Document:

Exhibit 10.2
	 

	 Execution Copy

	  

	 
		
 

	 
		

		

	 CREDIT
		AGREEMENT

	  

	 among

	  

	 BFE
		OPERATING COMPANY, LLC,

	 BUFFALO
		LAKE ENERGY, LLC, and

	 PIONEER
		TRAIL ENERGY, LLC,

	 as
		Borrowers,

	  

	 BFE
		OPERATING COMPANY, LLC,

	 as
		Borrowers’ Agent

	  

	 VARIOUS
		FINANCIAL INSTITUTIONS,

	 as
		Lenders,

	  

	 DEUTSCHE
		BANK TRUST COMPANY AMERICAS,

	 as
		Collateral Agent, 

	  

	 and

	  

	 BNP
		PARIBAS,

	 as
		Administrative Agent and Arranger

	  
		
		  

		  
 

	  

	 STANDARD
		CHARTERED BANK,

	 MIZUHO
		BANK,

	 the
		Co-Syndication Agents

	  

	 and

	  

	 FIRST
		NATIONAL BANK OF OMAHA,

	 GREEN
		STONE BANK,

	 the
		Co-Documentation Agents

	  

	 
		
 

	 Dated as
		of September 25, 2006

	  

	 
		
 

	 BFE
		Ethanol Facilities Financing

	  

	 
		
 

	 
		

		
 
 
	 

		

		Table of Contents

		

		 

		

		
		  	 	 	
				  Page
 
	 	 	 
	
				  SECTION 1.
 	
				  DEFINITIONS AND RULES OF INTERPRETATION
 	
				  1
 
	 	 	 
	
				  1.1
 	
				  Defined Terms
 	
				  1
 
	
				  1.2
 	
				  Rules of Interpretation
 	
				  1
 
	
				  1.3
 	
				  Accounting Principles
 	
				  1
 
	
				  1.4
 	
				  Joint and Several Obligations
 	
				  2
 
	 	 	 
	
				  SECTION 2.
 	
				  AMOUNTS AND TERMS OF CREDIT FACILITY
 	
				  2
 
	 	 	 
	
				  2.1
 	
				  The Construction Loan Facility
 	
				  2
 
	
				  2.2
 	
				  The Term Loan Facility and Working Capital Loan Facility

				  	
				  3
 
	
				  2.3
 	
				  Notice of Borrowing of Construction Loans and Working Capital
					 Loans
 	
				  4
 
	
				  2.4
 	
				  Pro Rata Borrowings; Availability
 	
				  4
 
	
				  2.5
 	
				  Minimum Amount and Maximum Number of Borrowings, etc.
 	
				  5
 
	
				  2.6
 	
				  Disbursement of Funds
 	
				  5
 
	
				  2.7
 	
				  Evidence of Obligations and Notes
 	
				  6
 
	
				  2.8
 	
				  Conversions
 	
				  7
 
	
				  2.9
 	
				  Interest
 	
				  7
 
	
				  2.10
 	
				  Interest Periods
 	
				  8
 
	
				  2.11
 	
				  Net Payments
 	
				  10
 
	
				  2.12
 	
				  Illegality
 	
				  11
 
	
				  2.13
 	
				  Increased Costs and Reduction of Return
 	
				  12
 
	
				  2.14
 	
				  Funding Losses
 	
				  13
 
	
				  2.15
 	
				  Inability to Determine Rates
 	
				  14
 
	
				  2.16
 	
				  Survival
 	
				  14
 
	
				  2.17
 	
				  Replacement of Lenders
 	
				  14
 
	
				  2.18
 	
				  Letters of Credit
 	
				  15
 
	
				  2.19
 	
				  Maximum Letter of Credit Outstandings; Final Maturities

				  	
				  16
 
	
				  2.20
 	
				  Letter of Credit Requests; Minimum Stated Amount
 	
				  16
 
	
				  2.21
 	
				  Letter of Credit Participations
 	
				  17
 
	
				  2.22
 	
				  Agreement to Repay Letter of Credit Drawings
 	
				  19
 
	
				  2.23
 	
				  Increased Costs
 	
				  19
 
	
				  2.24
 	
				  Letter of Credit Fees
 	
				  20
 
	
				  2.25
 	
				  Obligation to Mitigate
 	
				  21
 
	
				  2.26
 	
				  Termination or Reduction of Commitments
 	
				  21
 
	
				  2.27
 	
				  Alternative Projects
 	
				  22
 
	 	 	 
	
				  SECTION 3.
 	
				  CONDITIONS PRECEDENT
 	
				  22
 
	 	 	 
	
				  3.1
 	
				  Conditions to Closing and Initial Construction Loans
 	
				  22
 
	
				  3.2
 	
				  Conditions to First Borrowing for Each Plant
 	
				  29
 
	
				  3.3
 	
				  Initial and Subsequent Construction Loans
 	
				  34
 
	
				  3.4
 	
				  The Conversion Date
 	
				  36
 
	
				  3.5
 	
				  Working Capital Loans, Letters of Credit
 	
				  39
 

 

		

		
 
		 

		Table of Contents

		(continued)

		 

		
		  	 	 	
				  Page
 
	 	 	 
	
				  SECTION 4.
 	
				  REPRESENTATIONS, WARRANTIES AND AGREEMENTS
 	
				  41
 
	 	 	 
	
				  4.1
 	
				  Organization
 	
				  41
 
	
				  4.2
 	
				  Authority and Consents
 	
				  41
 
	
				  4.3
 	
				  Capitalization; Indebtedness; Investments
 	
				  42
 
	
				  4.4
 	
				  Financial Condition
 	
				  42
 
	
				  4.5
 	
				  Litigation; Labor Disputes
 	
				  43
 
	
				  4.6
 	
				  Governmental Approvals
 	
				  43
 
	
				  4.7
 	
				  Use of Proceeds
 	
				  44
 
	
				  4.8
 	
				  ERISA
 	
				  44
 
	
				  4.9
 	
				  Taxes
 	
				  44
 
	
				  4.10
 	
				  Investment Company Act
 	
				  45
 
	
				  4.11
 	
				  [Intentionally Omitted.]
 	
				  45
 
	
				  4.12
 	
				  Title; Security Documents
 	
				  45
 
	
				  4.13
 	
				  Environmental Matters
 	
				  46
 
	
				  4.14
 	
				  Subsidiaries
 	
				  47
 
	
				  4.15
 	
				  Intellectual Property
 	
				  47
 
	
				  4.16
 	
				  Project Documents and Other Material Documents
 	
				  47
 
	
				  4.17
 	
				  No Default
 	
				  48
 
	
				  4.18
 	
				  Compliance with Laws
 	
				  49
 
	
				  4.19
 	
				  Disclosure
 	
				  49
 
	
				  4.20
 	
				  Immunity
 	
				  49
 
	
				  4.21
 	
				  Utilities, etc.
 	
				  50
 
	
				  4.22
 	
				  Transactions with Affiliates
 	
				  50
 
	
				  4.23
 	
				  Project Completion Date; Project Costs
 	
				  50
 
	
				  4.24
 	
				  Single-Purpose Entity
 	
				  50
 
	 	 	 
	
				  SECTION 5.
 	
				  COVENANTS
 	
				  50
 
	 	 	 
	
				  5.1
 	
				  Financial Statements and Other Information
 	
				  50
 
	
				  5.2
 	
				  Other Notices
 	
				  53
 
	
				  5.3
 	
				  Maintenance of Existence; Conduct of Business
 	
				  54
 
	
				  5.4
 	
				  Compliance with Laws
 	
				  54
 
	
				  5.5
 	
				  Payment of Taxes, Etc.
 	
				  54
 
	
				  5.6
 	
				  Accounting and Financial Management
 	
				  55
 
	
				  5.7
 	
				  Inspection
 	
				  55
 
	
				  5.8
 	
				  Governmental Approvals
 	
				  56
 
	
				  5.9
 	
				  Insurance
 	
				  56
 
	
				  5.10
 	
				  Events of Loss and Project Document Claims
 	
				  56
 
	
				  5.11
 	
				  Application of Loss Proceeds
 	
				  57
 
	
				  5.12
 	
				  Limitation on Liens
 	
				  59
 
	
				  5.13
 	
				  Indebtedness
 	
				  60
 
	
				  5.14
 	
				  Leases
 	
				  61
 
	
				  5.15
 	
				  Investments; Subsidiaries
 	
				  61
 

 

		 

		
 
		Table of Contents

		(continued)

		 

		
		  	 	 	
				  Page
 
	 	 	 
	
				  5.16
 	
				  Distributions
 	
				  61
 
	
				  5.17
 	
				  Required Hedging Agreements
 	
				  63
 
	
				  5.18
 	
				  Location; Chief Executive Office; Records
 	
				  64
 
	
				  5.19
 	
				  Transactions with Affiliates
 	
				  64
 
	
				  5.20
 	
				  Use of Proceeds; Construction Budget
 	
				  64
 
	
				  5.21
 	
				  Project Construction; Maintenance
 	
				  65
 
	
				  5.22
 	
				  Performance of Project Documents
 	
				  66
 
	
				  5.23
 	
				  Operating Plan and Budget
 	
				  66
 
	
				  5.24
 	
				  Merger; Sales and Purchases of Assets
 	
				  68
 
	
				  5.25
 	
				  Amendment of Transaction Documents; Additional Project Documents;
					 Scope Change Orders; etc.
 	
				  68
 
	
				  5.26
 	
				  Environmental Compliance
 	
				  70
 
	
				  5.27
 	
				  Completion; Performance Tests
 	
				  71
 
	
				  5.28
 	
				  ERISA
 	
				  72
 
	
				  5.29
 	
				  Certain Agreements
 	
				  72
 
	
				  5.30
 	
				  Security Documents
 	
				  72
 
	
				  5.31
 	
				  Hedging Agreements; Risk Management Policy and Committee

				  	
				  74
 
	
				  5.32
 	
				  Prepayment of Indebtedness; Reduction of Commitments
 	
				  74
 
	
				  5.33
 	
				  Transfers and Issuances of Equity Interests
 	
				  74
 
	
				  5.34
 	
				  Project Revenues
 	
				  75
 
	
				  5.35
 	
				  Accounts
 	
				  75
 
	
				  5.36
 	
				  Further Assurances
 	
				  75
 
	 	 	 
	
				  SECTION 6.
 	
				  PAYMENT PROVISIONS; FEES
 	
				  75
 
	 	 	 
	
				  6.1
 	
				  Repayment of Principal
 	
				  75
 
	
				  6.2
 	
				  Voluntary Prepayments
 	
				  76
 
	
				  6.3
 	
				  Mandatory Prepayments
 	
				  76
 
	
				  6.4
 	
				  Maturity Date
 	
				  77
 
	
				  6.5
 	
				  Method and Place of Payment
 	
				  77
 
	
				  6.6
 	
				  Computations
 	
				  77
 
	
				  6.7
 	
				  Fees
 	
				  78
 
	
				  6.8
 	
				  Application of Payments; Sharing
 	
				  78
 
	 	 	 
	
				  SECTION 7.
 	
				  EVENTS OF DEFAULT AND REMEDIES
 	
				  78
 
	 	 	 
	
				  7.1
 	
				  Events of Default
 	
				  78
 
	
				  7.2
 	
				  Acceleration
 	
				  83
 
	
				  7.3
 	
				  Other Remedies
 	
				  83
 
	 	 	 
	
				  SECTION 8.
 	
				  THE AGENTS
 	
				  85
 
	 	 	 
	
				  8.1
 	
				  Appointment and Authorization
 	
				  85
 
	
				  8.2
 	
				  Delegation of Duties
 	
				  86
 
	
				  8.3
 	
				  Liability of the Agents
 	
				  86
 

 

		

		
 
		
 

		Table of Contents

		(continued)

		

		
		  	 	 	
				  Page
 
	 	 	 
	
				  8.4
 	
				  Reliance by the Agents
 	
				  86
 
	
				  8.5
 	
				  Notice of Default. (a)
 	
				  87
 
	
				  8.6
 	
				  Credit Decision
 	
				  87
 
	
				  8.7
 	
				  Indemnification of Agents
 	
				  88
 
	
				  8.8
 	
				  Agents in Individual Capacities
 	
				  88
 
	
				  8.9
 	
				  Successor Agents
 	
				  89
 
	
				  8.10
 	
				  Registry
 	
				  90
 
	
				  8.11
 	
				  Information
 	
				  90
 
	
				  8.12
 	
				  Miscellaneous
 	
				  91
 
	 	 	 
	
				  SECTION 9.
 	
				  MISCELLANEOUS
 	
				  92
 
	 	 	 
	
				  9.1
 	
				  Costs and Expenses
 	
				  92
 
	
				  9.2
 	
				  Indemnity
 	
				  92
 
	
				  9.3
 	
				  Notices
 	
				  94
 
	
				  9.4
 	
				  Benefit of Agreement
 	
				  95
 
	
				  9.5
 	
				  No Waiver; Remedies Cumulative
 	
				  95
 
	
				  9.6
 	
				  No Third Party Beneficiaries
 	
				  95
 
	
				  9.7
 	
				  Reinstatement
 	
				  96
 
	
				  9.8
 	
				  No Immunity
 	
				  96
 
	
				  9.9
 	
				  Intentionally Omitted
 	
				  96
 
	
				  9.10
 	
				  The Arranger
 	
				  96
 
	
				  9.11
 	
				  Counterparts
 	
				  96
 
	
				  9.12
 	
				  Amendment or Waiver
 	
				  96
 
	
				  9.13
 	
				  Assignments, Participations, etc.
 	
				  97
 
	
				  9.14
 	
				  Survival
 	
				  99
 
	
				  9.15
 	
				  WAIVER OF JURY TRIAL
 	
				  99
 
	
				  9.16
 	
				  Right of Set-off
 	
				  99
 
	
				  9.17
 	
				  Severability
 	
				  99
 
	
				  9.18
 	
				  Domicile of Loans
 	
				  99
 
	
				  9.19
 	
				  Limitation of Recourse
 	
				  99
 
	
				  9.20
 	
				  Governing Law; Submission to Jurisdiction
 	
				  100
 
	
				  9.21
 	
				  Complete Agreement
 	
				  101
 
	
				  9.22
 	
				  Borrowers’ Agent
 	
				  101
 

 
 

	  

	 
 
	  

	 
		Table
		  of Contents

		(continued)

		

	 

		
		  	
				  APPENDICES:

				  	 	
				   Page
 
	 	 	 	 
	 	
				  Appendix
					 A
 	
				  Defined
					 Terms and Rules of Interpretation
 	 
	 	
				  Appendix
					 B
 	
				  Scheduled
					 Principal Payments
 	 
	 	
				  Appendix
					 C
 	
				  Insurance
					 Requirements
 	 
	 	 	 	 
	
				  SCHEDULES:

				  	 	 
	 	 	 	 
	 	
				  Schedule
					 3.2(e)
 	
				  Necessary
					 Governmental Approvals to be obtained prior to initial Disbursement of
					 Construction Loans
 	 
	 	
				  Schedule
					 3.3
 	
				  Project
					 Completion Date - Borrower Equipment required to be at Project
					 sites
 	 
	 	
				  Schedule
					 4.2
 	
				  Financing-Related
					 Filings, Etc.
 	 
	 	
				  Schedule
					 4.3(a)
 	
				  Capitalization

				  	 
	 	
				  Schedule
					 4.6
 	
				  Necessary
					 Governmental Approvals
 	 
	 	
				  Schedule
					 4.13
 	
				  Environmental
					 Matters
 	 
	 	
				  Schedule
					 4.16
 	
				  Additional
					 Borrower Documents
 	 
	 	 	 	 
	
				  EXHIBITS:

				  	 	 
	 	 	 	 
	 	
				  Exhibit
					 A
 	
				  Form of
					 Notice of Borrowing
 	 
	 	
				  Exhibit
					 B-1-A
 	
				  Form of
					 Buffalo Lake Construction Note
 	 
	 	
				  Exhibit
					 B-1-B
 	
				  Form of
					 Pioneer Trail Construction Note
 	 
	 	
				  Exhibit
					 B-2
 	
				  Form of
					 Term Note
 	 
	 	
				  Exhibit
					 B-3
 	
				  Form of
					 Working Capital Note
 	 
	 	
				  Exhibit
					 C
 	
				  Form of
					 Process Agent Letter
 	 
	 	
				  Exhibit
					 D-1
 	
				  Form of
					 Construction Requisition
 	 
	 	
				  Exhibit
					 D-2
 	
				  Form of
					 Independent Engineer Certificate
 	 
	 	
				  Exhibit
					 E-1
 	
				  Form of
					 Borrowers Completion Certificate
 	 
	 	
				  Exhibit
					 E-2
 	
				  Form of
					 Independent Engineer Completion Certificate
 	 
	 	
				  Exhibit
					 F
 	
				  Form of
					 Consent Agreement
 	 
	 	
				  Exhibit
					 G
 	
				  Form of
					 Assignment and Acceptance
 	 
	 	
				  Exhibit
					 H
 	
				  Form of
					 Section 2.11(b)(ii) Certificate
 	 
	 	
				  Exhibit
					 I
 	
				  Form of
					 Letter of Credit Request
 	 
	 	
				  Exhibit
					 J-1
 	
				  Form of
					 Buffalo Lake Payment and Performance Bonds
 	 
	 	
				  Exhibit
					 J-2
 	
				  Form of
					 Pioneer Trail Payment and Performance Bonds
 	 
	 	 	 	 
	
				  ANNEXES:

				  	 	 
	 	
				  Annex
					 I
 	
				  Commitments

				  	 
	 	
				  Annex
					 II
 	
				  Applicable
					 Lending Offices
 	     
	 	
				  Annex
					 III
 	
				  Target
					 Balance Amount
 	 

 
 

	  

	 
 
	  

	 CREDIT
		AGREEMENT (this “Agreement”
		or “Credit
		Agreement”),
		dated as of September 25, 2006, among (i) BFE OPERATING COMPANY, LLC, a limited
		liability company organized and existing under the laws of the State of
		Delaware (“Opco”),
		BUFFALO
		LAKE ENERGY, LLC, a
		limited liability company organized and existing under the laws of the State of
		Delaware (“Buffalo
		Lake”),
		PIONEER
		TRAIL ENERGY, LLC, a
		limited liability company organized and existing under the laws of the State of
		Delaware (“Pioneer
		Trail”
		and, together with Opco and Buffalo Lake, the “Borrowers”),
		as the Borrowers, (ii) OPCO, as Borrowers’ Agent, (iii) the financial
		institutions from time to time party hereto as Lenders, (iv) DEUTSCHE
		BANK TRUST COMPANY AMERICAS, as
		Collateral Agent, and (v) BNP PARIBAS, as Administrative Agent and Arranger.
		

	  

	  

	 WITNESSETH
		:

	  

	 WHEREAS
		the Borrowers have been organized to undertake the construction, completion,
		ownership and operation of two (2) one hundred fifteen million (115,000,000)
		gallons-per-year fuel grade, denatured ethanol production plants to be located
		in Wood River, Nebraska and Fairmont, Minnesota, all as more fully described in
		the Project Documents; 

	  

	 WHEREAS
		in order to finance the acquisition, construction and initial operation of the
		Project and certain other costs and expenditures associated with the
		development of the Project and the financing contemplated herein, the Borrowers
		have requested the Lenders to provide the credit facilities described herein;
		and

	  

	 WHEREAS
		the Lenders are willing to provide the credit facilities described herein upon
		the terms and conditions herein set forth;

	  

	 NOW,
		THEREFORE, in consideration of the premises and mutual agreements hereinafter
		contained, the parties hereto agree as follows:

	  

	 SECTION
		1.  DEFINITIONS
		AND RULES OF INTERPRETATION.

	  

	 1.1 Defined
		Terms. Except
		as otherwise expressly provided herein, capitalized terms used in this
		Agreement and its Appendices, Schedules, Exhibits and Annexes shall have the
		respective meanings assigned to such terms in Appendix A hereto. 

	  

	 1.2 Rules
		of Interpretation. Except
		as otherwise expressly provided herein, the rules of interpretation set forth
		in Appendix A hereto shall apply to this Agreement.

	  

	 1.3 Accounting
		Principles. Except
		as otherwise provided in this Agreement, all computations and determinations as
		to financial matters and all financial statements to be delivered under this
		Agreement shall be made or prepared in accordance with GAAP (including
		principles of consolidation where appropriate) applied on a consistent basis
		(except to the extent approved or required by the independent public
		accountants certifying such statements and disclosed therein).

	  

	 
 
	  

	 1.4 Joint
		and Several Obligations. 

	  

	 (a) Subject
		to Section 1.4(b), the Obligations of each Borrower under this Agreement and
		each other Financing Document to which any Borrower is a party shall constitute
		the joint and several obligations of all Borrowers, and references to any
		Borrower or to the Borrowers in this Agreement and such other Financing
		Documents shall mean and include all Borrowers or, where the context permits,
		any of the Borrowers. All representations, warranties, undertakings, agreements
		and obligations of each Borrower expressed or implied in this Agreement or any
		other Financing Documents shall, unless the context requires otherwise, be
		deemed to be made, given or assumed by the Borrowers jointly and
		severally.

	  

	 (b) Each of
		the Borrowers, the Administrative Agent and the Lenders hereby confirms that it
		is the intention of all such Persons that this Agreement and the other
		Financing Documents and the Obligations of each Borrower hereunder and
		thereunder not constitute a fraudulent transfer or conveyance for purposes of
		any Debtor Relief Laws, the Uniform Fraudulent Conveyance Act, the Uniform
		Fraudulent Transfer Act or any similar foreign, federal or state law, to the
		extent applicable to this Agreement or such other Financing Documents and the
		Obligations of each Borrower hereunder and thereunder. To effectuate the
		foregoing intention, the Administrative Agent, the Lenders and the Borrowers
		hereby irrevocably agree that the Obligations of each Borrower at any time
		shall be limited to the maximum amount as will result in the Obligations of
		such Borrower not constituting a fraudulent transfer or conveyance.
		

	  

	 SECTION
		2.  AMOUNTS
		AND TERMS OF CREDIT FACILITY

	  

	 2.1 The
		Construction Loan Facility.

	  

	 (a) Subject
		to and upon the terms and conditions set forth herein, each Lender severally
		agrees to make, from time to time during the Buffalo Lake Construction Loan
		Availability Period, loans (each a “Buffalo
		Lake Construction Loan”
		and, collectively, the “Buffalo
		Lake Construction Loans”)
		to the Borrowers for Buffalo Lake Project Costs, which Loans shall (i) at the
		option of the Borrowers’ Agent, be Base Rate Loans or Eurodollar Loans
		(provided,
		however, that,
		except as provided in Section 2.12, all Buffalo Lake Construction Loans
		comprising the same Borrowing shall at all times be of the same Type), (ii) be
		made and maintained in Dollars, (iii) not exceed for any Lender, in aggregate
		principal amount, that amount which equals the Buffalo Lake Construction Loan
		Commitment of such Lender and (iv) mature on the Date Certain.

	  

	 (b) Subject
		to and upon the terms and conditions set forth herein, each Lender severally
		agrees to make, from time to time during the Pioneer Trail Construction Loan
		Availability Period, loans (each a “Pioneer
		Trail Construction Loan”
		and, collectively, the “Pioneer
		Trail Construction Loans”)
		to the Borrowers for Pioneer Trail Project Costs, which Loans shall (i) at the
		option of the Borrowers’ Agent, be Base Rate Loans or Eurodollar Loans
		(provided,
		however, that,
		except as provided in Section 2.12, all Pioneer Trail Construction Loans
		comprising the same Borrowing shall at all times be of the same Type), (ii) be
		made and maintained in Dollars, (iii) not exceed for any Lender, in aggregate
		principal amount, that 

	  

	 2

	  

	 
 
	  

	 amount
		which equals the Pioneer Trail Construction Loan Commitment of such Lender and
		(iv) mature on the Date Certain.

	  

	 (c) Proceeds
		of each Buffalo Lake Construction Loan shall be deposited into the Buffalo Lake
		Construction Account, shall be applied solely in accordance with this Agreement
		and the Account Agreement and shall be used solely for the payment of the
		Buffalo Lake Project Costs.

	  

	 (d) Proceeds
		of each Pioneer Trail Construction Loan shall be deposited into the Pioneer
		Trail Construction Account, shall be applied solely in accordance with this
		Agreement and the Account Agreement and shall be used solely for the payment of
		the Pioneer Trail Project Costs.

	  

	 (e) Notwithstanding
		the other provisions of this Section 2.1, if, at any time following the
		Substantial Completion of any Plant, there exists any Excess Construction Loan
		Commitment for such Plant, the proceeds of Borrowing of any such Excess
		Construction Loan Commitment shall be applied solely in accordance with this
		Agreement and the Account Agreement, may be used for the payment of Project
		Costs for the other Plant if it has not yet achieved Project Completion and
		shall be deposited into the Construction Account for the other Plant. In
		addition, the Construction Loan Commitment for one Plant may be used for the
		Project Costs for the other Plant to the extent permitted in clause (iii) of
		Section 5.20(b).

	  

	 (f) The
		Construction Loans are available only on the terms and conditions specified
		hereunder, and once repaid, in whole or in part, at maturity or by prepayment,
		may not be reborrowed in whole or in part.

	  

	 2.2 The Term
		Loan Facility and Working Capital Loan Facility. 

	  

	 (a) Subject
		to and upon the terms and conditions set forth herein, each of the Lenders
		agrees that on the Conversion Date all Construction Loans of such Lender
		outstanding on such date (after giving effect to any Borrowing of Construction
		Loans on such date and any prepayment of Construction Loans on such date in
		accordance herewith) shall automatically convert into term loans (each a
		“Term
		Loan”
		and, collectively, the “Term
		Loans”)
		in an aggregate principal amount equal to the outstanding amount of the
		Constructions Loans of such Lender as of the Conversion Date but not exceeding
		such Lender’s Term Loan Commitment in effect as of such date.
		

	  

	 (b) Construction
		Loans that are converted into Term Loans shall not be deemed to be prepaid,
		repaid or discharged but shall be deemed to be continued as Term Loans as
		provided hereby.

	  

	 (c) Subject
		to and upon the terms and conditions set forth herein, each of the Working
		Capital Lenders agrees to make, from time to time during the Working Capital
		Availability Period, loans (each a “Working
		Capital Loan”
		and, collectively, the “Working
		Capital Loans”)
		to the Borrowers, which Working Capital Loans (i) shall at the option of the
		Borrowers’ Agent, be Base Rate Loans or Eurodollar Loans (provided,
		however, that,
		except as provided in Section 2.12, all Working Capital Loans comprising
		the same Borrowing shall at all 

	  

	 3

	  

	 
 
	  

	 times be
		of the same Type), (ii) shall be made and maintained in Dollars,
		(iii) may be repaid and reborrowed in accordance with the provisions
		hereof, (iv)  for any Working Capital Lender, in aggregate principal
		amount, together with the product of (x) such Working Capital
		Lender’s Letter of Credit Percentage, if any, and (y) the aggregate
		amount of all Letter of Credit Outstandings, shall not exceed the Working
		Capital Loan Commitment of such Lender, (v) shall not (together with the
		principal amount of Letter of Credit Outstandings) exceed Five Million Dollars
		($5,000,000) during the period commencing on Mechanical Completion of the
		earlier to occur of the Pioneer Trail Plant and the Buffalo Lake Plant and
		ending on Provisional Acceptance of the such Plant or exceed Ten Million
		Dollars ($10,000,000) during the period commencing on Provisional Acceptance of
		the earlier to occur of the Pioneer Trail Plant and the Buffalo Lake Plant and
		ending on the Conversion Date, and (vi) shall mature on the Working
		Capital Loan Maturity Date; provided, that
		each of the Working Capital Lenders agrees to make Working Capital Loans prior
		to the Conversion Date to the Borrower, which shall be subject to
		clauses (i) through (vi) above, for the sole purpose of purchasing
		corn from Cargill pursuant to the relevant Corn Supply Agreement and purchasing
		gas, water, electricity and other utilities for the start-up, testing and
		operation of the Plants.

	  

	 2.3 Notice
		of Borrowing of Construction Loans and Working Capital Loans.
		Whenever the Borrowers desire to make a Borrowing of a Construction Loan
		pursuant to Section 2.1(a) or (b) or a Working Capital Loan pursuant to Section
		2.2(c), the Borrowers’ Agent shall give the Administrative Agent at its
		Notice Office (a) at least three Business Days’ prior written notice
		in the case of Eurodollar Loans and (b) at least one Business Day’s prior
		written notice in the case of Base Rate Loans; provided, that
		any such notice shall be deemed to have been given on a certain day only if
		given before 11:00 a.m. (New York City time). Each such notice (a
		“Notice
		of Borrowing”)
		shall be irrevocable and shall be given by the Borrowers’ Agent
		substantially in the form of Exhibit A hereto, appropriately completed to
		specify (i) the aggregate principal amount of the Construction Loans or Working
		Capital Loans to be made pursuant to such Borrowing, (ii) the date of such
		Borrowing (which shall be a Business Day), (iii) whether the Construction Loans
		or Working Capital Loans being made pursuant to such Borrowing are to be
		initially maintained as Base Rate Loans or Eurodollar Loans, (iv) if the
		Construction Loans or Working Capital Loans being made pursuant to such
		Borrowing are to be initially maintained as Eurodollar Loans, the initial
		Interest Period to be applicable thereto, (v) in the case of Working Capital
		Loans, the Ratio of Debt to Total Project Costs at such time, and (vi) in the
		case of Construction Loans, whether such Construction Loans are Buffalo Lake
		Construction Loans or Pioneer Trail Construction Loans and, in the case of a
		requested Borrowing of any Excess Construction Loan Commitment, the
		Construction Account into which the Loan proceeds are to be deposited. The
		Administrative Agent shall promptly give each Lender notice of the proposed
		Borrowing, of such Lender’s proportionate share thereof and of the other
		matters required by the immediately preceding sentence to be specified in the
		Notice of Borrowing.

	  

	 2.4 Pro
		Rata Borrowings; Availability. Each
		Borrowing of Construction Loans shall be incurred ratably among the Lenders
		based upon the amount of their respective Buffalo Lake Construction Loan
		Commitments or Pioneer Trail Construction Loan Commitments, as the case may be.
		Each Borrowing of Working Capital Loans shall be incurred ratably among the
		Working Capital Lenders based upon the amount of their respective Working
		Capital Loan Commitments. It is agreed that no Lender shall be responsible for
		any default by any other Lender of its obligation to make a Loan hereunder and
		that each Lender shall be 

	  

	 4

	  

	 
 
	  

	 obligated
		to make the Loans provided to be made by it hereunder regardless of the failure
		of any other Lender to make a Loan hereunder.

	  

	 2.5 Minimum
		Amount and Maximum Number of Borrowings, etc.

	  

	 (a) The
		aggregate principal amount of each Borrowing of a Construction Loan under
		Section 2.1 shall not be less than One Million Dollars ($1,000,000). The
		aggregate principal amount of each Borrowing of a Working Capital Loan under
		Section 2.2(c) shall not be less than Two Hundred Fifty Thousand Dollars
		($250,000).

	  

	 (b) Except
		in the case of Borrowings incurred solely to pay any of the Obligations, the
		Borrower shall be limited, in the case of Construction Loans, to a maximum of
		one Borrowing per calendar month.

	  

	 (c) At no
		time shall there be outstanding more than nine (9) separate Interest Periods in
		respect of Eurodollar Loans prior to the Conversion Date or up to ten (10)
		separate Interest Periods in respect of Eurodollar Loans after the Conversion
		Date, up to six (6) of which may be Construction Loans or Term Loans, and up to
		four (4) of which may be Working Capital Loans. 

	  

	 2.6 Disbursement
		of Funds.
		Subject to the terms and conditions hereof, no later than 1:00 p.m. (New York
		City time) on the date specified in each Notice of Borrowing, each Lender will
		make available, through such Lender’s Applicable Lending Office, its
		pro
		rata portion
		of the aggregate amount of the Loans requested to be made on such date, in
		Dollars and in immediately available funds at the Payment Office of the
		Administrative Agent, and the Administrative Agent will deposit the aggregate
		of the amounts so made available by the Lenders into (i) the applicable
		Construction Account, in the case of Construction Loans, and (ii) the Project
		Revenues Collection Account, the Hedging Reserve Account or a Margin Account
		specified by the Borrowers’ Agent, in the case of Working Capital Loans
		or, with
		prior written notice to the Administrative Agent, make payments directly to the
		hedging counterparties provided that
		such payments are permitted under the Risk Management Policy and under Section
		5.31 hereof. Unless
		the Administrative Agent shall have been notified by any Lender prior to the
		applicable date of the Borrowing that such Lender does not intend to make
		available to the Administrative Agent such Lender’s portion of the
		Borrowing on such date, the Administrative Agent may assume that such Lender
		has made such amount available to the Administrative Agent on such date, and
		the Administrative Agent may (but shall have no obligation to), in reliance
		upon such assumption, make available to the Borrowers a corresponding amount.
		If such corresponding amount is not in fact made available to the
		Administrative Agent by such Lender, the Administrative Agent shall be entitled
		to recover such corresponding amount from such Lender on demand. If such Lender
		does not pay such corresponding amount forthwith upon the Administrative
		Agent’s demand therefor, the Administrative Agent shall promptly notify
		the Borrowers, and the Borrowers shall immediately pay such corresponding
		amount to the Administrative Agent. The Administrative Agent shall also be
		entitled to recover on demand from such Lender or the Borrowers, as the case
		may be, interest on such corresponding amount in respect of each day from the
		date such corresponding amount was made available by the Administrative Agent
		to the Borrowers until the date such corresponding amount is recovered by the
		Administrative Agent, at a rate per
		annum equal
		to (i) if such amount is recovered from such 

	  

	 5

	  

	 
 
	  

	 Lender,
		the cost to the Administrative Agent of acquiring overnight federal funds at
		the then applicable rate and (ii) if such amount is recovered from the
		Borrowers, the then applicable rate of interest as provided herein. Nothing in
		this Section 2.6 shall be deemed to relieve any Lender from its obligation to
		make a Loan hereunder or to prejudice any rights which the Borrowers may have
		against any Lender as a result of any failure by such Lender to make Loans
		hereunder as long as the terms and conditions of such Borrowing have been
		satisfied.

	  

	 2.7 Evidence
		of Obligations and Notes.

	  

	 (a) Each
		Lender will maintain in accordance with its usual practice an account or
		accounts evidencing the indebtedness of the Borrowers to such Lender as a
		result of the Loans of such Lender, including the amounts of principal,
		interest and other amounts payable and paid to such Lender from time to time
		under this Agreement and the Notes. The entries made by each Lender pursuant to
		the foregoing sentence shall constitute prima
		facie
		evidence of the existence and amounts of the Loans and other Obligations
		therein recorded; provided,
		however, that
		the failure of any Lender to maintain such account or accounts, or any error
		therein, shall not in any manner affect the obligations of the Borrowers to
		repay or pay the Loan made by such Lender, accrued interest thereon and the
		other Obligations of the Borrowers to such Lender hereunder in accordance with
		the terms of this Agreement. The Administrative Agent will advise the Borrowers
		of the outstanding indebtedness hereunder to each Lender upon written request
		therefor and receipt of such necessary information relating thereto from such
		Lender. 

	  

	 (b) At the
		request of any Lender, the Borrowers’ obligation to pay the principal of,
		and interest on, the Loans made by such Lender shall be evidenced (i) in the
		case of Construction Loans, by two promissory notes duly executed and delivered
		by each of the Borrowers substantially in the form of Exhibit B-1-A hereto, in
		respect of the Buffalo Lake Construction Loans, and substantially in the form
		of Exhibit B-1-B hereto, in respect of the Pioneer Trail Construction Loans,
		with blanks appropriately completed in conformity herewith (each, a
		“Construction
		Note”
		and, collectively, the “Construction
		Notes”),
		(ii) in the case of Term Loans, by a promissory note duly executed and
		delivered by each of the Borrowers substantially in the form of Exhibit B-2
		hereto with blanks appropriately completed in conformity herewith (each, a
		“Term
		Note”
		and, collectively, the “Term
		Notes”)
		and (iii) in the case of Working Capital Loans, by a promissory note duly
		executed and delivered by each of the Borrowers substantially in the form of
		Exhibit B-3 hereto with blanks appropriately completed in conformity herewith
		(each, a “Working
		Capital Note”
		and, collectively, the “Working
		Capital Notes”).
		Each of the promissory notes referred to in this Section 2.7(b) are herein
		referred to individually as a “Note”
		and, collectively, as the “Notes.”

	  

	 (c) The
		Construction Note issued to any Lender shall (i) be payable to such Lender or
		its registered assigns, (ii) be dated the Closing Date, (iii) be in a stated
		maximum principal amount equal to the Buffalo Lake Construction Loan Commitment
		or the Pioneer Trail Construction Loan Commitment, as the case may be, of such
		Lender and be payable in the outstanding principal amount of Construction Loans
		evidenced thereby, (iv) mature on the Date Certain, (v) bear interest as
		provided in this Agreement and (vi) be entitled to the benefits of this
		Agreement and the other Financing Documents. The Term
		Note issued to any Lender shall (i) be payable to such Lender or its registered
		assigns, (ii) be dated the Conversion Date, (iii) be in a stated principal
		amount equal to the Term Loans of such Lender, (iv) mature on the Term Loan
		

	  

	 6

	  

	 
 
	  

	 Maturity
		Date, (v) bear interest as provided in this Agreement and (vi) be entitled to
		the benefits of this Agreement and the other Financing Documents. The
		Working Capital Note issued to any Lender shall (i) be payable to such Lender
		or its registered assigns, (ii) be dated the Closing Date, (iii) be in a stated
		principal amount equal to the Working Capital Loan Commitment of such Lender,
		(iv) mature on the Working Capital Loan Maturity Date, (v) bear interest as
		provided in this Agreement and (vi) be entitled to the benefits of this
		Agreement and the other Financing Documents. 

