Document:

exv10w4

 

Exhibit 10.4

Rail Service and Construction Agreement

Between Siouxland Ethanol, LLC

and

Nebraska Northeastern Railroad Company

     THIS RAIL SERVICE AND CONSTRUCTION AGREEMENT (the “Agreement”) is made and entered into as of
the 11th day of November, 2005 by and between SIOUXLAND ETHANOL, LLC, a Nebraska limited
liability company with its principal offices in Jackson, Nebraska, (“Customer”), and NEBRASKA
NORTHEASTERN RAILROAD COMPANY, a Nevada corporation with its principal offices in Dallas, Texas
(“Railroad”).

W I T N E S S E T H :

     WHEREAS, Siouxland Ethanol, LLC (“Customer”) has selected a site (“the Site”) in Dakota
County, Nebraska on Highway 20 as the location for a 50-million gallon dry mill corn-based ethanol
plant to produce fuel grade ethanol and distillers grains for sale, and the Site is bordered by
property and railway owned and operated by Railroad; and

     WHEREAS, Customer, or its agent, shall construct or have constructed one or more railroad
tracks inside its ethanol plant (“Yard”) and Railroad shall construct or have constructed a
sidetrack, (“Sidetrack”), both as shown in red and blue on the plan dated 11-11-05, attached hereto
as Attachment A and made a part hereof, to provide rail service to the Site; and

     WHEREAS, Railroad and Customer desire to enter into an agreement setting forth their rights
and obligations with respect to the construction, ownership, operation, use and maintenance of the
Yard and Sidetrack:

     NOW, THEREFORE, it is mutually understood and agreed as follows:

     1. Easement. Railroad hereby grants at no additional cost to Customer a lateral
easement 10-feet wide as shown in Attachment A for the installation and maintenance of utility
infrastructure for said Site including, but not limited to, gas line, electric infrastructure, and
water discharge line, so long as the aforesaid utilities’ installation and infrastructure does not
impede normal operations of the Railroad. Customer hereby agrees to indemnify, hold harmless and
defend Railroad, its officers, owners, agents and assigns from and against any and all claims or
losses arising from the construction, placement and/or operation of utilities in said easement,
whether caused by negligence or not, unless resulting from the sole negligence of Railroad.

     2. Construction. Customer shall construct or have constructed a sidetrack consisting
of track structure, ballast, grading, drainage structures, turnouts and other appurtenances (“the
Sidetrack”) extending along the Railroad’s mainline at milepost 9.11 for approximately 4082 feet
and including a turnout into the Site as shown in Attachment A. Customer shall construct or have
constructed the track structure, ballast, grading, drainage structures, turnouts, bumping posts and
other appurtenances constituting the yard and the connecting track (including turnout) between the
yard and Sidetrack (the Yard Tracks). Each party shall do and perform said work in all respects in

 

 

a workmanlike manner consistent with industry standards. The parties agree to comply with all
statutes and with all regulations of any federal, state or municipal government or regulatory
agency applicable to the location, placement and construction of said Yard Tracks and Sidetrack.
Each party shall use its best reasonable efforts to avoid interference with the others construction
and operations.

     3. Clearances. Customer agrees to provide and maintain: (A) the lateral clearance
requirements (at least eight feet [8’0"] from either side of the centerline of the of each track in
the Yard Tracks as increased for flat curves, super-elevated curves and approaches thereto); and
(B) the vertical clearance requirements (at least twenty-two feet [22’0"] above the top of the
rail), for the entire yard. Any clearance not in compliance with the foregoing is a “Close”
clearance. Lateral and vertical clearances for power poles and lines must also comply with the
National Electric Safety Code (NESC)

4. Ownership and Maintenance.

     (a) Customer shall own the yard and that portion of the connecting track located on the Site
and shown in blue on Attachment A. Railroad shall own the Sidetrack and that portion of the
connecting track (including turnout) located on railroad’s right-of-way as shown in red on
Attachment A. Customer shall maintain the entire Sidetrack and Yard Tracks in a condition that
will safely and satisfactorily accommodate the operation of railroad equipment. In the event
Customer shall fail to so maintain, Railroad shall be under no obligation to operate, nor shall it
have any liability if it does not operate, over said portion of any track. Failure of Railroad to
notify Customer of the need of such repairs or Railroad’s continued operation over the tracks shall
not relieve Customer of its obligation to maintain it in a safe condition and shall not relieve
Customer of any responsibility for loss or damage resulting from its failure to so maintain.
Customer shall provide adequate drainage and keep the area along and adjacent to the Sidetrack and
Yard Tracks free and clear of all ice and snow, materials, obstacles and debris so as to provide a
safe walkway for Railroad’s employees. Any future changes in or extensions of the Yard Tracks upon
which the Railroad would be expected to operate railroad locomotives and cars shall not be made by
Customer without prior written notice to Railroad.

     (b) All track and track material in the Sidetrack and in that portion of the connecting track
located on Railroad’s right-of-way and shown in red on Exhibit A including all turnouts, shall
remain the property of the Railroad.

     5. Lease. Railroad hereby leases at no additional cost to Customer the Sidetrack on
the following terms:

     (a) Customer shall have the non-exclusive right to use the Sidetrack for set-out and pick-up
of railcars delivered or picked up by Railroad. Railroad’s use of the Sidetrack in connection with
traffic for other shippers will not unreasonably interfere with Customer’s use of the Sidetrack.

     (b) Customer shall maintain the Sidetrack, at its sole cost and expense, to normal industry
standards.

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     (c) Customer shall indemnify, defend and hold harmless Railroad, its officers, owners, agents
and assigns from and against any and all claims, demands, actions or damages arising out of or
resulting from the location, condition, or operation on the Sidetracks, without regard to
negligence, unless resulting from the sole negligence of Railroad.

     (d) This lease shall terminate upon termination of any or part of this Agreement.

     6. Reimbursement. Railroad shall reimburse Customer its reasonable and actual cost
of constructing the Sidetrack up to a maximum of $537,000. Such reimbursement is conditional upon
Customer completing and operating a 50 million gallon dry mill corn-based ethanol plant at the
site. Payment of the reimbursement amount shall be due and payable $150,000 upon completion of 50%
of the plant structure, and the balance upon the first revenue movement of railcars into the Site.

     7. Minimum Volume Guarantee. For and in consideration of Railroad’s reimbursement of
certain construction costs and the other terms and conditions of this agreement, Customer
guarantees that it in each of the first five (5) years after completion of its ethanol plant,
Customer will ship a minimum of 1500 loaded rail cars, inbound or outbound.

     In the event that the number of loaded cars falls short of 1500 in any of the first five years
of plant operation (measured from the anniversary date of the first revenue carload on the
Sidetrack), Customer shall pay Railroad an amount equal to $75 for each car short of 1500.

EXAMPLE: In the third year of operation, Customer receives 800 loaded rail cars and ships out 500
loaded cars. Customer must pay Railroad $15,000 ($75 x [1500 – (800+500)]. No credit is taken for
carloads above the minimum in other years.

Payment shall be due thirty (30) days after invoice.

     8. Rail Service.

     8.1 Railroad agrees, pursuant to the provisions of this Agreement, its tariffs, circulars,
rules and rail transportation contracts, to operate over the Sidetrack or other track as the
parties may from time to time agree to deliver, place and pick-up railcars consigned to or ordered
by Customer, at such times established by Railroad.

     8.2 Customer shall not permit the use of the Sidetrack or Yard tracks by or for the account of
third parties without the written consent of Railroad. If such use occurs without such consent,
Customer shall remain responsible for the conduct of such third parties as stated in this Agreement
as if for its own account. Railroad shall not be required to provide rail service to such third
parties.

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     8.3 Railroad shall be deemed to have delivered any railcar consigned to or ordered by Customer
when such railcar has been placed on the Sidetrack, so as to allow access by Customer, and
Railroad’s locomotive has uncoupled from the railcar. At that time, Railroad shall be relieved of
all liability as a common or contract carrier or as a bailee, and possession of the railcar and its
contents shall be transferred to Customer. Similarly, any obligation of Railroad as a common or
contract carrier or as a bailee shall not begin until it has coupled its locomotive to the loaded
railcar and departed the Sidetrack.

