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Exhibit 10.28    
    

 
  Execution Copy    
    

 
  FOURTH AMENDMENT
  TO CREDIT AGREEMENT    
    

        This FOURTH AMENDMENT, dated as of March 30, 2005 (this "Fourth Amendment"), is entered into by and among COFFEYVILLE
RESOURCES, LLC, a Delaware limited liability company ("Resources"), COFFEYVILLE RESOURCES NITROGEN FERTILIZERS, LLC, a Delaware limited liability company
("Fertilizers"), COFFEYVILLE RESOURCES REFINING & MARKETING, LLC, a Delaware limited liability company ("Refining"), COFFEYVILLE
RESOURCES CRUDE TRANSPORTATION, LLC, a Delaware limited liability company ("Transportation"), and COFFEYVILLE RESOURCES TERMINAL, LLC, a Delaware limited liability company
("Terminal") (Resources, Fertilizers, Refining, Transportation and Terminal are sometimes collectively referred to herein as the "Borrowers"
and individually as a "Borrower"), the other Credit Parties signatory hereto, CONGRESS FINANCIAL CORPORATION (SOUTHWEST) ("Congress"), in its
capacity as administrative agent for the Revolver Secured Parties (as defined in the Credit Agreement referred to below) (together with its successors and assigns, the "Administrative
Agent"), CREDIT SUISSE FIRST BOSTON, acting through its Cayman Islands Branch ("CSFB"), in its capacity as administrative agent for the Term Secured Parties
(as defined in the Credit Agreement) (together with its successors and assigns, the "Term Agent," and together with the Administrative Agent, collectively, the
"Agents") and the Lenders party thereto. 

        WHEREAS, the Borrowers have entered into that certain Credit Agreement, dated as of May 10, 2004, as amended by the Limited Waiver
and Consent, dated as of September 22, 2004, the First Amendment, dated as of October 8, 2004, the Second Amendment, dated as of November 24, 2004 and the Third Amendment, dated
as of December 13, 2004 and as further amended, supplemented, restated or otherwise modified from time to time (the "Credit Agreement"), by and among the Borrowers,
the
other Credit Parties party thereto, CSFB as the Term Agent, Congress as the Administrative Agent, and the Lenders party thereto from time to time; and 

        WHEREAS, the terms used herein, including in the preamble and recitals hereto, not otherwise defined herein or otherwise amended hereby
shall have the meanings ascribed thereto in the Credit Agreement; and 

        WHEREAS, the Credit Parties have notified the Agents that the Credit Parties may, at some time in the future, determine that it is
desirable to separate the Coffeyville and Leiber holding companies (the "CLH Restructuring"); and 

        WHEREAS, the CLH Restructuring would be effectuated by and would be comprised of (1) the distribution by CLH to Coffeyville
Nitrogen Fertilizers, Inc. ("CNF Inc.") and Coffeyville Refining & Marketing, Inc. ("CR&M Inc.") of CLH's
interest in Resources and (2) the distribution by CLH to The Leiber Group of the membership interests in Leiber Holdings, LLC, which distribution may be accomplished either directly or
indirectly through the merger of Leiber Holdings, LLC with and into a new wholly-owned subsidiary of The Leiber Group, with Leiber Holdings, LLC surviving the merger as a wholly-owned subsidiary of
The Leiber Group, (3) if so elected by the Credit Parties, (A) the merger of CLH with and into Resources or (B) the transfer of the Stock of CLH held by CNF Inc. or
CR&M Inc. such that CLH becomes a wholly-owned Subsidiary of CNF Inc. or CR&M Inc., and (4) Borrowers declaring and paying dividends or other distributions to CLH,
CNF Inc. and/or CR&M Inc., the proceeds of which are to be used to pay an aggregate amount not to exceed $45,000,000 representing the amount of the "Liquidation True-Up
Amount" (as defined in CLH's limited liability company agreement) to The Leiber Group; and 

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        WHEREAS, the CLH Restructuring could be deemed to violate certain provisions of the Loan Documents; and 

        WHEREAS, the Credit Parties have notified the Agents that Holdings may, at some time in the future, find it desirable to restructure its
ownership interests in the other Credit Parties (the "Holdco Restructuring"), which restructuring would be effectuated by and would be comprised of (1) the
distribution by Holdings to certain of the holders of its preferred units of a portion of the Stock of Holdings' direct wholly-owned subsidiaries, (2) the formation by Holdings of a new
intermediate holding company, Coffeyville Resources, Inc. ("CRI"), a wholly-owned corporate subsidiary of Holdings and (3) the contribution, together with
such preferred unit holders, of all of the outstanding Stock of Holdings' other direct subsidiaries to CRI; and 

        WHEREAS, the Holdco Restructuring could be deemed to violate certain provisions of the Loan Documents; and 

        WHEREAS, the Credit Parties have notified the Agents that the Credit Parties may from time to time desire to enter into Hedging Contracts
with Persons that are not currently within the definition of the term "Eligible Hedge Counterparty," and, unless such definition is amended, the entry into such Hedging Contracts could be deemed to
violate certain provisions of the Loan Documents; and 

        WHEREAS, as of the Closing Date, the Credit Parties made certain representations and warranties with respect to historical financial
statements of their predecessor entity for the years 2001 and 2002 and portions of 2003 contained in a due diligence report dated September 9, 2003 prepared by PricewaterhouseCoopers, which
financial statements were not audited (the "2001-2003 PwC Financial Statements"); and 

        WHEREAS, subsequent to the delivery of the 2001-2003 PwC Financial Statements, the Credit Parties have prepared revised
historical financial statements for the periods covered by such financial statements, which revised historical financial statements were prepared in accordance with GAAP and have been audited by KPMG
LLP (the "2001-2003 Audited Financial Statements"), and the 2001-2003 Audited Financial Statements differ in certain respects from the
corresponding 2001-2003 PwC Financial Statements; and 

        WHEREAS, pursuant to Section 9.1(f) of the Credit Agreement, it is an Event of Default if any representation or warranty in any
financial statement delivered to the Agents by any Credit Party proves to have been untrue or incorrect in any material respect as of the date when made or deemed made; and 

        WHEREAS, the Credit Parties have certain assets not necessary for the conduct of the business of the Credit Parties, such as unused rights
of way along pipelines and the water pipe which feeds Terminal's Phillipsburg, Kansas facility, which assets are not of material value to the Credit Parties or have such burdens and costs associated
with them that the Credit Parties believe that it would be in the best interests of the Credit Parties to release, sell or otherwise dispose of such assets to third parties from time to time; and 

        WHEREAS, such release, sale or other disposition could be deemed to violate certain provisions of the Loan Documents; and 

        WHEREAS, Coffeyville Resources Trinidad and Tobago Limited, a Trinidad corporation ("CRTT Limited"),
Coffeyville Resources Trinidad and Tobago Fertilizers, LLC, a Delaware limited liability company ("CRTT LLC"), and Fertilizers have entered into a memorandum of
understanding (the "Trinidad MOU") on December 16, 2004 with The Government of the Republic of Trinidad and Tobago, The National Gas Company of Trinidad and Tobago
Limited, and National Energy Corporation of Trinidad and Tobago Limited in connection with the proposed development of a new nitrogen fertilizer manufacturing facility in Trinidad; and 

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        WHEREAS, subsequent to the execution of the Trinidad MOU, the Credit Parties have decided not to pursue the Trinidad facility; and 

        WHEREAS, Pegasus and certain of its affiliates have expressed an interest in pursuing the development of the Trinidad facility and have
indicated that they may seek to contract with one or more of the Credit Parties for management and other services in connection with the project; and 

        WHEREAS, the Credit Parties desire to relinquish and dispose of all of their rights under the Trinidad MOU, obtain a release of the
Lenders' Liens on the Trinidad MOU, obtain approval for certain transactions with Pegasus and its Affiliates regarding the Trinidad facility, and dissolve, merge or otherwise dispose of CRTT LLC and
any interest the Credit Parties may have in CRTT Limited; and 

        WHEREAS, such actions could be deemed to violate certain provisions of the Loan Documents; and 

        WHEREAS, the Credit Parties have also notified the Agents that Resources or another Credit Party have entered into and desire to continue
to enter into certain insurance premium financing arrangements with one or more third party financing sources and to grant certain limited security interests in certain insurance proceeds to such
third parties as collateral for such obligations; and 

        WHEREAS, pursuant to Section 7.3 of the Credit Agreement, no Credit Party may (subject to certain limited inapplicable exceptions)
incur any Indebtedness, and pursuant to Section 7.7 of the Credit Agreement, no Credit Party may (subject to certain limited inapplicable exceptions) grant any Liens; and 

        WHEREAS, Resources has notified the Agents that Resources' audited financial statements and related information for the Fiscal Year 2004
will not be available within the 90-day timeframe currently required pursuant to the Credit Agreement; and 

        WHEREAS, the Credit Parties desire to obtain amendments and waivers as necessary with respect to the matters described above; 

        NOW, THEREFORE, in consideration of the premises and the agreements, provisions and covenants herein contained, the Borrowers, and the
other Credit Parties, the Requisite Lenders and the Agents party hereto agree as follows: 

SECTION 1.    AMENDMENTS AND WAIVERS  

        1.1   Section 1 of the Credit Agreement is hereby amended by the addition of the following definitions, which shall be
inserted in proper alphabetical order: 

        "CLH
Restructuring" means, collectively, (1) the distribution by CLH to CNF Inc. and CR&M Inc. of CLH's interest in Resources,
(2) the distribution by CLH to The Leiber Group of the membership interests in Leiber Holdings, LLC, which distribution may be accomplished either directly or indirectly through the merger of
Leiber Holdings, LLC with and into a new wholly-owned subsidiary of The Leiber Group, with Leiber Holdings, LLC surviving the merger as a wholly-owned subsidiary of The Leiber Group, (3) if so
elected by the Credit Parties, (A) the merger of CLH with and into Resources or (B) the transfer of the Stock of CLH held by CNF Inc. or CR&M Inc. such that CLH becomes a
wholly-owned Subsidiary of CNF Inc. or CR&M Inc., (4) Borrowers declaring and paying dividends or other distributions to CLH, CNF Inc. and/or CR&M Inc., the proceeds
of which are to be used to pay an aggregate amount not to exceed $45,000,000 representing the amount of the "Liquidation True-Up Amount" (as defined in CLH's limited liability company
agreement) to The Leiber Group. 