	  

	 (d) Each
		Lender will note on its internal records the amount of each Loan made by it and
		each payment in respect thereof and will prior to any transfer of any of its
		Notes endorse on the reverse side thereof the outstanding principal amount of
		Loans evidenced thereby. Failure to make such notation shall not affect the
		Borrower’s obligations in respect of such Loans.

	  

	 (e)  On the
		Conversion Date, the Lenders shall, to the extent required to pay the amounts
		specified in Section 4.1(i) of the Account Agreement, disburse any unutilized
		portion of the Construction Loan Commitment for application, together with any
		amounts on deposit in or standing to the credit of the Construction Accounts on
		the Conversion Date, in accordance with provisions and the order of priority
		specified in such Section 4.1(i) of the Account Agreement.

	  

	 2.8 Conversions. The
		Borrowers shall have the option to convert on any Business Day the principal
		amount, in whole or in part, of the Loans made pursuant to one or more
		Borrowings from one Type of Loan into a Borrowing of another Type of Loan;
		provided,
		however, that
		(i) Loans may not be so converted to another Type unless the aggregate
		principal amount of Loans to be so converted equals One Million Dollars
		($1,000,000) or an integral multiple of One Hundred Thousand Dollars ($100,000)
		in excess thereof, (ii) no conversion of all or any portion of any Eurodollar
		Loan into a Base Rate Loan may be effected on any day other than the last day
		of an Interest Period applicable to such Eurodollar Loan, unless the Borrowers
		pay all amounts owing under Section 2.14 as a result of such conversion, (iii)
		no partial conversion of Eurodollar Loans shall reduce the outstanding
		principal amount of such Eurodollar Loans made pursuant to a single Borrowing
		to less than One Million Dollars ($1,000,000), (iv) Base Rate Loans may only be
		converted into Eurodollar Loans if no Default or Event of Default is in
		existence on the date of conversion and (v) no conversion pursuant to this
		Section 2.8 shall result in a greater number of Interest Periods than is
		permitted under Section 2.5 hereof. Each such conversion shall be effected by
		the Borrowers’ Agent by giving the Administrative Agent at its Notice
		Office prior to 11:00 a.m. (New York City time) at least three Business
		Days’ prior notice (each a “Notice
		of Conversion”)
		specifying (w) the principal amount of the Loans to be so converted, (x) the
		Borrowing or Borrowings pursuant to which such Loans were made, (y) the Type of
		Loan from which such amount is being converted and the Type of Loan into which
		such amount will be converted and (z) if such amount is to be converted into
		Eurodollar Loans, the Interest Period to be initially applicable thereto. The
		Administrative Agent shall give each Lender prompt notice of any such proposed
		conversion affecting any of its Loans.

	  

	 2.9 Interest.

	  

	 7

	  

	 
 
	  

	 (a) The
		Borrowers agree to pay interest in respect of the unpaid principal amount of
		each Base Rate Loan from the date of Borrowing thereof until the earlier of (i)
		the maturity of such Base Rate Loan (whether by acceleration or otherwise) and
		(ii) the conversion of such Base Rate Loan to a Eurodollar Loan pursuant
		hereto, at a rate per
		annum which
		shall be equal to the sum of (x) the Base Rate in effect from time to time and
		(y) the Applicable Margin.

	  

	 (b) The
		Borrowers agree to pay interest in respect of the unpaid principal amount of
		each Eurodollar Loan from the date of Borrowing thereof until the earlier of
		(i) the maturity of such Eurodollar Loan (whether by acceleration or otherwise)
		and (ii) the conversion of such Eurodollar Loan to a Base Rate Loan pursuant
		hereto, at a rate per
		annum which
		shall, during each Interest Period applicable thereto, be equal to the sum of
		(x) the Adjusted Eurodollar Rate in effect for such Interest Period and (y) the
		Applicable Margin.

	  

	 (c) Overdue
		principal and, to the extent permitted by Law, overdue interest in respect of
		each Loan and any other overdue amount payable by the Borrowers hereunder or
		under any other Financing Document shall bear interest at a rate, which is
		equal to the sum of (i) the Base Rate in effect from time to time,
		(ii) the Applicable Margin and (iii) two percent (2%) (the
		“Default
		Rate”),
		with such interest to be payable on demand.

	  

	 (d) Accrued
		(and theretofore unpaid) interest shall be payable (i) in respect of each
		Base Rate Loan, quarterly in arrears on each Quarterly Date, (ii) in
		respect of Eurodollar Loans, on the last day of each Interest Period applicable
		thereto and, in the case of an Interest Period in excess of three
		(3) months, on each date occurring at three (3) month intervals after the
		first day of such Interest Period and (iii) in respect of each Loan, on
		any repayment or prepayment (on the amount repaid or prepaid), conversion (on
		the amount converted), at maturity (whether by acceleration or otherwise) and,
		after such maturity, on demand. Notwithstanding the foregoing, interest payable
		in accordance with Section 2.9(c) shall be payable as provided
		therein.

	  

	 (e) On each
		Interest Determination Date in respect of any Eurodollar Loan, the
		Administrative Agent shall determine the Eurodollar Rate and Adjusted
		Eurodollar Rate for the applicable Interest Period to be applicable to the
		Loans or to any portion thereof and shall promptly notify the Borrower and the
		Lenders thereof. Each such determination shall, absent manifest error, be final
		and conclusive and binding on all parties hereto.

	  

	 2.10 Interest
		Periods. At the
		time the Borrowers’ Agent gives any Notice of Borrowing or Notice of
		Conversion in respect of the making of, or conversion into, any Eurodollar Loan
		(in the case of the initial Interest Period applicable thereto) or on the third
		Business Day prior to the expiration of any Interest Period applicable to any
		Eurodollar Loan (in the case of any subsequent Interest Period), the Borrowers
		shall have the right to elect, by the Borrowers’ Agent giving the
		Administrative Agent written notice thereof, the interest period (each, an
		“Interest
		Period”)
		applicable to such Eurodollar Loans, which Interest Period shall, at the option
		of the Borrowers’ Agent, be a one, three or six month period and, if
		available to each Lender required to fund such Eurodollar Loans, nine or twelve
		month period; provided,
		however,
		that

	  

	 8

	  

	 
 
	  

	 (i)
		all
		Eurodollar Loans comprising the same Borrowing shall have the same Interest
		Period;

	  

	 (ii)
		the
		initial Interest Period for any Eurodollar Loan shall commence on the date of
		Borrowing of such Loan (including the date of conversion thereof from a Loan of
		a different Type) and each Interest Period occurring thereafter in respect of
		such Eurodollar Loan shall commence on the last day of the immediately
		preceding Interest Period;

	  

	 (iii)
		if any
		Interest Period begins on a day for which there is no numerically corresponding
		day in the calendar month at the end of such Interest Period, such Interest
		Period shall end on the last Business Day of such calendar month;

	  

	 (iv)
		if any
		Interest Period would otherwise end on a day that is not a Business Day, such
		Interest Period shall be extended to the next succeeding Business Day unless
		the result of such extension would be to carry such Interest Period into
		another calendar month, in which event such Interest Period shall end on the
		immediately preceding Business Day;

	  

	 (v)
		in the
		case of Term Loans, any Interest Period that would otherwise extend beyond the
		Term Loan Maturity Date shall end on the Term Loan Maturity Date and in the
		case of Working Capital Loans, any Interest Period that would otherwise extend
		beyond the Working Capital Loan Maturity Date shall end on the Working Capital
		Loan Maturity Date;

	  

	 (vi)
		in the
		case of Term Loans, no Interest Period may be elected that would extend beyond
		any date upon which a Scheduled Principal Payment is required to be made unless
		the aggregate principal amount of Base Rate Loans plus the aggregate principal
		amount of Eurodollar Loans outstanding having Interest Periods which end on or
		before such date shall be at least equal to or greater than the principal
		amount of such Scheduled Principal Payment; 

	  

	 (vii)
		if the
		Conversion Date shall occur on a date that is not the last day of an Interest
		Period for any Construction Loans being converted to Term Loans on such date,
		then, notwithstanding any other provision herein to the contrary, the Interest
		Period applicable to such Construction Loans may be continued until the last
		day of the Interest Period applicable thereto, provided that
		the Applicable Margin relating to Term Loans shall apply to such Loans from and
		after the Conversion Date; and

	  

	 (viii)
		no
		Interest Period in respect of any Borrowing shall be selected at any time when
		a Default or Event of Default exists.

	  

	 If upon
		the expiration of any Interest Period, the Borrowers are permitted to but the
		Borrowers’ Agent has failed to elect, a new Interest Period to be
		applicable to such Eurodollar Loans as provided above, the Borrowers shall be
		deemed to have elected to renew such Eurodollar Loans for the same Interest
		Period as such current Interest Period. If upon the expiration of any Interest
		Period, the Borrowers are not permitted to elect a new Interest Period to be
		applicable to such Eurodollar Loans as provided above, the Borrowers shall be
		deemed to have elected to convert 

	  

	 9

	  

	 
 
	  

	 such
		Eurodollar Loans into a Borrowing of Base Rate Loans effective as of the
		expiration date of such current Interest Period. Upon the waiver or cure of the
		Default or Event of Default, the Administrative Agent shall, pursuant to
		Section 9.3 hereof, notify the Borrower and the Lenders, whereupon each Base
		Rate Loan will automatically, on the last day of the then-current Interest
		Period, again bear interest as a Eurodollar Loan in accordance with this
		Agreement.

	  

	 2.11 Net
		Payments. (a)
		All payments made by the Borrowers hereunder or under any other Financing
		Document will be made without setoff, counterclaim or other defense. Except as
		provided in Section 2.11(b), all such payments will be made free and clear
		of, and without deduction or withholding for, any present or future taxes,
		levies, imposts, duties, fees, assessments or other charges of whatever nature
		now or hereafter imposed by any jurisdiction or by any political subdivision or
		taxing authority thereof or therein with respect to such payments (but
		excluding, in the case of any Lender, except as provided in the second
		succeeding sentence, any tax imposed on or measured by the net income of such
		Lender pursuant to the Laws of the jurisdiction in which it is organized or the
		jurisdiction in which the principal office or Applicable Lending Office of such
		Lender is located or any subdivision thereof or therein) and all interest,
		penalties or similar liabilities with respect thereto (all such non-excluded
		taxes, levies, imposts, duties, fees, assessments or other charges being
		referred to collectively as “Taxes”).
		If any Taxes are so levied or imposed, the Borrowers agree to pay the full
		amount of such Taxes, and such additional amounts as may be necessary so that
		every payment of all amounts due hereunder or under any other Financing
		Document, after withholding or deduction for or on account of any Taxes, will
		not be less than the amount provided for herein or in such Financing Document.
		If any such additional amounts are payable in respect of Taxes pursuant to the
		preceding sentence, then the Borrowers shall be obligated to reimburse each
		Lender, upon the written request of such Lender, for taxes imposed on or
		measured by the net income of such Lender, attributable to such additional
		amounts paid by the Borrowers, pursuant to the laws of the jurisdiction in
		which such Lender is organized or in which the principal office or applicable
		lending office of such Lender is located or under the laws of any political
		subdivision or taxing authority thereof or therein and for any withholding of
		taxes as such Lender shall determine are payable by, or withheld from, such
		Lender in respect of such amounts so paid to or on behalf of such Lender
		pursuant to the preceding sentence and in respect of any amounts paid to or on
		behalf of such Lender pursuant to this sentence. The Borrowers will furnish to
		the Administrative Agent within forty-five (45) days after the date of the
		payment of any Taxes due pursuant to applicable law certified copies of any tax
		receipts evidencing such payment by the Borrowers. Each Borrower agrees to
		indemnify and hold harmless each Lender and reimburse such Lender upon its
		written request for the amount of any Taxes so levied or imposed and paid by
		such Lender.

	  

	 (b) Each
		Lender that is not a United States person (as such term is defined in Section
		7701(a)(30) of the Code) agrees to deliver to the Borrowers and the
		Administrative Agent on or prior to the Closing Date, or in the case of a
		Lender that is an assignee or transferee of an interest under this Agreement
		pursuant to Section 9.13 (unless the respective Lender was already a Lender
		hereunder immediately prior to such assignment or transfer), on the date of
		such assignment or transfer to such Lender, (i) two accurate and complete
		original signed copies of Internal Revenue Service Form W-8ECI or Form W-8BEN
		(with respect to a complete exemption under an income tax treaty) (or successor
		forms) certifying to such Lender’s entitlement as of such date to a
		complete exemption from United States withholding tax with 

	  

	 10

	  

	 
 
	  

	 respect
		to payments to be made under this Agreement and under any other Financing
		Document, or (ii) if the Lender is not a “bank” within the
		meaning of Section 881(c)(3)(A) of the Code and cannot deliver either Internal
		Revenue Service Form W-8ECI or Form W-8BEN (with respect to a complete
		exemption under an income tax treaty) pursuant to clause (i) above, (x) a
		certificate substantially in the form of Exhibit H (any such certificate, a
		“Section
		2.11(b)(ii) Certificate”)
		and (y) two accurate and complete original signed copies of Internal
		Revenue Service Form W-8BEN (with respect to the portfolio interest exemption)
		(or successor form) certifying to such Lender’s entitlement as of such
		date to a complete exemption from United States withholding tax with respect to
		payments of interest to be made under this Agreement and under any other
		Financing Document. In addition, each Lender agrees that from time to time
		after the Closing Date, when a lapse in time or change in circumstances renders
		the previous certification obsolete or inaccurate in any material respect, it
		will deliver to the Borrowers and the Administrative Agent two new accurate and
		complete original signed copies of Internal Revenue Service Form W-8ECI, Form
		W-8BEN (with respect to the benefits of any income tax treaty), or Form W-8BEN
		(with respect to the portfolio interest exemption) and a Section 2.11(b)(ii)
		Certificate, as the case may be, and such other forms as may be required in
		order to confirm or establish the entitlement of such Lender to a continued
		exemption from or reduction in United States withholding tax with respect to
		payments under this Agreement and any other Financing Document, or it shall
		immediately notify the Borrowers and the Administrative Agent of its inability
		to deliver any such Form or Certificate, in which case such Lender shall not be
		required to deliver any such supplemental Form or Certificate pursuant to this
		Section 2.11(b). Notwithstanding anything to the contrary contained in Section
		2.11(a), but subject to the immediately succeeding sentence, (1) the
		Borrowers shall be entitled, to the extent it is required to do so by law, to
		deduct or withhold income or similar taxes imposed by the United States (or any
		political subdivision or taxing authority thereof or therein) from interest,
		fees or other amounts payable hereunder for the account of any Lender which is
		not a United States person (as such term is defined in Section 7701(a)(30) of
		the Code) for U.S. federal income tax purposes to the extent that such Lender
		has not provided to the Borrowers U.S. Internal Revenue Service Forms that
		establish a complete exemption from such deduction or withholding and
		(2) the Borrowers shall not be obligated pursuant to Section 2.11(a)
		hereof to gross-up payments to be made to a Lender in respect of income or
		similar taxes imposed by the United States if (I) such Lender has not provided
		the Borrowers the Internal Revenue Service Forms required to be provided to the
		Borrowers pursuant to this Section 2.11(b) or (II) in the case of a payment,
		other than interest, to a Lender described in clause (ii) above, to the extent
		that such forms do not establish a complete exemption from withholding of such
		taxes. Notwithstanding anything to the contrary contained in the preceding
		sentence or elsewhere in this Section 2.11, the Borrowers agree to pay
		additional amounts and to indemnify each Lender in the manner set forth in
		Section 2.11(a) (without regard to the identity of the jurisdiction requiring
		the deduction or withholding) in respect of any amounts deducted or withheld by
		it as described in the immediately preceding sentence as a result of any
		changes after the Closing Date in any applicable law, treaty, governmental
		rule, regulation, guideline or order, or in the interpretation thereof,
		relating to the deducting or withholding of income or similar
		taxes.

	  

	 2.12 Illegality.

	  

	 (a) If any
		Lender reasonably determines that the introduction of any Law, or any change in
		any Law, or in the interpretation or administration of any Law, has made it
		

	  

	 11

	  

	 
 
	  

	 unlawful,
		or that any central bank or other Governmental Authority has asserted that it
		is unlawful, for any Lender or its Applicable Lending Office to make a
		Eurodollar Loan, then, on notice thereof by the Lender to the Borrowers through
		the Administrative Agent, any obligation of that Lender to make such Loan shall
		be suspended until the Lender notifies the Administrative Agent and the
		Borrowers that the circumstances giving rise to such determination no longer
		exist.

	  

	 (b) If any
		Lender reasonably determines that it is unlawful to maintain a Eurodollar Loan,
		the Borrowers shall, upon its receipt of notice of such fact and demand from
		such Lender (with a copy to the Administrative Agent), convert the Eurodollar
		Loans of such Lender then outstanding, into Base Rate Loans, either on the last
		day of the Interest Period in respect of such Eurodollar Loan, if the Lender
		may lawfully continue to maintain such Eurodollar Loans to such day, or
		immediately, if the Lender may not lawfully continue to maintain such
		Eurodollar Loan. 

	  

	 (c) If the
		obligation of any Lender to make or maintain Eurodollar Loans has been so
		terminated or suspended, the Borrowers may elect, by giving notice to such
		Lender through the Administrative Agent, that all Loans which would otherwise
		be made by such Lender as Eurodollar Loans shall instead be Base Rate
		Loans.

	  

	 (d) Before
		giving notice to the Administrative Agent under this Section, the affected
		Lender shall designate a different Applicable Lending Office with respect to
		its Eurodollar Loans if such designation will avoid the need for giving such
		notice or making such demand and will not, in the judgment of such Lender, be
		illegal or otherwise disadvantageous to such Lender.

	  

	 2.13 Increased
		Costs and Reduction of Return.

	  

	 (a) If any
		Lender shall have reasonably determined (which determination shall, absent
		manifest error, be final and conclusive and binding upon all parties hereto) at
		any time, that such Lender shall incur increased costs or reductions in the
		amounts received or receivable hereunder with respect to any Eurodollar Loan
		(other than any increased cost or reduction in the amount received or
		receivable resulting from the imposition of or a change in the rate of net
		income taxes or similar charges) because of (i) any change since the date
		of this Agreement in any applicable law or governmental rule, regulation,
		order, guideline or request (whether or not having the force of law) or in the
		interpretation or administration thereof by any Governmental Authority, central
		bank or comparable agency charged with the interpretation or administration
		thereof, and including the introduction of any new law or governmental rule,
		regulation, order, guideline or request (such as, for example, but not limited
		to a change in official reserve requirements but, in all events, excluding
		reserves required under Regulation D to the extent included in the
		computation of the Eurodollar Rate) and/or (ii) other circumstances
		affecting such Lender or the relevant interbank market or the position of such
		Lender in such market, then, such Lender shall promptly notify the
		Administrative Agent in writing and the Administrative Agent shall then so
		notify the Borrowers’ Agent of the occurrence of any such event, such
		notice to state in reasonable detail the reasons (including the basis for
		determination) therefor and the additional amount required to compensate fully
		such Lender for such increased cost or reduced amount. Upon receipt of such
		notice from the Administrative Agent, the 

	  

	 12

	  

	 
 
	  

	 Borrowers
		shall pay to such Lender such additional amounts (in the form of an increased
		rate of, or a different method of calculating, interest or otherwise as such
		Lender in its sole discretion shall determine) as shall be required to
		compensate such Lender for such increased costs or reductions in amounts
		received or receivable hereunder. Such notice from such Lender shall, absent
		manifest error, be final and conclusive and binding on all parties
		hereto.

	  

	 (b) If any
		Lender shall have reasonably determined that (i) the introduction of any
		Capital Adequacy Regulation, (ii) any change in any Capital Adequacy
		Regulation, (iii) any change in the interpretation or administration of any
		Capital Adequacy Regulation by any central bank or other Governmental Authority
		charged with the interpretation or administration thereof, or (iv) compliance
		by such Lender (or its Applicable Lending Office) or any corporation
		controlling such Lender with any Capital Adequacy Regulation, affects or would
		affect the amount of capital required or expected to be maintained by such
		Lender or any corporation controlling such Lender and (taking into
		consideration such Lender’s or such corporation’s policies with
		respect to capital adequacy and such Lender’s desired return on capital)
		determines that the amount of such capital is increased as a consequence of its
		Commitment, Loans, credits or Obligations under this Agreement, then, upon
		notice (such notice to include a statement of such Lender as to any such
		additional amount or amounts (including the basis for determination)) of such
		Lender to the Borrowers through the Administrative Agent, the Borrowers shall
		pay to such Lender, from time to time as specified by such Lender, additional
		amounts sufficient to compensate such Lender for such increase. A Lender’s
		reasonable good faith determination of compensation owing under this Section
		2.13(b) shall, absent manifest error, be final and conclusive and binding on
		all parties hereto. 

	  

	 (c) Before
		giving notice to the Administrative Agent under Section 2.13(a) or Section
		2.23, the affected Lender shall designate a different Applicable Lending Office
		with respect to its Loans or Letters of Credit if such designation will avoid
		the need for giving such notice or making such demand and will not, in the
		judgment of such Lender, be illegal or otherwise disadvantageous to such
		Lender.

	  

	 2.14 Funding
		Losses. The
		Borrowers shall reimburse each Lender and hold each Lender harmless from any
		loss or expense which the Lender may sustain or incur as a consequence
		of:

	  

	 (a) the
		failure of the Borrowers to make on a timely basis any scheduled payment of
		principal of any Loan;

	  

	 (b) the
		failure of the Borrowers to borrow or convert a Loan after the Borrowers or the
		Borrowers’ Agent has given (or is deemed to have given) a Notice of
		Borrowing or a Notice of Conversion;

	  

	 (c) the
		failure of the Borrowers to make any prepayment in accordance with any notice
		delivered under Section 6.2; 

	  

	 (d) the
		prepayment or repayment (including pursuant to Section 6.1, 6.2 or 6.3) or
		other payment (including after acceleration thereof) of a Eurodollar Loan on a
		day that is not the last day of the relevant Interest Period; or

	  

	 13

	  

	 
 
	  

	 (e) the
		conversion of any Eurodollar Loan to a Base Rate Loan on a day that is not the
		last day of an Interest Period;

	  

	 including
		any such loss or expense arising from the liquidation or reemployment of funds
		obtained by it to maintain its Loan or from fees payable to terminate the
		deposits from which such funds were obtained upon written notice (including the
		basis for the determination).

	  

	 2.15 Inability
		to Determine Rates. (a) If
		the Administrative Agent determines in good faith that for any reason adequate
		and reasonable means do not exist for determining the Eurodollar Rate for any
		Interest Period with respect to any Eurodollar Loans, or that the Eurodollar
		Rate applicable for any Interest Period with respect to a Eurodollar Loan does
		not adequately and fairly reflect the cost to the Lenders of funding such
		Eurodollar Loan, the Administrative Agent will promptly so notify the Borrowers
		and each Lender. Thereafter, commencing on the last day of the then-existing
		Interest Period for such Eurodollar Loan (or if such Interest Period is greater
		than six-months, commencing six months thereafter), the
		obligation of the Lenders to make or continue Eurodollar Loans hereunder shall
		be suspended until the Administrative Agent revokes such notice in writing.
		Upon the receipt of such notice, the Borrowers’ Agent may revoke any
		Notice of Borrowing or Notice of Conversion or notice of continuation then
		submitted by it. If the Borrowers’ Agent does not revoke any such notice,
		the Lenders shall make, convert or continue the Loans, as proposed by the
		Borrowers’ Agent, in the amount specified in the applicable notice
		submitted by the Borrowers’ Agent, but such Loans shall be made, converted
		or continued as Base Rate Loans instead of Eurodollar Loans.

	  

	 (b) Upon the
		Administrative Agent’s determination that the condition that was the
		subject of a notice under Section 2.15(a) has ceased, Administrative Agent
		shall forthwith notify the Borrower and the Lenders of such determination,
		whereupon each Loan previously converted to a Base Rate Loan subject to Section
		2.15(a) will, subject to the requirements of this Agreement (including Sections
		2.8 and 2.10), automatically be converted to a Eurodollar Loan on the last day
		of the then-current Quarterly Period and bear interest as a Eurodollar Loan in
		accordance with this Agreement.

	  

	 2.16 Survival. The
		agreements and obligations of the Borrowers in Sections 2.11 through 2.14 shall
		survive the payment of the Loans, the Notes and all other
		Obligations.

	  

	 2.17 Replacement
		of Lenders. If any
		Lender is owed increased costs or other amounts under Section 2.11, 2.13 or
		2.23 hereof and compensation with respect to such event is not otherwise
		requested generally by the other Lenders, the Borrowers shall have the right,
		if no Default or Event of Default then exists and such Lender has not changed
		its Applicable Lending Office with the effect of eliminating such increased
		cost, to replace such Lender (the “Replaced
		Lender”)
		with another commercial bank or banks or other financial institutions
		(collectively, the “Replacement
		Lender”)
		reasonably acceptable to the Administrative Agent, provided that
		(a) at the time of any replacement pursuant to this Section 2.17, the
		Replacement Lender shall enter into one or more assignment agreements pursuant
		to Section 9.13 hereof pursuant to which the Replacement Lender shall acquire
		all of the Commitments and outstanding Loans of and all participations in
		Letters of Credit by the Replaced Lender and, in connection therewith, shall
		pay to (x) the Replaced Lender in respect thereof an amount equal to the sum of
		(i) an amount equal to the principal of, and all accrued interest on, all
		outstanding Loans of the Replaced Lender, and 

	  

	 14

	  

	 
 
	  

	 (ii) an
		amount equal to all Unpaid Drawings that have been funded by (and not
		reimbursed to) such Replaced Lender, together with all then unpaid interest
		with respect thereto at such time, and (iii) an amount equal to all accrued,
		but theretofore unpaid, Fees owing to the Replaced Lender, and (y) each Letter
		of Credit Issuer, an amount equal to such Replaced Lender’s Letter of
		Credit Percentage of any Unpaid Drawing relating to Letters of Credit issued by
		such Letter of Credit Issuer (which at such time remains an Unpaid Drawing) to
		the extent such amount was not theretofore funded by such Replaced Lender to
		such Letter of Credit Issuer accrued, but theretofore unpaid, Fees owing to the
		Replaced Lender and (b) all obligations of the Borrowers owing to the Replaced
		Lender (other than those specifically described in clause (a) above in respect
		of which the assignment purchase price has been, or is concurrently being,
		paid) shall be paid in full to such Replaced Lender concurrently with such
		replacement. Upon the execution of the respective assignment documentation
		pursuant to clause (a) above and the payment of the amounts referred to in
		clauses (a) and (b) above, the Replacement Lender shall become a Lender
		hereunder, and the Replaced Lender shall cease to constitute a Lender
		hereunder, except with respect to indemnification provisions under this
		Agreement, which shall survive as to such Replaced Lender. 

	  

	 2.18 Letters
		of Credit.

	  

	 (a) Subject
		to and upon the terms and conditions set forth herein, the Borrowers may
		request that a Letter of Credit Issuer issue, at any time and from time to time
		during the Working Capital Availability Period, for the account of the
		Borrowers and for the benefit of (i) Cargill pursuant to the Corn Supply
		Agreement and the Risk Management Agreement, (ii) Governmental Authorities for
		the purpose of obtaining Governmental Approvals for the Project and (iii) other
		Project Participants for such obligations as are reasonably acceptable to the
		Administrative Agent, an irrevocable standby Letter of Credit, in a form
		customarily used by such Letter of Credit Issuer or in such other form as has
		been approved by such Letter of Credit Issuer (each such Letter of Credit, a
		“Letter
		of Credit”
		and, collectively, the “Letters
		of Credit”).
		All Letters of Credit shall be denominated in Dollars and shall be issued on a
		sight basis only.

	  

	 (b) Subject
		to and upon the terms and conditions set forth herein, each Letter of Credit
		Issuer agrees that it will, at any time and from time to time during the
		Working Capital Availability Period, following its receipt of a Letter of
		Credit Request, issue for account of the Borrowers, one or more Letters of
		Credit as are permitted to remain outstanding hereunder without giving rise to
		a Default or an Event of Default, provided that no
		Letter of Credit Issuer shall be under any obligation to issue any Letter of
		Credit of the types described above if at the time of such
		issuance:

	  

	 (i) any
		order, judgment or decree of any Governmental Authority or arbitrator shall
		purport by its terms to enjoin or restrain such Letter of Credit Issuer from
		issuing such Letter of Credit or any requirement of Law applicable to such
		Letter of Credit Issuer or any request or directive (whether or not having the
		force of Law) from any Governmental Authority with jurisdiction over such
		Letter of Credit Issuer shall prohibit, or request that such Letter of Credit
		Issuer refrain from, the issuance of Letters of Credit generally or such Letter
		of Credit in particular or shall impose upon such Letter of Credit Issuer with
		respect to such Letter of Credit any restriction or reserve or capital
		requirement (for which such Letter of Credit Issuer is not 

	  

	 15

	  

	 
 
	  

	 otherwise
		compensated hereunder) not in effect with respect to such Letter of Credit
		Issuer on the date hereof, or any unreimbursed loss, cost or expense which was
		not applicable or in effect with respect to such Letter of Credit Issuer as of
		the date hereof and which such Letter of Credit Issuer reasonably and in good
		faith deems material to it; or

	  

	 (ii) such
		Letter of Credit Issuer shall have received from the Borrowers’ Agent or
		the Required Lenders prior to the issuance of such Letter of Credit notice of
		the type described in the second sentence of Section 2.20(b).

	  

	 2.19 Maximum
		Letter of Credit Outstandings; Final Maturities.
		Notwithstanding anything to the contrary contained in this Agreement, (i) no
		Letter of Credit shall be issued the Stated Amount of which when added to the
		Letter of Credit Outstandings (exclusive of Unpaid Drawings which are repaid on
		the date of, and prior to the issuance of, the respective Letter of Credit) at
		such time would exceed, when added to the aggregate principal amount of all
		Working Capital Loans then outstanding, an amount equal to the aggregate
		Working Capital Loan Commitments at such time, and (ii) each Letter of Credit
		shall by its terms terminate on or before the earlier of (A) the date which
		occurs twelve (12) months after the date of the issuance thereof (although any
		such standby Letter of Credit may be extendible for successive periods of up to
		twelve (12) months, but, in each case, not beyond the tenth (10th) Business Day
		prior to the Working Capital Loan Maturity Date, on terms acceptable to the
		Letter of Credit Issuer) and (B) ten (10) Business Days prior to the Working
		Capital Loan Maturity Date.

	  

	 2.20 Letter
		of Credit Requests; Minimum Stated Amount.
		(a)  Whenever
		the Borrowers desire that a Letter of Credit be issued for its account, the
		Borrowers’ Agent shall give the Administrative Agent and the respective
		Letter of Credit Issuer at least five (5) Business Days’ (or such shorter
		period as is acceptable to such Letter of Credit Issuer) written notice thereof
		(including by way of facsimile). Each notice shall be in the form of Exhibit I,
		appropriately completed (each, a “Letter
		of Credit Request”).

	  

	 (b) The
		making of each Letter of Credit Request shall be deemed to be a representation
		and warranty by the Borrowers to the Lenders that such Letter of Credit may be
		issued in accordance with, and will not violate the requirements of, Section
		2.19. Unless the respective Letter of Credit Issuer has received notice from
		the Borrowers or the Required Lenders before it issues a Letter of Credit that
		one or more of the conditions specified in Section 3 are not then satisfied, or
		that the issuance of such Letter of Credit would violate Section 2.19, then
		such Letter of Credit Issuer shall, subject to the terms and conditions of this
		Agreement, issue the requested Letter of Credit for the account of the
		Borrowers in accordance with such Letter of Credit Issuer’s usual and
		customary practices. Upon the issuance of or modification or amendment to any
		standby Letter of Credit, each Letter of Credit Issuer shall promptly notify
		the Borrowers and the Administrative Agent, in writing, of such issuance,
		modification or amendment and such notice shall be accompanied by a copy of
		such Letter of Credit or the respective modification or amendment thereto, as
		the case may be. Promptly after receipt of such notice the Administrative Agent
		shall notify the Letter of Credit Participants, in writing, of such issuance,
		modification or amendment. Notwithstanding anything to the contrary contained
		in this Agreement, in the event that a Working Capital Lender defaults in
		funding its portion of any unreimbursed payment under Section 2.21(c), no
		Letter of Credit Issuer shall be required to

	  

	 16

	  

	 
 
	  

	  issue
		any Letter of Credit unless such Letter of Credit Issuer has entered into
		arrangements satisfactory to it and the Borrower to eliminate such Letter of
		Credit Issuer’s risk with respect to the participation in Letters of
		Credit by the defaulting Working Capital Lender or Lenders, including by cash
		collateralizing such defaulting Working Capital Lender’s or Lenders’
		Letter of Credit Percentage of the Letter of Credit Outstandings.

	  

	 (c) The
		initial Stated Amount of each Letter of Credit shall not be less than One
		Hundred Thousand Dollars ($100,000) or such
		lesser amount as is acceptable to the respective Letter of Credit
		Issuer.

	  

	 2.21 Letter
		of Credit Participations.  (a)  Immediately
		upon the issuance by a Letter of Credit Issuer of any Letter of Credit, such
		Letter of Credit Issuer shall be deemed to have sold and transferred to each
		Working Capital Lender, and each such Working Capital Lender (in its capacity
		under this Section 2.21, a “Letter
		of Credit Participant”)
		shall be deemed irrevocably and unconditionally to have purchased and received
		from such Letter of Credit Issuer, without recourse or warranty, an undivided
		interest and participation, to the extent of such Letter of Credit
		Participant’s Letter of Credit Percentage, in such Letter of Credit, each
		drawing or payment made thereunder and the obligations of Borrowers under this
		Agreement with respect thereto, and any security therefor or guaranty
		pertaining thereto. Upon any change in the Working Capital Loan Commitments or
		Letter of Credit Percentages of the Lenders pursuant to Section 2.17 or 9.13,
		it is hereby agreed that, with respect to all outstanding Letters of Credit and
		Unpaid Drawings relating thereto, there shall be an automatic adjustment to the
		participations pursuant to this Section 2.21 to reflect the new Letter of
		Credit Percentages of the assignor and assignee Lender, as the case may
		be.

	  

	 (b) In
		determining whether to pay under any Letter of Credit, no Letter of Credit
		Issuer shall have any obligation relative to the other Working Capital Lenders
		other than to confirm that any documents required to be delivered under such
		Letter of Credit appear to have been delivered and that they appear to
		substantially comply on their face with the requirements of such Letter of
		Credit. Any action taken or omitted to be taken by a Letter of Credit Issuer
		under or in connection with any Letter of Credit issued by it shall not create
		for such Letter of Credit Issuer any resulting liability to any Borrower, any
		Working Capital Lender or any other Person unless such action is taken or
		omitted to be taken with gross negligence or willful misconduct on the part of
		such Letter of Credit Issuer (as determined by a court of competent
		jurisdiction in a final and non-appealable decision).

	  

	 (c) In the
		event that a Letter of Credit Issuer makes any payment under any Letter of
		Credit issued by it and no Borrower shall have reimbursed such amount in full
		to such Letter of Credit Issuer pursuant to Section 2.22(a), such Letter of
		Credit Issuer shall promptly notify the Administrative Agent, which shall
		promptly notify each Letter of Credit Participant of such failure, and each
		Letter of Credit Participant shall promptly and unconditionally pay to such
		Letter of Credit Issuer the amount of such Letter of Credit Participant’s
		Letter of Credit Percentage of such unreimbursed payment in Dollars and in same
		day funds. If the Administrative Agent so notifies, prior to 12:00 Noon (New
		York City time) on any Business Day, any Letter of Credit Participant required
		to fund a payment under a Letter of Credit shall make available to the
		respective Letter of Credit Issuer in Dollars such Letter of Credit
		Participant’s Letter of Credit Percentage of the amount of such payment on
		such Business Day in 

	  

	 17

	  

	 
 
	  

	 same day
		funds. If and to the extent such Letter of Credit Participant shall not have so
		made its Letter of Credit Percentage of the amount of such payment available to
		such respective Letter of Credit Issuer, such Letter of Credit Participant
		agrees to pay to such Letter of Credit Issuer, forthwith on demand such amount,
		together with interest thereon, for each day from such date until the date such
		amount is paid to such Letter of Credit Issuer at the overnight Federal Funds
		Rate for the first three (3) days and at the interest rate applicable to
		Working Capital Loans that are maintained as Base Rate Loans for each day
		thereafter. The failure of any Letter of Credit Participant to make available
		to a Letter of Credit Issuer its Letter of Credit Percentage of any payment
		under any Letter of Credit issued by such Letter of Credit Issuer shall not
		relieve any other Letter of Credit Participant of its obligation hereunder to
		make available to such Letter of Credit Issuer its Letter of Credit Percentage
		of any payment under any Letter of Credit on the date required, as specified
		above, but no Letter of Credit Participant shall be responsible for the failure
		of any other Letter of Credit Participant to make available to such Letter of
		Credit Issuer such other Letter of Credit Participant’s Letter of Credit
		Percentage of any such payment.