     8.4 Customer is responsible for all railcars and their contents while in Customer’s
possession, including while such cars are located on the Sidetrack, and assumes all responsibility
for payment of all damages to any railcar and/or its contents that may occur during that time, even
if caused by third parties.

     8.5 If Railroad is unable to deliver a railcar on the Sidetrack for loading or unloading due
to the acts of Customer or any third party, then such railcar will be considered as constructively
placed for demurrage purposes at the time of attempted delivery.

     9. Hazardous Materials

     9.1 The following provisions apply when the Sidetrack is used for the delivery or tender of
any dangerous, flammable, explosive or hazardous commodity (hereinafter “Hazardous Materials”), as
determined by the U.S. Department of Transportation under the Hazardous Materials Transportation
Act (49 U.S.C. §§1801, et seq.) and the Hazardous Materials Regulations (49 U.S.C. Parts 170-179)
issued thereunder, as amended from time to time.

     9.2 No Hazardous Materials shall be placed: (A) on the Sidetrack (except railcar shipments);
(B) within the clearance requirements established herein; or (C) within one hundred (100) feet of
Railroad’s connecting mainline track.

     9.3 Customer shall comply with all recommended practices of the Association of American
Railroads and all Governmental Requirement(s) regarding the loading, unloading, possession,
transfer and/or storage of Hazardous Materials, including but not limited to the installation and
use of pollution abatement and control structures and other equipment that is prudent or required
under such practices and/or Governmental Requirement(s).

     9.4 In the event of a Hazardous Materials leak, spill, or lease, Customer shall immediately
notify the appropriate Governmental Response center and Railroad’s Operations Center and, at its
sole expense, take all appropriate steps to clean, neutralize and remove the spill.

     10. SUSPENSION AND TERMINATION.

     10.1 Railroad may temporarily suspend its operations over the Sidetrack and/or Yard Tracks if,
in its sole opinion, the condition of the track is unsafe or if such operations would interfere
with its common carrier duties.

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     10.2 Either party may terminate this Agreement upon the material default of the other party.
The party claiming a default must provide the other party with notice. If the default is not
corrected within thirty (30) days of the date of such notice, the party claiming default may
terminate this Agreement upon written notice. Use of the Sidetrack or Yard Tracks by Railroad
during any notice period shall not be considered as a waiver of any default claimed by it.

     10.3 Customer understands that it must tender and/or receive a sufficient number of railcar
shipments over the Sidetrack in order for Railroad to continue to keep Railroad’s portion of the
Sidetrack in place. After the fifth anniversary of revenue operations over the Sidetrack, if the
Railroad determines that the number of railcar shipments is insufficient, Railroad may notify
Customer and offer to continue to keep the Sidetrack in place in exchange for payment of an annual
continuation charge from Customer. The amount of the continuation charge may vary from year to
year. Customer shall have a period of thirty (30) days from the date of notice from Railroad
within which to either accept or decline payment of the continuation charge. Should Customer
decline to pay the continuation charge or not respond during the thirty (30) day period, then
Railroad shall have the right to suspend service over the Sidetrack, remove its track and turnouts,
and/or to terminate this Agreement upon notice to Customer.

     10.4 This Agreement will terminate, without the necessity of further notice, upon the
abandonment of Railroad’s adjacent mainline track.

     10.5. Either party may terminate this Agreement, following the five-year anniversary of
revenue operations over the Sidetrack, by extending thirty (30) days’ notice to the other party.

     10.6. Upon the termination of this Agreement, each party may remove any portion of its
trackage.

     11. Liability and Insurance.

     11.1 Except as otherwise provided herein, any and all damages, claims, demands, causes of
action, suits, expenses (including attorney’s fees and costs), judgments and interest whatsoever
(hereinafter collectively “Losses”) in connection with injury to or death of any person or persons
whomsoever (including employees, invitees and agents of the parties hereto) or loss of or damage to
any property whatsoever arising out of or resulting directly or indirectly from the construction,
maintenance, repair, use, alteration, operation or removal of the Sidetrack and Yard Track shall be
divided between the parties as follows:

     (a) Each party shall indemnify and hold the other party harmless from all Losses arising from
the indemnifying party’s willful or gross negligence, its sole negligence and/or its joint or
concurring negligence with a third party.

     (b) The parties agree to jointly defend and bear equally between them all Losses arising from
their joint or concurring negligence.

     (c) Notwithstanding the foregoing, and irrespective of the sole, joint or concurring
negligence of Railroad, Customer acknowledges that it is solely responsible for and agrees to
indemnify and save Railroad harmless from all Losses arising from: (i) the failure of Customer

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to properly maintain the Sidetrack and/or Yard Tracks; (ii) the construction, alteration or
removal of the tracks by Customer; (iii) the presence of a Close clearance on the tracks; or (iv)
the explosion, spillage and/or presence of Hazardous Materials on its properties, facility or on
Customer’s Segment, but only when such Losses would not have occurred but for the dangerous nature
of the Hazardous Materials.

     11.2. Customer at its sole cost and expense shall procure and maintain in effect during the
continuance of this Agreement, a policy of Commercial General Liability Insurance (CGL), naming
Railroad as additional insured and covering liability assumed by Customer under this Agreement. A
coverage limit of not less than THREE MILLION AND 00/100 U.S. DOLLARS ($3,000,000.00) Combined
Single Limit per occurrence for bodily injury liability and property damage liability is required
to protect Customer’s assumed obligations. Coverage shall not exclude railroad risks. Evidence of
insurance coverage shall be provided to Railroad and endorsed to provide for thirty (30) days’
notice to Railroad prior to cancellation or modification of any policy and shall reflect Customer’s
assumed obligations under this Agreement.

     11.3. If said CGL insurance policy(ies) do(es) not automatically cover Customer’s contractual
liability during periods of survey, installation, maintenance and continued occupation, a specific
endorsement adding such coverage shall be purchased by Customer. If said CGL policy is written on
a “claims made” basis instead of a “per occurrence” basis, Customer shall arrange for adequate time
for reporting losses. Failure to do so shall be at Customer’s sole risk.

     11.4. Obtaining said insurance shall not limit Customer’s liability under this Agreement, but
shall be security therefore.

     12. Customer Switching. Customer shall have the right to switch with its own
trackmobile or locomotive power over the Sidetrack under the terms hereof. However, in no event
shall Customer perform any switching service or operate over Railroad’s mainline or over any other
trackage owned by Railroad. Any device used by Customer to move railcars on the tracks (whether
trackmobile, locomotive or other) shall be disconnected from said railcars and locked and secured
by Customer when not in use. Customer shall take all necessary precautions to prevent rolling
stock from entering upon or fouling Railroad’s mainline. Customer assumes all risk of loss, damage,
cost, liability, judgment and expense (including attorneys’ fees), in connection with any personal
injury to or death of any persons, or loss of or damage to any property, whether employees of
either Customer or Railroad or third persons, or property of either Customer or Railroad or of
other persons, that may be sustained or incurred in connection with, or arising from or growing out
of, the operation of Customer’s trackmobile or locomotive power or other Customer switching
operations upon the Sidetrack. If the Customer contracts a third party for railcar movement and
switching operations over Customer’s portion of the Sidetrack, Customer shall remain liable to
Railroad for the actions and inaction of such third party.

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     13. Miscellaneous.

     13.1 Each provision of this Agreement is several from the other provisions. If any such
provision is ruled to be void or unenforceable, the remaining provisions will continue in full
force and effect.

     13.2 Other documents may also describe and cover a portion of the rail service provided under
this Agreement. In the event of any conflict between such other documents and this Agreement, this
Agreement shall control.

     13.3 The section captains in this Agreement are for the convenience of the parties and are not
substantive in nature. All words contained in this Agreement shall be construed in accordance with
their customary usage in the railroad industry.

     13.4 The failure of either party to enforce any provision of this Agreement or to prosecute
any default will not be considered as a waiver of that provision or a bar to prosecution of that
default unless so indicated in writing.

     13.5 All notices shall be in writing, shall be sent to the address contained in the
introductory section and shall be considered as delivered: (a) on the next business day, if sent
by telex, telecopy, telegram or overnight carrier; or (b) five days after the postmark, if sent by
first class mail.

     13.6 The late payment of any charge due Railroad pursuant to this Agreement will result in the
assessment of Railroad’s then standard late fee and interest charges at the rate of eighteen
percent (18%) per annum, or at the highest lawful rate, until payment in full is received.