        "CNF Inc."
means Coffeyville Nitrogen Fertilizers, Inc. 

        "CR&M Inc."
means Coffeyville Refining & Marketing, Inc. 

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        "CRI"
means Coffeyville Resources, Inc. 

        "Holdco
Restructuring" means, collectively, (1) the distribution by Holdings to certain of the holders of its preferred units of a portion of the
Stock of Holdings' direct wholly-owned subsidiaries, (2) the formation by Holdings of CRI and (3) the contribution, together with such preferred unit holders, of all of the outstanding
Stock of Holdings' other direct subsidiaries to CRI. 

        "Insurance
Premium Financers" means Persons who are not Affiliates of any Credit Party that advance funds to any Credit Party to pay insurance premiums for
Holdings and its Subsidiaries pursuant to Insurance Premium Financing Arrangements. 

        "Insurance
Premium Financing Arrangements" means, collectively, such agreements as any Credit Party shall enter into with Insurance Premium Financers
pursuant to which such Insurance Premium Financers shall advance funds to or on behalf of a Credit Party to pay insurance premiums for Holdings and its Subsidiaries. Such Insurance Premium Financing
Arrangements (i) shall not provide for the benefit of such Insurance Premium Financers a security interest in property of Holdings or any of its Subsidiaries other than sums payable to the
Credit Parties under or with reference to the insurance policies listed in such agreements, including, among other things, any gross return premiums or gross unearned premiums and any payment on
account of loss which results in reduction of unearned premium in accordance with the terms of said policies and (ii) shall not purport to prohibit any portion of the Liens created in favor of
Administrative Agent for the benefit of itself and Revolver Secured Parties or the Liens created in favor of Term Agent for the benefit of itself and Term Secured Parties pursuant to the Collateral
Documents. 

        "Trinidad
MOU" means that certain memorandum of understanding dated December 16, 2004 among CRTT Limited, CRTT LLC, Fertilizers, The Government of the
Republic of Trinidad and Tobago, The National Gas Company of Trinidad and Tobago Limited, and National Energy Corporation of Trinidad and Tobago Limited in connection with the proposed development of
a new nitrogen fertilizer manufacturing facility in Trinidad. 

        "Trinidad
Project" means the development and subsequent operation by Affiliates of Pegasus of a nitrogen fertilizer manufacturing facility in the Republic of
Trinidad and Tobago. 

        "Trinidad
Relinquishment" means, collectively, the relinquishment and disposition by the Credit Parties of all of their rights under the Trinidad MOU and the
disposition or relinquishment by the Credit Parties of any interest that the Credit Parties may have in CRTT Limited. 

        "2001-2003
Audited Financial Statements" means the historical financial statements for the predecessor entity of the Credit Parties for the years
2001 and 2002 and portions of 2003 prepared in accordance with GAAP and audited by KPMG LLP. 

        "2001-2003
PwC Financial Statements" means the unaudited historical financial statements of the predecessor entity of the Credit Parties for the
years 2001 and 2002 and portions of 2003 contained in a due diligence report dated September 9, 2003 prepared by PricewaterhouseCoopers and delivered to the Agents in connection with the
Closing Date. 

        1.2   The definition of the term "Change of Control" in the Credit Agreement is hereby amended and
restated in its entirety as follows: "Change of Control" means any event, transaction or occurrence as a result of which (a) (x) prior to an initial public
offering, Pegasus and its Affiliates, collectively, cease to own and control at least 51% of the economic and voting rights associated with ownership of Holdings on a fully diluted basis or
(y) after an initial public offering, (A) any Person or "group" (within the meaning of Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1934, as
amended from time to time, and any successor statute) other than Pegasus and its Affiliates shall have acquired beneficial ownership of 35% or more on a fully diluted basis of the voting interest in
the capital Stock of CRI at any time when Pegasus and its Affiliates hold a lesser percentage of the beneficial ownership 

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of
the voting interest in the capital Stock of CRI on a fully diluted basis than such other Person or "group" or (B) the majority of the seats (other than vacant seats) of the board of
directors (or similar governing body) of CRI ceases to be occupied by Persons who were nominated for election by Pegasus or its Affiliates or by the board of directors of CRI, a majority of whom were
directors immediately prior to the initial public offering or whose election or nomination for election was previously approved by a majority of such directors, (b) Pegasus or one of its
Affiliates is not the sole Managing Member (as defined in the Group Operating Agreement) of Holdings, or (c) except (but only for so long as Pegasus and its Affiliates collectively own and
control at least 51% of the economic and voting rights of the Stock of The Leiber Group) to the extent of the economic and voting rights associated with the Stock of CLH directly owned and controlled
by The Leiber Group on the First Amendment Effective Date immediately after giving effect to the Leiber Transaction, Holdings (or after the Holdco Restructuring, CRI) ceases to own and control,
directly or indirectly, all of the economic and voting rights associated with all of the outstanding capital Stock of each other Credit Party (other than (x) after the Holdco Restructuring,
Holdings and (y) (A) Coffeyville Nitrogen Fertilizers, Inc. and/or Fertilizers or (B) if (A) has not occurred, Coffeyville Refining & Marketing, Inc. and/or
Refining in connection with a disposal thereof otherwise permitted hereby, the proceeds of which are applied as required hereby) on a fully diluted basis. 

        1.3   The definition of the term "EBITDA" in the Credit Agreement is hereby amended by adding the
following sentence at the end of the existing text thereof: "Notwithstanding any other provision of this definition, the payment or payments to The Leiber Group described in clause (4) of the
definition of the term "CLH Restructuring" shall not impact or change EBITDA, and if such payment or payments constitute items of expense or are otherwise subtracted from income in calculating EBITDA
or any component thereof, such payment or payments shall be added back in determining EBITDA." 

        1.4   The definition of the term "Eligible Hedge Counterparty" in the Credit Agreement is hereby
amended by (1) inserting "(i)" between the words "means" and "each" and (2) inserting the following prior to the period at the end of such definition: ", (ii) each other Person
from time to time approved as an Eligible Hedge Counterparty by the Administrative Agent, which approval shall not be unreasonably withheld if such Person is generally recognized in the financial
community as a counterparty to such types of Hedging Contracts, and (iii) each other Person that from time to time becomes a counterparty to a Hedging Contract with a Credit Party regarding
commodities as long as such Hedging Contracts under this clause (iii) otherwise satisfy the requirements of Section 7.3(a)(ix) and no Liens are granted to secure Hedging Contracts
with Eligible Hedge Counterparties under this clause (iii) other than pursuant to Section 7.7(f)". 

        1.5   Subclauses (a), (b) and (d) of Section 5.1 of the Credit Agreement are hereby amended by
(1) replacing the references to "Resources and its Subsidiaries", and (2) adding the following phrase in lieu thereof: "(i) in respect of the Fiscal Year ending
December 31, 2004, CRI and its Subsidiaries and (ii) thereafter, either Resources and its Subsidiaries or CRI and its Subsidiaries". 

        1.6   Section 6.1 of the Credit Agreement is hereby amended by adding the following sentence at the end of the existing
text thereof: "Notwithstanding the foregoing, the Credit Parties may consummate any transaction permitted under an exception to, or by a consent or waiver under, Section 7.8 of the Credit
Agreement". 

        1.7   Section 7.1 of the Credit Agreement is hereby amended by adding the following sentence at the end of the existing
text thereof: "Notwithstanding the foregoing, the Credit Parties may consummate the Holdco Restructuring". 

        1.8   Section 7.2 of the Credit Agreement is hereby amended by (1) replacing the word "and" between clauses
(e) and (f) thereof with a semicolon, and (2) adding the following in lieu of the period at the end of such Section: "; (g) the Credit Parties may enter into and perform
Hedging Contracts to 

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the
extent permitted under Section 7.3(a) hereof; and (h) the Credit Parties may consummate the Holdco Restructuring". 

        1.9   Section 7.3 of the Credit Agreement is hereby amended by deleting the phrase "and (xii)" and substituting therefor
the following: ", (xii) Indebtedness consisting solely of obligations under Insurance Premium Financing Arrangements, which obligations shall not exceed at any time $10,000,000 in the
aggregate, and (xiii)". 

        1.10 Section 7.4 of the Credit Agreement is hereby amended by (1) replacing the words "Notwithstanding the
foregoing, the Borrowers" in the second sentence thereof with the words "Notwithstanding the foregoing, the Credit Parties," (2) deleting the word "and" between clauses (y) and
(z) thereof, and (3) adding the following in lieu of the period at the end of such Section: "; (aa) consummate the CLH Restructuring and the Holdco Restructuring; and (bb) enter into and
be parties to transactions with Pegasus and its Affiliates in connection with the Trinidad Project, including, without limitation, management, consulting and offtake agreements, in each case if such
transactions are upon fair and reasonable terms that are no less favorable to such Credit Party than would be obtained in a comparable arms' length transaction with a Person not an Affiliate of such
Credit Party". 

        1.11 The first sentence of Section 7.5 of the Credit Agreement is hereby amended and restated in its entirety as
follows: "If all or part of a Credit Party's Stock is pledged to the Agents, that Credit Party (other than CRI) shall not issue additional Stock unless such additional Stock is similarly pledged to
the Agents". 

        1.12 Section 7.7 of the Credit Agreement is hereby amended by deleting the phrase "and (e)" and substituting therefor
the following: "; (e) Liens created pursuant to Insurance Premium Financing Arrangements otherwise permitted under this Agreement; (f) Liens in connection with cash collateral provided
in support of Hedging Contracts with Eligible Hedge Counterparties in an aggregate amount not to exceed $4,000,000 and (g)". 

        1.13 Section 7.8 of the Credit Agreement is hereby amended by (1) replacing the word "and" between clauses
(e) and (f) thereof with a semicolon, and (2) adding the following in lieu of the period at the end of such Section: "; (g) pursuant to the consummation of the CLH
Restructuring, the Holdco Restructuring and the Trinidad Relinquishment; (h) the sale or other disposition of unused rights of way or portions of unused rights of way along pipelines to the
extent such assets are not necessary for the conduct of the business of the Credit Parties; (i) the sale or other disposition of the water pipe which feeds Terminal's Phillipsburg, Kansas
facility and any associated real property interests; and (j) the sale or other disposition of assets not necessary for the conduct of the business of the Credit Parties, which assets are not of
material value to the Credit Parties or have such burdens and costs associated with them that the Credit Parties believe in good faith that it would be in the best interests of the Credit Parties to
sell or otherwise dispose of such assets to third parties." 