	  

	 (d) Whenever
		a Letter of Credit Issuer receives a payment of a reimbursement obligation as
		to which it has received any payments from the Letter of Credit Participants
		pursuant to clause (c) above, such Letter of Credit Issuer shall pay to
		each such Letter of Credit Participant which has paid its Letter of Credit
		Percentage thereof, in Dollars and in same day funds, an amount equal to such
		Letter of Credit Participant’s share (based upon the proportionate
		aggregate amount originally funded by such Letter of Credit Participant to the
		aggregate amount funded by all Letter of Credit Participants) of the principal
		amount of such reimbursement obligation and interest thereon accruing after the
		purchase of the respective participations.

	  

	 (e) Upon the
		request of any Letter of Credit Participant, each Letter of Credit Issuer shall
		furnish to such Letter of Credit Participant copies of any standby Letter of
		Credit issued by it and such other documentation as may reasonably be requested
		by such Letter of Credit Participant.

	  

	 (f) The
		obligations of the Letter of Credit Participants to make payments to each
		Letter of Credit Issuer with respect to Letters of Credit shall be irrevocable
		and not subject to any qualification or exception whatsoever and shall be made
		in accordance with the terms and conditions of this Agreement under all
		circumstances, including, without limitation, any of the following
		circumstances:

	  

	 (i) any lack
		of validity or enforceability of this Agreement or any of the other Financing
		Documents;

	  

	 (ii) the
		existence of any claim, setoff, defense or other right which any Borrower may
		have at any time against a beneficiary named in a Letter of Credit, any
		transferee of any Letter of Credit (or any Person for whom any such transferee
		may be acting), the Administrative Agent, any Letter of Credit Participant, or
		any other Person, whether in connection with this Agreement, any Letter of
		Credit, the transactions contemplated herein or any unrelated transactions
		(including any underlying transaction between any Borrower and the beneficiary
		named in any such Letter of Credit);

	  

	 18

	  

	 
 
	  

	 (iii) any
		draft, certificate or any other document presented under any Letter of Credit
		proving to be forged, fraudulent, invalid or insufficient in any respect or any
		statement therein being untrue or inaccurate in any respect;

	  

	 (iv) the
		surrender or impairment of any security for the performance or observance of
		any of the terms of any of the Financing Documents; or

	  

	 (v) the
		occurrence of any Default or Event of Default.

	  

	 2.22 Agreement
		to Repay Letter of Credit Drawings.
		(a)  Each
		Borrower agrees to reimburse each Letter of Credit Issuer by making payment to
		the Administrative Agent for any payment or disbursement made by such Letter of
		Credit Issuer under any Letter of Credit issued by it (each such amount, so
		paid until reimbursed by the Borrowers, an “Unpaid
		Drawing”)
		on the date of such payment or disbursement, with interest on the amount so
		paid or disbursed by such Letter of Credit Issuer, to the extent not reimbursed
		on the date of such payment or disbursement, from and including the date paid
		or disbursed to but excluding the date such Letter of Credit Issuer was
		reimbursed by the Borrowers therefor at a rate per annum equal to the Base Rate
		as in effect from time to time plus the
		Applicable Margin as in effect from time to time for Working Capital Loans that
		are maintained as Base Rate Loans; provided,
		however, to the
		extent such amounts are not reimbursed prior to 12:00 Noon (New York City time)
		on the third Business Day following the date of such payment or disbursement,
		interest shall thereafter accrue on the amounts so paid or disbursed by such
		Letter of Credit Issuer (and until reimbursed by the Borrowers) at a rate per
		annum equal to the Base Rate as in effect from time to time plus the Applicable
		Margin for Working Capital Loans that are maintained as Base Rate Loans as in
		effect from time to time plus 2%,
		with such interest to be payable on demand. Each Letter of Credit Issuer shall
		give the Borrowers’ Agent prompt written notice of each Drawing under any
		Letter of Credit issued by it, provided that
		the failure to give any such notice shall in no way affect, impair or diminish
		the Borrowers’ obligations hereunder.

	  

	 (b) The
		obligations of each Borrower under this Section 2.22 to reimburse each Letter
		of Credit Issuer with respect to drafts, demands and other presentations for
		payment under Letters of Credit issued by it (each, a “Drawing”)
		(including, in each case, interest thereon) shall be absolute and unconditional
		under any and all circumstances and irrespective of any setoff, counterclaim or
		defense to payment which any Borrower may have or have had against any Lender
		(including in its capacity as a Letter of Credit Issuer or as a Letter of
		Credit Participant), including, without limitation, any defense based upon the
		failure of any drawing under a Letter of Credit to conform to the terms of the
		Letter of Credit or any nonapplication or misapplication by the beneficiary of
		the proceeds of such Drawing; provided,
		however, that
		the Borrowers shall not be obligated to reimburse any Letter of Credit Issuer
		for any wrongful payment made by such Letter of Credit Issuer under a Letter of
		Credit issued by it as a result of acts or omissions constituting willful
		misconduct or gross negligence on the part of such Letter of Credit Issuer (as
		determined by a court of competent jurisdiction in a final and non-appealable
		decision).

	  

	 2.23 Increased
		Costs. If at
		any time, the introduction of or any change in any applicable Law or in the
		interpretation or administration thereof by any Governmental Authority charged
		with the interpretation or administration thereof, or compliance by any Letter
		of Credit 

	  

	 19

	  

	 
 
	  

	 Issuer
		or any Letter of Credit Participant with any request or directive by any such
		Governmental Authority (whether or not having the force of Law), shall either
		(i) impose, modify or make applicable any reserve, deposit, capital
		adequacy or similar requirement against Letters of Credit issued by any Letter
		of Credit Issuer or participated in by any Letter of Credit Participant, or
		(ii) impose on any Letter of Credit Issuer or any Letter of Credit Participant
		any other conditions relating, directly or indirectly, to this Agreement or any
		Letter of Credit; and the result of any of the foregoing is to increase the
		cost to any Letter of Credit Issuer or any Letter of Credit Participant of
		issuing, maintaining or participating in any Letter of Credit, or reduce the
		amount of any sum received or receivable by any Letter of Credit Issuer or any
		Letter of Credit Participant hereunder or reduce the rate of return on its
		capital with respect to Letters of Credit (except for changes in the rate of
		tax on, or determined by reference to, the net income or net profits of such
		Letter of Credit Issuer or such Letter of Credit Participant pursuant to the
		Laws of the jurisdiction in which it is organized or in which its principal
		office or Applicable Lending Office is located or any subdivision thereof or
		therein), then, upon the delivery of the certificate referred to below to any
		Borrower by any Letter of Credit Issuer or any Letter of Credit Participant (a
		copy of which certificate shall be sent by such Letter of Credit Issuer or such
		Letter of Credit Participant to the Administrative Agent), the Borrowers agree
		to pay to such Letter of Credit Issuer or such Letter of Credit Participant
		such additional amount or amounts as will compensate such Letter of Credit
		Issuer or such Letter of Credit Participant for such increased cost or
		reduction in the amount receivable or reduction on the rate of return on its
		capital. Any Letter of Credit Issuer or any Letter of Credit Participant, upon
		determining that any additional amounts will be payable to it pursuant to this
		Section 2.23, will give prompt written notice thereof to the Borrowers’
		Agent, which notice shall include a certificate submitted to the
		Borrowers’ Agent by such Letter of Credit Issuer or such Letter of Credit
		Participant (a copy of which certificate shall be sent by such Letter of Credit
		Issuer or such Letter of Credit Participant to the Administrative Agent),
		setting forth in reasonable detail the basis for the calculation of such
		additional amount or amounts necessary to compensate such Letter of Credit
		Issuer or such Letter of Credit Participant. The certificate required to be
		delivered pursuant to this Section 2.23 shall, absent manifest error, be final
		and conclusive and binding on the Borrowers.

	  

	 2.24 Letter
		of Credit Fees.
		(a)  Each
		Borrower agrees to pay to the Administrative Agent for distribution to each
		Working Capital Lender (based on each such Working Capital Lender’s
		respective Letter of Credit Percentage) a fee in respect of each Letter of
		Credit (the “Letter
		of Credit Fee”)
		for the period from and including the date of issuance of such Letter of Credit
		to and including the date of termination or expiration of such Letter of
		Credit, computed at a rate per annum equal to the Applicable Margin as in
		effect from time to time during such period with respect to Working Capital
		Loans that are maintained as Eurodollar Loans on the daily Stated Amount of
		each such Letter of Credit. Accrued Letter of Credit Fees shall be due and
		payable quarterly in arrears on each Quarterly Date and upon the first Business
		Day on or after the termination of the Working Capital Loan Commitment upon
		which no Letters of Credit remain outstanding.

	  

	 (b) Each
		Borrower agrees to pay to each Letter of Credit Issuer, for its own account, a
		facing fee in respect of each Letter of Credit issued by it (the
		“Facing
		Fee”)
		for the period from and including the date of issuance of such Letter of Credit
		to and including the date of termination or expiration of such Letter of
		Credit, computed at a rate per annum equal to 

	  

	 20

	  

	 
 
	  

	 0.15% on
		the daily Stated Amount of such Letter of Credit. Except as otherwise provided
		in the proviso to the immediately preceding sentence, accrued Facing Fees shall
		be due and payable quarterly in arrears on each Quarterly Date and upon the
		first day on or after the termination of the Working Capital Loan Commitment
		upon which no Letters of Credit remain outstanding.

	  

	 (c) The
		Borrowers agree to pay to each Letter of Credit Issuer, for its own account,
		upon each payment under, issuance of, or amendment to, any Letter of Credit
		issued by it, such amount as shall at the time of such event be the
		administrative charge and the reasonable expenses which such Letter of Credit
		Issuer is generally imposing upon similarly situated borrowers with respect to
		letters of credit issued by such Letter of Credit Issuer.

	  

	 2.25 Obligation
		to Mitigate.
		 

	  

	 (a) Each
		Lender agrees after it becomes aware of the occurrence of an event that would
		entitle it to give notice pursuant to Section 2.12 (Illegality), 2.13
		(Increased
		Costs and Reduction of Return) or
		2.23 (Increased
		Costs), or to
		receive additional amounts pursuant to Section 2.11 (Net
		Payments), such
		Lender shall, to the extent that it can do so lawfully, use reasonable efforts
		to make, fund or maintain its affected Loan through another lending office if
		as a result thereof the increased costs would be avoided or materially reduced
		or the illegality would thereby cease to exist and if, in the reasonable
		opinion of such Lender, the making, funding or maintaining of such Loan through
		such other lending office would not be disadvantageous to such Lender or
		contrary to such Lender’s normal banking practices.

	  

	 (b) No
		change by a Lender in its Applicable Lending Office made for such Lender’s
		convenience shall result in any increased cost to the Borrowers.

	  

	 (c) If any
		Lender demands compensation pursuant to Section 2.13 (Increased
		Costs and Reduction of Return) with
		respect to any Eurodollar Loan, the Borrowers may, at any time upon at least
		five (5) Business Day’s prior notice to such Lender through the
		Administrative Agent, elect to convert such Loan into a Base Rate Loan.
		Thereafter, unless and until such Lender notifies the Borrowers that the
		circumstances giving rise to such notice no longer apply, all such Eurodollar
		Loans by such Lender shall bear interest as Base Rate Loans. If such Lender
		notifies the Borrowers that the circumstances giving rise to such notice no
		longer apply, the interest payable in respect of each such Loan shall, subject
		to the requirements of this Agreement (including Sections 2.8 and 2.10),
		automatically be converted to a Eurodollar Loan in accordance with this
		Agreement, on the first day of the next succeeding Interest Period applicable
		to the related Eurodollar Loans of other Lenders. 

	  

	 2.26 Termination
		or Reduction of Commitments.

	  

	 (a) Any
		unutilized Construction Loan Commitments shall be automatically and permanently
		terminated on the earlier of the Conversion Date and the Date Certain, in each
		case after giving effect to all Construction Loans, if any, to be made on such
		day.

	  

	 (b) Any
		unutilized Term Loan Commitments shall be automatically and permanently
		terminated on the earlier of the Conversion Date and the Date Certain, in each
		case after giving effect to all Term Loans, if any, to be made on such
		day.

	  

	 21

	  

	 
 
	  

	 (c) Any
		unutilized Construction Loan Commitments and the corresponding Term Loan
		Commitment may be terminated or reduced, in whole or in part, by the
		Borrowers’ Agent on a pro rata basis
		among all Lenders upon no less than thirty (30) days’ prior written notice
		to the Administrative Agent and satisfaction of each of the conditions set
		forth in Section 5.32(b).

	  

	 (d) The
		Pioneer Trail Construction Loan Commitments shall be automatically and
		permanently terminated in full if the initial Borrowing of the Pioneer Trail
		Construction Loan has not occurred on or before February 29, 2008. The Buffalo
		Lake Construction Loan Commitments shall be automatically and permanently
		terminated in full if the initial Borrowing of the Buffalo Lake Construction
		Loan has not occurred on or before February 29, 2008. 

	  

	 2.27 Alternative
		Projects.
		Each of
		the Lenders acknowledges that the Sponsor is currently contemplating the
		completion of an initial public offering of the Capital Stock of a Person which
		currently owns LLC Interests in the Sponsor following the Signing Date. Upon
		the successful completion of such initial public offering and so long as no
		Default or Event of Default shall have occurred and be continuing, the
		Administrative Agent and each Lender agrees that upon written notice from the
		Borrowers’ Agent, the Administrative Agent and such Lender shall consider
		in good faith any request by the Borrowers’ Agent to transfer its
		Commitments hereunder to one or more alternative ethanol projects then being
		developed by the Sponsor or any wholly-owned Subsidiary thereof. Any such
		transfer shall be subject to (i) the consent of each Lender and the
		Administrative Agent, (ii) completion by the Administrative Agent and each
		Lender of its internal credit approval and its business, legal, environmental,
		tax, financial, technical and accounting due diligence in connection with such
		alternative projects and the participants thereof and the Administrative
		Agent’s and the Lender’s satisfaction with the results thereof, (iii)
		the preparation, execution and delivery of all loan documentation and security
		documentation acceptable to the Administrative Agent and each of the Lenders
		(including any necessary amendments to this Agreement and the other Financing
		Documents) and (iv) to the extent that any Loans have been extended under this
		Agreement, satisfaction of each of the conditions set forth in Section 5.32(b).
		

	 
		 

		SECTION
		  3.  CONDITIONS
		  PRECEDENT.

		 

		3.1 Conditions
		  to Closing and Initial Construction Loans. The
		  obligation of any Lender to make its initial Construction Loan shall be subject
		  to the conditions precedent that each Lender shall have received, or shall have
		  waived receipt of by a written instrument signed by such Lender, the following,
		  each of which shall be in form and substance satisfactory to each Lender, and
		  that the other conditions set forth below in this Section 3.1 shall have been
		  satisfied or waived by each Lender by a written instrument signed by each
		  Lender:

		 

		(a) Transaction
		  Documents.
		  (i) Each of
		  the Financing Documents (other than the Term Notes) and each of the following
		  Project Documents shall have been duly authorized, executed and delivered by
		  each party thereto: each Master Agreement, each Corn Supply Agreement, each
		  Ethanol Marketing Agreement, each Distillers Grains Marketing Agreement, each
		  Grain Facility Lease, each UP Consent, the Buffalo Lake Land Purchase
		  Agreements, the Pioneer Trail Land Purchase Agreements, each EPC Contract, each
		  Delta-T License Agreement, 

		 

		22

		 

		
 
		 

		each LLC
		  Agreement, each TIC Indemnity Confirmation and each Payment and Performance
		  Bond. Each Lender shall have received an original of each such Transaction
		  Document to which it is a party (other than the Notes) executed by all parties
		  thereto and a copy of each other such Transaction Document.

		 

		(ii) Each
		  Lender shall have received a certificate of an Authorized Officer of each of
		  the Borrowers, dated the Closing Date, certifying that (A) each such Borrower
		  is not in default in the performance, observance or fulfillment of any of its
		  material obligations, covenants or conditions contained in any of the Project
		  Documents to which it is a party and delivered to the Lenders pursuant to
		  Section 3.1(a)(i) and, to the best of such Borrower’s knowledge, no
		  Project Participant is in default in the performance, observance or fulfillment
		  of any of its material obligations, covenants or conditions contained therein,
		  (B) each Project Document delivered to the Lenders pursuant to Section
		  3.1(a)(i) is in full force and effect, (C) the copy of each Project Document
		  delivered to the Lenders pursuant to Section 3.1(a)(i) is true, correct and
		  complete and (D) except as delivered to the Lenders pursuant to Section
		  3.1(a)(i), there are no agreements, side letters or other documents to which
		  any Borrower is a party which have the effect of modifying or supplementing in
		  any respect any of the respective rights or obligations of the Borrowers or any
		  Project Participant under any of such Project Documents.

		 

		(b) Notes. Each
		  of the Borrowers shall have duly authorized and executed two Construction Notes
		  and a Working Capital Note for the account of each Lender that has made a
		  request therefor pursuant to Section 2.7(b). Each such Construction Note and
		  Working Capital Note shall be appropriately completed with the name of the
		  payee, the maximum principal amount thereof and the date of issuance (which
		  shall be the Closing Date) inserted therein. Each
		  Construction Note and Working Capital Note shall be delivered by the Borrowers
		  to the Administrative Agent. As soon as practicable after the Closing Date, the
		  Administrative Agent shall deliver the Construction Notes and Working Capital
		  Notes received by it pursuant to the preceding sentence to the respective
		  payees thereof. 

		 

		(c) Funding
		  of Cash Equity Contributions. (i)
		  The Sponsor shall have made cash contributions to BFE Holdings in an aggregate
		  amount not less than $156,257,652
		  minus the net
		  proceeds of the TIF Indebtedness actually received by Pioneer Trail on or prior
		  to the Closing Date. BFE Holdings shall have made cash contributions to Opco in
		  an aggregate amount not less than $156,257,652
		  minus such
		  net proceeds of the TIF Indebtedness actually received by Pioneer Trail on or
		  prior to the Closing Date, of which (i) an amount equal to not less than
		  $81,352,308 in
		  respect of Buffalo Lake shall have been deposited into the Opco Equity
		  Contribution Account; and (ii) an amount equal to not less than $74,905,344 in
		  respect of Pioneer Trail minus such
		  net proceeds of the TIF Indebtedness actually received by Pioneer Trail on or
		  prior to the Closing Date shall have been contributed as equity contributions
		  to Pioneer Trail. All such contributions and proceeds in respect of Pioneer
		  Trail have been applied to the payment of Project Costs or deposited into the
		  Pioneer Construction Account. On the Closing Date the entire remaining balance
		  of cash contributions in the Construction Account to which the initial
		  Construction Loan relates shall be applied to the payment of Project Costs
		  along with the proceeds of such initial Construction Loan.

		 

		(ii) The
		  Sponsor shall have made in-kind equity contributions to BFE Holdings in respect
		  of the Voting Stock acquired by Cargill in an amount reasonably valued to
		  

		 

		23

		 

		
 
		 

		be not
		  greater than $2,000,000, which in-kind equity contributions shall have been
		  contributed by BFE Holdings to Opco and further contributed by Opco to Pioneer
		  Trail and Buffalo Lake as the case may be.

		

		(iii)
		   Cargill
		  shall have made cash and in-kind equity contribution to the Sponsor with the
		  total amount of not less than $9,500,000, which shall be contributed by Sponsor
		  to BFE Holdings for onward contribution to the Borrowers as Equity
		  Contributions and which at all times shall be subject to the terms and
		  conditions set forth herein.

		 

		(d) Charter
		  Documents. Each
		  Lender shall have received the following documents, each certified as indicated
		  below: 

		 

		(i) a copy
		  of the Charter Documents of each of the Borrowers, BFE Holdings and the Sponsor
		  as in effect on the Closing Date, certified by the Secretary of the State of
		  formation or incorporation of such Person, and a certificate, where available,
		  as to the good standing of and payment of franchise taxes by such Person from
		  the Secretary of the State of formation or incorporation of such Person, dated
		  as of a date no earlier than 10 days prior to the Closing Date;
		  and

		 

		(ii) a
		  certificate of an Authorized Officer of each of the Borrowers, BFE Holdings and
		  the Sponsor, dated the Closing Date, certifying (A) that attached thereto is a
		  true and complete copy of the Charter Documents of such Person, as in effect at
		  all times from the date on which the resolutions referred to in clause (B)
		  below were adopted to and including the date of such certificate, (B) that
		  attached thereto is a true and complete copy of resolutions duly adopted by the
		  board of directors (or other equivalent body) or evidence of all partnership,
		  limited liability company or corporate action, as the case may be, of such
		  Person, authorizing the execution, delivery and performance of the Transaction
		  Documents to which such Person is or is intended to be a party, and that such
		  resolutions have not been modified, rescinded or amended and are in full force
		  and effect, and (C) as to the name, incumbency and specimen signature of each
		  officer of such Person executing the Financing Documents to which such Person
		  is intended to be a party and each other document to be delivered by such
		  Person from time to time in connection therewith (and the Secured Parties may
		  conclusively rely on such certificate until the Administrative Agent receives a
		  replacement certificate in the form described in this clause (C) from such
		  Person).

		 

		(e) Independent
		  Engineer’s Report and Market Consultants’ Report.
		  

		 

		(i) Each
		  Lender shall have received a report of the Independent Engineer, dated as of
		  July 27, 2006, as to such matters with respect to the Project as the
		  Administrative Agent shall reasonably request, including the technical and
		  economic feasibility of each Plant, the ability of such Plant to meet
		  regulatory and contractual requirements, the status of all Necessary
		  Governmental Approvals for such Plant, the reasonableness of the Construction
		  Budget, the operating performance assumptions, the engineering design of the
		  Project, and the adequacy and appropriateness of the Performance Tests, the
		  Performance Guarantees, the Payment and Performance Bonds, the EPC Contracts,
		  the O&M Agreements and such other Project Documents as the Administrative
		  Agent shall reasonably request. 

		 

		24

		 

		
 
		 

		(ii) Each
		  Lender shall have received reports of the Ethanol Market Consultant and
		  Distillers Grains Market Consultant, each of which shall be dated June 2006, as
		  to such matters with respect to the Project as the Administrative Agent shall
		  reasonably request, including the agricultural industry and the ethanol
		  market.

		 

		(f) Governmental
		  Approvals. Each
		  Lender shall have received originals (or copies certified by an Authorized
		  Officer of each of the Borrowers to be true and complete copies) of all
		  Necessary Governmental Approvals (other than the Necessary Governmental
		  Approvals relating to the construction, installation, operation and maintenance
		  of the Plant that is not the subject of the initial Construction Loans) and, if
		  requested, certified copies of all applications made for such Governmental
		  Approvals and all material correspondence received or sent in respect of such
		  applications; provided that
		  with respect to Governmental Approvals which cannot be obtained on or prior to
		  the Closing Date in the exercise of reasonable diligence (but which are
		  routinely obtainable and can be obtained at a later stage of construction,
		  after completion of certain operations testing or after a period of
		  operations), the Lenders shall have received satisfactory assurances that such
		  Governmental Approvals will be obtained by the time when needed in connection
		  with the construction or operation of the Project. 

		 

		(g) Filings,
		  Registrations and Recordings. The
		  Administrative Agent shall have received a UCC report as of a date no less
		  recent than seven (7) Business Days before the Closing Date, listing all
		  effective financing statements that name any
		  Borrower or BFE Holdings as “Debtor” and that are filed in the State
		  of Delaware, Minnesota or Nebraska, together with copies of such financing
		  statements. Any
		  document required to be filed, registered, notarized or recorded in order to
		  create and perfect the Security Interests as first priority Liens shall have
		  been properly filed, registered, notarized or recorded in each office in each
		  jurisdiction in which such filings, registrations, notarizations and
		  recordations are required, and any other action required in the judgment of the
		  Collateral Agent (acting on instructions of Administrative Agent) to perfect
		  such Security Interests as such first priority Liens (including delivery of
		  possession of any original instrument or other documents or the grant of
		  “control” within the meaning of the Uniform Commercial Code to the
		  Collateral Agent) shall have been effected, and the Collateral Agent (on behalf
		  of the Administrative Agent) shall have received acknowledgment copies or other
		  evidence satisfactory to it that all necessary filing, notarization, recording
		  and other fees and all taxes and expenses related to such filings,
		  notarizations, registrations and recordings have been paid in full.
		  

		 

		(h) Pledge
		  Agreements. Each
		  Lender shall have received evidence satisfactory to such Lender that the
		  Pledged Securities required to be delivered to the Collateral Agent pursuant to
		  each Pledge Agreement, together with such other documents as are necessary to
		  perfect the interests of the Secured Parties in and to the Collateral covered
		  thereby with the priority contemplated therefor by each Pledge Agreement have
		  been delivered. 

		 

		(i) BFE
		  Holdings Certificates.  Each
		  Lender shall have received a certificate signed by an Authorized Officer of BFE
		  Holdings, dated the Closing Date, to the effect that (i) the representations
		  and warranties of BFE Holdings set forth in the Transaction Documents are true
		  and correct in all material respects on and as of such date as if made on and
		  as of such date (or, if stated to have been made solely as of an earlier date,
		  were true and correct as of such 

		 

		25

		 

		
 
		 

		earlier
		  date) and (ii) BFE Holdings is in compliance with in all material respects all
		  of its agreements contained in any Transaction Document to which it is a
		  party.

		 

		(j) Sponsor
		  Certificates.  Each
		  Lender shall have received a certificate signed by an Authorized Officer of the
		  Sponsor, dated the Closing Date, to the effect that (i) the representations and
		  warranties of the Sponsor set forth in the Transaction Documents are true and
		  correct in all material respects on and as of such date as if made on and as of
		  such date (or, if stated to have been made solely as of an earlier date, were
		  true and correct as of such earlier date) and (ii) the Sponsor is in compliance
		  with in all material respects all of its agreements contained in any
		  Transaction Document to which it is a party.

		 

		(k) Financial
		  Information, etc.

		 

		(i) Each
		  Lender shall have received copies of the most recent financial statements from
		  each of the Borrowers, BFE Holdings and the Sponsor, together with a
		  certificate from the chief financial officer or other Authorized Officer of
		  such Person, dated the Closing Date, to the effect that, to the best of such
		  officer’s knowledge, (A) such financial statements are true, complete and
		  correct in all material respects and (B) there has been no material adverse
		  change in the financial condition, operations, Properties, business or
		  prospects of such Person since the date of such financial statements.
		  

		 

		(ii) To the
		  extent that such other financial, business and other information regarding the
		  Project Participants is obtainable by any Borrower upon the exercise of its
		  reasonable efforts, each Lender shall have received such information regarding
		  the Project Participants as each such Lender shall have reasonably requested.
		  

		 

		(l) Base
		  Case Projections. Each
		  Lender shall have received the Base Case Projections, which shall project (x)
		  an average Historical Debt Service Coverage Ratio for the period covered
		  thereby commencing on June 30, 2008 of not less than 7.00:1.00, and a minimum
		  Historical Debt Service Coverage Ratio for each full Operating Year during such
		  period of not less than 4.50:1.00, and (y) a Ratio of Debt to Total Project
		  Costs of no more than 0.60:1.00 at all times.

		 

		(m) Process
		  Agent. Each
		  Lender shall have received a copy of a letter from CT Corporation System
		  accepting its appointment as process agent in New York for each of the
		  Borrowers and BFE Holdings, in substantially the form of Exhibit C
		  hereto.

		 

		(n) Legal
		  Opinions. Each
		  of the Secured Parties shall have received original counterparts of the
		  following legal opinions, which legal opinions shall be dated the Closing Date
		  and addressed to each such Secured Party:

		 

		(i) A legal
		  opinion of Chadbourne & Parke LLP, special New York counsel to the
		  Borrowers,
		  BFE Holdings and the Sponsor, in
		  form, scope and substance satisfactory to each Secured Party. 

		 

		(ii) A legal
		  opinion of McGrath North Mullin & Kratz, PC LLO, special Nebraska counsel
		  to Borrowers, BFE Holdings and the Sponsor, in form, scope and substance
		  satisfactory to each Secured Party. 

		 

		26

		 

		
 
		 

		(iii) A legal
		  opinion of Dorsey & Whitney LLP, special Minnesota counsel to the
		  Borrowers, BFE Holdings and the Sponsor, in form, scope and substance
		  satisfactory to each Secured Party. 

		 

		(iv) An
		  opinion of Akin Gump Strauss Hauer & Feld LLP, counsel to Subordinated
		  Lenders (other than Third Point Management Company, LLC, Daniel
		  S. Loeb, Lawrence J. Bernstein and Todd Q. Swanson) and
		  Greenlight APE, LLC, as agent of the Subordinated Lenders, in form, scope and
		  substance satisfactory to each Secured Party. 

		 

		(v) An
		  opinion of Willkie
		  Farr & Gallagher LLP,
		  counsel to Third Point Management Company, LLC, Daniel
		  S. Loeb, Lawrence J. Bernstein and Todd Q. Swanson, as
		  Subordinated Lenders, in form, scope and substance satisfactory to each Secured
		  Party. 

		 

		(vi) An
		  opinion of Bingham McCutchen LLP, counsel to the Collateral Agent, in form,
		  scope and substance and given by counsel satisfactory to each Secured
		  Party.

		 

		(o) Environmental
		  Matters.
		  (i) Each
		  Lender shall have received an environmental report with respect to the Project,
		  which shall be dated June 2006, prepared by the Independent Engineer, with such
		  scope as the Administrative Agent shall have requested.

		 

		(ii) Each
		  Lender shall have received an Environmental Site Assessment Report with respect
		  to each Plant.

		 

		(iii) Each
		  Lender shall have received an Environmental Site Assessment Report with respect
		  to the real property which is the subject of the Buffalo Lake Grain Facility
		  Lease and the Pioneer Lake Grain Facility Lease.

		 

		(p) Acquisition
		  of the Land. (i)
		  Buffalo Lake shall have (A) acquired fee simple title of the Buffalo Lake
		  Land (other than the portion of Buffalo Lake Land as referred to in the Buffalo
		  Lake Grain Facility Lease), free and clear of all Liens (other than the Liens
		  permitted under Sections 5.12(a), (c) and (e)), pursuant to: (1) the Option to
		  Purchase Agreement dated August 25, 2005 by and between Kathleen M. Mosloski,
		  Trustee of the Blossom Mary Spencer Irrevocable Trust dated December 31, 1996,
		  and Kathleen M. Mosloski, Trustee of the James Bernard Spencer Irrevocable
		  Trust dated December 31, 1996 (collectively “Spencer”)
		  and Cargill as assigned in the Assignment and Assumption of Option to Purchase
		  Agreement dated June 30, 2006, by and between Cargill and Spencer; as
		  subsequently amended and assigned in the Amendment, Assignment, Assumption and
		  Termination of Option to Purchase Agreement dated June 30, 2006, by and between
		  Spencer, Cargill and Buffalo Lake; (2) the Option to Purchase Agreement dated
		  September 7, 2005, by and between Dorie J. Schwieger, a single person, and
		  Dorie J. Schwieger, as personal representative of the Estate of
		  Robert A. Schwieger and Cargill, as assigned in the Assignment and
		  Assumption of Option to Purchase Agreement dated June 30, 2006, by and between
		  Cargill and BioFuel Energy, LLC, as further assigned in the Assignment and
		  Assumption of Option to Purchase Agreement, dated August 2, 2006, by and
		  between BioFuel Energy, LLC and Buffalo Lake; (3) the Option Agreement dated
		  January 23, 2006, by and between CHS, Inc. and Cargill, as amended pursuant to
		  the Amendment to Option Agreement, dated February 24, 2006, by and between CHS,
		  Inc. and Cargill, as assigned in the 

		 

		27

		 

		
 
		 

		Assignment
		  and Assumption of Option Agreement, dated September 13, 2006, by and between
		  Cargill and Buffalo Lake; and (4) a Development Contract dated September 23,
		  2005, by and between the Fairmont Economic Development Authority, the City of
		  Fairmont and Buffalo Lake (collectively,
		  the “Buffalo
		  Lake Land Purchase Agreements”);
		  and shall have caused the Buffalo Lake Mortgage(s) to be duly registered
		  or recorded in accordance with applicable Laws; and (B) acquired a leasehold
		  interest in certain portion of Buffalo Lake Land as referred to in the Buffalo
		  Lake Grain Facility Lease, free and clear of all Liens (other than the Liens
		  permitted under Sections 5.12(a), (c) and (e) hereof). 

		 

		(ii)
		    Pioneer
		  Trail shall have (A) acquired fee simple title of the Pioneer Trail Land
		  (other than the portion of Pioneer Trail Land as referred to in the Pioneer
		  Trail Grain Facility Lease) pursuant
		  to: (1) the Sale and Purchase of Property Agreement dated July 5, 2006, by and
		  among Four-M Ltd. and Arlene Mettinbrink Life Estate and Pioneer Trail and (2)
		  the Contribution Agreement to be entered into prior to Closing Date by and
		  between Cargill and Pioneer Trail in form
		  and substance satisfactory to the Administrative Agent and each
		  Lender
		  (collectively, the “Pioneer
		  Trail Land Purchase Agreements”);
		  (B) acquired a leasehold interest in certain portion of Pioneer Trail Land as
		  referred to in the Pioneer Trail Grain Facility Lease; and (C) acquired a
		  negative easement and/or restrictive covenant interest in the groundwater and
		  surface water rights appurtenant to the portion of the Pioneer Trail Land as
		  referred to in the Pioneer Trail Water Rights Deed to be
		  entered into prior to the Closing Date by and between Leisingers and Pioneer
		  Trail, in form and substance satisfactory to the Administrative Agent and each
		  Lender, in
		  each case, free and clear of all Liens (other than the Liens permitted under
		  Sections 5.12(a), (c) and (e) hereof). 

		 

		(q) Title
		  Insurance; Survey. (i)  Buffalo
		  Lake shall have obtained (x) a mortgage policy of title insurance issued
		  by First American Title Insurance Company, in favor of the Collateral Agent for
		  the benefit of the Secured Parties, together with such endorsements as are
		  reasonably requested by the Administrative Agent, in each case in form and
		  substance satisfactory to the Administrative Agent, in an amount not less than
		  $109,332,147.25, that
		  shall (A) insure the validity and priority of the Lien created under the
		  Buffalo Lake Mortgage, (B) contain a pending disbursement provision
		  satisfactory to the Administrative Agent and (C) be accompanied by such
		  reinsurance agreements as may be reasonably requested by the Administrative
		  Agent (the “Buffalo
		  Lake Title Insurance Policy”);
		  and (y) an ALTA/ACSM survey of recent date of the Buffalo Lake Land,
		  certified to the Collateral Agent, the Title Insurance Company and Buffalo
		  Lake, which survey shall be in form and substance satisfactory to the
		  Administrative Agent and the Title Insurance Company, and shall show
		  (A) as to the Buffalo
		  Lake Plant site,
		  the exact location and dimensions thereof, including the location of all means
		  of access thereto and all easements relating thereto and (B) that the location
		  of the Buffalo Lake Plant does not encroach on or interfere with adjacent
		  property or existing easements or other rights (whether on, above or below
		  ground) that can be located or plotted on the survey, and that there are no
		  other survey defects that are material in nature; and (C)  no easements,
		  rights-of-way or encumbrances, other than Permitted Liens. 

		 

		(ii) Pioneer
		  Trail shall have obtained (x) a mortgage policy of title insurance issued
		  by First American Title Insurance Company, in favor of the Collateral Agent for
		  the benefit of the Secured Parties, together with such endorsements as are
		  reasonably requested by the Administrative Agent, in each case in form and
		  substance satisfactory to the 

		 

		28

		 

		
 
		 

		Administrative
		  Agent, in an amount not less than $100,667,852.75, that
		  shall (A) insure the validity and priority of the Lien created under the
		  Pioneer Trail Mortgage (except
		  for the lien created on the negative easement and/or restrictive covenant
		  interest in the groundwater and surface water rights appurtenant to the portion
		  of the Pioneer Trail Land as referred to in the Pioneer Trail Water Rights
		  Deed) and
		  (B) contain a pending disbursement provision satisfactory to the
		  Administrative Agent and (C) be accompanied by such reinsurance agreements as
		  may be reasonably requested by the Administrative Agent (the “Pioneer
		  Trail Title Insurance Policy”);
		  and (y) an ALTA/ACSM survey of recent date of the Pioneer Trail Land,
		  certified to the Collateral Agent, the Title Insurance Company and Pioneer
		  Trail, which survey shall be in form and substance satisfactory to the
		  Administrative Agent and the Title Insurance Company, and shall show
		  (A) as to the Pioneer Trail Plant site, the exact location and dimensions
		  thereof, including the location of all means of access thereto and all
		  easements relating thereto and (B) that the location of the Pioneer Trail Plant
		  does not encroach on or interfere with adjacent property or existing easements
		  or other rights (whether on, above or below ground) that can be located or
		  plotted on the survey, and that there are no other survey defects that are
		  material in nature; and (C)  no easements, rights-of-way or encumbrances,
		  other than Permitted Liens. 

		 

		(r) Fees. (i) On
		  the date hereof, the Sponsor and the Borrowers shall have paid all fees, costs
		  and charges payable by them under the Fee Letters; (ii) on the date hereof the
		  Borrowers shall have paid, or made arrangements satisfactory to the
		  Administrative Agent to pay, all the other fees, costs and charges payable by
		  them under all the other Financing Documents, including the initial
		  fees payable by Borrowers in connection with Mezzanine Debt, on or prior to the
		  Closing Date.

		 

		(s) Mezzanine
		  Debt Documents. Each
		  of the Mezzanine Debt Documents shall have been executed and delivered by each
		  of the parties thereto.