     13.7 Upon the signature of duly authorized representatives of both parties, this Agreement
shall be a binding agreement on both parties.

     13.8 This Agreement constitutes the entire understanding of the parties, is to be construed
under the laws of the state in which the Sidetrack is located, may not be modified without the
written consent of both parties, and has been executed by their duly authorized officials.

     IN WITNESS WHEREOF, the parties have duly executed this RAIL SERVICE AND CONSTRUCTION
AGREEMENT as of the date first above written.

	 	 	 
	SIOUXLAND ETHANOL, LLC

	 	NEBRASKA NORTHEASTERN RAILWAY COMPANY
	 
	 	 
	By: /s/Tom Lynch

	 	By: /s/Dennis L> Prewett
	 

	 	 
	Tom Lynch, Its President

	 	Dennis L. Prewett, Its Presidentexv10w5

 

Exhibit 10.5

TRINITY INDUSTRIES LEASING COMPANY

RAILROAD CAR LEASE AGREEMENT

This Agreement, made this 28th day of November, 2006, between Trinity
Industries Leasing Company, a

Delaware corporation, with its principal office at 2525 Stemmons Freeway, Dallas, Texas 75207,
(hereinafter called “Lessor”) and SiouxLand Ethanol, LLC, a Nebraska limited liability company,
with its principal office at 110 East Elk Street, Jackson, Nebraska 68743 (hereinafter called
“Lessee”).

In consideration of the mutual terms and conditions hereinafter set forth, the parties hereto
hereby agree as follows:

ARTICLE 1: LEASE AGREEMENT

Lessor agrees to lease to Lessee, and Lessee agrees to lease from Lessor, the cars shown on
each Rider hereto and such additional Riders as may be added from time to time (each such Rider
and together with this Agreement shall be collectively referred to as the “Lease”) by agreement of
the parties and signed by their duly authorized representative (all such cars being hereinafter
referred to as the “cars”). Each Rider shall set forth a brief description of the car or cars
covered thereby, including such facts as the number of cars, the AAR or DOT specifications, rental
charges, term throughout which the car or cars shall remain in Lessee’s service and such other
information as may be desired by both parties. Lessor and Lessee agree that each Rider hereto
shall constitute a separate Lease which incorporates the terms of this Agreement. Each Rider shall
be severable from any other cars or riders relating to this Agreement and shall become a separate
lease which is separately transferable for all purposes. It is the intent of all parties to this
Agreement to characterize this Agreement as a true lease.

ARTICLE 2: DELIVERY

Except as otherwise provided in each Rider hereto, Lessor agrees to deliver each car to
Lessee, freight charges collect, in the yard of the delivering line at the point specified by the
Lessee, and Lessee agrees to accept such delivery. The obligations of the Lessor to deliver the
cars shall be excused, and Lessor shall not be liable, for any causes beyond the reasonable
control of Lessor (including, but not limited to, delays caused by fire, labor difficulties,
delays of carriers and materials suppliers, governmental authority, late delivery by the
manufacturer of the cars or late delivery by a prior lessee) and, in the event of a delay in such
delivery, Lessor shall deliver the cars to Lessee as soon as reasonably possible thereafter.

ARTICLES: CONDITION OF CARS — ACCEPTANCE

All cars delivered under this Lease shall be in satisfactory condition for movement in the
normal interchange of rail traffic and shall otherwise comply with the description and
specifications contained in the applicable Rider; but Lessee shall be solely responsible for
determining that cars are in proper condition for loading and shipment, except for those
responsibilities which, under applicable law, have been assumed by the railroads. Lessee shall
inspect the cars promptly after they are delivered and shall notify Lessor in writing within five
days after delivery of its rejection of any car, and the specific reasons for such rejection.
Failure by the Lessee to inspect the cars within five days after delivery, and/or the successful
loading of any car by Lessee, shall constitute acceptance of such car or cars, as the case may be,
by Lessee and shall be conclusive evidence of the fit and suitable condition of such car or cars.
At Lessor’s request, Lessee shall deliver to Lessor an executed Certificate of Acceptance in the
form of Exhibit A with respect to all cars.

If Lessee rejects any car, Lessor shall have the right to have the rejected car inspected by
an inspector acceptable to both Lessor and Lessee. The cost of such inspection will be paid by
Lessor if the cause for rejection is affirmed by the inspector, otherwise such cost will be borne
by Lessee. The Lessee shall be deemed to have accepted any car for which the inspector determines
that good cause for rejection did not exist. The decision of the inspector shall be final and
binding upon the parties.

Lessee’s acceptance, however affected, shall be deemed effective as of the delivery date and
the monthly rentals as hereinafter set forth shall accrue from the delivery date. Such acceptance
shall conclusively establish that such cars conform to the applicable standards set forth in the
Rider(s) and the Interchange Rules.

ARTICLE 4: RENTALS

     Lessee agrees to pay to Lessor for the use of each car the monthly rental set forth in the
Rider applicable to such car from the date such car is delivered to Lessee until such car is
returned to Lessor, as hereinafter provided in Article 16. The rental shall be payable in U.S.
Dollars and in advance on or before the first day of each calendar month (provided, however, that
the rental for each car for the month in which it is delivered shall be prorated for the number of
days, including the day of delivery, remaining in such month at a daily rate based upon a 365 day
year and shall be payable on or before the first day of the next succeeding month) to Lessor at
21038 Network Place, Chicago, Illinois 60673-1210, or at such other address as Lessor may specify
by notice to Lessee. Except as set forth in this Lease (including without limitation, the
provisions of Article 10) rental shall be paid without deduction, set-off or counterclaim.

ARTICLES: MILEAGE ALLOWANCE

Mileage and Per Diem payments paid or allowed by railroads with respect to the cars for the
period of time the cars are leased to Lessee shall be the property of Lessee. Lessor shall collect
all mileage earned by the cars during the lease term and shall credit to the rental of Lessee, such
mileage earned by the cars while in the service of Lessee, as and when received from the railroads
according to, and subject to, all rules of the tariffs of the railroads.

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ARTICLE 6: TERM

This Lease shall be effective as dated and will expire upon the completion of the leasing
arrangement shown on the attached Riders of the last car or cars covered hereunder. The Lease
term, with respect to all cars covered by a particular Rider, shall commence on the average date
of delivery of the cars covered by such Rider; and shall terminate as specified in such Rider,
unless sooner terminated in accordance with provisions of this Lease.

ARTICLE/: USE AND POSSESSION

Throughout the continuance of this Lease so long as Lessee is not in default under this
Lease, Lessee shall be entitled to possession of each car from the date the lease becomes
effective as to such car; and shall use such car only in the manner for which it was designed and
intended, and so as to subject it only to ordinary wear and tear, and on its own property or lines
in the usual interchange of traffic; provided, however, that Lessee agrees that the cars shall at
all times be used: (a) in conformity with all Interchange Rules; (b) in compliance with the terms
and conditions of this Lease; (c) predominantly in the continental limits of the United States,
provided however, in no event shall more that forty percent (40%) of the cars (as determined by
mileage records and measured annually on a calendar year basis) be used outside of the contiguous
United States at the same time.

In the event any car is used outside of the continental United States, for any reason
whatsoever, Lessee shall assume full responsibility for all costs, taxes, duties or other charges
incidental to such use including costs incurred in returning car to the continental United States.

ARTICLES: ADDITIONAL CHARGES BY RAILROADS

Lessee agrees to use the cars, upon each railroad over which cars shall move, in accordance
with the then prevailing tariffs to which each railroad shall be a party; and if the operation or
movements of any of the cars during the term hereof shall result in any charges being made against
Lessor by any such railroad, Lessee shall pay to Lessor the amount of such charges within the
period prescribed by and at the rate and under the conditions of the then prevailing tariffs.
Lessee agrees to indemnify Lessor against any such charges, and shall be liable for any switching,
demurrage, track storage, detention or special handling charges imposed on any car during the term
hereof.