        1.14 Section 7.13 of the Credit Agreement is hereby amended by (1) replacing the word "and" between clauses
(g) and (h) thereof with a semicolon, and (2) adding the following in lieu of the period at the end of such Section: "; and (i) pursuant to the consummation of the CLH
Restructuring, the Holdco Restructuring and the Trinidad Relinquishment; provided further that at the time of the payment or payments described in clause (4) of the
definition of the term "CLH Restructuring" and after giving effect thereto, the amount by which the lesser of the Aggregate Borrowing Base and the Maximum Amount exceeds the outstanding principal
amount of the aggregate Revolving Loans shall be more than $50,000,000." 

        1.15 Section 7.17 of the Credit Agreement is hereby amended by adding the following sentence at the end of the
existing text thereof: "Notwithstanding the foregoing, the Credit Parties may consummate the Holdco Restructuring." 

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        1.16 Section 7.19 of the Credit Agreement is hereby amended and restated in its entirety as follows:
"CRTT LLC. Notwithstanding anything to the contrary herein, the Credit Parties shall not capitalize, make any investments in, capital contributions, loans or assume any
contingent obligations or other liabilities with respect to CRTT LLC or permit CRTT LLC to have any assets or liabilities (other than pursuant to the Loan Documents) or conduct any activities. 

        1.17 The following provision is hereby added to the Credit Agreement as Section 6.17: "Holdco
Restructuring. Concurrently with the consummation of the Holdco Restructuring, Holdings shall have delivered (i) the New Subsidiary Requirements in respect of CRI to the Agents,
in form and substance satisfactory to the Agents and (ii) revised Schedules 4.1, 4.2 and 4.8 to the Credit Agreement and revised Schedule I to the Pledge Agreement and revised
Schedule II to the Security Agreement". 

        1.18 The following provision is hereby added to the Credit Agreement as Section 6.18: "CLH
Restructuring. Within ninety (90) days after the payment or payments described in clause (4) of the definition of the term "CLH Restructuring", the Credit Parties shall
(i) consummate an initial public offering of the Stock of CRI in which CRI receives net cash proceeds of primary shares in an amount in excess of the amount of such payment or payments or
(ii) terminate all of the Revolving Loan Commitment in accordance with Section 2.3(a) and prepay in full all Obligations immediately prior to or simultaneously with a disposition by
Pegasus, its Affiliates and the other equityholders of Holdings or a disposition of all, or substantially all, of the assets of the Credit Parties; provided that the foregoing requirement shall not
apply if at the time of the payment or payments described in clause (4) of the definition of the term "CLH Restructuring" and after giving effect thereto, the Credit Parties shall have
demonstrated a Leverage Ratio of less than 2.0:1.0 as certified in writing by the chief financial officer of Holdings." 

        1.19 Section 9.1(b) of the Credit Agreement hereby amended by (1) replacing the word "or" between the numbers
"6.4(a)" and "7" therein with a comma, and (2) adding the following in lieu of the period at the end of such Section: ", or 6.18." 

        1.20 Section 5(g) of the Security Agreement is hereby amended by adding the following phrase at the beginning of the
existing text thereof: "Except as otherwise permitted under the Credit Agreement,". 

        1.21 The Lenders hereby consent to the asset dispositions permitted under new clauses (g), (h), (i) and (j) of
Section 7.8 and expressly hereby authorize the Agents to do all things reasonably requested by the Credit Parties to effect and evidence of record such dispositions contemporaneously therewith,
including, without limitation, to execute and deliver release documents and file UCC financing statement terminations with respect to the security interests, if any, granted pursuant to the Collateral
Documents in any such assets. 

        1.22 Upon consummation of the CLH Restructuring, the amendments to the following sections that were effected by the First
Amendment in respect of the Leiber Transaction shall be rescinded and shall cease to be effective: "Change of Control", "Credit Parties", "Subsidiary", "Leiber Available Amount", "Leiber Entities",
"The Leiber Group", "Leiber Tax Distributions", "Leiber Transaction", Section 5.1(p), Section 7.1, Section 7.2(f), Section 7.5, Section 7.8, Section 7.13 and
Section 7.17. 

        1.23 The Lenders and the Agents hereby (1) acknowledge receipt of the 2001-2003 Audited Financial
Statements, (2) acknowledge that the 2001-2003 Audited Financial Statements differ from the corresponding 2001-2003 PwC Financial Statements, and (3) waive any
Default or Event of Default arising out of or related to any representation or warranty made in or pursuant to any Loan Document or in any written statement, report, financial statement or certificate
delivered to the Agents or any Lender by or on behalf of any Credit Party regarding or based upon the 2001-2003 PwC Financial Statements. 

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        1.24 The Lenders and the Agents hereby waive any Default or Event of Default arising out of or related to the Credit Party's
incurrence of the Insurance Premium Financing Arrangements existing as of the Closing Date in violation of Section 7.3 and Section 7.7 of the Credit Agreement. 

        1.25 The Lenders and the Agents hereby consent to the delivery of the audited Financial Statements and other information
described in Section 5.1(d) for the Fiscal Year 2004 (the "2004 Audit") within one-hundred and twenty (120) days after the end of the 2004 Fiscal
Year, and waive the 90-day deadline otherwise provided in such Section with respect to such information for Fiscal Year 2004. The Lenders and the Agents hereby agree that any legend in
respect of the 2004 Audit issued in lieu of an audit opinion arising out of the Lieber Transaction, which legend is subject to removal upon consummation of the CLH Restructuring, shall not be
considered a qualification to such audit report for purposes of Section 5.1(d). 

        1.26 It is acknowledged that the Administrative Agent may use its reasonable credit judgment in connection with the
establishment of Reserves in respect of Insurance Premium Financing Arrangements. 

SECTION 2.    CONDITIONS PRECEDENT TO EFFECTIVENESS  

        The provisions set forth in Section 1 hereof shall be effective as of the date (the "Fourth Amendment Effective Date") on
which each of the following conditions shall have been satisfied (or waived in accordance with Section 12.2 of the Credit Agreement): 

	(a)
	The Credit Parties and the Requisite Lenders shall have indicated their consent by the execution and delivery of the signature pages to
the Term Agent.

	(b)
	As of the Fourth Amendment Effective Date, after giving effect to this Fourth Amendment, the representations and warranties contained
herein and in the other Loan documents shall be true, correct and complete in all material respects on and as of the Fourth Amendment Effective Date to the same extent as though made on and as of that
date, except to the extent such representations and warranties specifically relate to an earlier date, in which case such representations and warranties shall have been true, correct and complete in
all material respects on and as of such earlier date.

	(c)
	As of the Fourth Amendment Effective Date, after giving effect to this Fourth Amendment, no event shall have occurred and be continuing
that would constitute an Event of Default or a Default.

	(d)
	The Borrowers shall have paid all fees, costs and expenses owing to counsel to each of the Agents invoiced to the Borrowers on or
before the date hereof and reimbursable by the Borrowers under the terms of the Credit Agreement. 

SECTION 2.    LIMITATION OF WAIVER AND CONSENT  

        Without limiting the generality of the provisions of Section 12.2 of the Credit Agreement, the waivers and consent set forth above shall be limited
precisely as written and relate solely to the waiver of the provisions of the Credit Agreement and the Security Agreement in the manner and to the extent described above, and nothing in this Fourth
Amendment shall be deemed to: 

	(a)
	constitute a waiver of compliance by any Credit Party with respect to Section 12.2 of the Credit Agreement in any other
instance; or

	(b)
	prejudice any right or remedy that any Lender may now have (except to the extent such right or remedy was based upon existing defaults
that will not exist after giving effect to this Fourth Amendment) or may have in the future under or in connection with the Credit Agreement or any other instrument or agreement referred to therein. 

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SECTION 3.    REPRESENTATIONS AND WARRANTIES  

        In order to induce the Agents and Lenders to enter into this Fourth Amendment, the Credit Parties hereby represent and warrant that after giving effect to this
Fourth Amendment: 

	(a)
	as of the date hereof, after giving effect to this Fourth Amendment, there exists no Default or Event of Default;

	(b)
	as of the date hereof, after giving effect to this Fourth Amendment, all representations and warranties contained in the Credit
Agreement and the other Loan Documents are true, correct and complete in all material respects on and as of the date hereof, except to the extent such representations and warranties specifically
relate to an earlier date, in which case they were true, correct and complete in all material respects on and as of such earlier date;

	(c)
	as of the date hereof, the Credit Parties have performed all agreements to be performed by them as set forth in the Credit Agreement;

	(d)
	the execution, delivery and performance of this Fourth Amendment have been duly authorized by all necessary action on the part of the
Credit Parties; the execution, delivery and performance by the Credit Parties of this Fourth Amendment and the consummation of the transactions contemplated hereby, does not and will not
(i) violate any provision of any law or governmental rule or regulation applicable to any Credit Party, the organizational documents of any Credit Party, or any order, judgment or decree of any
court or other agency of government binding on any Credit Party, (ii) conflict with, result in a breach of or constitute (with due notice or the lapse of time or both) a default under any
contractual obligation of any Credit Party or any of its Subsidiaries, (iii) result in or require the creation or imposition of any Lien upon any of the properties or assets of any Credit Party
or any of its Subsidiaries (other than pursuant to the Loan Documents), or (iv) require the approval of members of any Credit Party or any approval or consent of any Person under any
contractual obligation; and

	(e)
	this Fourth Amendment and each Loan Document has been duly executed and delivered by each Credit Party and is the legally valid and
binding obligation of such Credit Party, enforceable in accordance with its respective terms, except as may be limited by bankruptcy, insolvency, reorganization or moratorium. 

SECTION 4.    ACKNOWLEDGMENT AND CONSENT  

        Holdings and certain Subsidiaries of Holdings have (i) guaranteed the Obligations and (ii) created Liens in favor of Lenders on certain Collateral
to secure their obligations under the Credit Agreement and the Collateral Documents subject to the terms and provisions of the Credit Agreement. 

