment bonds executed by a qualified surety equivalent to the bonds
issued on the Construction Contract, and pay to the Owner the amount of damages as described in
Paragraph 6 in excess of the Balance of the Contract Price incurred by the Owner resulting from the
Contractor’s default; or

4.4 Waive its right to perform and complete, arrange for completion, or obtain a new contractor and
with reasonable promptness under the circumstances:

.1 After investigation, determine the amount for which it may be liable to the Owner and, as
soon as practicable after the amount is determined, tender payment therefor to the Owner; or

.2 Deny liability in whole or in part and notify the Owner citing reasons therefor.

5. If the Surety does not proceed as provided in Paragraph 4 with reasonable promptness, the Surety
shall be deemed to be in default on this Bond fifteen days after receipt of an additional written
notice from the Owner to the Surety demanding that the Surety perform its Obligations under this
Bond, and the Owner shall be entitled to enforce any remedy available to the Owner. If the Surety
proceeds as provided in Subparagraph 4.4, and the Owner refuses the payment tendered or the Surety
has denied liability, in whole or in part, without further notice the Owner shall be entitled to
enforce any remedy available to the Owner.

6. After the Owner has terminated the Contractor’s right to complete the Construction Contract, and
if the Surety elects to act under Subparagraph 4.1, 4.2, or 4.3 above, then the

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	H-2	 	 
	January 5, 2006
	 	 	 	 

 

 

responsibilities of the Surety to the Owner shall not be greater than those of the Contractor under
the Construction Contract, and the responsibilities of the Owner to the Surety shall not be greater
than those of the Owner under the Construction Contract. To the limit of the amount of this Bond,
but subject to commitment by the Owner of the Balance of the Contract Price to mitigation of costs
and damages on the Construction Contract, the Surety is obligated without duplication for:

6.1 The responsibilities of the Contractor for correction of defective work and completion of the
Construction Contract;

6.2 Additional legal design professional and delay costs resulting from the Contractor’s Default,
and resulting from the actions or failure to act of the Surety under Paragraph 4; and

6.3 Liquidated damages, or if no liquidated damages are specified in the Construction Contract,
actual damages caused by delayed performance or non-performance of the Contractor.

7. The Surety shall not be liable to the Owner or others for obligations of the Contractor that are
unrelated to the Construction Contract and the Balance of the Contract Price shall not be reduced
or set off on account of any such unrelated obligations. No right of action shall accrue on this
Bond to any person or entity other than the Owner or its heirs, executors, administrators or
successors.

8. The Surety hereby waives notice of any change, including changes of time, to the Construction
Contract or to related subcontracts, purchase orders and other obligations.

9. Any proceeding, legal or equitable, under this Bond may be instituted in any court of competent
jurisdiction in the location in which the work or part of the work is located and shall be
instituted within two years after Contractor Default or within two years after the Contractor
ceased working or within two years after the Surety refuses or fails to perform its obligations
under this Bond, whichever occurs first. If the provisions of this Paragraph are void or
prohibited by law, the minimum period of limitation available to sureties as a defense in the
jurisdiction of the suit shall be applicable.

10. Notice to the Surety, the Owner or the Contractor shall be mailed or delivered to the address
shown on the signature page.

11. When this Bond has been furnished to comply with a statutory or other legal requirement in the
location where the construction was to be performed, any provision in this Bond conflicting with
said statutory or legal requirement shall be deemed deleted herefrom and provisions conforming to
such statutory or other legal requirement shall be deemed incorporated herein. The intent is that
this Bond shall be construed as a statutory bond and not as a common law bond.

12. DEFINITIONS

12.1 Balance of the Contract Price: The total amount payable by the Owner to the Contractor under
the Construction Contract after all proper adjustments have been made, including allowance to the
Contractor of any amounts received or to be received by the Owner in settlement of insurance or
other claims for damages to which the Contractor is entitled, reduced by all valid and proper
payments made to or on behalf of the Contractor under the Construction Contract.

12.2 Construction Contract: The agreement between the Owner and the Contractor identified on the
signature page, including all Contract Documents and changes thereto.

12.3 Contractor Default: Failure of the Contractor, which has neither been remedied nor waived, to
perform or otherwise to comply with the terms of the Construction Contract.

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	H-3	 	 
	January 5, 2006
	 	 	 	 

 

 

12.4 Owner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the
Contractor as required by the Construction Contract or to perform and complete or comply with the
other terms thereof.

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	H-4	 	 
	January 5, 2006
	 	 	 	 

 

 

MODIFICATIONS TO THIS BOND ARE AS FOLLOWS:

This bond is subject to the attached Dual Obligee Rider dated

	 	 	 
	 

	 	 
	 
	 	 
	 

	 	 
	 
	 	 
	 

	 	 

(Space is provided below for additional signatures of added parties other than those appearing
on the cover page.)