ARTICLE 9. LESSEE’S RIGHT TO TRANSFER OR SUBLEASE

Lessee shall not transfer, sublease or assign any car or its interests and obligations
pursuant to the Lease, nor shall a transfer, sublease or assignment by operation of the law or
otherwise of Lessee’s interest in the cars or this Lease be effective against Lessor without
Lessor’s prior written consent, such consent shall not be unreasonably withheld or delayed. No
transfer, sublease or assignment of the Lease, or of any car, shall relieve Lessee from any of its
obligations to Lessor under this Lease.

Notwithstanding the foregoing paragraph, Lessee shall have the right to sublease any of the
cars for single trips to its customers or suppliers, and to cause each car so subleased to be
boarded or placarded with the name of the sublessee in accordance with the provisions of the
demurrage tariffs lawfully in effect, where the sole purpose of such subleasing is to obtain an
exemption from demurrage for said cars so subleased; provided, however, that notwithstanding any
such sublease, Lessee shall continue to remain liable to Lessor for the fulfillment of Lessee’s
obligations under this Lease.

ARTICLE 10: MAINTENANCE RESPONSIBILITY

Lessor agrees to maintain the cars in good condition and repair according to the Interchange
Rules of the Association of American Railroads (AAR). Lessee agrees to notify Lessor promptly when
any car is damaged or in need of repair, and to forward such cars and any other cars subject to
this Lease to shops as directed by Lessor for repairs and/or periodic maintenance and inspections.
No repairs to any of the cars shall be made by Lessee without Lessor’s prior written consent,
except that Lessee shall, at its expense, replace any removable part of the hatch covers and outlet
gates if lost or broken. Replacement or repair by Lessee of any parts, equipment and/or accessories
on any of the cars shall be with parts, equipment and/or accessories that are of like kind and of
at least equal quality to those being replaced or repaired, unless otherwise agreed in writing by
Lessor.

On hopper cars, Lessee will be responsible for inspection and cleaning of the operating
mechanisms of the outlets, hatches and special fittings on such cars leased herein. Further, any
damage to such outlets, hatches, special fittings or the operating mechanisms will be repaired for
the account of the Lessee, ordinary wear and tear excepted.

When a car is placed in a private shop for maintenance or repair, the rental charges shall
cease on date of arrival in the shop, and shall be reinstated on the date that the car is
forwarded from the shop or on the date that the car is ready to leave, awaiting disposition
instructions from Lessee. If any repairs are required as a result of the misuse by or negligence
of Lessee or its consignee, agent or sublessee or while on a any private siding or track or any
private or industrial railroad, the rental charges shall continue during the repair period, and
Lessee agrees to pay Lessor for the cost of such repairs.

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ARTICLE 11: LOSS OR DESTRUCTION

If any of the cars shall be completely destroyed, or if the physical condition of any car
shall become such that the car cannot be operated in railroad service, as determined by the
parties, then Lessor may, at its option, cancel this Lease as to such car as of the date on which
such event occurred, or may substitute another car within a reasonable period of time. Lessee
shall notify Lessor of the occurrence of any such event within two (2) days of such event. In the
event of such substitution, the substituted car shall be held pursuant to all the terms and
conditions of this Lease Rental charges as to any destroyed car shall cease as of the date of
destruction. Rental charges as to any substituted car shall commence upon delivery of such
substitute car in the yard of the delivering line at the point specified by the Lessee. Lessee
agrees that if a car is lost or destroyed or is in such physical condition that it cannot be
operated in railroad service by reason of misuse or negligence of Lessee or its consignee, agent
or sublessee or while on any private siding or track or any private or industrial railroad, Lessee
will pay Lessor, in cash, the depreciated value of such car as determined by Rule #107 of the AAR
Interchange Rules within thirty (30) days following a request by Lessor for such payment. Lessor
and Lessee shall cooperate with and assist each other in any reasonable manner requested, but
without affecting their respective obligations under this Article or Article 22, to establish
proper claims against parties responsible for the loss, destruction of or damage to, the cars.

ARTICLE 12: LOSS OF COMMODITY

Lessor shall not be liable for any loss of, or damage to, commodities, or any part thereof,
loaded or shipped in the cars however such loss or damage shall be caused or shall result. Lessee
agrees to assume responsibility for, to indemnify Lessor against, and to save it harmless from any
such loss or damage or claim therefor.

ARTICLE 13: DAMAGE TO CAR BY COMMODITY

Lessee shall be liable for damage to any car covered by this Lease, whether or not due to
Lessee’s negligence, if caused by or as a result of the commodity loaded therein. Lessee assumes
responsibility for such damage to any car. Lessee will use said cars for the transportation and
handling of commodities which will not injure the cars.

ARTICLE 14: ALTERATION AND LETTERING

Lessee will not in any way alter the physical structure of the cars without the advance
approval, in writing, of the Lessor. Lessee shall place no lettering or marking of any kind upon
the cars without Lessor’s prior written consent, provided however, that Lessee may cause said cars
to be stenciled, boarded, or placarded with letters not to exceed two inches (2”) in height to
indicate to whom the cars are leased and with commodity stencils per AAR or DOT specifications.

ARTICLE 15: INTERIOR PREPARATION FOR COMMODITIES

Any cleaning or special preparation of the interior of cars to make them suitable for the
shipment of commodities by or for Lessee during the term of the lease shall be done at Lessee’s
expense unless otherwise agreed.

ARTICLE 16: RETURN OF CARS

At the expiration of the lease term as provided in the Riders, Lessee shall, at its expense,
return the cars to Lessor at a location and to the agent on the haul carrier to which the cars
were initially delivered to Lessee, or to an interchange point of such initial delivery line haul
carrier, selected by the Lessor empty, clean and free from residue, and in the same good condition
as the cars were in when delivered, except for normal wear and tear. At the expiration, should car
cleaning be required, the Lessee shall bear the full cost of cleaning.

Damage noted by Lessor upon the return of the cars, other than normal wear and tear, shall be
reported immediately to Lessee. Lessee will be responsible for payment of costs incurred by Lessor
to repair damage to the cars, except that Lessee will not be required to pay for costs incurred to
repair damage due to normal wear and tear, Lessee will not be required to pay for costs of repair
incurred by Lessor in excess of the Settlement Value of such cars as determined by Rule #107 of the
AAR Interchange Rules. Payment of costs for repairs of damage in excess of normal wear and tear
shall be made to Lessor within thirty (30) days following a request by Lessor for such payment.

ARTICLE 17: MODIFICATIONS

Lessor and Lessee agree that if, at any time after the effective date of any Rider, changes
in car design or equipment are required by the AAR, DOT,

or any other governmental authority, Lessor may, at its option, perform all modifications so
ordered and that the cost of those modifications shall be reflected in an increase in the monthly
rental rate per car according to the rental escalation formula shown on the Rider for that car.

ARTICLE 18: HIGH MILEAGE AND WEIGHT LIMITATION

Each car is limited to the number of total loaded and empty miles per calendar year shown on
the Rider and is subject to a surcharge also shown on the Rider for all excess miles.

Lessee shall not exceed the weight limitations prescribed for operation of cars in
unrestricted interchange service as set forth under Interchange Rule 70 without Lessor’s prior
written consent.

3

 

ARTICLE 19: USE OF CARS ON CERTAIN ROADS UNDER AAR CIRCULAR OT-5

Upon the written request of Lessee (which request shall name the railroads involved) Lessor
shall use reasonable efforts to obtain from each named railroad authority to place the cars (other
than tanks) in service under the provisions of AAR Circular OT-5 as promulgated by the Association
of American Railroads and all supplements thereto and reissues thereof (such authority hereinafter
called “consent(s)”). Lessee shall furnish to Lessor such information as is necessary to apply for
and obtain such consents. Lessor, however, shall not be liable for failure to obtain such consents
for any reason whatsoever and this Lease shall remain in full force and effect notwithstanding any
failure of Lessor to obtain such consents.

ARTICLE 20: INDEMNIFICATIONS

Lessee shall defend (if such defense is tendered to Lessee), indemnify and hold Lessor
harmless from and against and does hereby release Lessor from all claims, suits, liabilities,
losses, damages, costs and expenses, including reasonable attorney’s fees, in any way arising out
of, or resulting from, the condition, storage, use, loss of use, maintenance or operation of the
cars, or any other cause whatsoever except to the extent the same results from Lessor’s negligence
or except to the extent a railroad has assumed full responsibility and satisfies such
responsibility.