        Each
Credit Party hereby acknowledges that it has reviewed the terms and provisions of the Credit Agreement and this Fourth Amendment and consents to the amendment of the Credit
Agreement and consents effected pursuant to this Fourth Amendment. Each Credit Party hereby confirms that each Loan Document to which it is a party or otherwise bound and all Collateral encumbered
thereby will continue to guarantee or secure, as the case may be, in accordance with the Loan Documents the payment and performance of all Obligations under each of the Loan Documents, as the case may
be (in each case as such terms are defined in the applicable Loan Document), including without limitation the payment and performance of all such Obligations under each of the Loan Documents, as the
case may be, in respect of the Obligations of the Borrowers now or hereafter existing under or in respect of the Credit Agreement. 

        Each
Credit Party acknowledges and agrees that any of the Loan Documents to which it is a party or otherwise bound shall continue in full force and effect and that all of its obligations
thereunder shall be valid and enforceable and shall not be impaired or limited by the execution or effectiveness of this 

9

 

Fourth
Amendment, in each case except as amended or waived pursuant hereto. Each Credit Party represents and warrants that all representations and warranties made by such Credit Party contained in the
Credit Agreement, this Fourth Amendment and the other Loan Documents to which it is a party or otherwise bound are true and correct in all material respects on and as of the Fourth Amendment Effective
Date to the same extent as though made on and as of that date, except to the extent such representations and warranties specifically relate to an earlier date, in which case they were true and correct
in all material respects on and as of such earlier date. 

        Each
Credit Party acknowledges and agrees that (i) notwithstanding the conditions to effectiveness set forth in this Fourth Amendment, such Credit Party is not required by the
terms of the Credit Agreement or any other Loan Document to consent to the amendments to the Credit Agreement effected pursuant to this Fourth Amendment and (ii) nothing in the Credit
Agreement, this Fourth Amendment or any other Loan Document shall be deemed to require the consent of such Credit Party to any future amendments to the Credit Agreement. 

SECTION 5.    MISCELLANEOUS  

        5.1   This Fourth Amendment shall be binding upon the parties hereto and their respective successors and assigns and shall inure to the benefit of the
parties hereto and the successors and assigns of Lenders. No Credit Party's rights or obligations hereunder or any interest therein may be assigned or delegated by any Credit Party without the prior
written consent of all Lenders.  

        5.2   In case any provision in or obligation hereunder shall be invalid, illegal or unenforceable in any jurisdiction, the validity, legality
and
enforceability of the remaining provisions or obligations, or of such provision or obligation in any other jurisdiction, shall not in any way be affected or impaired thereby. 

        5.3   Except as specifically waived by this Fourth Amendment, the Credit Agreement and the other Loan Documents shall remain in
full force and effect and are hereby ratified and confirmed. 

        5.4   The execution, delivery and performance of this Fourth Amendment shall not, except as expressly provided herein,
constitute a waiver of any provision of, or operate as a waiver of any right, power or remedy of any Agent or Lender under, the Credit Agreement or any of the other Loan Documents. 

        5.5   Section headings herein are included herein for convenience of reference only and shall not constitute a part hereof for
any other purpose or be given any substantive effect. 

        5.6   THIS FOURTH AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK.  

         5.7   This Fourth Amendment may be executed in any number of counterparts, each of which when so executed and delivered shall be deemed an
original,
but all such counterparts together shall constitute but one and the same instrument. As set forth herein, this Fourth Amendment shall become effective upon the execution of a counterpart hereof by
each of the parties hereto and receipt by the Borrowers and Agents of written or telephonic notification of such execution and authorization of delivery thereof. 

        5.8   To facilitate reference to the provisions of the Credit Agreement, as amended by this Fourth Amendment, each Lender
executing this Fourth Amendment hereby authorizes Term Agent and Administrative Agent to enter into an amendment and restatement of the Credit Agreement, at either Agent's option, as amended by the
Fourth Amendment, dated as of September 22, 2004, the First Amendment, dated as of October 8, 2004, the Second Amendment, dated as of November 24, 2004, the Third Amendment, dated
as of December 13, 2004 and this Fourth Amendment (including, without limitation, any changes needed to give effect to the CLH Restructuring); provided that any such amendment and restatement
shall be distributed to each Lender. 

        [The remainder of this page is intentionally left blank.]

10

 

        IN
WITNESS WHEREOF, this Fourth Amendment has been duly executed as of the date first written above. 

	 	 	BORROWERS:
	

 	
 	

COFFEYVILLE RESOURCES, LLC

COFFEYVILLE RESOURCES NITROGEN FERTILIZERS, LLC

COFFEYVILLE RESOURCES REFINING & MARKETING, LLC

COFFEYVILLE RESOURCES TERMINAL, LLC

COFFEYVILLE RESOURCES CRUDE TRANSPORTATION, LLC
	

 	
 	

By:	

/s/  PHILIP L. RINALDI      

	 	 	Name:	Philip L. Rinaldi

	 	 	Title:	CEO

	

 	
 	
OTHER CREDIT PARTIES:
	 	 	COFFEYVILLE PIPELINE, INC.

COFFEYVILLE REFINING & MARKETING, INC.

COFFEYVILLE NITROGEN FERTILIZERS, INC.

COFFEYVILLE CRUDE TRANSPORTATION, INC.

COFFEYVILLE TERMINAL, INC.

COFFEYVILLE GROUP HOLDINGS, LLC

COFFEYVILLE RESOURCES PIPELINE, LLC

COFFEYVILLE RESOURCES MANAGEMENT, INC.

CL JV HOLDINGS, LLC

COFFEYVILLE RESOURCES TRINIDAD AND TOBAGO FERTILIZERS, LLC
	

 	
 	

By:	

/s/  PHILIP L. RINALDI      

	 	 	Name:	Philip L. Rinaldi

	 	 	Title:	CEO

11

 

	 	 	CREDIT SUISSE FIRST BOSTON, acting through its Cayman Islands Branch, as Term Agent and a Lender
	

 	
 	

By:	
 	

/s/  JAMES MORAN      

	 	 	Name:	 	James Moran

	 	 	Title:	 	Managing Director

	

 	
 	

By:	
 	

/s/  VANESSA GOMEZ      

	 	 	Name:	 	Vanessa Gomez

	 	 	Title:	 	Vice President

12

 

	 	 	CONGRESS FINANCIAL CORPORATION (SOUTHWEST), as Administrative Agent and a Lender
	

 	
 	

By:	
 	

/s/  MARK GALOVIC      
 Duly Authorized Signatory

13

 

	 	 	SIEMENS FINANCIAL SERVICES, INC.
	

 	
 	

By:	
 	

/s/  FRANK AMODIO      

	 	 	Name:	 	Frank Amodio
	 	 	Title:	 	Vice President—Credit

14

 

	 	 	AMALGAMATED BANK
	

 	
 	

By:	
 	

/s/  BRUCE MEREDITH      

	 	 	Name:	 	Bruce Meredith
	 	 	Title:	 	Vice President

15

QuickLinks

Exhibit 10.28

Execution Copy

FOURTH AMENDMENT TO CREDIT AGREEMENTQuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10.29  

 
 
COPY  

	    
	    
	COFFEYVILLE RESOURCES NITROGEN FERTILIZERS, LLC
	    
	    
	    
	ELECTRIC SERVICE AGREEMENT
	    
	    
	DATED January 13, 2004
	    
	    
	    
	    

COFFEYVILLE RESOURCES

NITROGEN FERTILIZERS, LLC

ELECTRIC SERVICE AGREEMENT  

TABLE OF CONTENTS  

	ARTICLE I.	 	DEFINITIONS
	

ARTICLE II.	
 	

ELECTRIC SERVICE CUSTOMER INFORMATION
	

ARTICLE III.	
 	

PAYMENT SECURITY
	

ARTICLE IV.	
 	

ELECTRIC TRANSMISSION
	

ARTICLE V.	
 	

ELECTRIC POWER AND ENERGY
	

ARTICLE VI.	
 	

RATES AND CHARGES
	

ARTICLE VII.	
 	

BILLINGS AND PAYMENTS: TERMINATION OF SERVICE
	

ARTICLE VIII.	
 	

SERVICE CHARACTERISTICS
	

ARTICLE IX	
 	

ELECTRIC STANDARDS FOR THE FACILITY
	

ARTICLE X.	
 	

METERING
	

ARTICLE XI.	
 	

FORCE MAJEURE
	

ARTICLE XII.	
 	

RIGHTS-OF-WAY AND ACCESS
	

ARTICLE XIII.	
 	

DELIVERY POINTS
	

ARTICLE XIV.	
 	

TERM
	

ARTICLE XV.	
 	

ASSIGNMENT
	

ARTICLE XVI.	
 	

LIABILITY: LEGAL REMEDIES
	

ARTICLE XVII.	
 	

AMENDMENT(S) AND RESERVATION OF POWERS
	

ARTICLE XVIII.	
 	

MOTORS—STARTING PROCEDURES AND ALLOWABLE CURRENTS
	

ARTICLE XIX.	
 	

MISCELLANEOUS

   ELECTRIC SERVICE AGREEMENT  

        This AGREEMENT FOR ELECTRIC SERVICE (The "Agreement" or the "Terms and Conditions of Service") is made and entered into as of
the            day of February,
2004, by and between the City of Coffeyville, Kansas ("City"), a municipal corporation organized and existing under the laws of the State of Kansas, and Coffeyville Resources Nitrogen Fertilizers, LLC
(together with its successors and permitted assigns, "Coffeyville Resources"), a Delaware Limited Liability Company. 

W I T N E S S E TH:  

        WHEREAS, the City purchases wholesale power and energy, and transmission capacity; and owns and operates its own generation, transmission, and distribution
facilities to furnish retail electric service to the geographic area identified as the City's Certified Electric Service Territory pursuant to K.S.A. 66-1, 170, et
seq.; and 

        WHEREAS,
Coffeyville Resources owns a nitrogen fertilizer facility (together with the associated BOC Air Separation Unit and any other related facilities, as further defined in
Section 1.14 hereof, the "Facility") in the City's Certified Electric Service Territory(1), which is a retail customer of the City's municipal electric utility; and 

        WHEREAS,
Coffeyville Resources and the City entered into that certain Memorandum of Agreement dated October 23, 2003 in which the parties set forth the general principles and
terms and conditions to be incorporated into this Agreement; and 

        WHEREAS,
the City and Coffeyville Resources have agreed that these Terms and Conditions of Service shall govern the supplying by the City and taking by the Facility of the City's
municipal electric service for the Facility within the City's Certified Electric Service Territory(1); and 

	(1)
	As modified by the Kansas Corporation Commission on June 26, 2000, to include that portion of the Facility which originally was situated beyond the
City's Certified Electric Service Territory at the time the City entered into that certain Electric Service Agreement with Farmland Industries, Inc.