		 

		(t) Information
		  Memorandum. An
		  Authorized Officer of each of the Borrowers shall have certified that the
		  Information Memorandum is true, complete and accurate in all material respects
		  in accordance with the requirements of Section 4.19.

		 

		(u) “Know
		  Your Customer” Requirements. Each
		  of the Lenders and the Agents shall have received at least five (5) Business
		  Days prior to the Signing Date all documentation and other information required
		  by bank regulatory authorities under applicable “know your customer”
		  and anti-money-laundering rules and regulations, including the Patriot
		  Act.

		 

		(v) Commencement
		  of Work.  Pioneer
		  Trail shall have duly authorized and executed a Notice of Commencement in
		  recordable form with respect to the Pioneer Trail Land upon which the Pioneer
		  Trail Plant will be located, prepared in accordance with the requirements of
		  Nebraska Revised Statutes Section 52-145, and the EPC Contractor shall have
		  commenced work under the Pioneer Trail EPC Contract.

		 

		3.2 Conditions
		  to First Borrowing for Each Plant. In
		  addition to the conditions set forth in Section 3.1, the obligation of any
		  Lender to make its initial Buffalo Lake Construction Loan or its initial
		  Pioneer Trail Construction Loan, as the case may be, shall be subject to the
		  conditions precedent that each Lender shall have received, or shall have waived
		  

		 

		29

		 

		
 
		 

		receipt
		  of by a written instrument signed by such Lender, the following, each of which
		  shall be in form and substance satisfactory to each Lender, and that the other
		  conditions set forth below in this Section 3.2 shall have been satisfied or
		  waived by each Lender by a written instrument signed by each
		  Lender:

		 

		(a) Transaction
		  Documents.
		  (i) Each of
		  the Buffalo Lake Project Documents or the Pioneer Trail Project Documents, as
		  the case may be, in respect of the Plant to which such initial Disbursement of
		  such Construction Loan relates (other than (A) the Project Documents delivered
		  to the Lenders pursuant to Section 3.1(i)1.); (B)
		  the O&M Agreements provided that
		  forms of the O&M Agreements, in form and substance satisfactory to the
		  Administrative Agent and each Lender, shall be delivered by the Borrowers’
		  Agent to the Administrative Agent prior to the initial Disbursement of the
		  Buffalo Lake Construction Loans or Pioneer Trail Construction Loans, as the
		  case may be; and (C) any Additional Project Documents not then in existence)
		  shall have been duly authorized, executed and delivered by each party thereto.
		  Each Lender shall have received an original of each such Project Document to
		  which it is a party (other than the Notes) executed by all parties
		  thereto.

		 

		(ii) Each
		  Lender shall have received a certificate of an Authorized Officer of each of
		  the Borrowers, dated the date of initial Disbursement of such Construction
		  Loan, certifying that (A) each such Borrower is not in default in the
		  performance, observance or fulfillment of any of its material obligations,
		  covenants or conditions contained in any of the Project Documents to which it
		  is a party and, to the best of such Borrower’s knowledge, no Project
		  Participant is in default in the performance, observance or fulfillment of any
		  of its material obligations, covenants or conditions contained therein, (B)
		  each such Project Document is in full force and effect, (C) the copy of each
		  Project Document delivered to the Lenders pursuant to Section 3.2(a)(i) is
		  true, correct and complete and (D) except as delivered to the Lenders pursuant
		  to Sections 3.1(a)(i) and 3.2(a)(i), there are no agreements, side letters or
		  other documents to which any Borrower is a party which have the effect of
		  modifying or supplementing in any respect any of the respective rights or
		  obligations of the Borrowers or any Project Participant under any of such
		  Project Documents.

		 

		(b) No
		  Funding of Project Cost Overruns. On the
		  date of the initial Disbursement of the Buffalo Lake Construction Loan, the
		  Administrative Agent shall have received (i) a certificate of an Authorized
		  Officer of the Borrowers’ Agent, together with all necessary supporting
		  information, certifying that the Pioneer Trail Project Costs paid for by means
		  of funds transferred from the Opco Equity Contribution Account pursuant to the
		  Account Agreement are not in excess of the amounts set forth in respect of such
		  Pioneer Trail Project Costs in the Construction Budget and (ii) a certificate
		  of the Independent Engineer confirming such certificate of the Borrowers’
		  Agent. On the date of the initial Disbursement of the Buffalo Lake Construction
		  Loan, the entire remaining balance of cash contributions in the Opco Equity
		  Contribution Account shall be transferred into the Buffalo Lake Construction
		  Account and applied to the payment of Project Costs along with the proceeds of
		  such initial Buffalo Lake Construction Loan. 

		 

		(c) Insurance.
		  Insurance complying with the provisions of Section 5.9 hereof shall be in full
		  force and effect, and each Lender shall have received a binder or certificates
		  signed by the insurer or a broker authorized to bind the insurer with respect
		  to each policy of 

		 

		30

		 

		
 
		 

		insurance
		  required to be in effect pursuant to Section 5.9 hereof evidencing such
		  insurance (including the designation of the Collateral Agent as loss payee
		  thereunder to the extent required by Section 5.9 hereof). The EPC Contractor
		  shall have provided evidence satisfactory to each Lender that insurance
		  required to be provided by the EPC Contractor in accordance with the provisions
		  of the EPC Contract to which such initial Disbursement of the Construction Loan
		  relates shall be in full force and effect. In addition, each Lender shall have
		  received a report from the Insurance Advisor as to such matters regarding the
		  insurance coverage maintained with respect to the Project (including insurance
		  required to be maintained by the EPC Contractor) as the Administrative Agent
		  shall reasonably request, and a certificate from the Insurance Advisor dated
		  the date of initial Disbursement of such Construction Loan, certifying that all
		  insurance policies required to be maintained (or caused to be maintained) by
		  the Borrowers pursuant to Section 5.9 hereof have been obtained and are in full
		  force and effect on the date of initial Disbursement of such Construction Loan,
		  and such insurance policies comply in all respects with the requirements of
		  Section 5.9 hereof. 

		 

		(d) Independent
		  Engineer’s “Bring Down”. Each
		  Lender shall have received a “bring down” from the Independent
		  Engineer, which shall be dated as of a date which is no more than thirty
		  (30) days prior to the date of such initial Disbursement of such
		  Construction Loan, with respect to the report from the Independent Engineer
		  provided pursuant to Section 3.1(e)(i). 

		 

		(e) Governmental
		  Approvals. Each
		  Lender shall have received originals (or copies certified by an Authorized
		  Officer of the Borrowers’ Agent to be true and complete copies) of all
		  Necessary Governmental Approvals relating to or affecting the Plant which is
		  the subject of such initial Disbursement of such Construction Loan and, if
		  requested, certified copies of all applications made for such Governmental
		  Approvals and all material correspondence received or sent in respect of such
		  applications; provided that
		  with respect to Governmental Approvals which cannot be obtained on or prior to
		  the date of initial Disbursement of such Construction Loan in the exercise of
		  reasonable diligence (but which are routinely obtainable and can be obtained at
		  a later stage of construction, after completion of certain operations testing
		  or after a period of operations), the Lenders shall have received satisfactory
		  assurances that such Governmental Approvals will be obtained by the time when
		  needed in connection with the construction or operation of the Project.
		  Notwithstanding the foregoing, the Lender shall have received copies of each of
		  the Necessary Governmental Approvals set forth on Schedule 3.2(e) relating to
		  or affecting the Plant which is the subject of such initial Disbursement of
		  such Construction Loans, and each such approval shall have been duly obtained
		  and shall be final, non-appealable and in full force and effect.

		 

		(f) Borrowers’
		  Certificate. Each
		  Lender shall have received an original counterpart of a certificate of an
		  Authorized Officer of each of the Borrowers, dated the date of such initial
		  Disbursement of such Construction Loan, to the effect that: (i) the
		  representations and warranties of such Borrower contained in Section 4 hereof
		  and the representations and warranties of the Borrowers contained in each of
		  the other Financing Documents to which the Borrowers is a party are true and
		  correct in all material respects on and as of such date as if made on and as of
		  such date (or, if stated to have been made solely as of an earlier date, were
		  true and correct as of such earlier date), (ii) all Financing Documents are in
		  full force and effect under the terms and conditions set forth in such
		  Financing Documents and (iii) no Default or Event of Default has occurred and
		  is continuing.

		 

		31

		 

		
 
		 

		(g) Cargill
		  Certificates.  Each
		  Lender shall have received a certificate signed by an Authorized Officer of
		  Cargill, dated the date of such initial Disbursement of such Construction Loan,
		  to the effect that (i) the representations and warranties of Cargill set forth
		  in the Transaction Documents are true and correct in all material respects on
		  and as of such date as if made on and as of such date (or, if stated to have
		  been made solely as of an earlier date, were true and correct as of such
		  earlier date) and (ii) Cargill is in compliance with in all material respects
		  all of its agreements contained in any Transaction Document to which it is a
		  party.

		 

		(h) EPC
		  Contractor Certificates.  Each
		  Lender shall have received a certificate signed by an Authorized Officer of the
		  EPC Contractor, dated the date of such initial Disbursement of such
		  Construction Loan, to the effect that (i) the representations and warranties of
		  the EPC Contractor set forth in the Transaction Documents are true and correct
		  in all material respects on and as of such date as if made on and as of such
		  date (or, if stated to have been made solely as of an earlier date, were true
		  and correct as of such earlier date) and (ii) the EPC Contractor is in
		  compliance with in all material respects all of its agreements contained in any
		  Transaction Document to which it is a party.

		 

		(i) Delta-T
		  Certificates.  Each
		  Lender shall have received a certificate signed by an Authorized Officer of
		  Delta-T, dated the date of such initial Disbursement of such Construction Loan,
		  to the effect that (i) the representations and warranties of Delta-T set forth
		  in the Transaction Documents are true and correct in all material respects on
		  and as of such date as if made on and as of such date (or, if stated to have
		  been made solely as of an earlier date, were true and correct as of such
		  earlier date) and (ii) Delta-T is in compliance with in all material respects
		  all of its agreements contained in any Transaction Document to which it is a
		  party.

		 

		(j) Intentionally
		  Omitted.

		 

		(k) Construction
		  Budget. Each
		  Lender shall have received the Construction Budget relating to the Plant to
		  which such initial Disbursement of such Construction Loan relates.

		 

		(l) Utilities. Each
		  Lender shall have received an original counterpart of a certificate of an
		  Authorized Officer of each of the Borrowers, dated the date of such initial
		  Disbursement of such Construction Loan, to the effect that all utility services
		  necessary for the construction and operation of the Plant to which such initial
		  Disbursement of such Construction Loan relates (including, without limitation,
		  gas, potable and raw water supply, storm, electric, telephone and sewage
		  services and facilities) have been committed to such Plant (with a true copy of
		  binding agreements (if any) which evidence the same) by appropriate utilities,
		  authorities or other Persons, or are otherwise available to the relevant
		  Borrower in the ordinary course of business, in each case on terms consistent
		  with those reflected in the relevant Construction Budget and the Base Case
		  Projections. 

		 

		(m) Legal
		  Opinions. Each
		  of the Secured Parties shall have received original counterparts of the
		  following legal opinions, which legal opinions shall be dated the date of such
		  initial Disbursement of such Construction Loan and addressed to each such
		  Secured Party:

		 

		32

		 

		
 
		 

		(i) A legal
		  opinion of Chadbourne & Parke LLP, special New York counsel to the
		  Borrowers, BFE Holdings and the Sponsor, in form, scope and substance
		  satisfactory to each Secured Party. 

		 

		(ii) A legal
		  opinion of McGrath
		  North Mullin & Kratz, PC LLO,
		  special Nebraska counsel to the Borrowers, BFE Holdings and the Sponsor, in
		  form, scope and substance satisfactory to each Secured Party. 

		 

		(iii) A legal
		  opinion of Dorsey
		  &
		  Whitney LLP, special Minnesota counsel to the Borrowers, BFE Holdings and the
		  Sponsor, in form, scope and substance satisfactory to each Secured Party.
		  

		 

		(iv) Opinion(s)
		  of counsel(s) to each of Delta-T, each of which opinions shall be in form,
		  scope and substance and given by counsel satisfactory to each Secured
		  Party.

		 

		(v) An
		  opinion of counsel to the EPC Contractor, in form, scope and substance and
		  given by counsel satisfactory to each Secured Party. 

		 

		(vi)  An
		  opinion of counsel to Cargill, in form,
		  scope and substance and given by counsel satisfactory to each Secured
		  Party.

		 

		(vii) With
		  respect to the initial Construction Loan relating to Pioneer Trail, the opinion
		  specified in Section 5.13(d) relating to the TIF Indebtedness.

		 

		(viii) With
		  respect to Pioneer Trail, an opinion of special counsel to the Borrowers in
		  Nebraska relating to water allocation, which opinion shall be in form, scope
		  and substance and given by counsel satisfactory to each Secured
		  Party.

		 

		(n) Intentionally
		  Omitted.

		 

		(o) Rail
		  Interconnection. Each
		  Lender has received evidence that the Borrowers have made rail interconnections
		  and other arrangements with the Railroad as are necessary for the construction
		  and operation of the Plant which is the subject of such initial Construction
		  Loan. 

		 

		(p) Commencement
		  of Work. Each
		  Lender shall have received evidence that the EPC
		  Contractor shall
		  have received and accepted the “Notice to Proceed” (as defined in the
		  Pioneer Trail EPC Contract) and the “Notice to Proceed” (as defined
		  in the Buffalo Lake EPC Contract) relating to the Plant to which such initial
		  Disbursement of such Construction Loan relates.

		 

		(q) Environmental
		  Matters.
		  (i) Each
		  Lender shall have received a “bring down” from the Independent
		  Engineer, which shall be dated as of a date which is no more than thirty
		  (30) days prior to the date of such initial Construction Loan, with
		  respect to the report relating to environmental matters from the Independent
		  Engineer provided pursuant to Section 3.1(o)(i).

		 

		33

		 

		
 
		 

		(ii) The
		  Plant which is the subject of such initial Construction Loan and such
		  Project’s design and operation shall be in compliance with all applicable
		  Environmental Laws in all material respects.

		 

		(iii) Each
		  Lender shall have received a “bring down” and reliance letter,
		  such
		  “bringdown” and reliance letter shall
		  be dated as of a date which is no more than thirty (30) days prior to the date
		  of such initial Construction Loan, relating to the Environmental Site
		  Assessment Report with respect to the Plant which is the subject of such
		  initial Construction Loan provided pursuant to Section 3.1(o)(ii).

		 

		(iv) Each
		  Lender shall have received a “bring down” and reliance letter,
		  such
		  “bringdown” and reliance letter shall
		  be dated as of a date which is no more than thirty (30) days prior to the date
		  of such initial Construction Loan, relating to the Environmental Site
		  Assessment Report with respect to, as applicable, the real property which is
		  the subject of the Buffalo Lake Grain Facility Lease and the Pioneer Lake Grain
		  Facility Lease provided pursuant to Section 3.1(o)(iii).

		 

		(r) Material
		  Adverse Effect. No
		  event, occurrence or condition that has had, or would reasonably be expected to
		  have, a Material Adverse Effect shall have occurred and be
		  continuing.

		 

		(s) Lien
		  Searches. The
		  Administrative Agent shall have received completed requests for information or
		  lien search reports, dated no more than seven (7) Business Days before the date
		  of such Borrowing, listing all effective UCC financing statements, fixture
		  filings or other filings evidencing a security interest filed in Delaware or
		  the jurisdiction where the Plant for which such Borrowing is requested is
		  located, and any other jurisdictions requested by the Administrative Agent that
		  name any Borrower or BFE Holdings as a debtor, together with copies of each
		  such UCC financing statement, fixture filing or other filings.

		 

		(t) Confirmation
		  of Conditions to First Disbursement. The
		  Administrative Agent shall have received a duly executed certificate of an
		  Authorized Officer of the Borrowers’ Agent certifying that the conditions
		  set forth in Section 3.1 continue to be satisfied as of the date of such
		  Disbursement.

		 

		(u) Archaeological
		  Artifacts and Artificial Underground Objects or Constructions. With
		  respect to Pioneer Trail Land only, the Administrative Agent shall have
		  received a certified copy of the letter from the State of Nebraska certifying
		  that there is no historical archaeological artifacts or artificial
		  underground objects or constructions in, on,
		  underneath or adjacent to the Pioneer Trail Land which could adversely impact
		  the implementation schedule of the Pioneer Trail Plant in accordance with the
		  Pioneer Trail EPC Contract or could cause the cost to Borrowers of
		  implementation of the Pioneer Trail Plant to increase.

		 

		3.3 Initial
		  and Subsequent Construction Loans. The
		  obligation of any Lender to make its initial Construction Loan or any
		  subsequent Construction Loan on any Disbursement Date shall be subject to the
		  conditions precedent that, both immediately prior to the making of such initial
		  Construction Loan and each such subsequent Construction Loan and also after
		  giving 

		 

		34

		 

		
 
		 

		effect
		  thereto, unless (x) in the case of the initial Construction Loans, such
		  condition is waived by each Lender by a written instrument signed by each
		  Lender, and (y) in the case of any subsequent Construction Loan, such condition
		  is waived by the Required Lenders by a written instrument signed by the
		  Required Lenders: 

		 

		(a) Construction
		  Requisitions; Notices of Borrowing.
		  (i) Not
		  less than three Business Days prior to such Disbursement Date, the
		  Administrative Agent shall have received (A) a Construction Requisition
		  executed and delivered by an Authorized Officer of the Borrowers’ Agent in
		  respect of the Disbursement of Construction Loans to be made on such
		  Disbursement Date in the form attached hereto as Exhibit D-1 and (B) a
		  certificate of the Independent Engineer in respect of such proposed
		  Disbursement in the form attached hereto as Exhibit D-2, in each case
		  containing no exceptions or qualifications which are unsatisfactory to the
		  Administrative Agent.

		 

		(ii) The
		  Administrative Agent shall have received a Notice of Borrowing pursuant to and
		  in compliance with Section 2 in respect of the Disbursement of Construction
		  Loans on such Disbursement Date.

		 

		(b) Representations
		  and Warranties. The
		  representations and warranties of the Borrowers contained in Section 4 hereof
		  and the representations and warranties of any Borrower contained in any other
		  Financing Document to which any Borrower is a party shall be true and correct
		  in all material respects on and as of such Disbursement Date as if made on and
		  as of such date (or, if stated to have been made solely as of an earlier date,
		  were true and correct as of such date).

		 

		(c) No
		  Default. No
		  Default or Event of Default shall have occurred and be continuing (before or
		  after giving effect to the requested Disbursement). 

		 

		(d) Governmental
		  Approvals, etc. (i) All
		  Necessary Governmental Approvals which were not obtained by any Borrower or any
		  Project Participant prior to the Closing Date but which under applicable Law
		  are required to be obtained prior to such Disbursement Date shall have been
		  duly obtained and shall be final, non-appealable and in full force and effect;
		  (ii) there shall have been no change in any applicable Law, and no issuance of
		  any order, writ, injunction or decree of any Governmental Authority or arbitral
		  tribunal, which, in either such case, would reasonably be expected to have a
		  Material Adverse Effect; and (iii) there shall have been no proposed change in
		  or modification of any applicable Law which is
		  likely to be enacted and which if enacted could reasonably be expected to have
		  a Material Adverse Effect.

		 

		(e) Material
		  Adverse Effect. From
		  the date of the financial statements delivered pursuant to Section 3.1(k)
		  hereof (or, if later, from the last Disbursement Date), no event, occurrence or
		  condition that has had, or could reasonably be expected to have, a Material
		  Adverse Effect shall have occurred and be continuing.

		 

		(f) Litigation. No
		  legal or arbitral proceedings or investigations, or any proceedings by or
		  before any Governmental Authority, shall be pending or, to the best knowledge
		  of any Borrower, threatened against any Borrower or its Properties or rights
		  or, to the 

		 

		35

		 

		
 
		 

		best
		  knowledge of any Borrower, against any Project Participant or its respective
		  Properties or rights, which could reasonably be expected to have a Material
		  Adverse Effect.

		 

		(g) Construction
		  Budget. Such
		  Construction Loan shall be in accordance with the Construction
		  Budget.

		 

		(h) Debt
		  to Total Project Costs Ratio. The
		  Administrative Agent shall have received, no later than three Business Days
		  prior to such Disbursement Date, a certificate from the Borrowers’ Agent,
		  dated as of the date of such Disbursement Date, demonstrating that, after
		  giving effect to the requested Disbursement, the Ratio of Debt to Total Project
		  Costs of the Borrowers shall not be greater than 0.60:1.00. 

		 

		(i) Fees
		  and Expenses. The
		  Borrowers shall have paid or arranged for the payment when due (including, to
		  the extent permitted, arrangement for payment out of Disbursements) of all
		  fees, expenses and other charges payable by it on or prior to such Disbursement
		  Date under this Agreement or under any other Financing Document. 

		 

		(j) Title
		  Policy Endorsement. The
		  Administrative Agent shall have received a “bring-down” endorsement
		  to each Title Insurance Policy to the Disbursement Date of such Construction
		  Loans, insuring the continuing first priority of each Mortgage (subject only to
		  Permitted Liens) and otherwise in form and substance satisfactory to the
		  Administrative Agent.

		 

		(k) No
		  Liens. Other
		  than the Liens permitted under Section 5.12(a) hereof, there shall not have
		  been filed against or served upon any Borrower with respect to the Project or
		  any part thereof, notice of any Lien or claim of Lien which has not been
		  released by payment or bonding or otherwise or which will not be released with
		  the payment of the related obligation out of such Construction
		  Loans.

		 

		(l) Funds
		  to Complete Construction. The
		  undrawn Construction Loan Commitments plus any amounts then on deposit in the
		  relevant Construction Account (other than Project Revenues deposited in such
		  Construction Account, except to the extent permitted to be applied to Project
		  Costs pursuant to Section 5.21(g)) are reasonably expected to be sufficient to
		  cover the aggregate unpaid amount required to cause the Project Completion Date
		  to occur, in accordance with all applicable requirements of Law and the EPC
		  Contracts, prior to the end of the relevant Construction Loan Availability
		  Period and to pay or provide for all anticipated non-construction costs, all as
		  set forth in the Construction Budget.

		 

		(m) Other
		  Documents. The
		  Administrative Agent shall have received such other statements, certificates
		  and documents as it may reasonably request.

		 

		The
		  acceptance of the proceeds of each Construction Loan shall constitute a
		  certification by each of the Borrowers to the Lenders confirming the
		  satisfaction of the conditions set forth in clauses (a) through (m) of this
		  Section 3.3 upon the making of such Construction Loan.

		 

		3.4 The
		  Conversion Date. The
		  occurrence of the Conversion Date shall be subject to the conditions precedent
		  that the Administrative Agent shall have received, or the Required Lenders
		  shall have waived receipt (other than delivery of the Term Notes as provided
		  

		 

		36

		 

		
 
		 

		in this
		  Section 3.4(a)) of by a written instrument signed by the Required Lenders, the
		  following, each of which shall be in form and substance satisfactory to the
		  Required Lenders, and that the other conditions set forth below in this Section
		  3.4 shall have been satisfied or waived by the Required Lenders by a written
		  instrument signed by the Required Lenders. Each
		  Term Note shall be delivered by the Borrowers to the Administrative Agent. As
		  soon as practicable after the Conversion Date, the Administrative Agent shall
		  deliver the Term Notes received by it pursuant to the preceding sentence to the
		  respective payees thereof.

		 

		(a) Term
		  Notes. Each
		  Lender that has made a request therefor pursuant to Section 2.7(b) shall have
		  received original Term Notes in respect of the Term Loans made or maintained by
		  it, duly completed, executed and delivered by each of the Borrowers, each of
		  which shall (i) be dated the Conversion Date, (ii) mature on the Term Loan
		  Maturity Date and (iii) bear interest as provided in Section 2.

		 

		(b) Insurance. The
		  Administrative Agent shall have received a certified copy of the insurance
		  policies required by Section 5.9 hereof or certificates of insurance with
		  respect thereto, together with evidence of the payment of all premiums
		  therefor, and a certificate of the Insurance Advisor, certifying that insurance
		  complying with Section 5.9 hereof, covering the risks referred to therein, has
		  been obtained and is in full force and effect.

		 

		(c) Governmental
		  Approvals.
		  Except
		  for those Necessary Governmental Approvals identified on Part C to Schedule 4.6
		  as the Necessary Governmental Approvals which are not
		  required as of the Conversion Date and are not customarily obtained until a
		  later stage of operation of the relevant Plant,
		  all
		  Necessary Governmental Approvals shall have been duly obtained, shall be final,
		  non-appealable and in full force and effect, and shall be free from conditions
		  or requirements the compliance with which could reasonably be expected to have
		  a Material Adverse Effect or which any of the Borrowers does not reasonably
		  expect to be able to satisfy, and each Lender shall have received a copy of
		  each such Necessary Governmental Approval not previously delivered to the
		  Administrative Agent on the Closing Date and an Officer’s Certificate
		  certifying that the conditions set forth in this Section 3.4(c) have been
		  satisfied provided that
		  with respect to such Necessary Governmental Approvals identified on Part C to
		  Schedule 4.6, the Administrative Agent shall have received satisfactory
		  assurances that such Necessary Governmental Approvals will be obtained by the
		  time when needed in connection with the operation of the Project.

		 

		(d) Completion
		  Certificates. The
		  Administrative Agent shall have received (i) an original executed counterpart
		  of the Borrowers Completion Certificate (the statements contained in which
		  shall be true and correct in all material respects) and (ii) an original
		  executed counterpart of the Independent Engineer Completion Certificate.
		  

		 

		(e) Project
		  Completion Date. The
		  Project Completion Date shall have occurred.

		 

		(f) Officer’s
		  Certificates. The
		  Administrative Agent shall have received an original counterpart of an
		  Officer’s Certificate, dated the Conversion Date, to the effect that (i)
		  the representations and warranties made by each of the Borrowers in Section 4
		  hereof and the representations and warranties made by each of the Borrowers in
		  each of the other Financing 

		 

		37

		 

		
 
		 

		Documents
		  to which it is a party are true and correct in all material respects on and as
		  of the Conversion Date with the same force and effect as if made on and as of
		  such date (or, if stated to have been made solely as of an earlier date, were
		  true and correct as of such date) and (ii) no Default or Event of Default has
		  occurred and is continuing on the Conversion Date. 

		 

		(g) Accounts. The
		  Debt Service Reserve Account shall each have been fully funded to the extent
		  required under the Account Agreement, including the amount on deposit in or
		  standing to the credit of the Debt Service Reserve Account which shall be no
		  less than fifty percent (50%) of the Required Debt Service Reserve Amount.
		  

		 

		(h) Opinions. The
		  Administrative Agent shall have received original counterparts of such
		  supplemental opinions of counsel to the Borrowers as the Administrative Agent
		  may reasonably request.

		 

		(i) Operating
		  Budget. The
		  Borrowers shall have adopted an Operating Budget for the period from the
		  Commercial Operation Date through the end of the first Operating Year in
		  accordance with Section 5.23(a).

		 

		(j) Material
		  Adverse Effect. There
		  shall exist no other circumstance, event or condition which has had or could
		  reasonably be expected to have a Material Adverse Effect.

		 

		(k) Title
		  Insurance; Survey. (i)
		  The Borrowers shall have delivered the final “bring-down” endorsement
		  to each Title Insurance Policy, in favor of the Collateral Agent, for the
		  benefit of the Secured Parties, together with such endorsements as are
		  reasonably required by the Administrative Agent, covering the aggregate
		  principal amount of the Loans to be outstanding on the Conversion Date, in form
		  and substance satisfactory to the Administrative Agent, and insuring the
		  continuing first priority of the Lien of the relevant Mortgage (without a
		  mechanics’ or materialmen’s exception), subject only to Permitted
		  Liens.

		 

		(ii) The
		  Borrowers shall have delivered to the Administrative Agent a final
		  “as-built” survey of the Buffalo Lake Land and the Pioneer Trails
		  Land, certified to the Collateral Agent, for the benefit of the Secured
		  Parties, the Title Insurance Company and the Borrowers, updated to within
		  thirty (30) days of the Conversion Date, showing the completed Project, which
		  survey shall be in form and substance satisfactory to the Administrative Agent
		  and the Title Insurance Company, and shall disclose no easements, rights-of-way
		  or encumbrances, other than Permitted Liens.

		 

		(iii) The
		  Borrowers shall have prepared and caused to be executed and recorded such
		  amendments to the Mortgages or other confirmatory documents as may have been
		  reasonably requested by the Administrative Agent in order to protect or confirm
		  the lien of the Mortgages on the Trust Property, as reflected in the final
		  survey delivered pursuant to this Section 3.4(k).

		 

		(l) No
		  Liens. (i)
		  Except for Liens permitted by Sections 5.12(a), (b), (c), (d), (e) and (f),
		  there shall not have been filed against or served upon any of the Borrowers
		  with respect to any Plant or the Project or any part thereof notice of any Lien
		  or claim of Lien which has not been released by payment or bonding or otherwise
		  or which will not be released with the payment of the related obligation out of
		  Construction Loans to be made on the Conversion Date 

		 

		38

		 

		
 
		 

		and (ii)
		  all applicable filing periods for any such mechanics’ and/or
		  materialmen’s Liens shall have expired; provided,
		  however that
		  the requirement referred to above in clause (ii) above shall not apply in the
		  event that the Title Insurance Policies delivered pursuant to Section 3.4 (k)
		  above insures against loss arising by reason of any mechanics or
		  materialmen’s Lien gaining priority over any Mortgage, and either (x) the
		  Borrowers shall have delivered to the Administrative Agent a bond or letter of
		  credit or other security acceptable to the Administrative Agent, in form and
		  substance reasonably satisfactory to the Administrative Agent, in the amount of
		  all payments owed to any contractor, subcontractor or any other Person
		  performing work on the Project pursuant to a Project Document as to whom the
		  filing periods for mechanics’ and materialmen’s Liens have not
		  expired, or (y) all such contractors, subcontractors and other Persons
		  performing work on the Project shall have signed lien releases in the
		  respective forms attached to the relevant Project Document or otherwise in form
		  and substance reasonably acceptable to the Administrative Agent. 

		 

		(m) No
		  Default. No
		  Default or Event of Default shall have occurred and be continuing (before or
		  after giving effect to the conversion of the Construction Loans on the
		  Conversion Date).

		 

		(n) Risk
		  Management Policy and Committee. The
		  Risk Management Policy shall have been adopted by the board of managers of each
		  of the Borrowers and approved by Administrative Agent in accordance with
		  Section 5.31 and the Risk Management Committee shall have been appointed in
		  accordance with the Risk Management Policy.

		 

		(o) Other
		  Documents. The
		  Administrative Agent shall have received original counterparts of such other
		  statements, certificates and documents as the Administrative Agent may
		  reasonably request.

		 

		3.5 Working
		  Capital Loans, Letters of Credit. The
		  obligation of any Working Capital Lender to make any Working Capital Loan shall
		  and the obligation of each Letter of Credit Issuer to issue Letters of Credit
		  shall be subject to the conditions precedent that, both immediately prior to
		  the making of such Working Capital Loan or the issuance of such Letter of
		  Credit and also after giving effect thereto, unless such condition is waived by
		  the Working Capital Lenders by a written instrument signed by the Working
		  Capital Lenders: 

		 

		(a) Notices
		  of Borrowing; Letter of Credit Requests. The
		  Administrative Agent shall have received (i) a Notice of Borrowing pursuant to
		  and in compliance with Section 2 in respect of the Disbursement of Working
		  Capital Loans or (ii) a Letter of Credit Request pursuant to and in compliance
		  with Section 2 in respect of the issuance of a Letter of Credit. 

		 

		(b) Representations
		  and Warranties. The
		  representations and warranties of the Borrowers contained in Section 4 hereof
		  and the representations and warranties of any Borrower contained in any other
		  Financing Document to which any Borrower is a party shall be true and correct
		  in all material respects on and as of the date of such Working Capital Loan or
		  Letter of Credit as if made on and as of such date (or, if stated to have been
		  made solely as of an earlier date, were true and correct as of such
		  date).

		 

		39

		 

		
 
		 

		(c) No
		  Default. No
		  Default or Event of Default shall have occurred and be continuing.

		 

		(d) Reports. No
		  later than three (3) Business Days before the date of any requested Working
		  Capital Loan or Letter of Credit, the Administrative Agent shall have received
		  a report from the Borrowers’ Agent, dated as of the date of the requested
		  Borrowing and certified by the Borrowers, setting forth the working capital
		  requirements to be funded by the requested Borrowing or Letter of
		  Credit.

		 

		(e) Certificates. The
		  Administrative Agent shall have received, no later than three (3) Business
		  Days before the date of the requested Borrowing or Letter of Credit, a
		  certificate from the Borrowers’ Agent, dated as of the date of the
		  requested Borrowing, demonstrating that (i) the sum of (x) the total
		  outstanding principal amount of Working Capital Loans plus
		  (y) the principal amount of the Letter of Credit Outstandings shall not
		  exceed Five Million Dollars ($5,000,000) during the period commencing on
		  Mechanical Completion of the earlier to occur of the Pioneer Trail Plant and
		  the Buffalo Lake Plant and ending on Provisional Acceptance of the such Plant
		  or exceed Ten Million Dollars ($10,000,000) during the period commencing on
		  Provisional Acceptance of the earlier to occur of the Pioneer Trail Plant and
		  the Buffalo Lake Plant and ending on the Conversion Date and (ii) all the
		  Project Revenues available to the Borrowers pursuant to the Account Agreement
		  shall have been fully utilized for working capital purposes by the Borrowers in
		  respect of any requested Borrowing or Letter of Credit prior to the Provisional
		  Acceptance of the earlier to occur of the Pioneer Trail Plant or the Buffalo
		  Lake Plant.

		 

		(f) Independent
		  Engineer Certificate. In
		  respect of any requested Borrowing or Letter of Credit prior to the Provisional
		  Acceptance of the earlier to occur of the Pioneer Trail Plant or the Buffalo
		  Lake Plant, the Administrative Agent shall have received a certificate of the
		  Independent Engineer in respect of such requested Borrowing or Letter of Credit
		  confirming that Mechanical Completion for such Plant shall have occurred and
		  the Independent Engineer has no reason to believe that Provisional Acceptance
		  for such Plant shall not occur within forty-five (45) days after the Guaranteed
		  Provisional Acceptance Completion Date (as defined in the EPC Contract relating
		  to such Plant).

		 

		(g) Material
		  Adverse Effect. There
		  shall exist no circumstance, event or condition which has had or could
		  reasonably be expected to have a Material Adverse Effect.

		 

		(h) Litigation. No
		  legal or arbitral proceedings or investigations, or any proceedings by or
		  before any Governmental Authority, shall be pending or to any Borrower’s
		  best knowledge, threatened against any Borrower or its Properties or rights or,
		  to the best knowledge of any Borrower, against any Project Participant or its
		  respective Properties or rights, which could reasonably be expected to have a
		  Material Adverse Effect.

		 

		(i) Fees
		  and Expenses. The
		  Borrowers shall have paid or arranged for the payment when due (including, to
		  the extent permitted, arrangement for payment out of Disbursements) of all
		  fees, expenses and other charges payable by it on or prior to the date of such
		  Working Capital Loan or Letter of Credit under this Agreement or under any
		  other Financing Document. 

		 

		40

		 

		
 
		 

		(j) No
		  Liens. There
		  shall not have been filed against or served upon any Borrower with respect to
		  the Project or any part thereof, notice of any Lien or claim of Lien which has
		  not been released by payment or bonding or otherwise.

		 

		 

		SECTION
		  4.  REPRESENTATIONS,
		  WARRANTIES AND AGREEMENTS.

		 

		In order
		  to induce each of the Lenders to enter into this Agreement and to make the
		  Loans and to issue (or participate in) the Letters of Credit, each Borrower
		  makes the following representations, warranties and agreements as of the date
		  hereof and as of any other date (or if stated to have been made solely as of an
		  earlier date, as of such earlier date) on which such representations,
		  warranties and agreements are stated to be made pursuant to any Financing
		  Document or any other document delivered thereunder, all of which shall survive
		  the execution and delivery of this Agreement and the Notes and the making and
		  continuance of the Loans and the issuance of the Letters of
		  Credit:

		 

		4.1 Organization. Each
		  of the Borrowers is a limited liability company duly organized, validly
		  existing and in good standing under the laws of the State of Delaware. Each of
		  the Borrowers is duly authorized and qualified to do business and is in good
		  standing in the State of Nebraska (in the case of Pioneer Trail) and the State
		  of Minnesota (in the case of Buffalo Lake) and each jurisdiction in which it
		  owns or leases Property or in which the conduct of its business requires it to
		  so qualify, except where the failure to so qualify could not have a Material
		  Adverse Effect. Each of the Borrowers has the requisite limited liability
		  company power and authority to own or lease and operate its Properties, to
		  carry on its business (including with respect to the Project), to borrow money,
		  to create the Security Interests as contemplated by the Security Documents to
		  which it is a party and to execute, deliver and perform each Transaction
		  Document (including, without limitation, the Notes) to which it is or will be a
		  party. 

		 

		4.2 Authority
		  and Consents.
		  (a) The
		  execution, delivery and performance by each Borrower of each Financing Document
		  to which it is or will be a party, and the transactions contemplated by the
		  Financing Documents: (i) have been duly authorized by all necessary
		  limited liability company action (including any necessary Member action);
		  (ii) will not breach, contravene, violate, conflict with or constitute a
		  default under (A) any of its Charter Documents, (B) any applicable
		  Law or (C) any contract, loan, agreement, indenture, mortgage, lease or
		  other instrument to which it is a party or by which it or any of its Properties
		  may be bound or affected, including all Governmental Approvals and the
		  Transaction Documents; and (iii) except for the Liens created by the
		  Security Documents, will not result in or require the creation or imposition of
		  any Lien upon or with respect to any of the Properties of such
		  Borrower.