ARTICLE 21: TAXES AND LIENS

Lessor shall be liable for and pay all Federal, State or other governmental property taxes
assessed or levied against the cars, except that (I) Lessee shall be liable for and pay such taxes
when cars bear reporting marks and numbers other than Lessor’s and (ii) Lessee shall be liable at
all times for and shall pay or reimburse Lessor for the payment of any sales, use, leasing,
operation, excise, gross receipts and other taxes with respect to the cars, together with any
penalties, fines or interest thereon and all duties, imposts, taxes, investment tax credit
reductions and similar charges arising out of the use of cars outside the continental United
States.

Lessee acknowledges and agrees that by the execution of this Lease it does not obtain, and by
payments and performance hereunder it does not, and will not, have or obtain any title to the cars
or any property right or interest therein, legal or equitable, except solely as Lessee hereunder
and subject to all of the terms hereof. Lessee shall keep the cars free from any liens or
encumbrances created by or through Lessee.

ARTICLE 22: DEFAULT AND REMEDIES

If Lessee defaults in the payment of any sum of money to be paid under this Lease and such
default continues for a period of ten (10) days after written notice to Lessee of such default or
if Lessee fails to perform any material covenant or condition required to be performed by Lessee,
which failure shall not be remedied within thirty (30) days after notice thereof by Lessor to
Lessee or if Lessee shall dissolve, make or commit any act of bankruptcy or if any proceeding under
any bankruptcy or insolvency statute or any laws relating to relief of debtors is commenced by
Lessee or if any such proceeding is commenced against Lessee and same shall not have been removed
within thirty (30) days of the date of the filing thereof or if a receiver, trustee or liquidator
is appointed for Lessee or for all or a substantial part of Lessee’s assets with Lessee’s consent
or, if without Lessee’s consent, the same shall not have been removed within thirty (30) days of
the date of the appointment thereof or if an order, judgment or decree is entered by a court of
competent jurisdiction and continues unpaid and in effect for any period of thirty (30) consecutive
days without a stay of execution or if a writ of attachment or execution is levied on any car and
is not discharged within ten (10) days thereafter, Lessor may exercise one or more of the following
remedies with respect to the cars:

	 	1.	 	Immediately terminate this Lease and Lessee’s rights hereunder;
	 
	 	2.	 	Require Lessee to return the cars to Lessor at Lessee’s expense, and if Lessee fails to
so comply, Lessor may
take possession of such cars without demand or notice and without court order or legal
process. Lessee hereby
waives any damages occasioned by such taking of possession. Lessee acknowledges that it may
have a right to
notice of possession and the taking of possession with a court order or other legal process.
Lessee, however,
knowingly waives any right to such notice of possession and the taking of such possession
without court order or
legal process;

	 	3.	 	Lease the cars to such persons, at such rental, and for such period of time as Lessor
shall elect. Lessor shall
apply the proceeds from such leasing, less all costs and expenses incurred in the recovery,
repair, storage and
renting of such cars, toward the payment of Lessee’s obligations hereunder. Lessee shall
remain liable for any
deficiency, which, at Lessor’s option, shall be paid monthly as suffered or immediately, or
at the end of the Lease
term as damages for Lessee’s default;
	 
	 	4.	 	Bring legal action to recover all rent or other amounts then accrued or thereafter
accruing from Lessee to Lessor
under any provision hereunder;
	 
	 	5.	 	Pursue any other remedy which Lessor may have.

     Each remedy is cumulative and may be enforced separately or concurrently. In the event of
default, Lessee shall pay to Lessor upon demand all costs and expenses, including reasonable
attorneys’ fee expended by Lessor in the enforcement of its rights and remedies hereunder, and
Lessee shall pay interest on any amount owing to Lessor from the time such amount becomes due
hereunder at a rate per annum equal to three percentage points above the prime rate of Chase
Manhattan Bank (or its successor), such rate to be reduced, however, to the extent it exceeds the
maximum rate

4

 

permitted by applicable law. In addition, Lessee shall, without expense to Lessor, assist
Lessor in repossessing the cars and shall, for a reasonable time, if required, furnish suitable
trackage space for the storage of the cars.

     If Lessee fails to perform any of its obligations hereunder, Lessor, at Lessee’s expense, and
without waiving any rights it may have against Lessee for such nonperformance, may itself render
such performance. Lessee shall reimburse Lessor on demand for all sums so paid by Lessor on
Lessee’s behalf, together with interest at a rate equal to three percentage points above the prime
rate of Chase Manhattan Bank (or its successor), such rate to be reduced, however, to the extent
it exceeds the maximum rate permitted by applicable law.

ARTICLE 23: LESSOR’S RIGHT TO ASSIGN. SUBORDINATION

     All rights of Lessor hereunder may be assigned, pledged, mortgaged, leased, transferred or
otherwise disposed of, either in whole or in part, and/or Lessor may assign, pledge, mortgage,
lease, transfer or otherwise dispose of title to the cars, with or without notice to Lessee. As a
condition to any such assignment, pledge, mortgage, lease, transfer or other disposition, Lessor
shall have entered into a management agreement with the assignee, pledgee, mortgagee, lessor, or
other holder of legal title to or security interest in the cars for purposes of allowing such
assignee, pledgee, mortgagee, lessor or other holder of legal title to or security interest in the
cars to perform Lessee’s obligations hereunder. In the event of any such assignment, pledge,
mortgage, lease, transfer or other disposition, this Lease and all rights of Lessee hereunder or
those of any person, firm or corporation who claims or who may hereafter claim any rights in this
Lease under or through Lessee, are hereby made subject and subordinate to the terms, covenants and
conditions of any assignment, pledge, mortgage, lease, or other agreements covering the cars
heretofore or hereafter created and entered into by Lessor, its successors or assigns and to all
of the rights of any such assignee, pledgee, mortgagee, lessor, transferee or other holder of
legal title to or security interest in the cars. During the term of this Lease no such assignee,
pledgee, mortgagee, lessor, transferee or other holder of legal title to or security interest in
the cars shall interfere with the quiet use, possession and enjoyment of the cars by Lessee
provided that no event of default or termination event (however described) shall have occurred
under such assignment, pledge, mortgage, lease or other agreement and provided that no event of
default or termination event (however described) has occurred under this Lease and provided
further that the exercise by assignee, pledgee, mortgagee, lessor, transferee or other holder of
legal title to or security interest in the cars of their respective rights under or in connection
with such assignment, pledge, mortgage, lease or other agreement or this Lease shall not
constitute such an interference. Any sublease or assignment of the cars permitted by this Lease
that is entered into by Lessee or its successors or assigns shall contain language which expressly
makes such assignment or sublease subject to the subordination contained herein. At the request of
Lessor or any assignee, pledgee, mortgagee, lessor, transferee or other holder of the legal title
to or security interest in the cars, Lessee, at Lessor’s expense, shall letter or mark the cars to
identify the legal owner of the cars and, if applicable, place on each side of each car, in
letters not less than one inch in height, the words “Ownership Subject to a Security Lease Filed
with the Surface Transportation Board” or other appropriate words reasonably requested.

     In the event that Lessor assigns its interest in this Lease, Lessee, at the request of
Lessor, shall execute and deliver to Lessor an Acknowledgment of Assignment of Lease in form
reasonably satisfactory to Lessor and upon such request and execution furnish to Lessor an opinion
of counsel that such Acknowledgment has been duly authorized, executed and delivered by Lessee and
constitutes a valid, legal and binding instrument, enforceable in accordance with its terms.

ARTICLE 24: WARRANTIES

     Lessee acknowledges and agrees that Lessor is not a manufacturer of the cars. EXCEPT AS
OTHERWISE PROVIDED FOR IN ARTICLE 3 OF THIS AGREEMENT, LESSOR MAKES NO WARRANTIES OR
REPRESENTATIONS, EXPRESS OR IMPLIED, AS TO THE CONDITION, MERCHANTABILITY, FITNESS FOR PARTICULAR
PURPOSE OR ANY OTHER MATTER CONCERNING THE CARS. Lessee shall be solely responsible for
determining that the specifications and design of any car are appropriate for the commodities
loaded therein. During the period of any lease hereunder in which Lessee renders faithful
performance of its obligations, Lessor hereby assigns to Lessee any factory or dealer warranty,
whether express or implied, or other legal right Lessor may have against the manufacturer in
connection with defects in the cars covered by this Lease.