        WHEREAS,
the City and Coffeyville Resources have agreed that these Terms and Conditions of Service supersede and cancel all previous terms and conditions of service pertaining to the
supplying and taking of the City's electric service by the Facility; 

        NOW,
THEREFORE, the City and Coffeyville Resources agree as follows: 

ARTICLE I.    DEFINITIONS  

        The following terms included in this Agreement shall be defined as follows: 

	1.1
	"AEP"
shall mean the American Electric Power Company, Inc., a New York corporation, and the facilities of any electric company division, affiliate, and/or subsidiary of AEP and any
purchaser, successor, or transferee of AEP or any of AEP's division, affiliates and/or subsidiaries.

	1.2
	"AEP
Charges" shall mean the transmission charges and the ancillary services charges for power and energy transferred through the CSWS Transmission Service Agreement for the Facility,
as set forth in Item 2 of the Rate Schedule.

	1.3
	"City"
shall have the meaning given in the introductory paragraph.

	1.4
	"City
Certified Electric Service Territory" shall mean the geographic area in which the City has the responsibility and exclusive right to supply retail electric service pursuant to
K.S.A. 66-1,170, et seq.

2

 

	1.5
	"Coffeyville
Resources" shall mean Coffeyville Resources Nitrogen Fertilizers, LLC, a limited liability company organized and existing under the laws of the State of Delaware,
together with its successors and assigns.

	1.6
	"CSWS
Transmission Service Agreement" shall mean the "Firm Point to Point Transmission Service Agreement" between the City and Central South West Services, Inc. (CSWS subsequently
purchased by AEP) attached hereto as Exhibit 1.

	1.7
	"Demand"
shall mean the rate at which electric energy is delivered expressed in kilowatts, megawatts, or other suitable unit at a given instant.

	1.8
	"Demand
Charge" shall be that portion of the charge for electric service based upon the electric power (kW or kVA) consumed and billed under the Rate Schedule on the basis of the
Demand Reading, taking into account any minimum demand requirement pursuant to the then applicable Power and Energy Supply Contract.

	1.9
	"Demand
Reading" shall mean the highest or maximum demand for electricity the Facility registers in a given 30 minute interval during each billing period, but not less than forty (40)
megawatts except as otherwise provided in the applicable Power and Energy Supply Contract. The Demand Reading, if applicable pursuant to the then existing Power and Energy Supply Contract, sets the
Demand Charge for each billing period.

	1.10
	"Distribution
Facilities" shall mean any electric line used to furnish retail electric service, including any line from a Substation to an electric consuming facility, but such term
does not include any transmission facilities (including the Transmission Facilities as defined in this Agreement). There are no Distribution Facilities used to furnish retail electric service to the
Facility Delivery Point(s) pursuant to this Agreement.

	1.11
	"Effective
Date" shall mean that date upon which the sale of assets authorized by that certain Sale Order issued by the United States Bankruptcy Court in the Western District of
Missouri on November 14, 2003, in connection with the jointly administered Case No. 02-50557-JWV of Farmland Industries, Inc. in Bankruptcy Proceedings under Chapter 11, are concluded.

	1.12
	"Energy
Charge" shall mean that portion of the charge for electric service based upon the electric energy (kWh) consumed or billed under the Rate Schedule, taking into account any
minimum energy, load factor, or Energy Lost and Unaccounted For requirement pursuant to the then applicable Power and Energy Supply Contract.

	1.13
	"Energy
Lost and Unaccounted For" shall mean the difference between total net wholesale energy purchased by the City for the Facility in kilowatt-hours and the sum of kilowatt-hour
sales to the Facility.

	1.14.
	"Facility"
shall mean any piece of land or real estate or any building, structure, or improvement or portion thereof that make up the Coffeyville Resources nitrogen fertilizer
facility, the associated BOC Air Separation Unit, and any other related facilities or enhancements within the City Certified Electric Service Territory and within the area highlighted on the attached
Exhibit 10 that receives or may receive power through the Facility Delivery Point(s) as defined in 1.15.

	1.15
	"Facility
Delivery Point(s)" shall mean the 13.8 kV metering location(s) in 138/13.8 kV Substation B, as depicted on Exhibit 3, attached hereto.

	1.16
	"Force
Majeure" shall mean "acts of God," including but not limited to, flood, earthquake, storm, lightning or fire. Force Majeure shall also include labor strikes, slow downs, or
walkouts, war, riot, civil disturbance, sabotage, or restraint by a court or public authority, which by the exercise of due diligence and foresight could not reasonably have been avoided. 

3

 

Force
Majeure shall also include the temporary interruption or reduction in electric service, which, in the reasonable opinion of the City, is necessary to prevent severe system overload, or for the
purpose of necessary maintenance, repairs, replacements, or installation of equipment. Except in the case of emergency, the City will give Coffeyville Resources as much prior notice as is reasonably
possible of such temporary interruptions or reductions and will perform any necessary, replacements, repairs, or installation of equipment in accordance with a mutually agreeable schedule so as to
cause the least inconvenience to the City and Coffeyville Resources. 

	1.17
	"Meter"
shall mean any device or devices used to measure or register electric power and energy.

	1.18
	"Operation
& Maintenance Charges" shall mean the actual City cost of operating, maintaining, repairing, replacing and insuring the Transmission Facilities serving the Facility plus
the overhead mark-up, all as set forth in the Rate Schedule.

	1.19
	"Payment
Security Instrument" shall mean the instrument furnished pursuant to Article III hereof.

	1.20
	"Power
and Energy Supply Contract" shall mean the City's July 1, 1999 through December 31, 2002 "Firm Partial Requirements Electric Power and Energy Contract" with the Grand River
Dam Authority, as amended on April 9, 2002 to extend the term through December 31, 2007, attached hereto as Exhibit 2, or any subsequent Power and Energy Supply Contracts executed by the City to serve
the Facility.

	1.21
	"Power
Factor" shall mean the ratio of real power (kW) to apparent power (kVA) for any given load and time. Generally, it is expressed as a percentage ratio.

	1.22
	"Power
Factor Adjustment" shall mean an adjustment in the billing under the Rate Schedule if the Facility's Power Factor varies from the specified range of percentages set forth
herein.

	1.23
	"PSO"
shall mean the Public Service Company of Oklahoma.

	1.24
	"PSO
Interconnection Agreement" shall mean the Interconnection Agreement between the City and Public Service Company of Oklahoma (PSO), attached hereto as Exhibit 4.

	1.25
	"Rate
Schedule" shall mean the schedule, attached hereto as Exhibit A, setting forth the amount to be paid by Coffeyville Resources to the City for electric service.

	1.26
	"Substation
B" shall mean the 138/13.8 kV Substation as depicted on Exhibit 9, attached hereto.

	1.27
	"SWEPCO"
shall mean Southwestern Electric Power Company.

	1.28
	"Transmission
Capacity" shall mean the 90 megawatts of transmission capacity available for the use and benefit of the Facility over the Transmission Facilities and provided by the
CSWS Transmission Service Agreement.

	1.29
	"Transmission
Facilities" shall mean the City owned transmission facilities, inclusive of but not limited to, the two 138 kV transmission lines from the City/PSO Interconnection
Point to and including Substation B used for the bulk transfer of energy from the City/PSO interconnection point to the Facility Delivery Point(s), but such term does not include any Distribution
Facilities.

	1.30
	"Transmission
Wheeling Charge" shall mean the wheeling charge to Coffeyville Resources for energy transferred across the transmission system and/or through the CSWS Transmission
Service Agreement, as set forth in the Rate Schedule. 

4

 

ARTICLE II.    ELECTRIC SERVICE CUSTOMER INFORMATION  

	2.1
	Coffeyville
Resources shall provide customer information to the City Finance Department for service to the Facility through the Facility Delivery Points. This information shall
include the name of the individuals who will be responsible for processing the account payment and local operations, with their mailing addresses, fax and phone numbers. 

ARTICLE III.    PAYMENT SECURITY  

	3.1
	Coffeyville
Resources shall furnish the City with a Payment Security Instrument, which shall be (a) an irrevocable Letter of Credit from a bank or financial institution acceptable to
the City, (b) a Payment Security Bond from an insurance company acceptable to the City, (c) such other equivalent instrument or instruments from an entity or entities acceptable to the City, or (d) an
interest-bearing, cash collateralized trust account with a financial institution in trust of the City, in each case in the amount of three million dollars ($3,000,000), to cover Coffeyville Resources'
obligations with respect to payment of the minimum Transmission Wheeling Charges and of monthly electric use billings. In the event Coffeyville Resources expands the Facility, and such expansion
increases the average monthly electric charges by more than $125,000 per month measured at one hundred twenty (120) day intervals following the expansion, Coffeyville Resources shall increase the
amount of the Payment Security Instrument by two (2) times the amount of the average increase.

	3.2
	In
the event Coffeyville Resources breaches its requirement to make any of the payments or portions thereof as they become due for payment for the charges outlined in Section 3.1
above, and such breach has not been cured or corrected by Coffeyville Resources within ten (10) days after its receipt of written notice by the City to Coffeyville Resources of such breach, all of the
remaining aggregate of payments shall immediately become due and payable. If said payment is not made by Coffeyville Resources within ten (10) days after its receipt of written notice by the City to
Coffeyville Resources as set forth above, then the City will make demand for all of the remaining aggregate of payments against the issuer of the Payment Security Instrument.

	3.3
	The
Payment Security Instrument identified above is attached hereto as Exhibit 5. As of the date of this Agreement, the form of the Payment Security Instrument is in the full amount
of $3,000,000 and is acceptable in form to the City for its term thereof.

	3.4
	If
the Payment Security Instrument furnished pursuant to this Article III expires or is terminated prior to the expiration of the term of this Agreement, then Coffeyville Resources
shall furnish a substitute Payment Security Instrument acceptable to the City no later than forty-five (45) days prior to the expiration or termination date of the Payment Security Instrument, or pay
the aggregate unpaid balance of the amounts secured and owing. If the full amount owing is not paid in full by Coffeyville Resources or an acceptable substitute Payment Security Instrument is not
furnished within thirty-five (35) days prior to the expiration or termination date of the Payment Security Instrument, then the City will make demand for payment due and owing against the issuer of
the Payment Security Instrument. 