		 

		(b) Each
		  Financing Document (i) has been duly executed and delivered by the Borrower
		  that is a party thereto and (ii) when executed and delivered by each of the
		  other parties thereto will be the legal, valid and binding obligation of such
		  Borrower, enforceable against such Borrower in accordance with its terms,
		  except as the enforceability thereof may be limited by (A) applicable
		  bankruptcy, insolvency, moratorium or other similar Laws affecting the
		  enforcement of creditors’ rights generally and (B) the application of
		  general principles of equity (regardless of whether such enforceability is
		  considered in a proceeding at law or in equity).

		 

		41

		 

		
 
		 

		(c) No
		  authorization, consent or approval of, or notice to or filing with, any
		  Governmental Authority or any other Person has been, is or will be required to
		  be obtained or made (i) for the due execution, delivery, recordation, filing or
		  performance by each Borrower of any of the Financing Documents to which it is a
		  party or any transaction contemplated by the Financing Documents, (ii) for the
		  grant by each Borrower, or the perfection and maintenance, of the Liens
		  contemplated by the Security Documents to which it is a party (including the
		  first priority nature thereof) or (iii) for the exercise by the Collateral
		  Agent or any other Secured Party of any of its rights under any Financing
		  Document or any remedies in respect of the Collateral pursuant to the Security
		  Documents, except for the authorizations, consents, approvals, notices and
		  filings listed on Schedule 4.2, all of which have been duly obtained, taken,
		  given or made and are in full force and effect.

		 

		4.3 Capitalization;
		  Indebtedness; Investments.
		  (a)
		  Schedule 4.3(i)
		  contains a true and complete list of all of the authorized and outstanding LLC
		  Interests of each Borrower by class, all commitments by the Members to make
		  capital contributions to such Borrower and all capital contributions previously
		  made by the Members to such Borrower. All of the LLC Interests of each Borrower
		  have been duly authorized and validly issued and are fully paid and
		  nonassessable. None of such LLC Interests have been issued in violation of any
		  applicable Law. Except as set forth in Schedule 4.3a., each
		  Borrower is not a party or subject to, does not have outstanding and is not
		  bound by, any subscriptions, options, warrants, calls, agreements, preemptive
		  rights, acquisition rights, redemption rights or any other rights or claims of
		  any character that restrict the transfer of, require the issuance of, or
		  otherwise relate to any shares of its LLC Interests. The LLC Interests of each
		  Borrower are owned beneficially and of record by the Persons set forth in
		  Schedule 4.3(a). Except for the Liens created by the Pledge Agreements, there
		  is no Lien on any of the LLC Interests of any Borrower, and no Borrower has
		  been notified of the assignment of all or any part of the Members’
		  Investments in such Borrower other than the assignment in favor of the
		  Collateral Agent pursuant to the Pledge Agreements.

		 

		(b) As of
		  the Closing Date, (i) no Borrower has any Indebtedness of any nature, whether
		  due or to become due, absolute, contingent or otherwise other than Indebtedness
		  permitted by Section 5.13, and (ii) no Borrower holds any Investments other
		  than Investments permitted by Section 5.15.

		 

		4.4 Financial
		  Condition.

		 

		(a) The
		  Borrowers’ Agent has delivered to the Administrative Agent the following
		  financial statements, each of which has been certified by the principal
		  financial officer of the Borrowers’ Agent, the audited (if available) or
		  otherwise unaudited consolidated financial statements of the Sponsor as at and
		  for the period ended on June 30, 2006 prepared in accordance with GAAP. Such
		  financial statements fairly present the financial condition of the Sponsor as
		  at such dates and the results of its operations for the periods ended on such
		  dates, subject, in the case of interim statements, to normal year-end audit
		  adjustments.

		 

		(b) No
		  Borrower has any material outstanding obligations or liabilities, fixed or
		  contingent, except as disclosed in the financial statements described in
		  (a) above. Since the date of the last audited financial statements
		  described in (a) above, no event, condition or circumstance exists or has
		  occurred which has resulted in or would reasonably be expected to 

		 

		42

		 

		
 
		 

		result
		  in a material adverse change in the financial condition, operations or business
		  of the Borrowers from that set forth in such financial statements, and no event
		  or condition has occurred which would reasonably be expected to have a Material
		  Adverse Effect.

		 

		4.5 Litigation;
		  Labor Disputes.  There
		  is no action, suit, other legal proceeding, arbitral proceeding, inquiry or
		  investigation pending or, to the best of the Borrowers’ knowledge,
		  threatened, by or before any Governmental Authority or in any arbitral or other
		  forum, nor any order, decree or judgment in effect, pending, or, to the best of
		  the Borrowers’ knowledge, threatened, (a) against or affecting any of the
		  Borrowers or any of its Properties or rights, or (b) to the best of such
		  Borrower’s knowledge, against or affecting any Project Participant or any
		  of its Properties or rights, that, in the case of this clause (b), (i) relates
		  to the Project, any of the Transaction Documents or any of the transactions
		  contemplated thereby, or (ii) has, or if adversely determined, would reasonably
		  be expected to have, a Material Adverse Effect. There are no ongoing, or, to
		  the best knowledge of the Borrowers, currently threatened, strikes, collective
		  slowdowns or work stoppages by (i) the employees of the EPC
		  Contractor that either relate to the Project, any of the Transaction Documents
		  or any of the transactions contemplated thereby, or has or would
		  reasonably be expected to have a Material Adverse Effect, or (ii) the employees
		  of the Borrowers or the Operator.

		 

		4.6 Governmental
		  Approvals.

		 

		(a)  All
		  Governmental Approvals necessary in connection with (i) the due execution and
		  delivery of, and performance by each Borrower and, to the best knowledge of any
		  Borrower (after due inquiry), each Project Participant of their respective
		  obligations and the exercise of their respective rights under, the Transaction
		  Documents to which they are party, (ii) the legality, validity and binding
		  effect or enforceability thereof and (iii) in the case of Governmental
		  Approvals to be obtained by or on behalf of Borrower, and, to Borrower’s
		  knowledge (after due inquiry), any other Project Participant, the acquisition,
		  ownership, construction, installation, operation and maintenance of the Project
		  as contemplated by the Transaction Documents and in order to conduct its
		  business generally and maintain its existence (collectively, the
		  “Necessary
		  Governmental Approvals”),
		  are set forth in Schedule 4.6 hereto and, except for those set forth in Part B
		  or Part C of Schedule 4.6 hereto, have been duly obtained or made, were validly
		  issued, are in full force and effect, are final and not subject to any pending
		  modification by any Governmental Authority or appeal, are held in the name of
		  the appropriate Borrower (except as specifically indicated in such Schedule)
		  and are free from conditions or requirements the compliance with which would
		  reasonably be expected to have a Material Adverse Effect or which the
		  appropriate Borrower does not reasonably expect to be able to satisfy. No event
		  has occurred that would reasonably be expected to (A) result in the revocation,
		  termination or adverse modification of any such Necessary Governmental Approval
		  or (B) adversely affect any rights of any Borrower (or, as applicable, any
		  Project Participant) under any such Governmental Approval. 

		 

		(b) The
		  Necessary Governmental Approvals set forth in Part B and Part C of Schedule 4.6
		  hereto are not required for the current stage of installation and construction
		  or operation of the Project and are not customarily obtained until a later
		  stage of installation and construction or after operation of the relevant Plant
		  has commenced. None of the Borrowers has any reason to believe that any
		  Necessary Governmental Approvals which are not required to 

		 

		43

		 

		
 
		 

		have
		  been obtained by the Borrowers as of the date of this Agreement, but which will
		  be required in the future (including those set forth in Part B and Part C of
		  Schedule 4.6 hereto), will not be granted in due course prior to the time when
		  needed free from conditions or requirements which the appropriate Borrower does
		  not reasonably expect to be able to satisfy or compliance with which would
		  reasonably be expected to have a Material Adverse Effect.

		 

		(c) The
		  information set forth in each application submitted by or on behalf of any
		  Borrower in connection with each Necessary Governmental Approval and in all
		  correspondence sent by or on behalf of the appropriate Borrower in respect of
		  each such application is accurate and complete in all material respects.
		  

		 

		(d) The
		  Plants, if installed, constructed, owned and operated in accordance with the
		  Plans and Specifications and the Transaction Documents, will conform to and
		  comply in all material respects with all covenants, conditions, restrictions
		  and requirements in all Necessary Governmental Approvals, in the Transaction
		  Documents applicable thereto and under all zoning, environmental, land use and
		  other Laws applicable thereto. 

		 

		4.7 Use
		  of Proceeds.

		 

		(a) The
		  proceeds of the Construction Loans will be used to pay Project Costs in
		  accordance with the provisions of this Agreement and the Account Agreement. The
		  proceeds of the Working Capital Loans will be used for the working capital
		  purposes of the Borrowers to pay Operation and Maintenance
		  Expenses.

		 

		(b) No
		  Borrower is engaged principally, or as one of its important activities, in the
		  business of extending credit for the purpose, whether immediate, incidental or
		  ultimate, of buying or carrying Margin Stock and no part of the proceeds of any
		  Loan will be used to purchase or carry any Margin Stock.

		 

		(c) Neither
		  the making of any Loan nor the use of the proceeds thereof will violate or be
		  inconsistent with the provisions of Regulation U or Regulation X.

		 

		4.8 ERISA.
		  Neither any Borrower nor any ERISA Affiliate of any Borrower has or has ever
		  maintained or contributed to (or has or has ever had an obligation to
		  contribute to) any Plan or Multiemployer Plan. 

		 

		4.9 Taxes.

		 

		(a) Each
		  Borrower has timely filed with the appropriate taxing authority all United
		  States federal and state income tax returns, and all other tax and
		  informational returns, statements, forms and reports for taxes (the
		  “Returns”)
		  which are required to be filed by or with respect to the income, Properties or
		  operations of such Borrower. The Returns accurately reflect in all material
		  respects all liabilities for taxes of each Borrower for the periods covered
		  thereby. Each Borrower has paid all taxes due pursuant to such Returns or
		  otherwise payable by such Borrower, except such taxes, if any, as are being
		  contested in good faith and by proper proceedings and as to which adequate
		  reserves have been provided in accordance with GAAP. There is no action, suit,
		  proceeding, investigation, audit, or claim now pending or, to the best
		  knowledge of the Borrowers, threatened by any authority regarding any taxes
		  relating to any 

		 

		44

		 

		
 
		 

		Borrower.
		  No Borrower has entered into any agreement or waiver or been requested to enter
		  into any agreement or waiver extending any statute of limitations relating to
		  the payment or collection of taxes of such Borrower, or is aware of any
		  circumstances that would cause the taxable years or other taxable periods of
		  such Borrower not to be subject to the normally applicable statute of
		  limitations. None of the Borrowers is treated as an association taxable as a
		  corporation for United States federal, state and local income tax purposes, and
		  income of each Borrower is treated and taxed as income of the Members for
		  United States federal, state and local income tax purposes. All material taxes
		  that each Borrower is (or was) required by Law to withhold or collect in
		  connection with amounts paid or owing to any employee, independent contractor,
		  creditor, owner or other third party have been duly withheld or collected and
		  have been timely paid over to the proper authorities. 

		 

		(b) As of
		  the Signing Date and the Closing Date, there is no liability for any tax
		  payable on or prior to such date by any Borrower as a result of the execution,
		  delivery or performance of this Agreement or any other Financing Document to
		  which it is a party which has not been paid in full.

		 

		4.10 Investment
		  Company Act. 
		  None of the Borrowers is an “investment company,” or an
		  “affiliated person” of, or “promoter” or “principal
		  underwriter” for, an “investment company,” as such terms are
		  defined in the Investment Company Act of 1940, as amended. Neither the making
		  of any Disbursement, nor the application of the proceeds or repayment thereof
		  by any Borrower, nor the consummation of the other transactions contemplated
		  hereby will violate any provisions of such Act or any rule, regulation or order
		  of the U.S. Securities and Exchange Commission thereunder.

		 

		4.11 [Intentionally
		  Omitted.]

		 

		4.12 Title;
		  Security Documents.

		 

		(a) Buffalo
		  Lake (i) will upon payment of the amounts payable by it under the Buffalo Lake
		  EPC Contract, own and have good and marketable title to the Buffalo Lake Plant
		  and (ii) owns and has good and marketable title to the Buffalo Lake Land,
		  except for the part of the Buffalo Lake Land subject to the Buffalo Lake Grain
		  Facility Lease in which it owns a valid leasehold interest in each case free
		  and clear of all Liens other than Permitted Liens.

		 

		(b) Pioneer
		  Trail (i) will upon payment of the amounts payable by it under the Pioneer
		  Trail EPC Contract, own and have good and marketable title to the Pioneer Trail
		  Plant and (ii) owns and has good and marketable title to the Pioneer Trail
		  Land, except for the (A) part of the Pioneer Trail Land subject to the Pioneer
		  Trail Grain Facility Lease in which it owns a valid leasehold interest and (B)
		  the land subject to the Pioneer Trail Water Rights Deed in which it holds a
		  valid negative easement and/or restrictive covenant interest in the groundwater
		  and surface water rights appurtenant to such land, in each case free and clear
		  of all Liens other than Permitted Liens.

		 

		(c) Each
		  Borrower has good and marketable title to all of the Property purported to be
		  owned by it, free and clear of all Liens, other than Permitted Liens, and holds
		  such title and all of such Property in its own name and not in the name of any
		  nominee or other 

		 

		45

		 

		
 
		 

		Person.
		  Each Borrower is lawfully possessed of a valid and subsisting leasehold estate
		  in and to all Property which it purports to lease, free and clear of all Liens,
		  other than Permitted Liens, and holds such leaseholds in its own name and not
		  in the name of any nominee or other Person. No Borrower has created, nor is it
		  contractually bound to create, any Lien on or with respect to any of its
		  assets, Properties, rights or revenues, except for Permitted Liens, and, except
		  for this Agreement, no Borrower is restricted by contract, Law or otherwise
		  from creating Liens on any of its Properties.

		 

		(d) All
		  Property owned, leased or otherwise used by Buffalo Lake is located in the
		  State of Minnesota other than the Accounts, any Margin Account and the rolling
		  stock which is the subject of the Buffalo Lake Rail Car Lease
		  Agreement.

		 

		(e) All
		  Property owned, leased or otherwise used by Pioneer Trail is located in the
		  State of Nebraska other than the Accounts, any Margin Account and the rolling
		  stock which is the subject of the Pioneer Trail Rail Car Lease
		  Agreement.

		 

		(f) All
		  Property owned, leased or otherwise used by Opco is located in the State of
		  Colorado other than the Accounts and any Margin Account.

		 

		(g) The
		  provisions of the Security Documents are effective to create, in favor of the
		  Collateral Agent, for the benefit of the Secured Parties, legal, valid and
		  enforceable Liens on or in all of the Collateral intended to be covered
		  thereby, and, on or prior to the Closing Date, all necessary recordings and
		  filings have been made (or recordable copies of the Security Documents have
		  been delivered to and accepted by the Title Insurance Company) in all necessary
		  public offices and all other necessary and appropriate action (including
		  delivery of possession of any original instrument or other documents or the
		  grant of “control” within the meaning of the Uniform Commercial Code
		  to the Collateral Agent) has been taken so that the Liens created by each
		  Security Document constitute perfected Liens on or in the Collateral intended
		  to be covered thereby, prior and superior to all other Liens, and all necessary
		  consents to the creation, effectiveness, priority and perfection of each such
		  Lien have been obtained. No mortgage or financing statement or other instrument
		  or recordation covering all or any part of the Collateral is on file in any
		  recording office, except such as may have been filed in favor of the Secured
		  Parties or in respect of Permitted Liens.

		 

		4.13 Environmental
		  Matters.

		 

		
		  (a) Each
			 Borrower has complied and is now complying in all material respects with (i)
			 all Environmental Laws applicable to the Project and (ii) the requirements of
			 any Governmental Approvals issued under such Environmental Laws with respect to
			 the Project.

		   

		  (b) There
			 are no facts, circumstances, conditions or occurrences regarding the Project
			 that (i) to the knowledge of any Borrower (after due inquiry), could reasonably
			 be anticipated to form the basis of an Environmental Claim against the Project,
			 any Borrower, the EPC Contractor or the Operator or, to the best knowledge of
			 any Borrower, any other Person occupying or conducting operations on or about
			 the Land which if adversely determined could reasonably be expected to have a
			 Material Adverse Effect, (ii) could reasonably be anticipated to cause the Land
			 to be subject to any restrictions on its ownership, occupancy, use or
			 

		   

		  46

		   

		  
 
		   

		  transferability
			 under any Environmental Law or (iii) to the knowledge of any Borrower (after
			 due inquiry) could be reasonably anticipated to require the filing or recording
			 of any notice or disclosure document under any Environmental Law (other than
			 those described in Schedule 4.6 hereto).

		   
 

		
		  (c) There
			 are no past, pending, or, to the best knowledge of any Borrower, threatened,
			 Environmental Claims against (i) any Borrower or the Project, or (ii) to the
			 best knowledge of any Borrower, the EPC Contractor or the Operator or any other
			 Person occupying, using, or conducting operations on or about the Land, which,
			 individually or in the aggregate, could reasonably be expected to have a
			 Material Adverse Effect.

		   

		  (d) Except
			 as set forth on Schedule 4.13 and except as could not reasonably be expected to
			 have a Material Adverse Effect, Hazardous Materials have not at any time been
			 generated, used, treated, recycled, stored on, or transported to or from, or
			 Released, deposited or disposed of on all or any portion of the Land other than
			 in compliance at all times with all applicable Environmental Laws.

		   

		  (e) Except
			 as set forth on Schedule 4.13, there are not now and, to the knowledge of any
			 Borrower, never have been any underground storage tanks located on the Land,
			 there is no asbestos contained in, forming part of, or contaminating any part
			 of the Project and no polychlorinated biphenyls (PCBs) are used, stored,
			 located at or contaminate any part of the Project.

		   

		  (f) No
			 Borrower is aware of any groundwater contamination on the Land. 

		   

		  (g) Copies
			 of all environmental studies regarding the Project and/or the Land of which any
			 Borrower is aware have been delivered to the Administrative Agent.

		   

		  4.14 Subsidiaries.  Buffalo
			 Lake and Pioneer Trail have no Subsidiaries and neither Person beneficially
			 owns any Capital Stock or other ownership interest of any other Person. Opco
			 has no Subsidiaries other than Buffalo Lake and Pioneer Trail and does not
			 beneficially own any Capital Stock or other ownership interest of any other
			 Person.

		   

		  4.15 Intellectual
			 Property. Each
			 Borrower owns or has the right to use all patents, trademarks, permits, service
			 marks, trade names, copyrights, franchises, formulas, licenses and other rights
			 with respect thereto, and has obtained assignment of all licenses and other
			 rights of whatsoever nature necessary for the Project and the operation of its
			 business as currently contemplated without any conflict with the rights of
			 others. No product, process, method, substance, part or other material sold or
			 employed or presently contemplated to be sold by or employed by any Borrower in
			 connection with its business infringes or will infringe any patent, trademark,
			 permit, service mark, trade name, copyright, franchise, formula, license or
			 other intellectual property right.

		   

		  4.16 Project
			 Documents and Other Material Documents.
			 (a) Except
			 for services, materials or rights that can reasonably be expected to be
			 available on commercially reasonable terms at the time required, the Project
			 Documents constitute all contracts, agreements, side letters, leases, powers of
			 attorney or other instruments or documents that are necessary for (i) the
			 construction, completion, operation and ownership of the Project, or (ii) the
			 conduct of the 

		   

		  47

		   

		  
 
		   

		  business
			 of the Borrowers as contemplated by the Transaction Documents. Each Project
			 Document has been duly authorized, executed and delivered by each Borrower to
			 which it is a party, is in full force and effect and is binding upon and
			 enforceable against such Borrower in accordance with its terms. Each Borrower,
			 and to the best of its knowledge, each Project Participant, is in compliance in
			 all material respects with the terms and conditions of the Project Documents to
			 which it is a party. No event has occurred that would reasonably be expected to
			 (1) result in an event of default under, or a material breach of, any Project
			 Document, by any Borrower, (2) result in the revocation, termination or adverse
			 modification of any Project Document by a Project Participant or (3) adversely
			 affect the rights of any Borrower under any Project Document to which it is a
			 party as a result of any act or omission of such Borrower. To the best
			 knowledge of the Borrowers, no event has occurred that would reasonably be
			 expected to (1) result in the revocation, termination or adverse modification
			 of any Project Document by any Borrower or (2) adversely affect the rights of
			 any Borrower under any Project Document to which it is a party as a result of
			 any act or omission of a Project Participant. 

		   

		  (b) All
			 representations and warranties of the Borrowers and, to the Borrowers’
			 knowledge, the other parties thereto, contained in the Project Documents are
			 true and correct in all material respects (except to the extent that any such
			 representation or warranty is expressed to be made only as of an earlier date,
			 in which case such representation or warranty was true and correct in all
			 material respects on and as of such earlier date). 

		   

		  (c) All
			 conditions precedent to the obligations of the respective parties under the
			 Project Documents have been satisfied, except for such conditions precedent
			 which by their terms cannot be (and are not required to be) met until a later
			 stage in the construction or operation of the Project, and the Borrowers have
			 no reason to believe that any such conditions precedent cannot be satisfied
			 prior to the time when such conditions are required to be met pursuant to the
			 applicable Project Documents.

		   

		  (d) Except
			 as set forth on Schedule 4.16, as of the Closing Date, the Borrowers are not
			 party to any agreement or contract other than (i) any Transaction Document and
			 (ii) any agreement where the aggregate cost or value of the goods and services
			 to be acquired or provided by the Borrowers pursuant thereto or where the
			 aggregate liability of the Borrowers thereunder would exceed $150,000 annually,
			 provided that the aggregate cost, value or liability of all such agreements
			 collectively would not exceed $800,000 on an annual basis. As of the Closing
			 Date, each of the Project Documents consists only of the original document
			 (including exhibits and schedules) and the amendments thereto expressly
			 described in the relevant definitions appearing in Appendix A hereto, and there
			 are no other amendments or waivers or supplements, written or oral, with
			 respect thereto. The Administrative Agent has received a true and complete copy
			 of each Project Document, including all exhibits, schedules and disclosure
			 letters referred to therein or delivered pursuant thereto, if any. None of the
			 Project Documents has been amended or modified except as permitted under this
			 Agreement.

		   

		  4.17 No
			 Default.  No
			 Default or Event of Default has occurred and is continuing. 

		   

		  48

		   

		  
 
		   

		  4.18 Compliance
			 with Laws. No
			 Borrower is in violation in any material respect of any Law, Governmental
			 Approval, order, writ, injunction or decree or its Charter
			 Documents.

		   

		  4.19 Disclosure.  (a) All
			 documents, reports or other written information pertaining to the Borrowers or
			 the Project that have been furnished to the Administrative Agent by or on
			 behalf of the Borrowers (including (i) any application to any Lender for the
			 extensions of credit provided for in the Financing Documents, (ii) the
			 Financing Documents, including the exhibits and schedules attached thereto,
			 (iii) all other information relating to the Borrowers or the Project provided
			 by the Borrowers to the Administrative Agent and (iv) the Information
			 Memorandum), the Sponsor or any Affiliate thereof, but excluding the Base Case
			 Projections, the Construction Budget and other forecasts and projections),
			 taken as a whole, are true and correct in all material respects and do not
			 contain any material misstatement of fact or omit to state a material fact or
			 any fact necessary to make the statements contained herein or therein not
			 materially misleading. There is no fact, event or circumstance known to the
			 Borrowers that has not been disclosed to the Administrative Agent in writing,
			 the existence of which would reasonably be expected to have a Material Adverse
			 Effect.

		   

		  (b) The
			 Construction Budget accurately specifies all costs and expenses incurred and
			 the Borrowers’ best estimate of all costs and expenses anticipated by the
			 Borrowers to be incurred to construct and finance the construction of the
			 Plants and to implement the Project in the manner contemplated by the
			 Transaction Documents. The Construction Budget and the Base Case Projections
			 (including the estimates contained in the Base Case Projections of taxes
			 payable by any Borrower as a result of the execution, deliver or performance of
			 this Agreement or any other Transaction Document to which it is a party
			 (including sales tax on the Buffalo Lake EPC Contract) or the consummation of
			 the transactions contemplated hereby or thereby) (i) are, as of the Closing
			 Date, based on reasonable assumptions as to all legal and factual matters
			 material to the estimates set forth therein, (ii) as of the Closing Date, are
			 consistent with the provisions of the Transaction Documents in all material
			 respects, (iii) have been prepared in good faith and with due care and (iv)
			 fairly represent the Borrowers’ reasonable expectations as to the matters
			 covered thereby as of their date. All projections and budgets to be furnished
			 to the Lenders by or on behalf of the Borrowers after the Closing Date (A) will
			 be based on reasonable assumptions as to all legal and factual matters material
			 to the estimates set forth therein, (B) will be consistent with the provisions
			 of the Transaction Documents in all material respects, (C) will be prepared in
			 good faith and with due care and (D) will fairly represent the Borrowers’
			 reasonable expectations as to the matters covered thereby as of their
			 respective dates.

		   

		  4.20 Immunity. Each
			 Borrower is subject to civil and commercial law with respect to its Obligations
			 under the Financing Documents, and the execution, delivery and performance of
			 the Financing Documents by the Borrowers constitute private and commercial acts
			 rather than public or governmental acts. Neither the Borrowers nor any of their
			 Properties has any immunity from suit, court jurisdiction, attachment prior to
			 judgment, attachment in aid of execution of a judgment, set-off, execution of a
			 judgment or from any other legal process with respect to the Obligations of the
			 Borrowers under the Financing Documents.

		   

		  49

		   

		  
 
		   

		  4.21 Utilities,
			 etc.  All
			 utility services, means of transportation, facilities and other materials
			 necessary for the construction, installation and operation of the Plants
			 (including, without limitation, gas, electrical, potable and raw water supply,
			 storm, telephone and sewage services and facilities, as necessary) are or will
			 be available to the Project when necessary for construction, operations testing
			 and start-up of each Plant and, to the extent necessary or desirable,
			 arrangements have been made on commercially reasonable terms for such services,
			 means of transportation, facilities and other materials, in each case on terms
			 consistent with those reflected in the Construction Budget and the Base Case
			 Projections.

		   

		  4.22 Transactions
			 with Affiliates. As of
			 the Closing Date, other than the Project Documents, no Borrower has engaged or
			 agreed to engage in any transactions (including any transactions relating to
			 the buying or selling of any Properties or any products of the Project or
			 involving the receipt of money as payment for goods or services) with any
			 Affiliate of any Borrower.

		   

		  4.23 Project
			 Completion Date; Project Costs.
			 (a) As of
			 the Closing Date, the Borrowers estimate, in good faith, that the Buffalo Lake
			 Commercial Operation Date will occur no later than the Buffalo Lake Guaranteed
			 Provisional Acceptance Date, that the Pioneer Trail Commercial Operation Date
			 will occur no later than the Pioneer Trail Guaranteed Provisional Acceptance
			 Date, that the Project Completion Date will occur no later than the Date
			 Certain and that the aggregate proceeds of the Loans, together with the
			 aggregate Equity Contributions made by the Members, will be sufficient to
			 achieve the Project Completion Date.

		   

		  (b) As of
			 the Closing Date, except as set forth in the definition of “EPC
			 Contracts” or except as permitted pursuant to Section 5.25(b), no Scope
			 Change Order has been proposed and no Scope Change Order is being contemplated
			 for proposal in the future by any Borrower, or, to the best knowledge of the
			 Borrowers, by the EPC Contractor.

		   

		  4.24 Single-Purpose
			 Entity. No
			 Borrower has engaged in any business other than the development of the Project.
			 Opco has established offices in the State of Colorado, and does not have a
			 place of business in any other location. Buffalo Lake has established offices
			 in the State of Minnesota, and does not have a place of business at any other
			 location. Pioneer Trail has established offices in the State of Nebraska, and
			 does not have a place of business at any other location.

		   

		  SECTION
			 5.  COVENANTS.

		   

		  Each
			 Borrower covenants and agrees with each of the Lenders that, so long as any
			 Commitment, any Loan, any Letter of Credit, any Unpaid Drawing or any other
			 Obligation is outstanding and until payment in full of all amounts payable by
			 the Borrowers under the Financing Documents:

		   

		  5.1 Financial
			 Statements and Other Information.  The
			 Borrowers shall deliver or cause to be delivered to the Administrative Agent
			 and, upon reasonable request of any Lender, to such Lender: 

		   

		  50

		   

		  
 
		   

		  (a) Quarterly
			 Financial Statements. As
			 soon as available and in any event within forty-five (45) days after the
			 end of each quarterly fiscal period of each of the Borrowers. BFE Holdings and
			 the Sponsor, a copy of the complete unaudited, consolidated statements of
			 income, retained earnings and cash flow of each of the Borrowers, BFE Holding
			 and the Sponsor, and the related unaudited, consolidated balance sheet of each
			 of the Borrowers, BFE Holdings and the Sponsor as at the end of such period,
			 setting forth in each case in comparative form the corresponding figures for
			 the corresponding period in the preceding fiscal year, if any, accompanied by a
			 certificate of an Authorized Officer of the relevant Borrower, BFE Holdings or
			 the Sponsor, as applicable, which certificate shall state that said financial
			 statements fairly present the financial condition and results of operations of
			 the relevant Borrower, BFE Holdings or the Sponsor, as applicable, in
			 accordance with GAAP, consistently applied, as at the end of, and for, such
			 periods (subject to normal year-end audit adjustments);

		   

		  (b) Intentionally
			 Omitted. 

		   

		  (c) Annual
			 Financial Statements. As
			 soon as available and in any event within one hundred and twenty
			 (120) days after the end of each fiscal year of each of the Borrowers, BFE
			 Holdings and the Sponsor a copy of the complete audited, consolidated
			 statements of income, retained earnings and cash flow of each of the Borrowers,
			 BFE Holdings and the Sponsor, and the related audited, consolidated balance
			 sheet of the Borrowers, BFE Holdings and the Sponsor as at the end of such year
			 and any related audit letter, setting forth in each case in comparative form
			 the corresponding figures for the preceding fiscal year, and accompanied by an
			 unqualified opinion thereon of Deloitte & Touche USA LLP, in the case of
			 the Borrowers, Deloitte & Touche USA LLP, in the case of the BFE Holdings
			 and Deloitte & Touche USA LLP, in the case of the Sponsor, or such other
			 firms of independent certified public accountants of recognized national
			 standing as may be acceptable to the Required Lenders, which opinion shall
			 state that said financial statements fairly present the financial condition and
			 results of operations of the appropriate Borrower, BFE Holdings or the Sponsor,
			 as applicable, as at the end of, and for, such fiscal year in accordance with
			 GAAP, and a certificate of accountants to the Borrowers stating that, in making
			 the examination necessary for their opinion, they obtained no knowledge, except
			 as specifically stated, of any Default or Event of Default;

		   

		  (d) Officer’s
			 Certificate. At the
			 time the Borrowers furnish each set of financial statements pursuant to Section
			 5.1(a) or (c) above, an Officer’s Certificate to the effect that no
			 Default or Event of Default has occurred and is continuing (or, if any Default
			 or Event of Default has occurred and is continuing, describing the same in
			 reasonable detail and describing what action the Borrowers have taken and
			 proposes to take with respect thereto);

		   

		  (e) Financial
			 Covenants. On or
			 prior to each Calculation Date, a calculation of:

		   

		  (i) the
			 Historical Debt Service Coverage Ratio for the period ending as of such
			 Calculation Date; 

		   

		  (ii) the
			 Prospective Debt Service Coverage Ratio for the period commencing as of such
			 Calculation Date; and

		   

		  51

		   

		  
 
		   

		  (iii) the
			 Ratio of Debt to Total Project Costs as of such Calculation Date;

		   

		  certified
			 by an Authorized Officer of each of the Borrowers, together with supporting
			 data in reasonable detail;

		  

		  (f) Defaults.
			 Promptly after any officer or director of any Borrower knows or has a
			 reasonable basis to believe that any Default or Event of Default or any default
			 by any Project Participant under any Project Document has occurred, a written
			 notice of such event describing the same in detail satisfactory to the
			 Administrative Agent and, together with such notice, a description of what
			 action such Borrower or such Project Participant has taken and proposes to take
			 with respect thereto;

		   

		  (g) Progress
			 Reports.
			 Promptly upon receipt thereof, each Monthly Progress Report (as defined in the
			 EPC Contracts);

		   

		  (h) Operating
			 Reports. As
			 soon as available and in any event within ten (10) Business Days after the end
			 of each fiscal quarter of the Borrowers, an operating report with respect to
			 the Project for such quarter, which report shall (i) correspond to the items
			 and classifications and periods set forth in the applicable Operating Budget
			 and shall show all Project Revenues, all expenditures for Operation and
			 Maintenance Expenses, the aggregate ethanol and distiller’s grain output
			 of the Project and a reasonably detailed accounting of the use of any amounts
			 transferred to any Borrower from the Operating Account and (ii) be certified as
			 complete and correct by an Authorized Officer of each Borrower, which
			 certificate shall also state that the Operation and Maintenance Expenses
			 reflected therein complied with the requirements contained in Section 5.23(d)
			 hereof, or, if any such certifications cannot be given, shall state in detail
			 any necessary qualifications to such certifications;

		   

		  (i) Notices.
			 Promptly after delivery or receipt thereof, a copy of each material notice,
			 demand or other communication given or received by any Borrower (i) pursuant to
			 or relating to any of the Transaction Documents (including all requests for
			 amendments or waivers) or pursuant to or relating to any Necessary Governmental
			 Approval, or (ii) to or from any Governmental Authority relating in any way to
			 the Project; 

		   

		  (j) Environmental
			 Reports. Within
			 sixty (60) days after the end of each year, a report summarizing the
			 environmental performance of each Plant over the preceding year, which report
			 shall include narrative summaries of (i) the results of any environmental
			 monitoring or sampling activity, (ii) accidents having an impact on the
			 environment or resulting in the loss of life, (iii) environmental deficiencies
			 identified by any Governmental Authority and (iv) any non-compliance with
			 Environmental Laws and any remedial actions taken with respect thereto; and
			 

		   

		  (k) Change
			 of Specifications. The
			 Borrowers’ Agent shall promptly, but in any event no later than thirty
			 (30) Business Days after any officer or director obtains knowledge thereof,
			 give the Administrative Agent notice of the adoption of any Law after the date
			 hereof, which could be expected to result in a generally-adopted change in the
			 quality specifications used for the sale of the ethanol in the United States.
			  

		   

		  52

		   

		  
 
		   

		  (l) Other
			 Information. From
			 time to time such other information regarding the financial condition,
			 operations, business or prospects of any Borrower, any Plant or the Project or,
			 to the extent obtainable by any Borrower upon the exercise of its reasonable
			 efforts, any Project Participant, as may be reasonably requested by the
			 Administrative Agent. 

		   

		  5.2 Other
			 Notices.  Each
			 Borrower shall promptly, but in any event no later than ten (10) Business Days
			 after any officer or director obtains knowledge thereof, give to the
			 Administrative Agent notice of:

		   

		  (a) any
			 pending or threatened application or proceeding by or before any Governmental
			 Authority for the purpose of revoking, terminating, withdrawing, suspending,
			 modifying or withholding any Necessary Governmental Approval;

		   

		  (b) any
			 litigation or proceeding affecting any Borrower, BFE Holdings, the Sponsor, any
			 Plant or the Project in which the amount involved is Two Hundred and Fifty
			 Thousand Dollars ($250,000) or more or in which injunctive, declaratory or
			 similar relief is requested;

		   

		  (c) any
			 litigation, investigation or proceeding affecting any Project Participant which
			 if adversely determined would reasonably be expected to have a Material Adverse
			 Effect;

		   

		  (d) the
			 discovery of any Hazardous Materials on the Land or any other condition that
			 could give rise to a material violation of or liability under any Environmental
			 Law or of any Environmental Claim against or affecting any Borrower, any Plant
			 or the Project;

		   

		  (e) any
			 request by a Project Participant for an arbitration proceeding under any
			 Project Document in which the amount involved is Two Hundred and Fifty Thousand
			 Dollars ($250,000) or more or in which injunctive, declaratory or similar
			 relief is requested;

		   

		  (f) any (i)
			 Taking, or (ii) other casualty, damage or loss to any Property of any Borrower,
			 whether or not insured, through fire, theft, other hazard or event, in excess
			 of Two Hundred and Fifty Thousand Dollars ($250,000) for any one casualty or
			 loss or One Million Dollars ($1,000,000) in the aggregate in any calendar
			 year;

		   

		  (g) any
			 delay for more than seven (7) consecutive days for any reason in the
			 construction of any Plant or the Project and any unscheduled shutdown or
			 reduction in operation of any Plant, or any substantial labor dispute which
			 could lead to such a shutdown or reduction;

		   

		  (h) any
			 actual, proposed or threatened cessation or suspension of the Work for any
			 reason by the EPC Contractor for a period in excess of 48 hours;

		   

		  (i) any
			 event constituting force majeure under
			 any of the Project Documents or any claim by any Project Participant alleging
			 that a force majeure event
			 thereunder has occurred; 

		   

		  (j) any
			 event that would reasonably be expected to result in a reduction in the water
			 allocation of any Borrower for the operation of the Project; and

		   

		  53

		   

		  
 
		   

		  (k) any
			 other event, circumstance, development or condition which would reasonably be
			 expected to have a Material Adverse Effect.