ARTICLE 25: RIGHT OF INSPECTION AND NOTICES

     Lessor, or its assignee, shall, at any reasonable time and without interfering with Lessee’s
operations, have the right to inspect the cars by its authorized representative wherever they may
be located for the purpose of determining compliance by Lessee with its obligations hereunder.
Lessee shall use its best effort to obtain permission, if necessary, for Lessor or its
representative to enter upon any premises where the cars may be located.

     Lessee shall notify Lessor, in writing, within seven (7) days after any attachment, lien
(including any tax and mechanics’ liens) or other judicial process attaches to the cars.

ARTICLE 26: INSURANCE

     Lessee shall maintain at all times on the cars, at its expense, commercial general liability
insurance and umbrella/excess insurance (covering bodily injury, property damage and pollution
exposures, including, but not limited to, contractual liability and products liability) against
such risks, in such form as shall be satisfactory to Lessor and with such insurer(s) as shall be
rated A-:VII or better by A.M. Best. The requirement for pollution liability insurance may be
satisfied by scheduling a self-insured retention to an umbrella/excess policy affording pollution
liability insurance. The commercial general liability insurance policy or self-insured retention
and umbrella or excess insurance policies shall

5

 

have a combined limit of not less than $3,000,000 per occurrence, and the policies shall be
endorsed to name Lessor, Lessor’s subsidiaries and Lessor’s assignees as additional insureds as
their interest may appear.

     Prior to the Delivery Date and from time to time thereafter, Lessee shall furnish to Lessor
an original certificate demonstrating that such insurance coverage is in effect, provided,
however, that Lessor shall be under no duty to ascertain the existence or adequacy of such
insurance. The insurance maintained by Lessee shall be primary without any right of contribution
from insurance which may be maintained by Lessor. The obligations of Lessee under this Article
shall be independent of all other terms under this Lease and shall in no event relieve Lessee from
any indemnity obligation hereunder. The insurer shall give the Lessor at least thirty (30) days
prior written notice (at the address for notice to Lessor set forth herein) of any alteration in
or cancellation of the terms of such policies.

ARTICLE 27: TILC CAPACITY

     The parties hereto acknowledge and agree that Trinity Industries Leasing Company (in its
individual capacity, “TILC”) in executing an individual Rider incorporating the terms of this
Agreement (thereby entering into an individual and separate Lease of the subject cars as described
in Article 1 above) may execute such Rider (and, together with this Agreement, enter into such
Lease) in either of the following capacities:

	 	1.	 	If TILC is the owner of the subject cars at the time they are placed into service under
the Lease, TILC executes the related Rider and enters into such Lease in its individual capacity as the car owner for
its own account.
	 
	 	2.	 	If TILC is not the owner of the subject cars at the time they are placed into service
under the Lease, then TILC executes the related Rider and enters into such Lease as manager for the benefit of the
relevant car owner,pursuant to contractual authority delegated by the car owner to TILC (as manager) to encumber
and bind the subject cars and car owner under such Lease.

     In the event TILC enters into a Lease in the capacity of manager as aforesaid, TILC in its
individual capacity represents and warrants to the Lessee, and agrees with the Lessee that (i) the
party for whom TILC acts as manager is contractually bound and liable as Lessor to the same extent
as if it signed the Lease directly, (ii) TILC is obligated in its capacity as manager to perform
the Lessor’s obligations to the Lessee under such Lease, and (iii) if TILC (a) fails to perform
the Lessor’s obligations while serving as manager, or (b) is removed or terminated as manager and
the car owner for whose benefit TILC has been acting as manager breaches or otherwise fails to
perform (or cause to be performed) the Lessor’s obligations to the Lessee in accordance with the
Lease, then in either such case TILC agrees that it is directly liable to the Lessee for any
resulting damages and costs, to the same extent that TILC would have been had TILC been the actual
car owner executing the Lease as Lessor.

ARTICLE 28: MISCELLANEOUS

     This Lease, together with any and all exhibits attached hereto, constitutes the entire
agreement between Lessor and Lessee, and it shall not be amended, altered or changed except by
written agreement signed by the parties hereto. No waiver of any provision of this Lease or
consent to any departure by Lessee therefrom shall be effective unless the same shall be in
writing, signed by both parties and then such waiver of consent shall be effective only in the
specific instance and for the purpose for which it was given.

	 	1.	 	Governing Law
	 
	 	 	 	This Lease shall be interpreted under and performance shall be governed by the laws of the
State of Delaware.
	 
	 	2.	 	Exhibits
	 
	 	 	 	All exhibits attached hereto are incorporated herein by this reference.
	 
	 	3.	 	Payments
	 
	 	 	 	All payments to be made under this Lease shall be made at the addresses set forth in Article
4.
	 
	 	4.	 	Severability
	 
	 	 	 	If any term or provision of this Lease or the application thereof shall, to any extent, be
invalid or unenforceable, such invalidity or unenforceability shall not affect or render
invalid or unenforceable any other provision of this Lease, and this Lease shall be valid and
enforced to the fullest extent permitted by law.
	 
	 	 	 	The headings that have been used to designate the various Sections and Articles hereof are
solely for convenience in reading and ease of reference and shall not be construed in any
event or manner as interpretative or limiting the interpretation of the same.
	 
	 	7.	 	Governmental Laws
	 
	 	 	 	Lessee shall comply with all governmental laws, rules, regulations, requirements and the
Interchange Rules (herein collectively referred to as the “Rules”) with respect to the use and
operation of the cars.

6

 

	 	8.	 	Survival
	 
	 	 	 	All indemnities contained in this Lease shall survive the termination hereof. In addition,
the obligation to pay any deficiency, as well as the obligation for any and all other
payments by Lessee to Lessor hereunder shall survive the termination of this Lease or the
lease contained herein.
	 
	 	9.	 	This Agreement represents the entire agreement. This Agreement shall not be modified,
altered or amended except by an agreement in writing signed by the parties.

ARTICLE 29: ADDRESSING OF NOTICES

     Any notice required or permitted hereunder shall be in writing and shall be delivered to the
respective parties hereto by personal delivery thereof or by telegram, telex, telecopier or
deposit in the United States mail as a certified or registered matter, return receipt requested,
postage prepaid, and addressed to the respective parties as follows, unless otherwise advised in
writing.

	 	 	 	 	 
	Lessee

	 	to Lessor:
	 	Lessor to Lessee:
	 
	 	 	 	 
	TO:

	 	Trinity Industries Leasing Company
	 	SiouxLand Ethanol, LLC
	 

	 	2525 Stemmons Freeway
	 	110 East Elk Street
	 

	 	Dallas, TX 75207
	 	Jackson, Nebraska 68743
	 
	 	 	 	 
	ATTENTION: Thomas C. Jardine

                         Vice President	 	ATTENTION: Chuck Hofland

ARTICLE 30: ADMINISTRATION OF LEASE

     Lessee agrees to cooperate with Lessor for the purpose of complying with any reasonable
requirements of any lender, the Surface Transportation Board or the provisions of Article 9 of the
Uniform Commercial Code provided such cooperation does not materially affect the rights of
liabilities or Lessee hereunder.

ARTICLE 31: OPINION OF COUNSEL

     Lessee, on or before the execution of this Lease, shall furnish to Lessor an opinion of
Lessee’s counsel, satisfactory to counsel for Lessor and in form and substance satisfactory to
such counsel, that as of the date of the Lease:

	 	1.	 	Lessee is a limited liability company duly organized, validly existing, and in good
standing under the laws of the State of Nebraska and is either duly qualified to do
business and is in good standing in such other jurisdictions in which the business and
activities of Lessee require such qualification or its failure to so qualify in such
other jurisdiction will not have a material adverse impact on this Lease.

	 	2.	 	Lessee has full power to enter into this Lease.

The Lease has been duly authorized, executed and delivered by Lessee and constitutes a valid, legal
and binding agreement, enforceable in accordance with its terms.

7

 

IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed and delivered as
of the 28lh day of November, 2006.