ARTICLE IV.    ELECTRIC TRANSMISSION  

	4.1
	Subject
to receipt by the City of the Payment Security Instrument required by Article III hereof, the City will have available for the use and benefit of the Facility ninety (90)
megawatts of firm Transmission Capacity from the PSO/City Interconnection Point to the Facility Delivery Points and ninety (90) megawatts of Transmission Capacity provided by the CSWS Transmission
Service Agreement, throughout the term of this Agreement. 

5

 

The
City is not obligated to provide in excess of ninety (90) megawatts of Transmission Capacity to Coffeyville Resources for the Facility. 

	4.2
	If
the Facility does not use the full ninety (90) megawatts of Transmission Capacity available for its use, the City may use such capacity to serve any retail customer within the City
Certified Electric Service Territory without compensation to Coffeyville Resources. However, for any new commercial or industrial customer that individually has a peak demand of 2 megawatts or more,
commencing operations subsequent to the date of execution of this Agreement, the City shall provide during the term of this Agreement, a $0.001 (1 mill) rebate to Coffeyville Resources for each
kilowatt-hour of energy paid for by such customer that was wheeled across the Transmission Facilities to serve such customer. This rebate is limited to a maximum of $2,500,000 over the life of the
Agreement.

	4.3
	If
the City sells any of the Facility's unused ninety (90) megawatts of Transmission Capacity to any entity outside of the City Certified Electric Service Territory, the net revenues
generated from the sale shall be divided equally between the City and Coffeyville Resources.

	4.4
	Any
net revenue generated by the City from the transmission of energy across the Transmission Facilities by another power provider to serve retail customers outside of the City
Certified Electric Service Territory shall be shared equally with Coffeyville Resources.

	4.5
	On
or before July 1 of each year throughout the term of this Agreement, Coffeyville Resources shall provide the City a written forecast of estimated Transmission Capacity it intends
to use in excess of 60 megawatts during the ensuing calendar year.

	4.6
	Coffeyville
Resources may not resell any of the Transmission Capacity made available to the Facility under this Agreement on the City's Transmission Facilities or through the CSWS
Transmission Service Agreement.

	4.7
	Coffeyville
Resources may not use any of the ninety (90) megawatts of Transmission Capacity made available to the Facility under this Agreement on the City's Transmission Facilities
or through the CSWS Transmission Service Agreement for any electric load or service except the Facility, without the written consent of the City as approved by the City's Governing Body, which consent
shall not be unreasonably withheld, and subject to the limitations set forth in the CSWS Transmission Service Agreement and the PSO Interconnection Agreement. In the future, if it becomes legally
permissible for Coffeyville Resources to obtain power and energy for its Coffeyville Refinery through the ninety (90) megawatts of Transmission Capacity made available to the Facility on the City's
Transmission Facilities or through the CSWS Transmission Service Agreement, subject to City approval, which approval shall not be unreasonably withheld, and the limitations set forth in the CSWS
Transmission Service Agreement and the PSO Interconnection Agreement, Coffeyville Resources shall be allowed to do so under Items 2 and 3 of the Rate Schedule and by payment of any additional
cost incurred by the City, inclusive of but not limited to capital investments for additional Transmission and Distribution Facilities if necessary.

	4.8
	The
City shall not amend any Facility related provisions of the CSWS Transmission Service Agreement that are within the sole control of the City without written concurrence from
Coffeyville Resources. 

ARTICLE V.    ELECTRIC POWER AND ENERGY  

	5.1
	Within
sixty (60) days after the Effective Date, Coffeyville Resources will deliver to the City a written forecast of its estimated monthly power and energy requirements for the
Facility for the time period beginning January 1, 2004 and ending December 31, 2007. Upon receipt of 

6

 

such
forecast, the City will use its best efforts in good faith to secure such power and energy, subject to reasonable availability. 

	5.2
	Thereafter,
no later than five (5) months prior to the expiration of any existing Power and Energy Supply Contract, Coffeyville Resources will deliver to the City a written forecast
of its estimated monthly power and energy requirements for the Facility for the five (5) year period beginning with the expiration date of the existing Power and Energy Supply Contract.

	5.3
	Coffeyville
Resources understands and agrees that the cost and any other obligations associated with any Power and Energy Supply Contract for additional power and energy or any
subsequent Power and Energy Supply Contract shall be billed to and paid for by Coffeyville Resources under the Rate Schedule.

	5.4
	The
City's obligation is limited to the extent that such power and energy are available through a firm Power and Energy Supply Contract(s), which, as provided above, the City shall
use its best efforts in good faith to secure following Coffeyville Resources' delivery of the forecast of estimated power and energy requirements.

	5.5
	The
City shall use its best effort in good faith to obtain power and energy at the lowest price available delivered to the delivery point(s) on the SWEPCO or PSO systems of CSWS,
consistent with the City's best judgment as to the reliability of the supplier, and upon such other terms and conditions as the City may reasonably require. Coffeyville Resources may reject any Power
and Energy Supply Contract subsequent to such contract in effect on and as of the Effective Date hereunder, as proposed by the City. However, if Coffeyville Resources rejects a Power and Energy Supply
Contract as proposed by the City, the City is relieved of any and all obligations and responsibilities to provide power and energy to the Facility until such time that the City and Coffeyville
Resources can obtain a Power and Energy Supply Contract agreeable to both parties Further, if Coffeyville Resources rejects a Power and Energy Supply Contract as proposed by the City, such action does
not relieve Coffeyville Resources from its obligation and responsibility to pay any and all expenses or payments due or to become due in the future pursuant to this Agreement.

	5.6
	The
City shall not amend any Facility related provisions of the Power and Energy Supply Contract that are within the sole control of the City without written concurrence from
Coffeyville Resources. 

ARTICLE VI.    RATES AND CHARGES  

	6.1
	Coffeyville
Resources agrees to pay the City monthly during the term of this Agreement for electric service provided hereunder, in accordance with the Rate Schedule. 

ARTICLE VII.    BILLINGS AND PAYMENTS: TERMINATION OF SERVICE  

	7.1
	The
City's electric meters shall normally be read at approximately monthly intervals and bills for electric service shall normally be submitted to Coffeyville Resources on monthly
intervals. Whenever it is not possible with reasonable diligence to read a meter for a billing period, the City may submit an estimated bill based upon previous usage and other available information,
with the amount of such bill to be subsequently adjusted as necessary when the next actual reading is obtained.

	7.2
	The
City will mail and fax on the billing date a bill for electric service to the Facility at the address and facsimile number of the Facility, or at such other address and facsimile
number designated by Coffeyville Resources pursuant to Article II herein. Failure to receive a bill in no way exempts Coffeyville Resources from liability for payment for electric service. Each bill
will separately set out the AEP Charges due for the month. 

7

  

Coffeyville
Resources shall remit payment for the AEP Charges by wire transfer of immediately available funds in accordance with the billing instructions on the City's monthly billing invoices. 

	7.3
	Charges
for electric service shall be due and payable monthly within 15 days after the billing date, and each monthly bill shall have stamped thereon the due date. In the event a
monthly bill is not paid in full by the due date indicated thereon, an order shall be issued (subject to Section 7.7 hereof) causing the electric service to the Facility to be disconnected, for such
nonpayment.

	7.4
	Coffeyville
Resources shall pay a flat ten (10%) percent of the balance due as a late charge on any delinquent payment.

	7.5
	If
electric service has been disconnected due to a breach of this Agreement by Coffeyville Resources, re-connection shall occur only upon total payment of the amount past due, any
applicable late charge and payment of a reconnection service charge in the amount of Ten Thousand Dollars ($10,000).

	7.6
	In
the event Coffeyville Resources should offer payment for any monthly electric bill, or portion thereof, by means of a check or order which has not been honored on account of
insufficient funds of the maker to pay same, or because the check or order was drawn on a closed account or on a non-existent account, or otherwise dishonored (unless wrongfully dishonored), a check
service charge in the amount of Ten Thousand Dollars ($10,000) shall be charged and collected as a service charge for proper handling and administration. Provided, in the event two (2) such dishonored
checks or orders are made to the City for electric service within any last preceding twelve (12) month period, payment of each monthly electric bill by Coffeyville Resources shall be made and
acceptable only by certified or cashier's check or wire transfer.

	7.7
	The
City may discontinue electric service to the Facility for any of the reasons set forth below, after written notice stating the reason or reasons for such discontinuance has been
given to Coffeyville Resources by delivery in accordance with Section 19.11 and by delivery to the address of the Facility or to such other billing address requested by Coffeyville Resources as shown
on the City's records, and the reason or reasons for such proposed discontinuance have not been cured or corrected by Coffeyville Resources within 10 days after receipt of such notice:

	a)
	Non-payment
of a bill for electric service;

	b)
	Refusal
by Coffeyville Resources or its representatives to provide the City reasonable access to its equipment located at the Facility;

	c)
	Violation
by Coffeyville Resources of any applicable federal, state, city, or regulatory agency laws, rules or regulations covering electrical service or services to the Facility;

	d)
	Potential
adverse effect of the Facility's equipment and/or appurtenances on service to other customers;

	e)
	Violation
of or non-compliance with any provision of this Agreement for service;

	f)
	Failure
of Coffeyville Resources to maintain current Payment Security Instruments as required pursuant to these Terms and Conditions of Service, except to the extent payment
obligations have been satisfied by realizing through payment from the surety of a Payment Security Instrument or otherwise;

	g)
	Failure
of Coffeyville Resources to increase the amount of the Payment Security Interest as provided in Article 3; or 

8

 

	h)
	Failure
of Coffeyville Resources to either pay the aggregate unpaid balance of the amounts secured and owing or furnish a substitute Payment Security Instrument as provided in Section
3.4.

	7.8
	The
City may discontinue electric service without advance notice to Coffeyville Resources for any of the reasons set forth below:

	a)
	Existence
of a dangerous or defective condition related to the wiring or equipment at the Facility;

	b)
	When
a defective condition of wiring or equipment at the Facility results, or is likely to result, in danger to life or property or interference with proper service to others;

	c)
	Fraudulent
use of electricity; or

	d)
	Tampering
with the City's regulating and measuring equipment or other property.