		   

		  Each
			 notice pursuant to this Section 5.2 shall be accompanied by a statement signed
			 by an Authorized Officer of the Borrowers’ Agent setting forth a
			 description in reasonable detail of the occurrence referred to therein and
			 stating what action the Borrowers propose to take with respect
			 thereto.

		   

		  5.3 Maintenance
			 of Existence; Conduct of Business. Each
			 Borrower shall (a) preserve and maintain its legal existence as a limited
			 liability company under the laws of Delaware, and all of its material licenses,
			 rights, privileges and franchises necessary for the maintenance of its
			 existence as a limited liability company (and shall duly pay and discharge all
			 franchise, registration and other similar taxes and fees before they become
			 overdue or before any period of grace, if any, related thereto has expired),
			 and comply, in all material respects, with its Charter Documents, (b) engage
			 solely in the business of constructing, owning, operating and maintaining the
			 Project and performing its obligations pursuant to the Transaction Documents to
			 which it is a party, (c) not cancel, terminate, permit the cancellation or
			 termination of, amend, modify or change any material terms or conditions of, or
			 grant any material consent, waiver or approval under, or take or fail to take
			 any other action that would impair the value of the interest or impair the
			 rights of such Borrower under, any of its Charter Documents and (d) not take
			 any action or fail to take any action that would cause such Borrower to be
			 subject to (i) any taxes or (ii) any obligations under any agreements or
			 arrangements with respect to any taxes.

		   

		  5.4 Compliance
			 with Laws. Each
			 Borrower shall conduct its business in compliance with all applicable
			 requirements of Law, including all relevant Governmental Approvals and
			 Environmental Laws, except where any failure to comply could not individually
			 or in the aggregate have a Material Adverse Effect, and except that such
			 Borrower may, at its expense, contest by appropriate proceedings conducted in
			 good faith the validity or application of any such requirement of Law, so long
			 as (a) none of the Secured Parties or any Borrower would be subject to any
			 criminal liability for failure to comply therewith, (b) all proceedings to
			 enforce such requirement of Law against the Secured Parties, any Borrower, any
			 Plant, the Project or any part thereof shall have been duly stayed and (c) such
			 contest does not involve any risk of the sale, forfeiture or loss of any of the
			 Collateral with an aggregate value of Two Hundred and Fifty Thousand Dollars
			 ($250,000) or more. 

		   

		  5.5 Payment
			 of Taxes, Etc.Each
			 Borrower shall duly pay and discharge before they become overdue or before any
			 period of grace (permitting payment without interest or penalty), if any,
			 related thereto has expired (a) all taxes, assessments and other governmental
			 charges or levies imposed upon it or its Property, income or profits, (b) all
			 utility and other governmental charges incurred in the ownership, operation,
			 maintenance, use, occupancy and upkeep of its business and (c) all lawful
			 claims and obligations that, if unpaid, might result in the imposition of a
			 Lien upon its Property; provided,
			 however, that
			 such Borrower may contest in good faith any such tax, assessment, charge, levy,
			 claim or obligation and, in such event, may permit the tax, assessment, charge,
			 levy, claim or obligation to remain unpaid during any period, including
			 appeals, when such Borrower is in good faith contesting the same by proper
			 proceedings, so long as (i) adequate cash reserves shall have been established
			 in accordance with GAAP with respect to any such tax, assessment, charge, levy,
			 claim or obligation, accrued 

		   

		  54

		   

		  
 
		   

		  interest
			 thereon and potential penalties or other costs relating thereto, or other
			 adequate provision for payment thereof which shall be satisfactory to the
			 Administrative Agent shall have been made, (ii) such contest does not involve
			 any risk of the sale, forfeiture or loss of any of the Collateral with an
			 aggregate value of Two Hundred and Fifty Thousand Dollars ($250,000) or more
			 and (iii) enforcement of the contested item shall be effectively
			 stayed.

		   

		  5.6 Accounting
			 and Financial Management. Each
			 Borrower shall (a) maintain adequate management information and cost control
			 systems, (b) maintain a system of accounting in which full and correct entries
			 shall be made of all financial transactions and the assets and business of such
			 Borrower in accordance with GAAP and (c) promptly deliver to the Administrative
			 Agent a copy of any “management letter” or other similar
			 communication received by such Borrower from such Borrower’s accountants
			 relating to such Borrower’s financial, accounting and other systems,
			 management or accounts. In the event that any Borrower replaces its existing
			 auditors for any reason, the Borrowers shall appoint and maintain as auditors
			 another firm of independent public accountants, which firm shall be nationally
			 recognized and approved by the Required Lenders.

		   

		  5.7 Inspection.
			 (a) Each
			 Borrower shall permit, and cause the Operator to permit, at the expense of the
			 Borrowers, representatives of the Administrative Agent, the Lenders and the
			 Independent Engineer, with reasonable advance notice, during normal business
			 hours and at such intervals as such Person shall desire, to visit and inspect
			 the Project or any part thereof and to witness and verify the Performance
			 Tests, to examine, copy and make extracts from its (and the Operator’s)
			 books and records, to inspect the Properties of any Borrower, and to discuss
			 the business and affairs of any Borrower with its (and the Operator’s)
			 officers and engineers, all to the extent reasonably requested by the
			 Administrative Agent, any Lender or the Independent Engineer (as the case may
			 be). Each Borrower will authorize its auditors (whose fees and expenses shall
			 be for the account of such Borrower) to communicate directly with the officers
			 and designated representatives of the Administrative Agent, each Lender and the
			 Independent Engineer at any reasonable time and upon prior written notice to
			 such Borrower, regarding its accounts and operations. 

		   

		  (b) Each
			 Borrower shall permit the Administrative Agent, the Independent Engineer and
			 any other consultant engaged by the Administrative Agent to review (i) all
			 Plans and Specifications, (ii) any quality control data and performance test
			 data and (iii) any other data relating to the Project or to the progress of
			 construction as may be reasonably requested by the Administrative Agent, the
			 Independent Engineer or such other consultant. Further, each Borrower shall
			 permit the Administrative Agent, the Independent Engineer and any other
			 consultant engaged by the Administrative Agent to monitor, witness and review
			 the Work.

		   

		  (c) Each
			 Borrower shall give timely notice of, and permit the Administrative Agent, the
			 Independent Engineer, and any other consultant engaged by the Administrative
			 Agent for such purpose to attend, (i) all Project construction progress review
			 meetings held by any Borrower or its agents or representatives and (ii) any and
			 all Performance Tests or other performance tests of any Plant or any component
			 thereof (whether any such test is to be conducted on or off the Plant
			 site).

		   

		  55

		   

		  
 
		   

		  (d) Notwithstanding
			 anything to the contrary herein or in any other Transaction Document, no act or
			 omission of any Agent, any Lender or the Independent Engineer or any other
			 consultant engaged by any Lender shall in any way (i) affect the obligations of
			 the Borrowers, the EPC Contractor or any other Person under any Transaction
			 Document or any other contract relating to the EPC Contracts, (ii) be deemed to
			 be the acceptance of any defective work performed by the EPC Contractor or any
			 other Person under any EPC Contract, or (iii) be deemed to be a waiver of any
			 rights against the EPC Contractor or any other Person under any EPC Contract or
			 otherwise.

		   

		  5.8 Governmental
			 Approvals.
			 

		   

		  (a) Each
			 Borrower shall (i) from time to time obtain and maintain, and comply in all
			 material respects with, all Necessary Governmental Approvals as shall now or
			 hereafter be required under applicable Laws, (ii) cause the Plants and the
			 Project to be duly constructed, completed and operated in all material respects
			 in accordance with all applicable Laws and (iii) intervene in and contest any
			 proceeding which seeks or may reasonably be expected, to rescind, terminate,
			 adversely modify or suspend any Necessary Governmental Approval and, if
			 reasonably requested by the Required Lenders, appeal any such rescission,
			 termination, modification or suspension in the manner and to the full extent
			 permitted by applicable Law (provided that
			 the obligations of the Borrowers under this Section 5.8 shall not in any way
			 limit or impair the rights or remedies of the Secured Parties under any
			 Financing Document directly or indirectly arising as a result of any such
			 rescission, termination, modification or suspension).

		   

		  (b) With
			 respect to the Water Appropriation Permit from the Minnesota Department of
			 Natural Resources (“DNR”),
			 Buffalo Lake shall (i) install a nest of observation wells near the production
			 wells to the satisfaction of the DNR before November 30, 2006; (ii)
			 conduct a risk assessment to address the potential for domestic well
			 interference and address any at risk wells identified during that exercise to
			 the satisfaction of DNR on or before January 31, 2007; (iii) install
			 observation wells to monitor outlying water level fluctuations to the
			 satisfaction of DNR on or before February 28, 2007; and (iv) obtain the final
			 Water Appropriation Permit from DNR on or before March 15, 2007. Buffalo Lake
			 shall provide to the Administrative Agent evidence of the completion of each of
			 the tasks in items (i) - (iv) of this paragraph in form reasonably satisfactory
			 to the Administrative Agent within three (3) Business Days of the deadlines set
			 forth in each such task.

		   

		  5.9 Insurance. Each
			 Borrower shall maintain or cause to be maintained in full force and effect at
			 all times on and after the Closing Date (unless otherwise specified in Appendix
			 C) and continuing throughout the term of this Agreement (unless otherwise
			 specified in Appendix C) insurance coverages for the Project meeting the
			 requirements set forth in Appendix C. 

		   

		  5.10 Events
			 of Loss and Project Document Claims.

		   

		  (a) If an
			 Event of Loss shall occur with respect to any Collateral, each Borrower shall
			 (i) diligently pursue all its rights to compensation against any Person with
			 respect to such Event of Loss and (ii) cause all Loss Proceeds (other than any
			 Loss Proceeds from an 

		   

		  56

		   

		  
 
		   

		  Event of
			 Loss relating to any Property that is the subject of a Grain Facility Lease) to
			 be deposited in the Loss Proceeds Account pursuant to the Account Agreement. To
			 the extent that any such Loss Proceeds are paid to any Borrower, such Loss
			 Proceeds shall be held in trust for the Collateral Agent for the benefit of the
			 Secured Parties segregated from other funds of the Borrowers, and the Borrowers
			 shall cause such Loss Proceeds to be deposited in the Loss Proceeds Account as
			 contemplated above as promptly as practicable.

		   

		  (b) The
			 Collateral Agent (acting on the instruction of the Administrative Agent) shall
			 be entitled to participate in any compromise, adjustment or settlement in
			 connection with any Event of Loss under any policy or policies of insurance or
			 in respect of any proceeding with respect to any Taking of Property of any
			 Borrower.

		   

		  (c) If any
			 Borrower shall have a Project Document Claim against any Project Participant,
			 the Borrowers shall (i) diligently pursue all their rights to compensation
			 against such Project Participant with respect to such Project Document Claim,
			 (ii) cause all amounts received in respect of any such Project Document Claim
			 to be deposited in the Project Document Claims Account pursuant to the Account
			 Agreement and (iii) apply the proceeds of any such Project Document Claim to
			 the prepayment of the Loans on the Principal Payment Date next following the
			 receipt of the proceeds of such Project Document Claim in accordance with
			 Section 6.3(a). To the extent that any such amounts are paid to any Borrower,
			 such amounts shall be held in trust for the Collateral Agent for the benefit of
			 the Secured Parties segregated from other funds of the Borrowers, and the
			 Borrowers shall cause such amounts to be deposited in the Project Document
			 Claims Account as contemplated above as promptly as practicable.

		   

		  (d) If any
			 Borrower shall have a claim for Delay Liquidated Damages against any Project
			 Participant, the Borrowers shall (i) diligently pursue all their rights to
			 Delay Liquidated Damages against such Project Participant, (ii) cause all
			 amounts received in respect of any such Delay Liquidated Damages to be
			 deposited in the Project Revenues Collection Account pursuant to the Account
			 Agreement and (iii) apply the proceeds of any such Delay Liquidated Damages to
			 the payment of Project Costs (other than any Mezzanine Debt Payments). To the
			 extent that any such amounts are paid to any Borrower, such amounts shall be
			 held in trust for the Collateral Agent for the benefit of the Secured Parties
			 segregated from other funds of the Borrowers, and the Borrowers shall cause
			 such amounts to be deposited in the Project Revenues Collection Account as
			 contemplated above as promptly as practicable.

		   

		  5.11 Application
			 of Loss Proceeds.
			 (a) If an
			 Event of Loss shall occur with respect to any Collateral, the Borrowers shall
			 cause the Net Available Amount of any Loss Proceeds (other than any Loss
			 Proceeds from an Event of Loss relating to any Property that is the subject of
			 a Grain Facility Lease) to be applied to the prepayment of the Loans on the
			 next Principal Payment Date which is at least 30 days after the receipt of such
			 proceeds in accordance with Section 6.3(b); provided that,
			 with the consent of the Required Lenders, the
			 Borrowers shall be permitted to apply such proceeds to the payment of the costs
			 of Restoring the portion of the Project that was the subject of such Event of
			 Loss; and provided further
			 that, so long as no Default or Event of Default shall then exist, if such
			 proceeds are $5,000,000 or less, the Borrowers shall be permitted (without the
			 consent of the Required Lenders) to
			 apply such proceeds to the payment of the costs of Restoring the portion of the
			 Project that was the subject of such Event of Loss (and such proceeds shall be
			 delivered to the Borrowers in accordance with 

		   

		  57

		   

		  
 
		   

		  Section
			 4.13 of the Account Agreement). If any Loss Proceeds are to be applied to the
			 payment of Restoration costs pursuant to the preceding sentence, the Net
			 Available Amount of such Loss Proceeds shall be remitted to the appropriate
			 Borrower from time to time as the Restoration Work progresses and shall be
			 applied by such appropriate Borrower to the payment of the costs of
			 Restoration, such remittance to be made pursuant to the terms of the Account
			 Agreement and subject to the following conditions:

		   

		  (i) in the
			 opinion of the Independent Engineer, the Net Available Amount of the Loss
			 Proceeds (together with all other funds reasonably expected to be available to
			 the applicable Borrower) is sufficient to Restore the affected Plant and to pay
			 all Operation and Maintenance Expenses and Debt Service during the period of
			 time required to Restore each affected Plant;

		   

		  (ii) the
			 Restoration Work shall be supervised by an architect or engineer (who may be an
			 employee of any Borrower or an Affiliate or of the Operator) and, before any
			 Restoration Work is commenced, other than temporary Restoration Work to protect
			 property or to prevent interference with business, the Administrative Agent
			 (acting on the instructions of the Required Lenders) and
			 the Independent Engineer shall have approved the plans and specifications for
			 the Restoration Work, it being understood that after giving effect to the
			 completion of such proposed Restoration Work, the Project shall be at least
			 equal in value and utility to the Project prior to the damage or
			 destruction;

		   

		  (iii) each
			 request for payment shall be made by the delivery, at least three (3) Business
			 Days’ prior to the proposed payment date, of a Restoration Requisition to
			 the Depositary Agent (with a copy to the Administrative Agent), accompanied by
			 a certificate signed by the supervising architect or engineer and, if the Net
			 Available Amount of Loss Proceeds initially deposited into the Loss Proceeds
			 Account with respect to such Event of Loss exceeded $15,000,000, a certificate
			 signed by an Authorized Officer of the Independent Engineer, in each case
			 concurring with the statements made in such Restoration
			 Requisition;

		   

		  (iv) no
			 Project Document or Necessary Governmental Approval in effect immediately prior
			 to the Event of Loss giving rise to such Loss Proceeds shall have been canceled
			 unless replaced in a manner satisfactory to the Administrative Agent (acting on
			 the instructions of the Required Lenders), or
			 contain any still exercisable right to cancel, due to such Event of
			 Loss;

		   

		  (v) no
			 Default or Event of Default (other than a Default or Event of Default arising
			 directly from the event as to which such Loss Proceeds have been paid) shall
			 have occurred and be continuing;

		   

		  (vi) the
			 Property of any Borrower constituting the Restoration Work shall be subject to
			 the Security Interest (whether by amendment of the Security Documents or by
			 entering into new Security Documents or otherwise); and

		   

		  (vii) the
			 Borrowers shall have delivered to the Administrative Agent cash-flow
			 projections and other assurances satisfactory to the Required Lenders
			 demonstrating the Borrowers’ ability to meet their respective obligations
			 hereunder and under the other 

		   

		  58

		   

		  
 
		   

		  Financing
			 Documents during the period from such Event of Loss until and following
			 completion of such Restoration Work.

		   

		  (b) If the
			 Borrowers shall not have commenced the Restoration Work within 60 days after
			 the Required Lenders shall
			 have consented to the disbursement of the Loss Proceeds referred to above to
			 pay the costs of Restoring the Project in accordance with this Section 5.11 or
			 if at any time after such 60-day period, one or more of the foregoing
			 conditions shall not be satisfied, then, to the extent that such Loss Proceeds
			 shall not otherwise have been disbursed as aforesaid to the Borrowers, the
			 remaining amount of such Loss Proceeds shall be applied, on behalf of the
			 Borrowers, to the prepayment of the Loans as provided in Section 6.3(b).
			 Anything to the contrary in this Section 5.11 notwithstanding, if an Event of
			 Default shall have occurred and be continuing (other than as a direct result of
			 the Event of Loss which gave rise to such Loss Proceeds), the Administrative
			 Agent may forthwith direct the Depositary Agent to apply the remaining amount
			 of such Loss Proceeds to the prepayment of the Loans as provided in Section
			 6.3(b).

		   

		  (c) Notwithstanding
			 anything to the contrary which may be contained in the foregoing provisions of
			 this Section 5.11, if an Expropriation Event shall occur with respect to any
			 Collateral, the Borrowers shall (i) promptly upon discovery or receipt of
			 notice of any occurrence thereof provide written notice to the Administrative
			 Agent, (ii) not, without the written consent of the Required Lenders,
			 compromise or settle any claim with respect to such Expropriation Event and
			 (iii) apply all Loss Proceeds received in respect of such Expropriation
			 Event to the prepayment of the Loans on the Principal Payment Date next
			 following the receipt of such proceeds in accordance with Section 6.3(b).
			 The Borrowers consent to the participation to the extent permitted by Law of
			 the Collateral Agent in any proceedings regarding an Expropriation Event, and
			 the Borrowers shall from time to time deliver to the Collateral Agent all
			 documents and instruments requested by the Collateral Agent to permit such
			 participation. Nothing in this Section 5.11 shall be deemed to impair any
			 rights any Lender may have with respect to any such Expropriation
			 Event.

		   

		  (d) Any Loss
			 Proceeds from an Event of Loss that relates to any Property which is the
			 subject of a Grain Facility Lease shall be transferred directly to the escrow
			 agent identified pursuant to the Escrow Agreement and applied solely in
			 accordance with the Escrow Agreement. None of the Borrowers shall, without the
			 prior written consent of the Administrative Agent, agree to (i) any allocation
			 of any proceeds in any Escrow Account pursuant to Section 6 of the Escrow
			 Agreement or (ii) any removal of the escrow agent or appointment of a new
			 escrow agent, in each case under the Escrow Agreement.

		   

		  5.12 Limitation
			 on Liens. No
			 Borrower shall create,
			 incur, assume or suffer to exist any Lien
			 upon any of its Property, whether now owned or hereafter acquired,
			 except:

		   

		  (a) Liens
			 created under the Security Documents;

		   

		  (b) Liens
			 imposed by any Governmental Authority for taxes to the extent not required to
			 be paid under Section 5.5;

		   

		  59

		   

		  
 
		   

		  (c) carriers’,
			 warehousemen’s, mechanics’, materialmen’s, repairmen’s or
			 other like Liens arising in the ordinary course of business or in connection
			 with the construction of the Project, either (i) for amounts not overdue by
			 more than sixty (60) days or (ii) for amounts being contested in good faith and
			 by appropriate proceedings, so long as (x) such contest does not involve any
			 risk of the sale, forfeiture or loss of any of the Collateral, (y) enforcement
			 of the contested item shall be effectively stayed and (z) a bond or other
			 security instrument has been posted or other adequate provision for payment
			 thereof has been provided in such manner and amount as to reasonably assure the
			 Administrative Agent that any amounts determined to be due will be promptly
			 paid in full when such contest is resolved;

		   

		  (d) pledges
			 or deposits under worker’s compensation, unemployment insurance and other
			 social security legislation; 

		   

		  (e) easements,
			 rights-of-way and other encumbrances on title to real property that do not
			 render title to the property encumbered thereby unmarketable or materially
			 adversely affect the use of such property for its intended purposes;
			 

		   

		  (f) the
			 netting and set-off rights permitted under any Hedging Agreement entered into
			 in accordance with the Risk Management Policy and the provisions of Section
			 5.31;

		   

		  (g) Liens
			 arising out of a judgment or award that (i) does not constitute an Event of
			 Default under Section 7.1(i) and (ii) is the subject to a good faith contest by
			 the Borrowers;

		   

		  (h) Liens
			 arising out of any asset leased in accordance with Section 5.14;
			 and

		   

		  (i) solely
			 with respect to the Property which is the subject of a Grain Facility Lease,
			 Liens listed in Exhibit C (Permitted Exceptions) of each such Grain Facility
			 Lease.

		  

		  5.13 Indebtedness. 
			 The Borrowers shall not create, incur, suffer to exist or otherwise become
			 liable for any Indebtedness except:

		   

		  (a) Indebtedness
			 arising under the Financing Documents;

		   

		  (b) unsecured
			 Indebtedness owed to any Member, provided that
			 such Indebtedness is subordinated to the Obligations and is otherwise issued
			 pursuant to subordination and other terms which are reasonably satisfactory to
			 the Required Lenders;

		   

		  (c) Indebtedness
			 incurred under the Mezzanine Debt Guaranties and subordinated to the
			 Obligations as provided in the Subordination Agreement;

		   

		  (d) unsecured
			 Indebtedness of Pioneer Trail up to a maximum outstanding principal amount at
			 all times equal to $7,000,000 incurred prior to the Closing Date as described
			 in, and incurred under, Article IV of the Pioneer Trail Redevelopment Contract
			 (the “TIF
			 Indebtedness”),
			 provided, that
			 (i) such Indebtedness is issued: on terms and conditions and pursuant to
			 documentation satisfactory to the Administrative Agent, which conditions shall
			 include a requirement that no lender of, or participant in, the TIF
			 Indebtedness shall have any recourse to any Borrower or its Property other than
			 to the real estate taxes that Pioneer Trails 

		   

		  60

		   

		  
 
		   

		  would
			 have otherwise been obligated to pay but for the incurrence of the TIF
			 Indebtedness (or such other conditions or requirements as may be acceptable to
			 the Administrative Agent and each Lender), and (ii) the Borrowers shall have
			 furnished, or caused to be furnished, to the Collateral Agent and the
			 Administrative Agent an opinion of legal counsel opinion acceptable to the
			 Administrative Agent stating that, in the opinion of such counsel, the
			 conditions and requirements set forth in clause (i) above shall have been
			 satisfied; 

		   

		  (e) Indebtedness
			 (other than Indebtedness for borrowed money) secured by a Permitted
			 Lien;

		   

		  (f) Hedging
			 Agreements that comply with the Risk Management Policy; 

		   

		  (g) Indebtedness
			 incurred under the Railroad Car Lease Agreements; and 

		   

		  (h)
			 Indebtedness
			 incurred to the City of Fairmont in the principal amount not to exceed One
			 Hundred Sixty-Two Thousand Dollars ($162,000).

		  

		  5.14 Leases. No
			 Borrower shall enter into any agreement (other than the Buffalo Lake Grain
			 Facility Lease, Pioneer Trail Grain Facility Lease, Buffalo Lake Rail Car Lease
			 Agreement, or Pioneer Trail Rail Car Lease Agreement), or be or become liable
			 as lessee under any agreement, for the lease, hire or use of any real or
			 personal Property, except for operating leases of personal Property (which do
			 not constitute Capital Lease Obligations) provided for in the prevailing
			 Operating Budget; provided that
			 (a) such items of personal Property are not affixed to any Plant, do not
			 constitute “fixtures” under applicable Law, and are standard,
			 non-customized items; and (b) the Borrowers’ aggregate payment obligations
			 under all such leases shall not exceed in any year the amounts specified
			 therefore in the then applicable Operating Budget.

		   

		  5.15 Investments;
			 Subsidiaries. (a) No
			 Borrower shall make or permit to remain outstanding any Investments except
			 Permitted Investments.

		   

		  (b) No
			 Borrower shall establish, create or acquire any Subsidiary, other than Buffalo
			 Lake and Pioneer Trail, which are and shall remain wholly-owned Subsidiaries of
			 Opco.

		   

		  5.16 Distributions. No
			 Borrower shall make any dividends, distributions, return of capital or other
			 payments to its Members or to any other Person in respect of its LLC Interests
			 or any other ownership interest in any Borrower, whether in cash or other
			 Property, or make any Mezzanine Debt Payments, or redeem, purchase or otherwise
			 acquire any interest of any Member or any indebtedness owed by any Borrower to
			 any Member, or permit any Member to withdraw any capital from any Borrower (all
			 of the foregoing being referred to as “Distributions”)
			 or make any payment of any management or other fees or expenses to any
			 Affiliate of a Borrower (other than the payments payable under and pursuant to
			 any Management Services Agreement) (with the first such payment, distribution
			 or other action (other than Distributions permitted under Section 5.16(b) and
			 (d) below) occurring no earlier than the first Principal Payment Date occurring
			 after the Conversion Date); provided
			 that:

		  
			  

			 61

			  

			 
 
			  

			 (a) on
				any Quarterly Distribution Date, so long as each Borrower qualifies as a
				flow-through entity for U.S. federal income tax purposes, Tax Distributions may
				be paid in accordance with Section 4.2 and 4.7 of the Account Agreement so long
				as no Default or Event of Default shall have occurred and be continuing or
				would result from the making of such Tax Distribution;

			  

			 (b) on
				each date prior to the Conversion Date on which payments in respect of initial
				fees, drawdown fees and interest on the Mezzanine Debt are due and payable
				under the Mezzanine Debt Documents, a Distribution may be made by the Borrowers
				or distributed to the Member of Opco in an amount that equals such payments in
				respect of drawdown fees and interest that may be paid (or distributed to fund
				such payments) in accordance with Section 4.1 of the Account Agreement and the
				initial fees payable prior to the Closing Date in connection with the execution
				of the Mezzanine Debt Documents; provided, that
				(i) no Default or Event of Default shall have occurred and be continuing or
				would result from the making of such payment and (ii) the aggregate amounts
				payable in respect of this Section 5.16(b) (other than the initial fees) shall
				not exceed Ten Million Dollars ($10,000,000); 

			  

			 (c) on
				any Quarterly Distribution Date, amounts on deposit in the Distribution Account
				may be remitted to the Borrowers for the purpose of making a Distribution
				(which Distribution shall be allowed) or for any other purpose, in each case,
				so long as each of the following conditions is satisfied:

			  

			 (i) no
				Default or Event of Default shall have occurred and be continuing or would
				result from the making of such Distribution; 

			  

			 (ii) the sum
				of (x) the total outstanding principal amount of Working Capital Loans
				plus
				(y) the Letter of Credit Outstandings shall not exceed Ten Million Dollars
				($10,000,000) on such Quarterly Distribution Date;

			  

			 (iii) the
				Borrowers shall have delivered the most recent Financial Covenants Statement by
				the time required by Section 5.1(e) and such statements shall demonstrate that
				each of the Historical Debt Service Coverage Ratio and the Prospective Debt
				Service Coverage Ratio for the period most recently ended prior to such
				Quarterly Distribution Date was at least 1.50:1.00;

			  

			 (iv)
				 there
				are no Unpaid Drawings, accrued interest or fees outstanding with respect to
				any Letter of Credit; 

			  

			 (v) the
				amount on deposit in the Debt Service Reserve Account, including any undrawn
				amount then available under the DSRA Letter of Credit, shall be at least equal
				to the Required Debt Service Reserve Amount;

			  

			 (vi) each of
				the conditions to Project Completion shall have occurred under each of the EPC
				Contracts (other than completion of the Punch List (as defined in each EPC
				Contract));

			  

			 (vii) no VEETC
				Event shall have occurred and be continuing;  

			  

			 62

			  

			 
 
			  

			 (viii) the
				amount on deposit in the Hedging Reserve Account shall
				be at least equal to the amount required under the Risk Management Policy and
				the amounts on deposit in the Cargill Loss Proceeds Account shall be at least
				equal to the amount required under Section 4.2(a)(vi) of the Account
				Agreement;
				and

			  

			 (ix) the
				Borrowers’ Agent shall have delivered to the Administrative Agent, the
				Collateral Agent and the Depositary Agent, within 15 Business Days after the
				relevant Principal Payment Date, an Officer’s Certificate in the form of
				Exhibit E to the Account Agreement certifying as to the satisfaction of each of
				the conditions described in clauses (i) through (viii) above (the
				“Distribution
				Date Certificate”);
				and

			  

			 (d) On the
				Conversion Date, the payment to BFE Holdings permitted in priority fifth in
				Section 4.1(i)(v) of the Account Agreement may be paid in accordance with the
				provisions of Section 4.1(i) of the Account Agreement.

			  

			 5.17 Required
				Hedging Agreements.  The
				Borrowers shall maintain in full force and effect one or more Hedging
				Agreements (collectively, the “Required
				Hedging Agreements”)
				with one or more Lenders (or their Affiliates), which effectively enable the
				Borrowers to protect themselves in a manner satisfactory to the Administrative
				Agent against the risk of interest rate fluctuations as to a notional principal
				amount at least equal to (a) fifty percent (50%) of the outstanding principal
				amount of the Construction Loans and the Term Loans from time to time, which
				Required Hedging Agreements shall be entered into and maintained from and after
				the date on which the principal amount of all outstanding Construction Loans is
				greater than Fifty Million Dollars ($50,000,000) until the first anniversary of
				the Term Date, and (b) fifty percent (50%) of the expected principal amount of
				the Term Loans payable during the next three years as determined by reference
				to a schedule (provided by the Borrowers’ Agent on the Conversion Date and
				on each anniversary of the Conversion Date thereafter, which schedule shall be
				reasonably acceptable to the Administrative Agent) of the principal payments to
				be made by the Borrowers during such period after giving effect to the
				anticipated Project Revenues, Operation and Maintenance Expenses and
				Maintenance Capital Expenses during such period, which Required Hedging
				Agreements shall be entered into and become effective on or prior to the
				Conversion Date and shall be maintained on a rolling three-year basis until the
				Loan Termination Date; provided that if
				a Required Hedging Agreement is with a counterparty other than a Lender (or an
				Affiliate thereof), the obligations of the Borrowers thereunder will not be
				secured by the Security Documents or any other Lien on the Property of any
				Borrower and will be subordinated to the Obligations in a manner and pursuant
				to terms and conditions which are in all respects satisfactory to the Required
				Lenders. The
				Borrowers shall, in connection with any prepayment made by the Borrowers
				pursuant to Section 6.2 or 6.3, terminate an aggregate notional amount under
				the Required Hedging Agreements equal to the amount (if any) by which the
				aggregate notional amount under the Required Hedging Agreements would exceed
				the aggregate outstanding principal amount of the Loans immediately after
				giving effect to such prepayment. The amount of any Swap Termination Value due
				in respect of the Required Hedging Agreements terminated in accordance with the
				immediately foregoing sentence shall be (i) in the case of the prepayment
				pursuant to Section 6.2 and if payable by the Borrowers, made by the Borrowers
				from funds other than the amounts being applied as a voluntary prepayment of
				the Loans and (ii) in the case of any prepayment pursuant to Section 6.3 and if
				payable by the 

			  

			 63

			  

			 
 
			  

			 Borrowers,
				made by the Borrowers from amounts available with which to make such
				prepayment. 

			 

			 5.18 Location;
				Chief Executive Office; Records.The
				place of business or, if it has more than one place of business, the chief
				executive office of Opco and the place where the records of Opco concerning the
				Collateral are kept is in Denver, Colorado. The place of business or, if it has
				more than one place of business, the chief executive office of Buffalo Lake and
				the place where the records of Buffalo Lake concerning the Collateral are kept
				is in Denver, Colorado. The place of business or, if it has more than one place
				of business, the chief executive office of Pioneer Trail and the place where
				the records of Pioneer Trail concerning the Collateral are kept is in Denver,
				Colorado. The originals of all documents evidencing the Collateral and the only
				original books of account and records of the Borrowers relating thereto are,
				and will continue to be, kept at the applicable place of business or chief
				executive office provided in this Section 5.18, or at such new location as such
				Borrower may establish in accordance with this Agreement. The jurisdiction of
				organization and “location” of each Borrower for the purposes of
				Section 9-307 of the UCC is the State of Delaware. No Borrower shall establish
				a new “location” for the purposes of Section 9-307 of the UCC or
				change its chief executive office or its jurisdiction of organization until (a)
				it shall have given to the Collateral Agent not less than 45 days’ prior
				written notice of its intention so to do, clearly describing such new location
				or jurisdiction and providing such other information in connection therewith as
				the Collateral Agent (acting on the instruction of the Administrative Agent)
				may reasonably request and (b) with respect to such new location or
				jurisdiction, it shall have taken all action, satisfactory to the Collateral
				Agent (acting on the instruction of the Administrative Agent), to maintain the
				security interest of the Collateral Agent in the Collateral at all times fully
				perfected and in full force and effect.

			  

			 5.19 Transactions
				with Affiliates. Except
				as provided in, or permitted by, the Transaction Documents, no Borrower shall
				directly or indirectly (a) make any Investment in or payment to an
				Affiliate of any Borrower; (b) transfer, sell, lease, assign or otherwise
				dispose of any Property to an Affiliate of any Borrower; (c) purchase or
				acquire Property from an Affiliate of any Borrower; or (d) enter into any other
				transaction or arrangement directly or indirectly with or for the benefit of an
				Affiliate of any Borrower, unless such transaction is (i) in the ordinary
				course of such Borrower’s (and such Affiliate’s) business, and (ii)
				upon fair and reasonable terms no less favorable to such Borrower than it would
				obtain in a comparable arm’s length transaction with a Person which is not
				an Affiliate.

			  

			 5.20 Use
				of Proceeds; Construction Budget. (a)
				The Borrowers will use the proceeds of the Construction Loans solely to pay
				Project Costs contemplated by the Construction Budget. The Borrowers will use
				the proceeds of the Working Capital Loans solely for working capital purposes
				of the Borrowers to pay Operation and Maintenance Expenses.

			  

			 (b) No
				Borrower shall, without the prior written consent of the Administrative Agent,
				amend, revise or modify the Construction Budget to increase or decrease or
				otherwise change the number or type of Construction Budget categories, or
				request any Loans for the purpose of funding any Project Costs in excess of the
				amount contained in the Construction Budget for such category of Project Costs,
				or utilize the “Contingency” line item specified in the Construction
				Budget other than (i) by means of Scope Change Orders permitted under
				

			  

			 64

			  

			 
 
			  

			 Section 5.25(b),
				(ii) in respect of Project Costs in an aggregate amount not to exceed Five
				Hundred Thousand Dollars ($500,000) or (iii) in respect of Project Cost
				overruns at one Plant using the “Contingency” line item specified in
				the Construction Budget for the other Plant to the extent that such use of such
				line item will not cause a deficiency of funds necessary to achieve (x) Project
				Completion for both Plants by the relevant Guaranteed Completion Date and (y)
				the Project Completion Date by the Date Certain and otherwise satisfy the
				conditions contained in Section 3.4, and the Administrative Agent shall have
				received a certificate from the Independent Engineer confirming items (x) and
				(y) above. 

			  

			 5.21 Project
				Construction; Maintenance.
				

			  

			 (a) The
				Borrowers shall cause the Project and each of the Plants to be duly constructed
				and completed in accordance with the Construction Budget, the EPC Contracts,
				and Good Industry Practice, shall cause the Commercial Operation Date for the
				Buffalo Lake Plant to occur by the Buffalo Lake Guaranteed Provisional
				Acceptance Date, shall cause the Commercial Operation Date for the Pioneer
				Trail Plant to occur by the Pioneer Trail Guaranteed Provisional Acceptance
				Date, and shall cause the Project Completion Date to occur on or before the
				Date Certain. 

			  

			 (b) The
				Borrowers shall not enter into any Scope Change Order except as may be
				permitted by Section 5.25. 

			  

			 (c) The
				Borrowers shall maintain and preserve the Project and all of their other
				Properties necessary or useful in the proper conduct of its business in good
				working order and in such condition that the Plants will have the capacity and
				functional ability to perform, on a continuing basis (ordinary wear and tear
				excepted), in normal commercial operation, the functions for which it was
				specifically designed in accordance with the applicable EPC Contract(s) at
				substantially the levels contemplated thereby. The Borrowers shall cause the
				Project to be operated, serviced, maintained and repaired so that the condition
				and operating efficiency thereof will be maintained and preserved (ordinary
				wear and tear excepted) in all material respects in accordance and compliance
				with (i) Good Industry Practices, (ii) such operating standards as shall be
				required to enforce any material warranty claims against dealers,
				manufacturers, vendors, contractors, and sub-contractors, (iii) the terms and
				conditions of all insurance policies maintained with respect to the Project at
				any time, (iv) all requirements of Law and all Governmental Approvals
				applicable to the Project, and (v) the terms of the Project Documents.
				