LESSOR: TRINITY INDUSTRIES LEASING COMPANY

	 	 	 	 	 
	By

	 	/s/ Thomas C. Jardine
	 	 
	 

	 	 	 	 
	 

	 	Thomas C. Jardine
Vice President	 	 

ATTEST:

	 	 	 	 	 
	By

	 	/s/ Illegible signature
	 	 
	 

	 	 	 	 
	 

	 	Secretary	 	 

LESSEE:
SIOUXLAND ETHANOL, LLC

	 	 	 	 	 
	By

	 	/s/ Tom Lynch
	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	Title

	 	President
	 	 
	 

	 	 	 	 

ATTEST:

	 	 	 	 	 
	By

	 	/s/ McGill
	 	 
	 

	 	 	 	 

8

 

	 	 	 	 	 	 	 
	THE STATE OF TEXAS

	 	 	§	 	 	 
	 

	 	 	§	 	 	 
	COUNTY OF DALLAS

	 	 	§	 	 	 

     Before me, the undersigned, a Notary Public in and for said County and State, on this day
personalty appeared Thomas C. Jardine, known to me to be the person and officer whose name is
subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the
said Trinity Industries Leasing Company, a corporation, and that he executed the same as the act
of such corporation for the purposes and consideration therein expressed, and in the capacity
therein stated.

     Given under my hand and seal of office this the 28th day of November, 2006.

	 	 	 
	/s/
Danielle Henderson

	 	[Notary Stamp]
	 
	 	 
	Notary Public
	 	 

	My Commission Expires: 6 / 9 / 08

	 	 	 	 	 	 	 
	THE STATE OF NEBRASKA

	 	 	§	 	 	 
	 

	 	 	§	 	 	 
	COUNTY OF

	 	 	§	 	 	 

     Before me, the undersigned, a Notary Public in and for said County and State, on this day
personalty appeared Tom Lynch, known to me to be the person and officer whose name is subscribed
to the foregoing instrument, and acknowledged to me that the same was the act of the said Trinity
Industries Leasing Company, a corporation, and that he executed the same as the act of such
corporation for the purposes and consideration therein expressed, and in the capacity therein
stated.

     Given
under my hand and seal of office this the 7 day
of December, 2006.

	 	 	 
	/s/ Celia Bogard

	 	 
	 

Notary Public

	 	 

My
Commission Expires:  2-14-08

[Notary Stamp]

9

 

EXHIBIT A

CERTIFICATE OF ACCEPTANCE OF RAILROAD CAR

     This Certificate relates to the railroad cars listed below leased by Trinity Industries
Leasing Company, to SiouxLand Ethanol, LLC, under a Lease Agreement for 50 railroad cars dated
November 28, 2006 into which this certificate is incorporated (by Article 3 thereof).

Railcar Numbers

     Lessee hereby certifies that the railcars listed above were delivered to and received by
Lessee, inspected,
determined to be acceptable under the applicable standards (set forth in Article 3 of the
Lease Agreement); and Lessee
hereby certifies its acceptance of the railcars as of                                         .

	 	 	 	 	 
	LESSEE:

	 	SIOUXLAND ETHANOL, LLC	 	 
	 
	 	 	 	 
	BY:

	 	 

	 	 
	 
	 	 	 	 
	TITLE:

	 	 

	 	 

10

 

 

RIDER ONE (1) TO RAILROAD CAR LEASE AGREEMENT

     Effective this 28th day of November, 2006, this Rider shall become a part of
the Railroad Car Lease Agreement between Trinity Industries Leasing Company, Lessor, and
SiouxLand Ethanol, LLC, Lessee, dated November 28, 2006, and the cars described herein shall be
leased to Lessee, subject to the terms and conditions in said Railroad Car Lease Agreement,
during the term and for the rental shown below:

	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	Base
	Number	 	 	 	Approximate	 	Monthly
	of	 	 	 	Capacity	 	Rental
	Cars	 	Type and Description	 	(cubic feet)	 	(Per Car)
	15

	 	109-ton quad covered hopper cars with thru CSC center
sill and 42“x42” gates, built to Trinity Rail
specification no. LO-6351-D5Q297-PB1 dated 12/19/05,
marked and numbered TILX 639123 — 639137
	 	 	6,351	 	 	$	668.00	 

Adjustment of Base Monthly Rental at Lease Commencement:

	 	1.	 	Interest Rate Changes  — The Base Monthly Rental is subject to a one-time adjustment as
of the date of
delivery (as defined in Article 3) (“Delivery Date”) of the initial car to be made by
written notice delivered to
Lessee within thirty (30) days after such Delivery Date for any change in the yield to
maturity of on-the-run
ten year U.S. Treasury Notes (“Notes”) yielding 4.42% as of January 12, 2006, versus the
yield to maturity
of such Notes as of the Delivery Date of the cars leased under this Rider One. For each 25
basis point
change (or fraction thereof) in such yield to maturity, the Base Monthly Rental shall be
adjusted $9.22 (or
pro rata portion thereof).
	 
	 	2.	 	Raw Material Cost Increases — The Base Monthly Rental is subject to a one-time
adjustment as of the
Delivery Date to be made by written notice delivered to Lessee within thirty (30) days after
such Delivery
Date for any increase in steel and other raw material (collectively “Raw Materials”) costs
incurred by
Lessor’s manufacturing affiliate in the production of the cars covered hereunder versus the
estimated cost
of Raw Materials implicit in a unit sales price of $72,310. For each $100 increase in Raw
Materials costs (or
fraction thereof), the Base Monthly Rental shall be increased $0.95 (or pro rata portion
thereof).

Irrevocable Standby Letter of Credit — As both a covenant and a condition of this Lease,
Lessee shall deliver to Lessor on or before November 30, 2006, an irrevocable, clean letter of
credit in the amount of $120,240 (12 months’ rentals) issued by a national bank reasonably
acceptable to Lessor on terms and conditions reasonably acceptable to Lessor and its counsel. Such
letter of credit shall provide that Lessor may draw on the entire amount of the letter of credit
by providing an officer’s certificate to the issuing bank of the occurrence of either one of the
following: a) Lessee is in default under any of the terms and conditions of that certain Railroad
Car Lease Agreement dated November 28, 2006, or b) thirty (30) days prior to the expiration date
of the letter of credit, unless Lessee has provided Lessor with a twelve (12) month extension of
the letter of credit or an acceptable replacement letter of credit. In the event Lessor assigns
its interest in the Lease pursuant to Article 23, Lessee, at the request of Lessor, shall cause
the letter of credit to be assigned or reissued, as the case may be, to the assignee of the Lease.

Delivery & Acceptance — The cars shall be delivered to, and accepted by Lessee, at Eagle
Pass, Texas. Rental charges shall commence upon such acceptance, provided however that Lessor
shall prepay freight charges from Eagle Pass, Texas to the yard of the delivering line at the
point specified by the Lessee.

Impact Damage — Impact damage resulting from striking the car with hammers, lances,
sledges, or other such mechanical devices shall not be considered normal wear and tear to the
extent such damage exceeds one inch (1”) in depth. Impact damage in excess of one inch (1”) depth
shall be repaired at Lessee’s expense by means of straightening dents, patching any rips or holes,
and spot painting any repaired surfaces.

Return of Cars — Notwithstanding Article 4, rental charges shall cease as to each car upon
the date Lessee tenders return shipping instructions to the railroad (with a copy to Lessor)
serving the final unloading point or at such other mutually agreed upon point.

Weight Limitation — Lessee shall not exceed the weight limitations prescribed for
operation of cars in unrestricted interchange service as set forth
under AAR Interchange Rule 70
without Lessor’s prior written consent.

Escalation of Monthly Rental Charge:

	1.	 	Modifications — In accordance with Article 18 of Railroad Car Lease Agreement, any change in car
design
required by the AAR, DOT, FRA or other governmental authority during the term of this lease
will cause the monthly car rental to increase for each car on the month following its
modification as follows:

	 	A.	 	For modification with a useful life equal to the car itself, car rental will
increase by a monthly rate of
$1.75 per car for each $100 of Lessor’s cost incurred in the course of making
modification.
	 
	 	B.	 	For modification with a useful life less than that of the car, monthly car
rental increase will equal cost of
modification, including the implicit cost of money at 10% per annum, divided by the
number of months
of estimated remaining life of the modification.

 

 

	2.	 	High Mileage — In accordance with Article 19, in the event that a car travels more than 36,000
miles (empty and
loaded) in any calendar year, the Lessee shall pay the Lessor $0.03 per mile for each mile
over 36,000 traveled by such car.