	7.9
	Coffeyville
Resources shall be responsible for all damage to, misuse of, or loss of the City's property located at the Facility, unless caused by an act of God or the negligence of
the City and its agents, Coffeyville Resources shall not authorize anyone to change, remove, or tamper with the City's property.

	7.10
	No
regulating or measuring equipment, or other property or equipment owned by the City, wherever situated, whether located at the Facility or elsewhere, shall be tampered with or
interfered with for the purpose of adjustment, fraudulent adjustment or otherwise. In the event the City's electrical equipment has been tampered with, the City will follow the same procedures as for
fraudulent use of electricity as outlined in these Terms and Conditions of Service.

	7.11
	For
the purpose of these Terms and Conditions of Service, the term "Fraudulent Use of Electricity" shall include any unauthorized use of the City's electric service and facilities by
Coffeyville Resources.

	7.12
	In
the event fraudulent use of electricity or evidence of attempted fraudulent use of electricity is discovered, or where the City's regulating or measuring equipment or other
property has been tampered with, electric service may be discontinued by the City without advance notice to the Facility. Electric service to the Facility will not be resumed until Coffeyville
Resources shall have paid all bills including:

	a)
	The
charge for the estimated amount of electricity fraudulently consumed;

	b)
	The
cost of replacement or repair of any damaged City equipment; and

	c)
	A
re-connection charge of Ten Thousand Dollars ($10,000). 

ARTICLE VIII.    SERVICE CHARACTERISTICS  

	8.1
	Service
hereunder shall be at alternating current, 3-phase, 4-wire, 60 Hertz, 13.8Y/7.97 kV, 75 MVA with an allowable variation of 10% above or below nominal voltages.

	8.2
	The
City will use its best efforts in good faith to supply continuous electric service at the Facility Delivery Points. It shall be the responsibility of Coffeyville Resources to
install and maintain protective devices, which will protect the Facility's equipment or process during abnormal service conditions or the failure of part or all of the electric service. The provisions
of the latest edition of the National Electrical Code and the National Electric Safety Code shall be considered as the minimum acceptable standard for the protection and safeguarding of persons,
wiring and/or equipment of the Facility. In no event will the City be liable for any damages to Coffeyville Resources if the Facility equipment or process is not protected or 

9

 

safeguarded
in conformity with such minimum code requirements, nor shall the City be liable for any service interruption, irregularities, or any other causes or abnormalities not caused by the sole
negligence of the City. 

	8.3
	In
order to make necessary repairs to or replacements in the City's facilities for supplying electric service, the City reserves the right in accordance with prudent utility
practices, without incurring any liability therefor, to suspend service without notice to Coffeyville Resources for such periods as may be reasonably necessary. When conditions permit an attempt will
be made to notify Coffeyville Resources of such an outage. Insofar as is practicable, any interruption shall be made at a time, which will cause least reasonable inconvenience to the Facility.

	8.4
	The
City also reserves the right to discontinue service to the Facility without advance notice, when a defective condition of wiring or equipment at the Facility results, or is likely
to result, in danger to life or property or interference with proper service to others. Electric service to the Facility will not be resumed until the defective condition has been remedied to the
satisfaction of the City. If such defective condition is the result of tampering with City equipment, the provisions related to the fraudulent use of electricity shall also apply.

	8.5
	The
City will endeavor at all times to maintain and operate its electrical system with minimal interruption and voltage fluctuations consistent with economically realistic operations
and with prudent utility standards of other electric utilities.

	8.6
	Whenever
high or low voltage problems are suspected the City will check the voltage. If necessary, corrective adjustment to the voltage will be made without delay.

	8.7
	Electric
service shall be provided to the Facility by two 13.8Y/7.97 kV, 75 MVA services.

	8.8
	Coffeyville
Resources hereby authorizes agents of the City to enter the Facility at all times for any purpose incidental to the supplying of electric service, including, but not
limited to, inspecting the Facility's equipment and connections; repairing, replacing or removing City property; or tree trimming and tree removal. Refusal on the part of Coffeyville Resources to
provide reasonable access for the above purposes shall be deemed to be sufficient cause for discontinuance of service.

	8.9
	Any
and all equipment, apparatus and devices placed or installed, or caused to be placed or installed by the City on or in the Facility's premises shall be and remain the property of
the City, regardless of the mode or manner of annexation or attachment to real property. Upon the termination of this Agreement, the City shall, within a reasonable time, remove such equipment,
apparatus, or devices.

	8.10
	City
liability is limited as provided in Article XVI hereof. 

ARTICLE IX.    ELECTRIC STANDARDS FOR THE FACILITY  

	9.1
	All
of the Facility's electrical wiring and apparatus connected or to be connected to the City's Electric Service shall be at Coffeyville Resources' expense and shall be installed and
maintained by Coffeyville Resources in accordance with the National Electrical Code and the National Electrical Safely Code. In the event of a conflict between the National Codes and an applicable
municipal code, the latter shall govern. The City reserves the right to refuse to connect to any wiring or apparatus which does not meet these Code requirements and the City may, without advance
notice, discontinue service to the Facility when a defective condition of wiring or equipment is discovered at the Facility.

	9.2
	Facility
electric power wiring, equipment and apparatus shall not produce harmonic currents and voltages which exceed the limitations set forth in IEEE Standard 519-1992 or the latest 

10

 

revision
thereof, Recommended Practices and Requirements for Harmonic Control in Electrical Power Systems. 

	9.3
	If
it is determined by the City that remedial action is required to correct an adverse condition produced by the Facility through use of any equipment causing such adverse condition,
the City reserves the right, at Coffeyville Resources' expense, to install any suitable or special equipment on City facilities, or the City may at its option, require Coffeyville Resources to install
such equipment reasonably necessary to limit such adverse condition. 

ARTICLE X.    METERING  

	10.1
	All
meters shall be furnished, installed and maintained by the City and remain its property. All meter bases, enclosures and other associated equipment shall be furnished and
maintained by the City and remain its property. No metering equipment shall be by-passed for any reason, without prior approval of the City.

	10.2
	The
City will test the accuracy of the Facility's meter(s) within twenty (20) days after a written request has been received from Coffeyville Resources. If the meter(s) tested is
found to be more than one percent (1%) incorrect, the City will not charge for such test. If the meter(s) is found to be within the accuracy limits of plus or minus one percent (1%), the City will
charge Coffeyville Resources its cost to cover the costs to perform such test, plus a ten percent (10%) overhead mark-up.

	10.3
	If
the results of a meter(s) test shows the average error to be more than one percent (1%) fast or more than one percent (1%) slow, the City will adjust the bill as follows:

	a)
	Fast
Meters: The City shall refund Coffeyville Resources the overcharge based on the corrected meter reading for a period equal to one-half of the time elapsed since the last previous
meter test, but not to exceed six months, or such shorter time period set forth in the applicable Power and Energy Supply Contract or the CSWS Transmission Service Agreement.

	b)
	Slow
Meters: The City shall charge Coffeyville Resources for the electricity consumed but not included in bills previously rendered, based on the corrected meter reading for a period
equal to one-half of the time elapsed since the last previous meter test, but not to exceed six months, or such shorter time period set forth in the applicable Power and Energy Supply Contract or the
CSWS Transmission Service Agreement

	10.4
	If
a meter is found not to register or to have been registering intermittently for any period, the City may charge an estimated amount of electricity used, which shall be calculated
from interchange meter readings, or by averaging the amounts registered over corresponding periods in previous years, or in the absence of such information, over similar periods of known accurate
measurement preceding or subsequent thereto.

	10.5
	If
a meter is found to have an incorrect register, connection, multiplier, or constant the error shall be corrected. Where the error is adverse to Coffeyville Resources, the City
will refund the excess charged for the amount of electricity incorrectly metered for the period of time not to exceed 6 months the meter was used for billing Coffeyville Resources, or such shorter
time period set forth in the applicable Power and Energy Supply Contract or the CSWS Transmission Service Agreement. Where the error is adverse to the City, the City will charge Coffeyville Resources
the undercharge for the amount of electricity incorrectly metered for the period of time not to exceed 6 months the meter was used for billing Coffeyville Resources, or such shorter time period set
forth in the applicable Power and Energy Supply Contract or the CSWS Transmission Service Agreement. 

11

 

ARTICLE XI.    FORCE MAJEURE  

	11.1
	Neither
Coffeyville Resources nor the City shall be considered to be in default in respect to any obligation hereunder (other than obligations to pay costs and expenses due) pursuant
to this Agreement, if either the City or Coffeyville Resources is prevented from fulfilling such obligation under this Agreement by reason of Force Majeure.

	11.2
	If
either party is prevented from performing or hindered in performing any of its obligations by reason of Force Majeure, then it will make performance as soon as is reasonably
feasible thereafter.

	11.3
	Force
Majeure shall not relieve Coffeyville Resources of its obligations to pay those amounts identified as Items 1A, 2, 3 and 4 of the Rate Schedule, or to pay any costs of energy
consumed prior to the Force Majeure event; provided, however, that to the extent the City has been relieved of the City's obligation(s) under the CSWS Transmission Service Agreement or the Power and
Energy Supply Contract as a result of Force Majeure thereunder, Coffeyville Resources shall be relieved of the corresponding obligation(s) identified as Items 1A and 2 of the Rate Schedule. 

ARTICLE XII.    RIGHTS-OF-WAY AND ACCESS  

	12.1
	When
requested by the City, Coffeyville Resources shall provide to the City, at no cost to the City, necessary rights-of-way, easements, warranty deeds, or licenses on or across
Coffeyville Resources owned real estate, at reasonable locations thereon, for the proper location upon such Coffeyville Resources real estate of City owned electric facilities, including Transmission
Facilities that are reasonably utilized by the City for the delivery of power and energy at the Facility Delivery Point(s).

	12.2
	Authorized
employees of the City shall have reasonable access to Facility premises at all reasonable times to inspect, repair, replace, or remove City facilities. 

ARTICLE XIII.    DELIVERY POINTS  

	13.1
	The
Facility Delivery Point(s) are set out on Exhibit 3, attached hereto.

	13.2
	Where
a service connection cannot be made or maintained with adequate clearances without being interfered with by trees or other obstructions on the Facility's Premises, it will be
the responsibility of Coffeyville Resources to provide whatever corrective measures are required. 