			  

			 (d) The
				Borrowers shall not materially alter, remodel, add to, reconstruct, improve or
				demolish any part of the Project or any other Collateral having an aggregate
				value of Two Hundred Fifty Thousand Dollars ($250,000) or more. 

			  

			 (e) Following
				the execution of the Buffalo Lake O&M Agreement or the Pioneer Trail
				O&M Agreement, as the case may be, the relevant Borrower shall not appoint
				or allow the appointment of any replacement Operator of the relevant Plant.
				

			  

			 (f) No
				Borrower shall, directly or indirectly, make or commit to make any expenditure
				in respect of the purchase or other acquisition of fixed or capital assets,
				other than (i) 

			  

			 65

			  

			 
 
			  

			 expenditures
				contemplated by the Construction Budget or the prevailing Operating Budget, as
				appropriate, and (ii) expenditures permitted to be made pursuant to Section
				5.11. 

			  

			 (g) If, at
				any time following the Commercial Operation Date for any Plant, the Project
				Costs for the other Plant that has not yet reached Provisional Acceptance are
				determined to be in excess of the amounts set forth in the Construction Budget
				for such Plant and no Excess Construction Loan Commitment is then available for
				Borrowings to cover such excess amount, the Borrowers’ Agent may submit a
				request to the Administrative Agent, for approval by the Required Lenders (in
				consultation with the Independent Engineer), to apply funds in the Project
				Revenues Collection Account to pay such Project Cost overruns. Any such request
				shall be accompanied by (i) an updated budget for all remaining Project Costs
				for such Plant, (ii) a detailed explanation for such Project Cost overruns,
				(iii) calculations demonstrating that, if such request is approved, sufficient
				funds will be available to pay all Operation and Maintenance Expenses,
				Maintenance Capital Expenses and Debt Service with respect to the Plant whose
				Commercial Operation Date has already occurred, in each such case certified by
				an Authorized Officer of the Borrowers’ Agent. If such request and updated
				Construction Budget are approved by the Required Lenders, then funds then on
				deposit in the Project Revenues Collection Account may be applied to such
				Project Cost overruns as provided in Section 4.2(a)(iii) of the Account
				Agreement.

			  

			 5.22 Performance
				of Project Documents.

			  

			 (a) Each
				Borrower shall perform and observe in all material respects all of its
				covenants and agreements contained in any of the Project Documents to which it
				is or becomes a party, shall take all necessary action to prevent the early
				termination of any such Project Documents in accordance with the terms thereof
				or otherwise, and shall take any and all action as may be reasonably necessary
				promptly to enforce its rights and to collect any and all sums due to it under
				the Project Documents.

			  

			 (b) The
				Borrowers shall instruct all Project Participants to make all payments payable
				to the Borrowers to the Depositary Agent for deposit in the appropriate Account
				in accordance with the Account Agreement. 

			  

			 5.23 Operating
				Plan and Budget.
				

			  

			 (a) No less
				than forty-five (45) days prior to the target date for the occurrence of the
				initial Commercial Operation Date, the Borrowers shall adopt an operating plan
				and a budget of Project Revenues and Operation and Maintenance Expenses for the
				period from such date to the end of the first Operating Year, and, no less than
				forty-five (45) days in advance of the beginning of each Operating Year
				thereafter, it will similarly adopt an operating plan and a budget of Operation
				and Maintenance Expenses for the ensuing Operating Year. Such operating plan
				and budget for an Operating Year is herein called an “Operating
				Budget”.
				Copies of the proposed Operating Budget for each period shall be submitted at
				least forty-five (45) days before final adoption thereof to the Administrative
				Agent, and no Operating Budget shall be adopted without the prior written
				approval of the Administrative Agent (in consultation with the Independent
				Engineer). The Administrative Agent shall indicate in writing its approval,
				disapproval or modifications to the Operating Budget within twenty (20) days
				upon receipt of 

			  

			 66

			  

			 
 
			  

			 such
				Operating Budget. In the event that the prior written approval of the
				Administrative Agent for a proposed Operating Budget is not obtained prior to
				the first day of the Operating Year to which such proposed Operating Budget
				relates, the Borrowers may continue to operate the Project in accordance with
				the Operating Budget then in effect with the budgeted cost of each budget item
				being increased to the lesser of (i) the amount therefor in the proposed
				Operating Budget or (ii) one hundred and two and one-half percent (102.5%) of
				the amount of the budgeted cost of such budget item in the current Operating
				Budget. Copies of the final Operating Budget so adopted shall be furnished to
				the Administrative Agent promptly upon the adoption thereof provided that if
				the initial Operating Budget for any Plant or the Project is not approved by
				the Administrative Agent, the Borrowers shall operate such Plant or the Project
				in accordance with the Base Case Projections as of the Signing Date (or any
				update thereof that has been approved by the Administrative Agent) with the
				budgeted cost of each budget item being no greater than one hundred and two and
				one-half percent (102.5%) of the amount of the budgeted cost of such budget
				item in such Base Case Projections until an initial Operating Budget is
				approved. 

			  

			 (b) Each
				Operating Budget shall be prepared on a cash basis and shall specify, for each
				month during the Operating Year (i) the Project Revenues anticipated to be
				received, and (ii) the Operation and Maintenance Expenses (by category),
				together with a comparative presentation of Operation and Maintenance Expenses
				for each month in the prior Operating Year, and shall describe in reasonable
				detail (A) the maintenance schedule, anticipated staffing plans, mobilization
				schedules, capital expenditure requirements (including the Maintenance Capital
				Expenses), equipment acquisitions and spare parts and consumable inventories
				(including a breakdown of capital items and expense items), and administrative
				activities and (B) any other material underlying assumptions in connection with
				the proposed Operating Budget. 

			  

			 (c) The
				Borrowers may at any time propose an amended annual budget for the remainder of
				the then current Operating Year and, when so adopted, it shall be deemed to be
				and shall be effective as the annual Operating Budget. Copies of any such
				amended Operating Budget which is proposed shall be furnished at least 10 days
				before final adoption thereof to the Administrative Agent, and no such amended
				Operating Budget shall be adopted without the prior written approval of the
				Administrative Agent. Copies of the final amended Operating Budget shall be
				furnished to the Administrative Agent promptly after adoption thereof.
				

			  

			 (d) The
				amounts provided in the annual Operating Budget for each item and
				classification of Operation and Maintenance Expenses for each month of each
				Operating Year will not exceed the amounts reasonably expected to be necessary
				therefor, and the Borrowers shall not expend (nor shall the Borrowers’
				Agent submit a Transfer Date Certificate which contemplates the expenditure of)
				any amount for Operation and Maintenance Expenses during any month if such
				expenditure would cause the aggregate amount of Operation and Maintenance
				Expenses for an item or classification of Operation and Maintenance Expenses
				expended by the Borrowers in such month to exceed by more than ten percent
				(10%) the amount budgeted therefor, or after taking into account amounts
				theretofore paid in such Operating Year for such item or classification of
				Operation and Maintenance Expenses, that would reasonably be expected to cause
				the total of Operation and Maintenance expenditures for such item or
				classification to equal more than one hundred ten percent (110%) of the
				aggregate amount budgeted therefor for such Operating Year, unless (i)(A) in
				each case such expenditure could not reasonably be anticipated and failure to
				make such expenditure would have created an abnormal 

			  

			 67

			  

			 
 
			  

			 risk of
				personal injury to employees or significant physical damage to the Project or
				(B) such expenditure is for the purchase of corn, natural gas, or
				denaturants in
				accordance with the relevant Corn Supply Agreement, Gas Supply Agreement or
				other similar agreements for purposes described hereof and (ii) in any
				such event, the Borrowers shall immediately advise the Administrative Agent of
				such excess expenditures and, within ten (10) Business Days of the making
				of any such expenditure, prepare and file with the Administrative Agent an
				amended Operating Budget to reflect such changes.

			  

			 5.24 Merger;
				Sales and Purchases of Assets. No
				Borrower shall merge into or consolidate with any other Person, or liquidate or
				dissolve itself (or suffer any liquidation or dissolution), or sell, lease,
				transfer, or otherwise dispose of any assets or Property other than
				(a) sales of ethanol and distiller’s grain pursuant to the Project
				Documents; (b) subject to the requirements of Section 6.3(c), sales,
				transfers and other dispositions of assets of such Borrower (i) having a value
				of less than Two Hundred Fifty Thousand Dollars ($250,000) per asset or Five
				Hundred Thousand Dollars ($500,000) in the aggregate, in each case at fair
				market value or (ii) otherwise determined by such Borrower (in its reasonable
				opinion) to be obsolete or no longer used by or useful to such Borrower for the
				operation or maintenance of the Project provided, that
				notice of any proposed sale, transfer or disposition pursuant to this clause
				(b) shall be given to the Administrative
				Agent at
				least ten days prior to the consummation thereof; or (c) transfers of assets
				between Buffalo Lake and Pioneer Trail provided that
				(A) the aggregate total fair market value of all such transferred assets does
				not exceed One Million Dollars ($1,000,000) in any Operating Year, (B) each
				such transfer does not, and would not reasonably be expected to, adversely
				affect the operations of the Plant from which such assets are transferred and
				(C) the Borrowers have taken all steps required under Section 5.30 to ensure
				that such assets continue to be subject to the Liens created by the Security
				Documents; (d) sales of Permitted Investments prior to the maturity
				thereof; and (e) Distributions or other payments in accordance with
				Section 5.16. No Borrower shall purchase or acquire any assets other than
				the purchase of (i) assets reasonably required for the completion of the
				Project in accordance with the Construction Budget, (ii) subject to
				Section 5.23, assets in the ordinary course of business reasonably
				required in connection with the operation of the Project and
				(iii) Permitted Investments.

			  

			 5.25 Amendment
				of Transaction Documents; Additional Project Documents; Scope Change Orders;
				etc. 

			  

			 (a) No
				Borrower shall (i) agree to or permit the cancellation, suspension or
				termination of any Project Document or any Financing Document; (ii) sell,
				assign (other than pursuant to the Security Documents) or otherwise dispose of
				(by operation of law or otherwise) any part of its interest in any Project
				Document or any Financing Document; (iii) waive any material default under or
				breach of any Project Document or waive, fail to enforce, forgive or release
				any material right, interest or entitlement, howsoever arising, under or in
				respect of any Project Document; (iv) petition, request or take any other legal
				or administrative action that seeks, or may be expected, to rescind, terminate
				or suspend any Project Document or amend or modify all or any part thereof; (v)
				exercise any right to initiate an arbitration proceeding under any Project
				Document or take any action with respect to any arbitration proceeding
				involving any other party to a Project Document; (vi) agree to or permit the
				assignment of any rights or the delegation of any obligations of any Project
				Participant under any Project Document except as 

			  

			 68

			  

			 
 
			  

			 permitted
				without the consent of the Borrowers by the terms of such Project Document;
				(vii) amend, supplement, modify or give any consent in any material respect
				under any Project Document or exercise any material option thereunder without
				the prior written consent of the Administrative Agent, not to be unreasonably
				withheld; (viii) except as may be permitted by Section 9.12, amend, supplement,
				modify or give any consent under any Financing Document or exercise any
				material option thereunder; or (ix) except for Required Hedging Agreements
				entered into pursuant to Section 5.17, any Hedging Agreement entered into in
				accordance with the Risk Management Policy and the requirements of Section
				5.31, enter into any Material Additional Project Document. 

			  

			 (b) Notwithstanding
				the provisions of the foregoing subsection (a), the Borrowers may, upon 10
				Business Days’ prior notice to the Independent Engineer and the
				Administrative
				Agent, enter
				into any Scope Change Order if (i) such Scope Change Order is reasonable and
				necessary, (ii) such Scope Change Order does not change the Plans and
				Specifications, (iii) the Cost of such Scope Change Order does not exceed Seven
				Hundred Fifty Thousand Dollars ($750,000) or cause the aggregate Cost of all
				Scope Change Orders theretofore made, together with the Cost of such Scope
				Change Order, to exceed One Million Five Hundred Thousand ($1,500,000), (iv)
				such Scope Change Order does not result in an extension of the Buffalo Lake
				Guaranteed Completion Date or the Pioneer Trail Guaranteed Completion Date, (v)
				such Scope Change Order does not result in any change to, or amendment of, the
				Performance Tests, the Delay Liquidated Damages, the Performance Guarantees
				Payments, the Performance Guarantees, the Payment and Performance Bonds or the
				conditions pursuant to which payment of any such damages is required to be
				made, either directly or indirectly and (vi) such Scope Change Order could not
				otherwise reasonably be expected to have a Material Adverse
				Effect.

			  

			 (c) No
				Borrower shall enter into contracts to (i) purchase grain from Person(s) other
				than Cargill or require Cargill to purchase grain from Person(s) designated by
				such Borrower (other than pursuant to a corn supply agreement entered into to
				obtain replacement corn as a result of a default or breach by Cargill under the
				relevant Corn Supply Agreement) or (ii) sell ethanol and distillers grains to
				Person(s) other than Cargill or require Cargill to sell ethanol and distillers
				grains to Person(s) designated by such Borrower (other than pursuant to a
				Buffalo Lake Permitted Long-Term Sales Agreement or Pioneer Trail Permitted
				Long-Term Sales Agreement), in each case, without the prior written consent of
				the Administrative Agent. 

			  

			 (d) (i)
				Buffalo Lake shall enter into (x) the Buffalo Lake O&M Agreement with the
				Operator, in substantially the form provided to Administrative Agent and each
				Lender prior to the initial Disbursement of the Buffalo Lake Construction
				Loans, which form shall be acceptable to the Administrative Agent and each
				Lender; and (y) a Consent Agreement with respect to the Buffalo Lake O&M
				Agreement with Operator and Collateral Agent, in substantially the form
				attached hereto as Exhibit F, in each case prior to July 7, 2007; (ii) each
				Lender shall have received a certificate signed by an Authorized Officer of the
				Operator, dated the execution date of the Buffalo Lake O&M Agreement, to
				the effect that (x) the representations and warranties of the Operator set
				forth in the Buffalo Lake O&M Agreement are true and correct in all
				material respects on and as of such date as if made on and as of such date (or,
				if stated to have been made solely as of an earlier date, were true and correct
				as of such earlier date) and (y) the Operator is in compliance with in all
				material respects all of its agreements contained in any other Transaction
				Document to which it is a party; and (iii) simultaneously
				with 

			  

			 69

			  

			 
 
			  

			 the
				execution of the Buffalo Lake O&M Agreement, each Lender shall have
				received an opinion of counsel to the Operator, in form, scope and substance
				and given by counsel reasonably satisfactory to each Secured Party;
				provided,
				however that Buffalo Lake shall not be required to satisfy the foregoing
				conditions only if (A) Buffalo Lake shall have demonstrated prior to July 7,
				2007 to the satisfaction of the Administrative Agent and each Lender that (x)
				Buffalo Lake is able in its individual capacity to operate, service, maintain,
				repair and preserve the Buffalo Lake Plant in accordance with the terms of this
				Agreement (including Section 5.21(c)) and the other Transaction Documents, (y)
				Buffalo Lake has retained the “key” managers and personnel (up to a
				maximum of four (4) persons) necessary to so operate, service, maintain, repair
				and preserve the Buffalo Lake Plant and (z) Buffalo Lake will reasonably be
				able to retain all remaining necessary personnel by November 7, 2007 and (B)
				Buffalo Lake shall have demonstrated prior to November 7, 2007 to the
				satisfaction of the Administrative Agent and each Lender that Buffalo Lake has
				retained all remaining personnel necessary to so operate, service, maintain,
				repair and preserve the Buffalo Lake Plant.

			  

			 (e) (i)
				Pioneer Trail shall enter into (x) the Pioneer Trail O&M Agreement with the
				Operator, in substantially the form provided to Administrative Agent and each
				Lender prior to the initial Disbursement of the Pioneer Trail Construction
				Loans, which form shall be acceptable to the Administrative Agent and each
				Lender; and (y) a Consent Agreement with respect to the Pioneer Trail O&M
				Agreement with Operator and Collateral Agent, in substantially the form
				attached hereto as Exhibit F, in each case prior to May 31, 2007; (ii) each
				Lender shall have received a certificate signed by an Authorized Officer of the
				Operator, dated the execution date of the Pioneer Trail O&M Agreement, to
				the effect that (x) the representations and warranties of the Operator set
				forth in the Pioneer Trail O&M Agreement are true and correct in all
				material respects on and as of such date as if made on and as of such date (or,
				if stated to have been made solely as of an earlier date, were true and correct
				as of such earlier date) and (y) the Operator is in compliance with in all
				material respects all of its agreements contained in any other Transaction
				Document to which it is a party; and (iii) simultaneously
				with the execution of the Pioneer Trail O&M Agreement, each Lender shall
				have received an opinion of counsel to the Operator, in form, scope and
				substance and given by counsel reasonably satisfactory to each Secured Party;
				provided,
				however that Pioneer Trail shall not be required to satisfy the foregoing
				conditions only if (A) Pioneer Trail shall have demonstrated prior to May 31,
				2007 to the satisfaction of the Administrative Agent and each Lender that (x)
				Pioneer Trail is able in its individual capacity to operate, service, maintain,
				repair and preserve the Pioneer Trail Plant in accordance with the terms of
				this Agreement (including Section 5.21(c)) and the other Transaction Documents,
				(y) Pioneer Trail has retained the “key” managers and personnel (up
				to a maximum of four (4) persons) necessary to so operate, service, maintain,
				repair and preserve the Pioneer Trail Plant and (z) Pioneer Trail Lake will
				reasonably be able to retain all remaining necessary personnel by September 30,
				2007 and (B) Pioneer Trail shall have demonstrated prior to September 30, 2007
				to the satisfaction of the Administrative Agent and each Lender that Pioneer
				Trail has retained all remaining personnel necessary to so operate, service,
				maintain, repair and preserve the Pioneer Trail Plant.

			  

			 5.26 Environmental
				Compliance. The
				Borrowers shall:

			  

			 70

			  

			 
 
			  

			 (a) comply
				in all material respects and cause all other Persons constructing, occupying or
				conducting operations at the Project to comply in all material respects with
				all Environmental Laws now or hereafter applicable to the Project;
				

			  

			 (b) obtain,
				at or prior to the time required by applicable Environmental Laws, all
				Governmental Approvals required pursuant to applicable Environmental Laws for
				the construction, operation and maintenance of the Project, and maintain such
				Governmental Approvals in full force and effect; 

			  

			 (c) not
				generate, use, treat, recycle, store, Release or dispose of, or permit the
				generation, use, treatment, recycling, storage, Release or disposal of
				Hazardous Materials on the Land, or transport or permit the transportation of
				Hazardous Materials to or from the Project other than in compliance in all
				material respects with all applicable Environmental Laws; 

			  

			 (d) conduct
				and complete any investigation, study, sampling and testing and undertake any
				cleanup, removal, remedial or other action necessary to remove and clean up all
				Hazardous Materials Released at, on, in, under or emanating from the Project,
				in accordance with the requirements of all applicable Environmental Laws and
				promptly notify the Administrative Agent of any such action in which costs are
				reasonably expected to exceed $100,000 or which is reasonably likely to give
				rise to a claim for injunctive relief against the Borrowers; 

			  

			 (e) provide
				the Administrative
				Agent with
				written notice of (i) any fact, circumstance, condition, occurrence or
				Release at, on, under or from the Project that results in material
				noncompliance with any Environmental Law applicable to the Project or that has
				resulted or would reasonably be expected to result in personal injury or
				material property damage or an Environmental Claim or otherwise that would
				reasonably be expected to have a Material Adverse Effect, such notice to be
				given promptly after the condition is discovered or such Release or occurrence
				takes place and (ii) any pending or threatened Environmental Claim against
				any Borrower or any other Persons occupying or conducting operations at the
				Project that, if adversely determined, would reasonably be expected to have a
				Material Adverse Effect, such notice to be given promptly after such
				Environmental Claim is commenced or threatened; all such notices shall describe
				in reasonable detail the nature of the claim, investigation, condition,
				incident, or occurrence and the proposed response thereto;

			  

			 (f) provide
				the Administrative Agent with copies of all material communications with any
				Governmental Authority relating to any material violation of any Environmental
				Law or any material Environmental Claim promptly after the giving or receiving
				of any such communications; and

			  

			 (g) provide
				such information concerning any Environmental Claim relating to the Project as
				may be reasonably requested by the Administrative Agent.

			  

			 5.27 Completion;
				Performance Tests.
				

			  

			 (a) No
				Borrower shall without the prior approval of the Required Lenders (after
				consultation with the Independent Engineer), (i) take any action or fail to
				take any action which could permit an extension of any guaranteed completion or
				acceptance date under any EPC Contract, (ii) accept or confirm that either
				Plant has achieved Provisional Acceptance, 

			  

			 71

			  

			 
 
			  

			 Substantial
				Completion or Project Completion under the relevant EPC Contract or fail to
				advise the EPC
				Contractor of any
				material defects, deficiencies or discrepancies of which any Borrower has
				knowledge, (iii) notify the EPC
				Contractor that it
				accepts the Punch List, (iv) issue, approve or execute any acceptance or
				completion certificate or otherwise confirm acceptance or completion of the
				Project or any portion or phase thereof, (v) waive, defer or reduce any of the
				requirements of any of the Performance Tests or Performance Guarantees, (vi)
				accept or confirm that the relevant Plant has satisfied any of the Performance
				Tests or met any of the Performance Guarantees or (vii) reject either Plant or
				any portion thereof.

			  

			 (b) No
				Borrower shall schedule or agree to the scheduling of any Performance Tests
				without at least seven (7) days’ prior written notice to the Administrative
				Agent and the
				Independent Engineer.

			  

			 5.28 ERISA. No
				Borrower nor any ERISA Affiliate of any Borrower shall at any time establish,
				maintain, contribute to or be required or permitted to contribute to any Plan,
				Multiemployer Plan or Foreign Pension Plan. 

			  

			 5.29 Certain
				Agreements. No
				Borrower shall enter into any agreement or undertaking (except for the
				Financing Documents and except pursuant to any agreement approved by the
				Required Lenders for the
				refinancing of any of the Loans) restricting, or purporting to restrict, the
				ability of such Borrower to (a) amend this Agreement or any other Financing
				Document, (b) sell any of its assets, (c) create Liens, (d) create or incur
				Indebtedness or (e) make any Distribution.

			  

			 5.30 Security
				Documents.
				(a) The
				Borrowers shall take all actions necessary or requested by the Administrative
				Agent to maintain each Security Document in full force and effect and
				enforceable in accordance with its terms and to maintain and preserve the Liens
				created by the Security Documents and the priority thereof, including (i)
				making filings and recordations, (ii) making payments of fees and other
				charges, (iii) issuing and, if necessary, filing or recording supplemental
				documentation, including continuation statements, (iv) discharging all claims
				or other Liens adversely affecting the rights of any Secured Party in any
				Collateral, (v) publishing or otherwise delivering notice to third parties,
				(vi) depositing title documents and (vii) taking all other actions either
				necessary or otherwise requested by the Administrative Agent to ensure that all
				Collateral (including any after-acquired Property of any Borrower intended to
				be covered by any Security Document) is subject to a valid and enforceable
				first-priority Lien in favor of the Collateral Agent for the benefit of the
				Secured Parties. In furtherance of the foregoing, (A) each Borrower shall
				ensure that all Property acquired by it shall become subject to the Lien of the
				Security Documents having the priority contemplated thereby promptly upon the
				acquisition thereof and (B) no Borrower shall open or maintain any bank or
				broker account without first taking all such actions as may be necessary or
				otherwise requested by the Administrative Agent to ensure that such bank or
				broker account is subject to a valid and enforceable first priority Lien in
				favor of the Collateral Agent for the benefit of the Secured Parties, other
				than any debt service reserve account funded solely in connection with any TIF
				Indebtedness and any Margin Account. Without limiting the foregoing, the
				Buffalo Lake Mortgage shall provide that the Obligations secured thereunder
				shall be secured in a debt amount of no less than $109,332,147.25. Furthermore,
				following the Signing Date, the Borrowers’ Agent may retain, at the
				expense of the Borrowers, an independent third-party real property
				

			  

			 72

			  

			 
 
			  

			 appraiser
				of national reputation (which appraiser shall be reasonably acceptable to the
				Administrative Agent, acting on the instructions of the Required Lenders) to
				provide to the Borrowers’ Agent and the Administrative Agent a written
				opinion regarding the value of the real property collateral under the Buffalo
				Lake Mortgage which is subject to the mortgage registry tax under Minnesota
				Statute Chapter 287 (the “Real
				Property Appraisal”).
				In the event that the Real Property Appraisal provides that the mortgage
				registry tax that would have been paid had the Real Property Appraisal been
				used for purposes of determining the amount of such mortgage registry tax is
				less than the mortgage registry tax actually paid by the Borrowers in
				connection with the execution, delivery and recordation of the Buffalo Lake
				Mortgage, then the Borrowers shall be entitled to receive an amount equal to
				such difference (such difference, the “Mortgage
				Registry Tax Refund”)
				on the Conversion Date to the extent that funds are available out of the
				proceeds of any Disbursement of Construction Loans on the Conversion Date
				pursuant to Section 2.7(e) in the order of priority specified in Section 4.1(i)
				of the Account Agreement.

			  

			 (b) The
				Borrowers shall take all action necessary to cause each Material Additional
				Project Document to be or become subject to the Liens of the Security Documents
				(whether by amendment to any Security Document, execution of a new Security
				Document or otherwise) in favor of the Collateral Agent, and shall deliver or
				cause to be delivered to the Administrative
				Agent and to the Collateral Agent such
				legal opinions, certificates or other documents with respect to each Material
				Additional Project Document as the Administrative Agent may reasonably request.
				The Borrowers shall cause each party (other than the applicable Borrower) to a
				Material Additional Project Document (other than (i) any corn supply agreement
				entered into to obtain replacement corn as a result of a default or breach by
				Cargill under the relevant Corn Supply Agreement; (ii) any Buffalo Lake
				Permitted Long-Term Sales Agreement or Pioneer Trail Permitted Long-Term Sales
				Agreement, (iii) any Buffalo Lake Permitted Denaturant Agreement or Pioneer
				Trail Permitted Denaturant Agreement) to execute and deliver a Consent
				Agreement with respect to each such Material Additional Project Document and
				such legal opinions relating to such Material Additional Project Document as
				the Administrative Agent may reasonably request.

			  

			 (c) At such
				time as the Administrative Agent may reasonably request in writing, the
				Borrowers shall furnish, or cause to be furnished, to the Collateral Agent and
				to the Administrative Agent, an opinion or opinions of legal counsel either
				stating that, in the opinion of such counsel, such action has been taken with
				respect to (i) amending or supplementing the Security Documents (or providing
				additional Security Documents, notifications or acknowledgments) as is
				necessary to subject all the Collateral (including any after-acquired Property
				of any Borrower) to the Lien of the Security Documents and (ii) (A) the
				recordation of the Security Documents (including, without limitation, any
				amendment or supplement thereto) and any other requisite documents and (B) the
				execution and filing of any financing statements and continuation statements as
				are necessary to maintain the Liens purported to be created by the Security
				Documents and reciting the details of such action or stating that, in the
				opinion of such counsel, no such action is necessary to maintain such Liens.
				Such opinion or opinions of counsel shall also describe the recordation of the
				Security Documents and any other requisite documents and the execution and
				filing of any financing statements and continuation statements, or the taking
				of any other action that will, in the opinion of such counsel, be required to
				maintain the Liens purported to be created by the Security Documents after the
				date of such opinion.

			  

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			 5.31 Hedging
				Agreements; Risk Management Policy and Committee. Except
				for Required Hedging Agreements entered into pursuant to Section 5.17, the
				Borrowers shall not enter into and maintain Hedging Agreements or open and
				maintain any Margin Account unless the following conditions have been satisfied
				(which conditions in any event shall have been satisfied on or prior to the
				initial Commercial Operation Date): (i) the Borrowers’ Agent shall have
				delivered a Risk Management Policy (which shall include a description of the
				Risk Management Committee that will supervise such Risk Management Policy,
				which shall have been approved in writing by the board of managers of each
				Borrower and the Administrative Agent (acting on the instructions of the
				Required Lenders), (ii) the Risk Management Committee has been appointed and is
				operating in accordance with the terms of the Risk Management Policy, (iii)
				such Hedging Agreement is in accordance with the terms of the Risk Management
				Policy and has been approved by the Risk Management Committee, and (iv) cash
				reserves are on deposit in the Hedging Reserve Account in accordance with the
				terms of the Risk Management Policy to satisfy the potential exposure of the
				Borrowers for margin calls under the Hedging Agreements. The Borrowers shall
				not amend or modify the Risk Management Policy without the prior written
				consent of the Administrative Agent (acting on the instructions of the Required
				Lenders).

			  

			 5.32 Prepayment
				of Indebtedness; Reduction of Commitments.
				(a) Except
				for prepayments required or permitted to be made pursuant to Section 6, the
				Borrowers shall not make, or permit to be made on its behalf, any prepayment of
				any of the Loans.

			  

			 (b) The
				Borrowers shall not reduce all or any portion of the Commitment of any Lender
				prior to the Conversion Date unless (i) the Borrowers shall have offered to
				each of the Lenders to
				make, and with the consent of such Lender shall contemporaneously make, a
				proportionate reduction in the Commitment of each such other Lender, (ii) no
				event shall have occurred or could reasonably be expected to occur to cause the
				Buffalo Lake Commercial Operation Date, Pioneer Trail Commercial Operation
				Date, or Project Completion Date to be delayed beyond the Date Certain, (iii)
				the proposed reduction in Commitments requested by the Borrowers will not
				result in a deficiency of funds necessary to achieve the Project Completion
				Date by the Date Certain and otherwise satisfy the conditions contained in
				Section 3.4, and (iv) each Lender shall have received a certificate from the
				Borrowers Agent, confirmed by the Independent Engineer, with respect to the
				matters set forth in clauses (ii) and (iii) above.

			  

			 5.33 Transfers
				and Issuances of Equity Interests. No
				Borrower shall (x) permit or consent to the transfer (by assignment, sale or
				otherwise) of any LLC Interests of such Borrower, or (y) issue any new LLC
				Interests; provided, that
				such Borrower may permit or consent to the assignment, sale or transfer of LLC
				Interests of such Borrower or to the issuance of new LLC Interests of such
				Borrower (each a “Transfer”)
				if such Transfer is consummated in compliance with each of the following
				conditions (any Transfer not complying with each of the following conditions
				being null and void ab initio):

			  

			 (i) After
				giving effect to any such Transfer, no Change of Control shall have occurred;
				

			  

			 (ii) In the
				case of a Transfer by any Borrower, BFE Holdings or any subsequent transferee
				thereof after the date hereof, such Transfer shall be made expressly
				

			  

			 74

			  

			 
 
			  

			 subject
				to the assignment to the Collateral Agent of the LLC Interests so being
				transferred, and any Person that becomes a member of such Borrower as a result
				of such Transfer shall, simultaneously with such Transfer, sign a pledge
				agreement substantially identical to the Pledge Agreements and otherwise in
				form, scope and substance satisfactory to the Administrative
				Agent; and
				

			  

			 (iii) Such
				Person referred to in paragraph (ii) above shall comply with requirements of
				clauses (ii), (iii) and (iv) of the definition of Permitted Transferee and
				shall simultaneously with such Transfer, execute and deliver to the Collateral
				Agent membership unit certificates endorsed in blank, financing statements and
				other documents and instruments as the Collateral Agent (acting on the
				instruction of the Administrative Agent) may reasonably request in order to
				evidence, secure, and perfect the Collateral Agent’s security interest in
				and Lien on such LLC Interests.

			  

			 5.34 Project
				Revenues. All
				Project Revenues received on and after the Closing Date shall be deposited into
				the Project Revenues Collection Account and applied as provided in the Account
				Agreement.

			  

			 5.35 Accounts. No
				Borrower shall open or maintain any bank or broker account other than the
				Accounts without the prior written consent of the Administrative Agent other
				than any debt service reserve account funded solely in connection with any TIF
				Indebtedness, any Margin Account, the Escrow Accounts and the Payment
				Accounts.

			  

			 5.36 Further
				Assurances. The
				Borrowers shall promptly and duly execute and deliver to the Administrative
				Agent such
				documents and assurances to take such further action as the Administrative
				Agent may from time to time reasonably request in order to carry out more
				effectively the intent and purpose of the Financing Documents and to establish,
				protect and perfect the rights and remedies created or intended to be created
				in favor of the Secured Parties pursuant to the Financing
				Documents.

			  

			 SECTION
				6.  PAYMENT
				PROVISIONS; FEES.

			  

			 6.1 Repayment
				of Principal.

			  

			 (a) The
				Borrowers shall repay the aggregate principal amount of the Construction Loans
				outstanding and such Construction Loans shall mature on the Term Date (except
				to the extent that such Construction Loans are converted into Term Loans in
				accordance with Section 2.2 hereof). The Construction
				Loan
				Commitments
				shall automatically be reduced to zero at the close of business on the Term
				Date.

			  

			 (b) The
				Borrowers shall repay the aggregate principal amount of the Term Loans
				outstanding on the dates (each such date, a “Principal
				Payment Date”)
				and in the applicable amounts set forth in Appendix B.

			  

			 (c) The
				Borrowers shall repay the aggregate principal amount of the Working Capital
				Loans outstanding and such Working Capital Loans shall mature on the Working
				Capital 

			  

			 75

			  

			 
 
			  

			 Loan
				Maturity Date. The Working Capital Loan
				Commitments
				shall automatically be reduced to zero at the close of business on the Working
				Capital Loan Maturity Date.

			  

			 6.2 Voluntary
				Prepayments. The
				Borrowers shall have the right to prepay the Term Loans after the Conversion
				Date, without premium or penalty, in whole or in part at any time and from time
				to time on the following terms and conditions: (i) the Borrowers’ Agent
				shall give the Administrative Agent at the Notice Office at least three
				Business Days’ prior written notice of its intent to prepay the Loans, the
				aggregate principal amount of the prepayment, the Types of Loans to be prepaid
				and, in the case of Eurodollar Loans, the specific Borrowing or Borrowings
				pursuant to which made (which notice the Administrative Agent shall promptly
				transmit to each of the Lenders); (ii) such prepayment shall be in an aggregate
				principal amount of Five Hundred Thousand Dollars ($500,000) (or an integral
				multiple of One Hundred Thousand Dollars ($100,000) in excess thereof); (iii)
				prepayments of a Eurodollar Loan may only be made pursuant to this Section 6.2
				on the last day of an Interest Period applicable thereto, unless the Borrower
				pays all amounts owing under Section 2.14 as a result of prepaying such
				Eurodollar Loan on a day other than the last day of the Interest Period
				applicable thereto; and (iv) each prepayment of Loans pursuant to this Section
				6.2 shall be applied to reduce the Scheduled Principal Payments in inverse
				chronological order of their due dates. The Borrowers shall have the right to
				prepay the Working Capital Loans, without premium or penalty, any time in
				accordance with Section 4.2(a) and (d) of the Account Agreement.

			  

			 6.3 Mandatory
				Prepayments. The
				Borrowers shall make mandatory prepayments without premium or penalty of the
				Loans as follows:

			  

			 (a) Project
				Document Claims. The
				Borrowers shall prepay the outstanding Loans (other than the Working Capital
				Loans) to the extent required pursuant to Section 5.10. In addition, in the
				event that the Performance Guarantees are deemed satisfied pursuant to Section
				6.5.5.(b) of any EPC Contract, the Borrowers shall apply the amounts
				transferred from the Distribution Account pursuant to Section 4.12(c) of the
				Account Agreement to the prepayment of the Loans (other than the Working
				Capital Loans) on the next Principal Payment Date following the transfer of
				such amounts.

			  

			 (b) Loss
				Proceeds. The
				Borrowers shall prepay the outstanding Loans (other than the Working Capital
				Loans) to the extent required pursuant to Section 5.11.

			  

			 (c) Dispositions. In the
				event of any Disposition (other than sales of ethanol and distiller’s
				grain pursuant to the Project Documents) where the Net Disposition Proceeds are
				equal to or greater than Five Hundred Thousand Dollars ($500,000), the
				Borrowers shall prepay the outstanding Loans (other than the Working Capital
				Loans) in an aggregate principal amount equal to one hundred percent (100%) of
				such Net Disposition Proceeds, such prepayment to be made no later than the
				date which is thirty (30) days after the receipt of such Net Disposition
				Proceeds.

			  

			 (d) ECF
				Sweeps. On
				each Principal Payment Date, the Borrowers shall prepay the Term Loans from
				amounts on deposit in the ECF Sweep Account on such date (after giving effect
				to any deposits to be made on such date) pursuant to Section 4.8, 4.9 or 4.10
				of the Account Agreement.

			  

			 76

			  

			 
 
			  

			 (e) Change
				of Control. On the
				first Principal Payment Date occurring after the date on which any Change of
				Control shall have occurred, the Borrowers shall prepay the Loans in
				full.

			  

			 (f) Application. Each
				prepayment of Loans made pursuant to this Section 6.3 shall be applied to
				reduce the remaining Scheduled Principal Payments in inverse chronological
				order of their due dates.

			  

			 6.4 Maturity
				Date.
				Notwithstanding anything to the contrary which may be contained in this
				Agreement, the outstanding principal amount of (i) any Term Loans shall be
				repaid in full on the Term Loan Maturity Date and (ii) any Working Capital
				Loans shall be repaid in full on the Working Capital Loan Maturity
				Date.