	 	 	 	 	 	 	 	 	 
	CONTRACTOR AS PRINCIPAL

	 	 	 	SURETY
	 	 	 	 
	(Corporate Seal)

	 	 	 	(Corporate Seal)	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Company:

	 	 	 	Company:	 	 	 	 
	 

	 	 
	 	 	 	 	 	 
	Address:

	 	 	 	Address:	 	 	 	 
	 

	 	 
	 	 	 	 	 	 
	Name and Title:

	 	 	 	Name and Title:	 	 	 	 
	 

	 	 
	 	 	 	 	 	 
	Signature:

	 	 	 	Signature:	 	 	 	 
	 

	 	 
	 	 	 	 	 	 

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	H-5	 	 
	January 5, 2006
	 	 	 	 

 

 

DUAL OBLIGEE RIDER

(TO BE ATTACHED TO BOND AT TIME OF ISSUANCE)

TO BE ATTACHED TO AND FORM PART OF Performance and Payment Bond NO. ___, dated concurrently
with the execution of this Rider, issued by the ___, a ___corporation, as
Surety, on behalf of Fagen, Inc., as Principal, and in favor of ___, as Obligee.

     IT IS HEREBY UNDERSTOOD AND AGREED that the above described bond(s) are hereby amended to
include the following paragraph:

	 	 	Notwithstanding anything contained herein to the contrary, there shall be no
liability on the part of the Principal or Surety under this bond to the Obligees, or
either of them, unless the Obligees, or either of them, shall make payments to the
Principal or to the Surety in case it arranges for completion of the Contract upon
default of the Principal, strictly in accordance with the terms of said Contract as
to payments, and shall perform all the other obligations required to be performed
under said Contract at the time and in the manner therein set forth.

     IT IS FURTHER UNDERSTOOD AND AGREED that nothing herein contained shall be held to
change, alter or vary the terms of the above described bond(s) except as hereinbefore set forth.

     SIGNED, SEALED AND DATED this ___day of ___, 200_.

	 	 	 	 	 	 	 	 	 
	 	 	Fagen, Inc.	 	 	 	 
	 
	 	 	 	 	 	 	 
	 	 	(Contractor)	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	[                    ]	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	(Surety)	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	 

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	H-6	 	 
	January 5, 2006
	 	 	 	 

 

 

EXHIBIT I

Work Schedule and Owner’s Milestones

	 	 	 	 	 
	OWNER'S RESPONSIBILITIES	 	NUMBER OF DAYS TO BE
	 	 	COMPLETED AFTER NOTICE TO
	 	 	PROCEED
	Notice to Proceed

	 	 	0	 
	Obtain Builder’s Risk policy in the amount of
the Contract Price, obtain Boiler and Machinery
Insurance, and obtain Terrorism Coverage per
TRIA

	 	 	*	 
	Storm Water Permits Complete

	 	 	*	 
	Natural Gas/Propane Supply Agreements Complete

	 	 	*	 
	Water Supply and Service Agreements Complete

	 	 	*	 
	Risk Insurance Provider Selected/Fire Protection

Requirements Known

	 	 	*	 
	NPDES Discharge Point Selected

	 	 	*	 
	Electrical Service

	 	 	*	 
	Water Pre-Treatment System Design Complete

	 	 	*	 
	Wastewater Discharge System Complete

	 	 	*	 
	Operating Permits Complete

	 	 	*	 
	Discharge Permits Complete

	 	 	*	 
	Pumphouse/Water Pre-treatment System Complete

	 	 	*	 
	Fire Protection System Complete

	 	 	*	 
	Administrative Building Complete

	 	 	*	 
	Paving (Plant Roads) Complete

	 	 	*	 
	Rail Spur Complete

	 	 	*	 
	Employees Hired and Ready for Training

	 	 	*	 
	Natural Gas Pipeline Complete

	 	 	*	 

	 	 	 	 	 
	 	 	NUMBER OF DAYS TO BE COMPLETED AFTER
	DESIGN-BUILDER’S RESPONSIBILITIES	 	NOTICE TO PROCEED
	Substantial Completion

	 	 	485	 
	Final Completion

	 	 	545	 

* Portion
omitted pursuant to a request for confidential treatment and filed
separately with the Securities and Exchange Commission.

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	I-1	 	 
	January 5, 2006
	 	 	 	 

 

 

EXHIBIT J

Preliminary Construction Documents

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	J-1	 	 
	January 5, 2006
	 	 	 	 

 

 

EXHIBIT K

Draw (Payment) Schedule

Siouxland Ethanol, LLC

Jackson, NE

Monthly Draw Schedule — 16 Month Project

9/29/2005

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Previously	 	 	 	 
	Month #	 	This Month	 	Completed	 	Total	 	% of Total
	1

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	2

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	3

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	4

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	5

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	6

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	7

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	8

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	9

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	10

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	11

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	12

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	13

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	14

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	15

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%
	16

	 	$	*	 	 	$	*	 	 	$	*	 	 	 	*	%

 

			
	*	 	Portion omitted pursuant to a request for confidential
treatment and filed separately with the Securities and Exchange
Commission.
	***	 	$5,000,000 Mobilization Fee included in 1st Billing

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	K-1	 	 
	January 5, 2006
	 	 	 	 

 

 

EXHIBIT L

Air Emissions Application or Permit

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	L-1	 	 
	January 5, 2006
	 	 	 	 

 

 

EXHIBIT M

Phase I and Phase II Engineering Services Agreement

	 	 	 	 	 
	Siouxland Ethanol, LLC

	 	M-1	 	 
	January 5, 2006

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00097-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00097-of-00352.parquet"}]]