ARTICLE XIV.    TERM  

	14.1
	This
Agreement shall become effective on the execution of the same, and shall continue from that date of execution until July 1, 2019. 

ARTICLE XV.    ASSIGNMENT  

	15.1
	Except
as otherwise provided herein; the rights and privileges of Coffeyville Resources under this Agreement are not assignable without the written consent of the City; such consent
not to be unreasonably withheld.

	15.2
	The
sale, subleasing or assignment by Coffeyville Resources of any interest in the Facility or this Agreement shall not relieve Coffeyville Resources or any successors or assigns
from the performance of the covenants and conditions contained herein, without the written consent of the City as approved by the City's Governing Body. Such consent shall not be unreasonably
withheld. 

12

 

	15.3
	Prior
to any sale, subleasing or assignment by Coffeyville Resources of any interest in the Facility or this Agreement, Coffeyville Resources and/or the transferee entity shall
provide evidence reasonably satisfactory to the City that, at a minimum, the following conditions have been satisfied: (a) the transferee entity shall be knowledgeable in operations similar to the
Facility, (b) the transferee entity shall be formed and existing as a legal entity under the laws of one of the states of the United States of America, and shall be qualified to do business in the
State of Kansas, (c) the transferee entity shall expressly assume and agree to perform all of the obligations of Coffeyville Resources under this Agreement and any other agreement of Coffeyville
Resources and the City relating to the Facility, and (d) that the Payment Security Instruments shall apply to the obligations of the transferee entity under this agreement. Copies of all transfer,
sale, subleasing and assignment documents shall be delivered to the City.

	15.4
	If
a sale, sublease or assignment is made following approval by the City as provided in this Article, the provisions of this Article shall continue in full force and effect and no
further such sale, sublease or assignment shall be made except in compliance with the provisions of this Article.

	15.5
	Nothing
contained herein shall prevent either the City or Coffeyville Resources from pledging, mortgaging, or assigning its rights under this Agreement as security for any
indebtedness, and both the City and Coffeyville Resources may assign to the pledge or mortgagee (or to a trustee for the holder of such indebtedness), any money due or to become due and owing under
this Agreement. 

ARTICLE XVI.    LIABILITY: LEGAL REMEDIES  

	16.1
	Prior
to delivery to Coffeyville Resources through the City's Meter(s) at the Facility Delivery Point(s), Coffeyville Resources shall not be liable for any damages of any type
whatsoever related to the power and energy sold/purchased under this Agreement, unless such damages are the result of the negligence or willful misconduct of Coffeyville Resources. 

Subsequent
to the delivery through the meter(s) of the City at the Facility Delivery Points, Coffeyville Resources shall be deemed to be in exclusive control of, and liable for any damages of any type
whatsoever related to the power and energy sold/purchased under thus Agreement, unless such damages are the result of the negligence or willful misconduct of the City. 

	16.2
	If
there is a breach of this Agreement by either the City or Coffeyville Resources, the non-breaching party shall have available to it all remedies available for breach of contract
under the laws of the State of Kansas. However, neither the City nor Coffeyville Resources shall claim, nor shall the City or Coffeyville Resources be permitted to recover punitive damages from the
other, as a result of the breach of this Agreement by either the City or Coffeyville Resources.

	16.3
	In
arriving at the determination of whether negligence was involved, accidents, acts of God, and other failures beyond the City's control, including but not limited to, Force Majeure
events, shall not be considered negligence. Further, negligence may be determined against the City only if the City had prior actual notice of a system deficiency, and failed to initiate corrective
measures within a reasonable time after receipt of such actual notice.

	16.4
	Neither
party shall be liable to the other for any special, indirect, consequential or punitive damages, including but not limited to loss of power, loss of product or loss of
revenues, however caused. 

13

 

	16.5
	Notwithstanding
anything herein to the contrary, it is expressly agreed between the parties that the City has not waived any rights it may be entitled to under the Kansas Tort Claims
Act, K.S.A. 75-6101 et seq., as amended, and any agreements made by the City found to be inconsistent with the provisions of such Act are hereby declared to be null and void. 

ARTICLE XVII.    AMENDMENT(S) AND RESERVATION OF POWERS  

	17.1
	This
Agreement may only be amended by a written amendment executed in writing by both the City and Coffeyville Resources.

	17.2
	The
City reserves to itself all of its governmental and proprietary powers not specifically limited by the provisions of this Agreement. 

ARTICLE XVIII.    MOTORS—STARTING PROCEDURES AND ALLOWABLE CURRENTS  

	18.1
	Starting
of any motor in the Facility shall not create an electric utility system voltage drop that will affect other electric utility customers and/or equipment.

	18.2
	Starting
of the 37,000 HP synchronous motor will, for some 138 kV transmission configurations, require use of two 138 kV, 21.6 MVAR capacitor banks during the motor start mode. One
or both 21.6 MVAR capacitor banks will normally be in-service for transmission VAR control. Use of the banks for motor starting will necessitate certain switching be accomplished to release the banks
for motor starting, followed by additional switching for normal system operation.

	18.3
	Coffeyville
Resources and the City shall follow a defined procedure for:

	a)
	Preparation
for motor start.

	b)
	Procedure
for motor start.

	c)
	Switching
following motor start.

	18.4
	The
above procedure is set forth on Exhibit 6, as part of this Agreement.

	18.5
	The
system effort required to start the motor may cause abnormally low voltages and abnormally high voltages; therefore, the City may be required to notify power users of the
impending voltage variations. Coffeyville Resources shall give the City reasonable advance notice of any plans to start the motor. The failure of Coffeyville Resources to follow the complete starting
procedure as set forth on Exhibit 6 shall cause Coffeyville Resources to be responsible for all resulting applicable damages.

	18.6
	Interference
Producing Equipment (Harmonics): The Facility electric power distribution system on the load side of the 13.8 kV meters M3 and M4 may have nonlinear connected loads
which could cause the flow of harmonic currents. These harmonic currents could cause interference with communication and other types of equipment and when coupled with reactive power compensation,
could cause high levels of harmonic voltage and current distortion.

	18.7
	Coffeyville
Resources agrees to provide control of any non-linear connected loads through the use of (1) Shunt filters, (2) Phase multiplication, or (3) Harmonic compensation or
injection so that harmonic currents and voltages produced do not exceed those defined in IEEE Standard 519-1992 or the latest revision thereof, "Recommended Practices and Requirements for Harmonic
Control in Electrical Power Systems." 

14

 

ARTICLE XIX.    MISCELLANEOUS  

	19.1
	This
Agreement is executed by a duly authorized representative of the City who is fully authorized to execute this Agreement on behalf of the City, as evidenced by the City
Resolution adopted by the Governing Body of the City and attached hereto as Exhibit 7.

	19.2
	This
Agreement is executed by a duly authorized representative of Coffeyville Resources, who is fully authorized to execute this Agreement on behalf of Coffeyville Resources, as
evidenced by the Secretary's Certificate of Coffeyville Resources, LLC attached hereto as Exhibit 8.

	19.3
	Coffeyville
Resources agrees to maintain the Facility in good condition, repair and working order; Coffeyville Resources agrees to pay, as the same respectively become due, all
taxes, assessments and other governmental charges at any time lawfully levied or assessed upon or against the Facility or any part thereof; and Coffeyville Resources agrees to annually provide written
documentation to the City that it has obtained and is maintaining all-risk casualty insurance on the Facility in an amount not less than the actual market value of the Facility, subject to reasonable
deductibles or self-insured retentions.

	19.4
	This
Agreement is the entire and final expression of the Agreement and it may not be contradicted by evidence of any prior or contemporaneous written or oral agreements or
negotiations of the parties.

	19.5
	This
Agreement shall be construed and enforced in accordance with the laws of the State of Kansas, in Kansas Courts.

	19.6
	The
covenants terms and conditions of this Agreement shall extend to and be binding upon the successors, assigns, trustees, and/or receivers of the respective parties thereto.

	19.7
	The
section headings hereof are for the convenience of referenced only and shall not be treated as a part of this Agreement or as affecting the true meaning of the provisions herein.

	19.8
	This
Agreement may be executed simultaneously in multiple counterparts, each of which shall be deemed to be an original, but all of which together shall constitute one and the same
instrument.

	19.9
	This
Agreement has been prepared from negotiations from all parties and no party shall be charged with having prepared this document in the event an ambiguity exists.

	19.10
	Should
any paragraph be declared unconstitutional or unenforceable, the validity of the remaining provisions shall be given full force and effect.

	19.11
	Any
waiver by the parties hereto of any breach of any parties' obligations under this Agreement shall not be deemed a continuing waiver and shall not prevent the parties hereto from
exercising any remedy they may have for any succeeding breach of the same or other obligation. 

15

 

	19.12
	All
notices and communications required to be in writing pursuant to this Agreement shall be effective only if delivered personally, or sent by facsimile or certified mail, or by
overnight delivery service to the following: 

Coffeyville
Resources Nitrogen Fertilizers, LLC

ATTN: Plant Manager

P.O. Box 5000

Coffeyville, KS 67337

(620) 252-4357 (fax)

with
a copy to: 

Coffeyville
Resources, LLC, c/o Pegasus Investors

99 River Road

Cos Cob, Connecticut 06807

Attention: Philip Rinaldi

(203) 869-4400 (fax)

City
of Coffeyville, Kansas

ATTN: City Manager

P.O. Box 1629/102 W. Seventh

Coffeyville, KS 67337

(620) 252-6175 (fax) 

(SIGNATURES
ARE ON THE NEXT PAGE) 

16

 

        IN
WITNESS WHEREOF, the City and Coffeyville Resources have executed this Agreement as of the day and year first written above. 

	 	 	CITY OF COFFEYVILLE, KANSAS
	

 	
 	

By:	
 	

/s/  DON W. EDWARDS      
 Name: Don W. Edwards

Title: Mayor
	

 	
 	

COFFEYVILLE RESOURCES NITROGEN FERTILIZERS, LLC
	

 	
 	

By:	
 	

/s/  PHILIP L. RINALDI      
 Philip L. Rinaldi

Chief Executive Officer

17

QuickLinks

COFFEYVILLE RESOURCES NITROGEN FERTILIZERS, LLC ELECTRIC SERVICE AGREEMENT DATED January 13, 2004

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