Severability of Rider

     Lessor and Lessee agree that this Rider shall constitute a separate Lease which incorporates
the terms of the above referenced Railroad Car Lease Agreement. This Rider shall be severable from
any other cars or riders relating to the above referenced Railroad Car Lease Agreement and shall
become a separate lease which is separately transferable for all purposes.

Minimum Rental Period

     The minimum rental period for the cars leased hereunder shall be sixty (60) months, and the
cars shall continue under lease thereafter for successive one (1) month terms, at the same rate and
under the same conditions, unless notice, in writing, requesting cancellation shall be given by
either party to the other for cars covered by this Rider. Promptly upon receipt or after sending of
a notice of termination of the lease, Lessee shall make arrangements for the return of the cars
hereunder to Lessor. Each car shall be deemed returned and no longer subject to the terms and
provisions of this lease on the date each car is delivered to Lessor subsequent to the termination
of this lease at Lessor’s designated destination. Thereafter, if no notice of termination is given,
this Rider shall terminate automatically upon the date of release of the last car covered by this
Rider.

CANCELS RIDER NUMBER                        NA                       

	 	 	 	 	 	 	 	 	 
	TRINITY INDUSTRIES LEASING COMPANY	 	 	 	SIOUXLAND ETHANOL, LLC
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Thomas Jardine
	 	 	 	By:
	 	/s/ Tom Lynch
	 

	 	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Vice President, Portfolio Management	 	 	 	Title:	 	President

 

 

RIDER TWO (2) TO RAILROAD CAR LEASE AGREEMENT

     Effective this 28lh day of November, 2006, this Rider shall become a part of
the Railroad Car Lease Agreement between Trinity Industries Leasing Company, Lessor, and
SiouxLand Ethanol, LLC, Lessee, dated November 28, 2006, and the cars described herein shall be
leased to Lessee, subject to the terms and conditions in said Railroad Car Lease Agreement,
during the term and for the rental shown below:

	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	Base
	Number	 	 	 	Approximate	 	Monthly
	of	 	 	 	Capacity	 	Rental
	Cars	 	Type and Description	 	(cubic feet)	 	(Per Car)
	35

	 	109-ton quad covered hopper cars with thru CSC center
sill and 42“x42” gates, built to Trinity Rail
specification no. LO-6351-D5Q297-PB1 dated
12/19/05, marked and numbered TILX 639138 -
639142, 639733 — 639762
	 	 	6,351	 	 	$	618.00	 

Adjustment of Base Monthly Rental at Lease Commencement:

	 	1.	 	Interest Rate Changes — The Base Monthly Rental is subject to a one-time adjustment as
of the date of
delivery (as defined in Article 3) (“Delivery Date”) of the initial car to be made by written
notice delivered to
Lessee within thirty (30) days after such Delivery Date for any change in the yield to
maturity of on-the-run ten
year U.S. Treasury Notes (“Notes”) yielding 4.42% as of January 12, 2006, versus the yield to
maturity of such
Notes as of the Delivery Date of the cars leased under this Rider One. For each 25 basis
point change (or
fraction thereof) in such yield to maturity, the Base Monthly Rental shall be adjusted $8.08
(or pro rata portion
thereof).
	 
	 	2.	 	Raw Material Cost Increases — The Base Monthly Rental is subject to a one-time
adjustment as of the Delivery
Date to be made by written notice delivered to Lessee within thirty (30) days after such
Delivery Date for any
increase in steel and other raw material (collectively “Raw Materials”)
costs incurred by Lessor’s
manufacturing affiliate in the production of the cars covered hereunder versus the estimated
cost of Raw
Materials implicit in a unit sales price of $72,310. For each $100 increase in Raw Materials
costs (or fraction
thereof), the Base Monthly Rental shall be increased $0.95 (or pro rata portion thereof).

Irrevocable Standby Letter of Credit — As both a covenant and a condition of this Lease,
Lessee shall deliver to Lessor on or before November 30, 2006, an irrevocable, clean letter of
credit in the amount of $259,560 (12 months’ rentals) issued by a national bank reasonably
acceptable to Lessor on terms and conditions reasonably acceptable to Lessor and its counsel. Such
letter of credit shall provide that Lessor may draw on the entire amount of the letter of credit
by providing an officer’s certificate to the issuing bank of the occurrence of either one of the
following: a) Lessee is in default under any of the terms and conditions of that certain Railroad
Car Lease Agreement dated November 28, 2006, or b) thirty (30) days prior to the expiration date
of the letter of credit, unless Lessee has provided Lessor with a twelve (12) month extension of
the letter of credit or an acceptable replacement letter of credit. In the event Lessor assigns
its interest in the Lease pursuant to Article 23, Lessee, at the request of Lessor, shall cause
the letter of credit to be assigned or reissued, as the case may be, to the assignee of the Lease.

Delivery & Acceptance — The cars shall be delivered to, and accepted by Lessee, at Eagle
Pass, Texas. Rental charges shall commence upon such acceptance, provided however that Lessor
shall prepay freight charges from Eagle Pass, Texas to the yard of the delivering line at the
point specified by the Lessee.

Impact Damage — Impact damage resulting from striking the car with hammers, lances,
sledges, or other such mechanical devices shall not be considered normal wear and tear to the
extent such damage exceeds one inch (1”) in depth. Impact damage in excess of one inch (1”) depth
shall be repaired at Lessee’s expense by means of straightening dents, patching any rips or holes,
and spot painting any repaired surfaces.

Return of Cars — Notwithstanding Article 4, rental charges shall cease as to each car upon
the date Lessee tenders return shipping instructions to the railroad (with a copy to Lessor)
serving the final unloading point or at such other mutually agreed upon point.

Weight Limitation — Lessee shall not exceed the weight limitations prescribed for
operation of cars in unrestricted interchange service as set forth under AAR Interchange Rule 70
without Lessor’s prior written consent.

Escalation of Monthly Rental Charge:

	1.	 	Modifications — In accordance with Article 18 of Railroad Car Lease Agreement, any change in
car design required
by the AAR, DOT,
or other governmental authority during the term of this lease will cause the monthly
car rental to increase for each car on the month following its modification as follows:

	 	A.	 	For modification with a useful life equal to the car itself, car rental will
increase by a monthly rate of $1.75
per car for each $100 of Lessor’s cost incurred in the course of making modification.
	 
	 	B.	 	For modification with a useful life less than that of the car, monthly car
rental increase will equal cost of
modification, including the implicit cost of money at 10% per annum, divided by the
number of months of
estimated remaining life of the modification.

 

 

	2	 	High Mileage — In accordance with Article 19, in the event that a car travels more
than 36,000 miles (empty and loaded) in any calendar year, the Lessee
shall pay the Lessor $0.03 per mile for each mile over 36,000 traveled by such car.

Severability of Rider

     Lessor and Lessee agree that this Rider shall constitute a separate Lease which incorporates
the terms of the above referenced Railroad Car Lease Agreement. This Rider shall be severable
from any other cars or riders relating to the above referenced Railroad Car Lease Agreement and
shall become a separate lease which is separately transferable for all purposes.

Minimum Rental Period

     The minimum rental period for the cars leased hereunder shall be sixty (60) months, and the
cars shall continue under lease thereafter for successive one (1) month terms, at the same rate
and under the same conditions, unless notice, in writing, requesting cancellation shall be
given by either party to the other for cars covered by this Rider. Promptly upon receipt or
after sending of a notice of termination of the lease, Lessee shall make arrangements for the
return of the cars hereunder to Lessor. Each car shall be deemed returned and no longer subject
to the terms and provisions of this lease on the date each car is delivered to Lessor
subsequent to the termination of this lease at Lessor’s designated destination. Thereafter, if
no notice of termination is given, this Rider shall terminate automatically upon the date of
release of the last car covered by this Rider.

CANCELS RIDER NUMBER                        NA                       

	 	 	 	 	 	 	 	 	 
	TRINITY INDUSTRIES LEASING COMPANY	 	 	 	SIOUXLAND ETHANOL, LLC
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Thomas Jardine
	 	 	 	By:
	 	/s/ Tom Lynch
	 

	 	 
	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Vice President, Portfolio Management	 	 	 	Title:	 	President

2

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