			  

			 6.5 Method
				and Place of Payment.
				(a) Except
				as set forth in the following sentence or as otherwise specifically provided
				herein, all payments under this Agreement or any Note shall be made to the
				Administrative Agent for the account of the Lender or Lenders entitled thereto
				not later than 11:00 a.m. (New York City time) on the date when due and shall
				be made in Dollars in immediately available funds at the Payment Office as
				follows: BNP Paribas, ABA 026-007-689, Credit to Account: Loan Servicing
				Clearing Account, Account No. 103-130-00103, Reference: BFE Operating Company
				LLC, Attention: NYLS Agency Support Team, or pursuant to such other
				instructions as the Administrative Agent shall designate to the Borrowers’
				Agent in writing. Whenever any payment to be made hereunder or under any Note
				shall be stated to be due on a day which is not a Business Day, the due date
				thereof shall be extended to the next succeeding Business Day and, with respect
				to payments of principal, interest shall be payable at the applicable rate
				during such extension; provided that in
				the event that the day on which any such payment relating to a Eurodollar Loan
				is due is not a Business Day but is a day of the month after which no further
				Business Day occurs in such month, then the due date thereof shall be the next
				preceding Business Day.

			 

			 (b) With
				respect to any repayment of Loans pursuant to Section 6.1 or any mandatory
				prepayment of Loans pursuant to Section 6.3, the Borrowers’ Agent may
				designate the Types of Loans which are to be repaid or prepaid and, in the case
				of Eurodollar Loans, the specific Borrowing or Borrowings pursuant to which
				such Eurodollar Loans were made; provided, that
				(i) repayments and prepayments of Eurodollar Loans may only be made on the last
				day of an Interest Period applicable thereto unless all such Eurodollar Loans
				with Interest Periods ending on or prior to such date of required repayment or
				prepayment and all Base Rate Loans have been paid in full; (ii) if any
				repayment or prepayment of Eurodollar Loans made pursuant to a single Borrowing
				shall reduce the outstanding Loans made pursuant to such Borrowing to an amount
				less than One Million Dollars ($1,000,000), such outstanding Loans shall
				immediately be converted into Base Rate Loans; and (iii) each repayment or
				prepayment of Loans made pursuant to a single Borrowing shall be applied
				pro
				rata among
				such Loans. In the absence of a designation by the Borrowers’ Agent as
				described in the preceding sentence, the Administrative Agent shall, subject to
				the above, make such designation in its sole discretion.

			  

			 6.6 Computations. All
				computations of interest and Fees hereunder shall be made on the basis of a
				three hundred sixty (360)-day year and the actual number of days elapsed;
				provided, that
				computations of interest on Base Rate Loans hereunder shall be made on the
				basis 

			  

			 77

			  

			 
 
			  

			 of a
				three hundred sixty five (365)- or three hundred sixty six (366)-day year, as
				the case may be, and the actual number of days elapsed.

			  

			 6.7 Fees.
				

			  

			 (a) Commitment
				Fee. The
				Borrowers agree to pay to the Administrative Agent, for the account of each
				Lender, a commitment commission (the “Commitment
				Fee”)
				for the Construction Loan Commitments and the Working Capital Loan Commitments,
				computed at a rate equal to one half percent (0.50)% per
				annum on the
				daily average Unutilized Commitment of such Lender during the period commencing
				on the Signing Date and ending on the expiry of the Buffalo Lake Construction
				Loan Availability Period, the Pioneer Lake Construction Loan Availability
				Period and the Working Capital Availability Period, as applicable. The accrued
				Commitment Fee shall be due and payable in arrears on each Quarterly
				Date.

			  

			 (b) Additional
				Fees. The
				Borrowers agree to pay to the Administrative Agent and the Arranger, for their
				respective accounts, such other fees as have been agreed to in writing by the
				Borrowers and such Persons, including but not limited, to the fees specified in
				the Fee Letters.

			  

			 6.8 Application
				of Payments; Sharing.

			  

			 (a) Subject
				to the provisions of this Section 6.8, the Administrative Agent agrees that
				promptly after its receipt of each payment from or on behalf of the Borrowers
				in respect of any Obligations of the Borrowers hereunder, it shall promptly
				distribute such payment to the Lenders pro
				rata based
				upon their respective shares, if any, of the Obligations with respect to which
				such payment was received. 

			  

			 (b) Each of
				the Lenders agrees that, if it should receive any amount hereunder (whether by
				voluntary payment, by realization upon security, by the exercise of the right
				of setoff or banker’s lien, by counterclaim or cross action, by the
				enforcement of any right under the Transaction Documents, or otherwise), which,
				in any such case, is in excess of its ratable share of payments on account of
				the Obligations obtained by all Lenders, then such Lender receiving such excess
				payment shall purchase for cash without recourse or warranty from the other
				Lenders an interest in the Obligations of the Borrowers to such Lenders in such
				amount as shall result in a proportional participation by all the Lenders in
				such amount; provided,
				however, that
				if all or any portion of such excess amount is thereafter recovered from such
				Lender, such purchase shall be rescinded and the purchase price restored to the
				extent of such recovery, but without interest.

			  

			 SECTION
				7.  EVENTS
				OF DEFAULT AND REMEDIES.

			  

			 7.1 Events
				of Default. The
				occurrence of any of the following events or circumstances shall constitute an
				“Event
				of Default”
				hereunder:

			  

			 (a) Any
				Borrower shall fail to pay when due any principal or interest payable pursuant
				to any Note, any Unpaid Drawing or any other amount payable pursuant to this
				Agreement or any other Financing Document, in the case of principal when the
				same becomes or 

			  

			 78

			  

			 
 
			  

			 shall be
				declared to be due and payable (whether prior to its stated maturity or
				otherwise), and in the case of interest, within three (3) Business Days after
				the same becomes or shall be declared to be due and payable; or

			  

			 (b) Any
				Borrower shall default in the payment when due of any principal of or interest
				on any of its other Indebtedness beyond any period of grace specified therein,
				or in the payment when due of any amount under any Hedging Agreement; or any
				event specified in any note, agreement, indenture or other document evidencing
				or relating to any such Indebtedness or any event specified in any Hedging
				Agreement shall occur and continue if the effect of the occurrence and
				continuance of such event is to cause or to permit the holder or holders of
				such Indebtedness (or a trustee or agent on behalf of such holder or holders)
				to cause such Indebtedness to become due, or to be prepaid in full (whether by
				redemption, purchase, offer to purchase or otherwise), prior to its stated
				maturity or to have the interest rate thereon reset or, in the case of a
				Hedging Agreement, to permit the payments owing under such Hedging Agreement to
				be liquidated as the result of the early termination thereof; or 

			  

			 (c) Any
				representation, warranty or certification made (or deemed made) by or on behalf
				of any Borrower, BFE Holdings, the Sponsor, any other Project Participant or
				any Affiliate of any thereof in this Agreement, any other Financing Document,
				or in any notice or other certificate, agreement, document, financial statement
				or other statement delivered pursuant hereto or thereto, shall prove to have
				been false or misleading in any material respect when made or deemed made if
				such representation, warranty or certification continues to be false or
				misleading in any material respect as of the date in question, and if the
				circumstances that rendered such representation, warranty or certification
				false or misleading shall be continuing for more than 30 days after any
				Authorized Officer of the Borrower has knowledge thereof or receives notice
				thereof from any Secured Party; or 

			  

			 (d) Any
				Borrower shall fail to: 

			  

			 (i) comply
				with any term, covenant or provision set forth in Section 5.3 (Maintenance
				of Existence; Conduct of Business), 5.9
				(Insurance), 5.10
				(Events
				of Loss and Project Document Claims), 5.12
				(Limitation
				on Liens), 5.13
				(Indebtedness), 5.15
				(Investments;
				Subsidiaries), 5.16
				(Distributions), 5.18
				(Location;
				Chief Executive Office; Records), 5.24
				(Merger;
				Sales and Purchases of Assets), 5.25
				(Amendment
				of Transaction Documents; Additional Project Documents; Scope Change Orders;
				etc.), 5.30
				(Security
				Documents), 5.31
				(Hedging
				Agreements; Risk Management Policy and Committee), 5.33
				(Transfers
				and Issuances of Equity Interests), or
				5.34 (Project
				Revenues); or
				

			  

			 (ii) comply
				with any terms, covenant or provision set forth in Section 5, but excluding
				those Sections included in Section 7.1(d)(i), and such failure shall continue
				unremedied for thirty (30) days after such Borrower has actual knowledge
				thereof or receives notice thereof from the Administrative Agent or the
				Collateral Agent; or

			  

			 (e) Any
				Borrower, BFE Holdings or the Sponsor shall fail to comply with or perform any
				other agreement or covenant contained in this Agreement or in any other
				Financing Document and such failure (in the case of this Agreement and such
				other Financing Document other than the Account Agreement and the Subordination
				Agreement) shall continue unremedied 

			  

			 79

			  

			 
 
			  

			 for 30
				days; provided that,
				if (i) such failure cannot be cured within such 30-day period, (ii) such
				failure is susceptible of cure, (iii) such Borrower, BFE Holdings or the
				Sponsor, as the case may be, is proceeding with diligence and in good faith to
				cure such failure, (iv) the existence of such failure does not impair the Liens
				on the Collateral, (v) the existence of such failure has not had and cannot,
				after considering the nature of the proposed cure, be reasonably expected to
				have a Material Adverse Effect, and (vi) the Administrative
				Agent shall
				have received an Officer’s Certificate to the effect of clauses (i), (ii),
				(iii), (iv) and (v) above and stating what actions such Borrower, BFE Holdings
				or the Sponsor, as the case may be, is taking to cure such failure, then the
				time within which such failure may be cured shall be extended to such date, not
				to exceed a total of 60 days after the end of such 30-day period, as shall be
				necessary for such Borrower, BFE Holdings or the Sponsor, as the case may be,
				diligently to cure such failure; or 

			  

			 (f) Any
				Borrower, BFE Holdings, the Sponsor (prior to the Project Completion Date),
				Cargill, the Operator, the EPC Contractor (only so long as any warranty
				obligations remain outstanding under any EPC Contract) or Delta-T (only so long
				as any warranty obligations remain outstanding under any EPC Contract) shall
				admit in writing its inability to, or be generally unable to, pay its debts as
				such debts become due; or 

			  

			 (g) Any
				Borrower, BFE Holdings, the Sponsor (prior to the Project Completion Date),
				Cargill, the Operator, the EPC Contractor (only so long as any warranty
				obligations remain outstanding under any EPC Contract) or Delta-T (only so long
				as any warranty obligations remain outstanding under any EPC Contract) shall
				(i) apply for or consent to the appointment of, or the taking of possession by,
				a receiver, custodian, trustee or liquidator of itself or of all or a
				substantial part of its Property, (ii) make a general assignment for the
				benefit of its creditors, (iii) commence a voluntary case under or file a
				petition to take advantage of any Bankruptcy Law (as now or hereafter in
				effect), (iv) fail to controvert in an appropriate manner within 60 days of the
				filing of, or acquiesce in writing to or file an answer admitting the material
				allegations of any petition filed against it in an involuntary case under any
				Bankruptcy Law, (v) take any action for the purpose of effecting any of the
				foregoing or (vi) take any action under any other applicable Laws which would
				result in a similar or equivalent outcome as set forth in subclauses (i)
				through (v) hereof; or 

			  

			 (h) A
				proceeding or case shall be commenced, without the application or consent of
				any Borrower, BFE Holdings, the Sponsor (prior to the Project Completion Date),
				Cargill, the Operator, the EPC Contractor (only so long as any warranty
				obligations remain outstanding under any EPC Contract) or Delta-T (only so long
				as any warranty obligations remain outstanding under any EPC Contract), in any
				court of competent jurisdiction, seeking (i) its liquidation, reorganization,
				dissolution or winding-up, or the composition or readjustment of its debts,
				(ii) the appointment of a trustee, receiver, custodian, liquidator or the like
				of such Person or of all or any substantial part of its Property or (iii)
				similar relief in respect of such Borrower, BFE Holdings, the Sponsor or any
				such Project Participant under any Bankruptcy Law, and such proceeding or case
				shall continue undismissed, or an order, judgment or decree approving or
				ordering any of the foregoing shall be entered and continue unstayed and in
				effect, for a period of 60 or more days; or an order for relief against such
				Borrower, BFE Holdings, the Sponsor or any such Project Participant shall be
				entered in an involuntary case under any Bankruptcy Law; or any proceeding or
				action shall be commenced under any other applicable 

			  

			 80

			  

			 
 
			  

			 Laws
				which would result in a similar or equivalent outcome as set forth in
				subclauses (i) through (iii) hereof; or

			  

			 (i) A final
				judgment or judgments for the payment of money in excess of Two Million Dollars
				($2,000,000) in the aggregate, shall be rendered by one or more courts,
				administrative tribunals or other bodies having jurisdiction against any
				Borrower and the same shall not be discharged (or provision satisfactory to the
				Required Lenders shall
				not be made for such discharge), or a stay of execution thereof shall not be
				procured, within thirty (30) days from the date of entry thereof and such
				Borrower shall not, within said period of thirty (30) days, or such longer
				period during which execution of the same shall have been stayed, appeal
				therefrom and cause the execution thereof to be stayed during such appeal; or
				

			  

			 (j) Any
				non-monetary judgment or order shall be rendered against any Borrower that has
				had or could reasonably be expected to have a Material Adverse Effect, and a
				stay of execution thereof shall not have been obtained within thirty (30) days
				from the date of entry thereof; or

			  

			 (k) Either
				any Borrower or any ERISA Affiliate of any Borrower shall at any time
				establish, maintain, contribute to, or be required to contribute to, any Plan,
				Multiemployer Plan or Foreign Pension Plan; or

			  

			 (l) Any
				Borrower shall be terminated, dissolved or liquidated (as a matter of law or
				otherwise); or proceeding shall be commenced by any Person seeking the
				termination, dissolution or liquidation of such Borrower and, if such
				proceedings were commenced by any Person other than such Borrower, either
				(i) such proceedings shall not be dismissed without any such termination,
				dissolution, liquidation or other Material Adverse Effect within thirty
				(30) days from the date of commencement thereof or (ii) the Required
				Lenders shall
				reasonably determine that such proceedings and the effect thereof would
				reasonably be expected to have a Material Adverse Effect; or 

			  

			 (m) Any of
				the Security Documents shall be terminated or shall cease to be in full force
				and effect, for whatever reason (or any Borrower shall so assert) or any of the
				Secured Parties shall cease to have a first priority, perfected Lien on any
				Collateral, subject only to Permitted Liens and except to the extent that the
				enforceability of such document or Lien may be limited by bankruptcy,
				insolvency, reorganization, or other similar laws affecting the enforcement of
				creditors’ rights generally; or 

			  

			 (n) Any
				Borrower or any Project Participant shall fail to obtain, renew, maintain or
				comply with any Necessary Governmental Approval or any such Governmental
				Approval shall be revoked, terminated, withdrawn, suspended, modified or
				withheld or shall cease to be in full force and effect or any proceeding is
				commenced to revoke, terminate, withdraw, suspend, modify or withhold such
				Governmental Approval and such proceeding is not terminated within thirty
				(30) days; unless, in any such case, such failure, revocation,
				termination, withdrawal, suspension, modification, withholding or failure to be
				in full force and effect could not reasonably be expected to have a Material
				Adverse Effect; or 

			  

			 81

			  

			 
 
			  

			 (o) (i) any
				Project Document shall be terminated (other than by virtue of the scheduled
				expiration in the ordinary course of such Project Document in accordance with
				its terms), or any Borrower or any Project Participant shall take any action to
				terminate any Project Document to which it is a party; or (ii) any
				Transaction Document, or any material provision of any Transaction Document,
				shall at any time for any reason cease to be valid and binding or in full force
				and effect or any party thereto (other than a Secured Party) shall so assert in
				writing; or (iii) any Transaction Document, or any material provision of any
				Transaction Document, shall be declared to be null and void, or the validity or
				enforceability thereof shall be contested by any party thereto (other than a
				Secured Party) or any Governmental Authority; or (iv) any Borrower or any
				Project Participant shall deny that it has any further liability or obligation
				under any Transaction Document (provided, that
				for any Project Document other than the EPC Contracts, the Delta-T License
				Agreements, the Payment and Performance Bonds, the Master Agreements, the Goods
				and Services Agreements and the Grain Facility Leases, the defaults described
				in clauses (i) to (iv) above shall not constitute an Event of Default if and
				only if the following conditions are and (in the case of items (A) and (D)
				below) remain satisfied: (A) each relevant Borrower shall promptly commence and
				thereafter diligently and in good faith negotiate and enter into an Additional
				Project Document within sixty (60) days of such default to replace such Project
				Document, (B) the terms and conditions of such Additional Project Document
				shall be approved by the Administrative Agent, the Required Lenders and
				Collateral Agent, (C) the counsel of the relevant Borrower(s), if required,
				shall have delivered to each Lender a favorable opinion with respect to the
				enforceability of such Additional Project Document, in form and substance
				reasonably acceptable to such Lender, and (D) no Default or Event of Default
				has occurred and is continuing (other than the Default(s) or Events of
				Default(s) directly resulting from such defaults); or (v) any Project
				Participant shall default in the observance or performance of any of the
				material covenants or agreements contained in any Project Document and such
				default shall not be cured within the applicable grace period (or, if no grace
				period, within thirty (30) days of such default) contained in such Project
				Document, or any party to any Project Document assigns or transfers all or any
				part of its rights and obligations in, to or under such Project Document other
				than to a transferee which has been approved by the Required Lenders; or
				

			  

			 (p) The
				Project Completion Date shall not have occurred by the Date Certain; or
				

			  

			 (q) Any
				Borrower or the EPC
				Contractor shall,
				in the reasonable opinion of the Required Lenders, have
				actually abandoned the construction or the continuing operation of any Plant
				and (in the case of the EPC
				Contractor) such
				abandonment shall continue for a period of thirty (30) Business Days after any
				Borrower shall have or should have had knowledge thereof; or 

			  

			 (r) A
				material part of the Project shall be destroyed or suffer an actual or
				constructive loss and, as a result thereof, any Plant shall be unable to
				operate for three (3) Business Days in excess of the period during which all
				Operation and Maintenance Expenses and Debt Service shall be fully covered by
				delayed start up or business interruption insurance (except for the period
				corresponding to the deductible thereunder); or 

			  

			 82

			  

			 
 
			  

			 (s) Any
				Environmental Claim shall have been asserted against any Borrower or any
				Project Participant or any Release, emission, discharge or disposal of any
				Hazardous Materials shall have occurred in violation of Environmental Laws
				which, in either case, would reasonably be expected to have a Material Adverse
				Effect; or 

			  

			 (t) A Change
				of Control shall have occurred; or 

			  

			 (u) An
				Expropriation Event shall have occurred; or 

			  

			 (v) Any
				issuer of a DSRA Letter of Credit shall fail to perform any of its obligations
				thereunder; or 

			  

			 (w) Any
				party (other than the Collateral Agent) shall fail to perform any of its
				obligations under the Subordination Agreement or Mezzanine Debt Guaranties; or
				

			  

			 (x) Any
				event, condition or circumstance shall exist or shall have occurred which, in
				the judgment of the Required Lenders, has
				had or would reasonably be expected to have a Material Adverse Effect.
				

			  

			 7.2 Acceleration.
				(a) If an
				Event of Default specified in paragraph (g) or (h) of Section 7.1 shall occur
				with respect to any Borrower, automatically all Commitments and Letters of
				Credit (which may be terminated in accordance with their terms) shall
				immediately terminate and all Loans (with accrued interest thereon) and all
				other amounts owing under the Financing Documents shall immediately become due
				and payable and the Borrowers shall pay to the Collateral Agent such additional
				amount of cash, to be held as security by the Collateral Agent, as is equal to
				the aggregate Stated Amount of all Letters of Credit issued for the account of
				the Borrowers and then outstanding.

			  

			 (b) If any
				Event of Default (other than an Event of Default referred to in Section 7.2(a))
				shall occur, then the Administrative Agent (acting at the direction of the
				Required Lenders) may by notice to the Borrowers either (A) declare the
				Commitments to be terminated, whereupon all Commitments shall immediately
				terminate, (B) terminate all Letters of Credit which may be terminated in
				accordance with their terms, (C) direct the Borrowers to pay (and the Borrowers
				agree that upon receipt of such notice it will pay) to the Collateral Agent
				such additional amount of cash, to be held as security by the Collateral Agent,
				as is equal to the aggregate Stated Amount of all Letters of Credit issued for
				the account of the Borrower and then outstanding and/or (D) declare the Loans,
				Unpaid Drawings, all accrued and unpaid interest thereon and all other amounts
				owing to the Lenders under the Financing Documents to be due and payable,
				whereupon the same shall become immediately due and payable.

			  

			 (c) Except
				as expressly provided above in this Section 7.2, presentment, demand, protest
				and all other notices and other formalities of any kind are hereby expressly
				waived by the Borrowers.

			  

			 7.3 Other
				Remedies. Upon
				the occurrence and during the continuation of an Event of Default:

			  

			 83

			  

			 
 
			  

			 (a) The
				Collateral Agent (acting on the instruction of the Administrative Agent) may
				exercise any or all rights and remedies at law or in equity (in any combination
				or order that the Collateral Agent may elect), including without limitation or
				prejudice to the Collateral Agent’s other rights and remedies, any and all
				rights and remedies available under any of the Financing Documents.
				

			  

			 (b) With the
				prior written consent of the Required Lenders, which
				consent may be given or withheld in the Required Lenders’
				sole discretion, either the EPC
				Contractor or any
				subcontractor may submit an invoice on behalf of the Borrowers, and the
				Lenders may, in
				their sole discretion, make payments directly to the EPC
				Contractor, any
				subcontractor or any other Person. The Administrative
				Agent shall
				give the Borrowers prior written notice of payments to be made by the
				Lenders
				pursuant to this paragraph. All sums advanced and disbursed pursuant to this
				paragraph shall be deemed to be Construction Loans disbursed pursuant to the
				Financing Documents.

			  

			 (c) Each
				Borrower hereby appoints the Collateral Agent (acting on the instruction of the
				Administrative Agent, acting on the instructions of the Required Lenders) as the
				attorney-in-fact of the Borrowers, with full power of substitution, and in the
				name of each of the Borrowers, if the Administrative Agent (acting on the
				instructions of the Required Lenders) elects
				to do so at any time after the occurrence and during the continuance of an
				Event of Default, to: (i) make such changes in the Plans and
				Specifications, employ such engineers and contractors as may be required, and
				advance and apply such sums as are necessary, including any proceeds of the
				Loans, for the purpose of completing the construction of each Plant, (ii)
				disburse and directly apply the proceeds of any Loan to the satisfaction of any
				of the obligations of the Borrowers hereunder or under any other Financing
				Document, (iii) hold, use, disburse and apply the Loans for payment of any
				Project Costs, and/or the payment or performance of any obligation of the
				Borrowers under any Project Document, (iv) advance and incur such expenses as
				the Required Lenders deem
				reasonably necessary for the completion of construction of the Plants and to
				preserve the Project, (v) disburse any portion of any Loan, from time to time,
				to Persons other than the Borrowers for the purposes specified herein or in any
				other Transaction Document, (vi) construct, maintain or operate any Plant,
				(vii) execute all applications and certificates in the name of any Borrower as
				may be required for construction and operation of any Plant, (viii) endorse the
				name of any Borrower on any checks or drafts, representing proceeds of any
				insurance policies, or other checks or instruments payable to any Borrower with
				respect to the Project, (ix) do every act with respect to the Transaction
				Documents and the construction and operation of the Project which any Borrower
				may do, (x) prosecute or defend any action or proceedings incident to the
				Project and (xi) upon the direction of the Administrative Agent (acting on the
				instructions of the Required Lenders) and at
				the expense of the Borrowers, at any time or from time to time, all acts and
				things which the Administrative Agent (acting on the instructions of the
				Required Lenders) deems
				necessary to protect or preserve the Collateral. The power-of-attorney granted
				hereby is a power coupled with an interest and is irrevocable. The Collateral
				Agent shall have no obligation to undertake any of the foregoing actions, and,
				if it takes any such action it shall have no liability to any Borrower to
				continue the same or for the sufficiency or adequacy thereof. At the request of
				the Collateral Agent, the Borrowers shall ratify all actions taken by or on
				behalf of the Collateral Agent hereunder.

			  

			 84

			  

			 
 
			  

			 
				(d) Any
				  funds of any Lender or the Collateral Agent (including the proceeds of any
				  Loans) used for any purpose referred to in this Section 7.3, whether or not in
				  excess (without obligating any Lender to fund any Loans in excess of its
				  Construction Loan Commitment) of the relevant Commitments shall (i) be governed
				  hereby, (ii) constitute a part of the Obligations secured by the Security
				  Documents, (iii) bear interest at the Default Rate, and (iv) be payable upon
				  demand by such Lender or the Collateral Agent, as applicable.

				 

				SECTION
				  8.  THE
				  AGENTS.

				 

				8.1 Appointment
				  and Authorization.

				 

				(a) Each
				  Lender hereby irrevocably (subject to Section 8.9) appoints, designates and
				  authorizes the Administrative Agent to take such action on its behalf under the
				  provisions of this Agreement and each other Financing Document and to exercise
				  such powers and perform such duties as are expressly delegated to it by the
				  terms of this Agreement or any such other Financing Document, together with
				  such powers as are reasonably incidental thereto.

				 

				(b) Each
				  Lender hereby irrevocably (subject to Section 8.9) appoints, designates and
				  authorizes the Collateral Agent to take such action on its behalf under the
				  provisions of this Agreement and each other Financing Document and to exercise
				  such powers and perform such duties as are expressly delegated to it by the
				  terms of this Agreement or any such other Financing Document, together with
				  such powers as are reasonably incidental thereto.

				 

				(c) Each
				  Lender hereby irrevocably (subject to Section 8.4 of the Account Agreement and
				  Section 8.9 hereof) consents to the appointment by the Collateral Agent of
				  Deutsche Bank Trust Company Americas, as the Depositary Agent under the Account
				  Agreement, and hereby authorizes the Depositary Agent to take such action on
				  its behalf under the provisions of the Account Agreement, and to exercise such
				  powers and perform such duties as are expressly delegated to it by the terms
				  thereof, together with such powers as are reasonably incidental thereto.
				  

				 

				(d) Each of
				  the Lenders authorizes, respectively, each Agent to execute, deliver and
				  perform each of the Financing Documents to which such Agent is or is intended
				  to be a party and each Lender agrees to be bound by all of the agreements of
				  such Agent contained in the Financing Documents.

				 

				(e) Notwithstanding
				  any provision to the contrary contained elsewhere in this Agreement or in any
				  other Financing Document, none of the Agents shall have any duties or
				  responsibilities except those expressly set forth herein and in the other
				  Financing Documents, nor shall any of the Agents have or be deemed to have any
				  fiduciary relationship with any Lender, and no implied covenants, functions,
				  responsibilities, duties, obligations or liabilities shall be read into this
				  Agreement or any other Financing Document or otherwise exist against any of the
				  Agents. Without limiting the generality of the foregoing sentence, the use of
				  the terms “Administrative Agent” and “Collateral Agent” in
				  this Agreement with reference to the Administrative Agent or the Collateral
				  Agent is not intended to connote any fiduciary or other implied (or express)
				  obligations arising under agency doctrine of any applicable Law. Instead,
				  

				 

				85

				 

				
 
				 

				such
				  terms are used merely as a matter of market custom, and are intended to create
				  or reflect only a relationship between independent contracting
				  parties.

				 

				8.2 Delegation
				  of Duties. Any of
				  the Agents may execute any of its duties under this Agreement or any other
				  Financing Document by or through agents, employees or attorneys-in-fact and
				  shall be entitled to advice of counsel, accountants, appraisers or other
				  experts or advisors concerning all matters pertaining to such duties. None of
				  the Agents shall be responsible for the negligence or misconduct of any agent
				  or attorney-in-fact that it selects with reasonable care. Without limiting the
				  generality of the foregoing, the Collateral Agent shall, for the purpose of
				  meeting any legal requirement of any jurisdiction in which any Collateral may
				  at the time be located, have the power, and may execute and deliver all
				  instruments necessary or required to appoint one or more Persons to act as a
				  sub-agent of the Collateral Agent, and to vest in such Person or Persons, in
				  such capacity and for the benefit of the Secured Parties, such title to the
				  Collateral or any part thereof, and subject to this Section 8.2, such powers,
				  duties, obligations, rights and trusts as the Collateral Agent may reasonably
				  consider necessary; provided, however, that the appointment of the such
				  sub-agent shall be subject to the approval of the Administrative Agent.
				  

				 

				8.3 Liability
				  of the Agents. None
				  of the Agents or any Agent-Related Persons shall (a) be liable for any action
				  taken or omitted to be taken by any of them under or in connection with this
				  Agreement or any other Transaction Document or the transactions contemplated
				  hereby (except for its own gross negligence or willful misconduct), or (b) be
				  responsible in any manner to any of the Secured Parties or any other Person for
				  any recital, statement, representation or warranty made by any Borrower or any
				  Affiliate of any Borrower, or any officer thereof, contained in this Agreement
				  or in any other Transaction Document, or in any certificate, report, statement
				  or other document referred to or provided for in, or received by any Agent
				  under or in connection with, this Agreement or any other Transaction Document,
				  or for the value of or title to any Collateral, or the validity, effectiveness,
				  genuineness, enforceability or sufficiency of this Agreement or any other
				  Transaction Document, or for any failure of any Borrower or any other party to
				  any Transaction Document to perform its obligations hereunder or thereunder.
				  None of the Agents or any Agent-Related Person shall be under any obligation to
				  any Secured Party to ascertain or to inquire as to the observance or
				  performance of any of the agreements contained in, or conditions of, this
				  Agreement or any other Transaction Document, or to inspect the Properties,
				  books or records of any Borrower or any Affiliate of any Borrower.
				  

				 

				8.4 Reliance
				  by the Agents. Each
				  of the Agents shall be entitled to conclusively rely, and shall be fully
				  protected in relying, upon any writing, resolution, notice, consent,
				  certificate, affidavit, letter, telegram, facsimile, telex or telephone
				  message, statement or other document or conversation believed by it to be
				  genuine and correct and to have been signed, sent or made by the proper Person
				  or Persons, and upon advice and statements of legal counsel (including counsel
				  to any Borrower), independent accountants and other experts selected by any
				  such Agent. Each of the Agents shall be fully justified in failing or refusing
				  to take any action under this Agreement or any other Transaction Document (a)
				  if such action would, in the opinion of such Agent (upon consultation with
				  counsel), be contrary to applicable Law or the terms of any Financing Document,
				  (b) if such action is not specifically provided for in the Financing Documents
				  to which such Agent is a party, and it shall not have received such advice or
				  concurrence of the Required Lenders, in the case of the Administrative Agent,
				  and the 

				 

				86

				 

				
 
				 

				Administrative
				  Agent (acting on the instructions of the Required Lenders), in the case of the
				  Collateral Agent, as it deems appropriate, (c) if in connection with the taking
				  of any such action that would constitute the making of a payment due under any
				  Project Document pursuant to the terms of any Consent Agreement, it shall not
				  first have received from any or all of the other Secured Parties funds equal to
				  the amount of such payment, or (d) unless, if it so requests, such Agent shall
				  first be indemnified to its satisfaction by the Lenders against any and all
				  liability and expense which may be incurred by it by reason of taking or
				  continuing to take any such action. Each of the Agents shall in all cases be
				  fully protected in acting, or in refraining from acting, under this Agreement
				  or any other Transaction Document in accordance with a request or consent of
				  the Required Lenders, in the case of the Administrative Agent, and the
				  Administrative Agent (acting on the instructions of the Required Lenders), in
				  the case of the Collateral Agent, and such request and any action taken or
				  failure to act pursuant thereto shall be binding upon all of the Secured
				  Parties.

				 

				8.5 Notice
				  of Default. (a) The
				  Administrative Agent shall not be deemed to have knowledge or notice of the
				  occurrence of any Default or Event of Default, except with respect to defaults
				  in the payment of principal, interest and fees required to be paid to the
				  Administrative Agent for the account of the Lenders, unless the Administrative
				  Agent shall have received written notice from a Lender or the Borrowers
				  referring to this Agreement, describing such Default or Event of Default and
				  stating that such notice is a “Notice of Default.” If the
				  Administrative Agent receives any such notice of the occurrence of a Default or
				  an Event of Default, it shall give notice thereof to the Lenders. The
				  Administrative Agent shall take such action with respect to such Default or
				  Event of Default as may be requested by the Required Lenders in accordance with
				  this Section 8; provided,
				  however, that
				  unless and until the Administrative Agent has received any such request, the
				  Administrative Agent may (but shall not be obligated to) take such action, or
				  refrain from taking such action, with respect to such Default or Event of
				  Default as it shall deem advisable or in the best interest of the
				  Lenders.

				 

				(b) The
				  Collateral Agent shall not be deemed to have knowledge or notice of the
				  occurrence of any Default or Event of Default unless a Responsible Officer of
				  the Collateral Agent shall have received written notice from the Administrative
				  Agent, a Lender or the Borrowers referring to this Agreement, describing such
				  Default or Event of Default and stating that such notice is a “Notice of
				  Default”. If the Collateral Agent receives any such notice of the
				  occurrence of a Default or an Event of Default, it shall give notice thereof to
				  the Administrative Agent and the Lenders. The Collateral Agent shall take such
				  action with respect to such Default or Event of Default, and such action on
				  behalf of the Secured Parties under any other Financing Document as may be
				  requested by the Administrative Agent (acting on the instructions of the
				  Required Lenders); provided,
				  however, that
				  unless and until the Collateral Agent has received any such request, the
				  Collateral Agent may (but shall not be obligated to) take such action, or
				  refrain from taking such action, with respect to such Default or Event of
				  Default or other Financing Document as it shall deem advisable or in the best
				  interest of the Lenders.

				 

				8.6 Credit
				  Decision. Each
				  Lender acknowledges that none of the Agents or the Agent-Related Persons has
				  made any representation or warranty to it, and that no act by any of the Agents
				  hereafter taken, including any review of the Project or of the affairs of any
				  Borrower, shall be deemed to constitute any representation or warranty by any
				  Agent or Agent-Related Person to any Lender. Each Lender represents to the
				  Agents that it has, independently 

				 

				87

				 

				
 
				 

				and
				  without reliance upon any Agent or Agent-Related Person and based on such
				  documents and information as it has deemed appropriate, made its own appraisal
				  of and investigation into the business, prospects, operations, Property,
				  financial and other condition and creditworthiness of the Borrowers, the
				  Project, the value of and title to any Collateral, and all applicable bank
				  regulatory Laws relating to the transactions contemplated hereby, and made its
				  own decision to enter into this Agreement and to extend credit to the Borrowers
				  hereunder. Each Lender also represents that it will, independently and without
				  reliance upon any Agent or Agent-Related Person and based on such documents and
				  information as it shall deem appropriate at the time, continue to make its own
				  credit analysis, appraisals and decisions in taking or not taking action under
				  this Agreement and the other Transaction Documents, and to make such
				  investigations as it deems necessary to inform itself as to the business,
				  prospects, operations, Property, financial and other condition and
				  creditworthiness of the Borrowers and the Project. Except for notices, reports
				  and other documents expressly required pursuant to any Financing Document to be
				  furnished to the Lenders by the Agents, the Agents shall not have any duty or
				  responsibility to provide any Lender with any credit or other information
				  concerning the business, prospects, operations, Property, financial and other
				  condition or creditworthiness of the Project or of any Borrower which may come
				  into the possession of any Agent or any of the Agent-Related
				  Persons.

				 

				8.7 Indemnification
				  of Agents.

				 

				(a) Whether
				  or not the transactions contemplated hereby are consummated, the Lenders shall
				  indemnify upon demand each Agent and the Agent-Related Persons (to the extent
				  not reimbursed by or on behalf of the Borrowers and without limiting the
				  obligation of any Borrower to do so), pro
				  rata in
				  accordance with the aggregate principal amount of the Loans held by such
				  Lender, from and against any and all Indemnified Liabilities; provided,
				  however, that
				  no Lender shall be liable for the payment to any Agent or the Agent-Related
				  Persons of any portion of such Indemnified Liabilities resulting solely from
				  such Person’s gross negligence or willful misconduct.

				 

				(b) Without
				  limitation of the foregoing, each Lender shall reimburse each Agent upon demand
				  for its ratable share as provided above of any costs or out-of-pocket expenses
				  (including Attorney Costs) incurred by such Agent in connection with the
				  preparation, execution, delivery, administration, modification, amendment or
				  enforcement (whether through negotiations, legal proceedings or otherwise) of,
				  or legal advice in respect of rights or responsibilities under, this Agreement,
				  any other Transaction Document or any document contemplated by or referred to
				  herein, to the extent that such Agent is not reimbursed for such expenses by or
				  on behalf of the Borrowers.

				 

				(c) The
				  undertakings of each Lenders and any Borrower in this Section shall survive the
				  payment of all Obligations hereunder and the resignation or replacement of any
				  Agent and the termination of this Agreement.

				 

				8.8 Agents
				  in Individual Capacities. Each
				  of the Agents and their respective Affiliates may make loans to, issue letters
				  of credit for the account of, accept deposits from, acquire equity interests in
				  and generally engage in any kind of banking, trust, financial advisory,
				  underwriting or other business with any Borrower or its Affiliates as though
				  such Agent were not 

				 

				88

				 

				
 
				 

				an Agent
				  hereunder and without notice to or consent of the Lenders. The Lenders
				  acknowledge that, pursuant to such activities, an Agent or its Affiliates may
				  receive information regarding any Borrower or its Affiliates (including
				  information that may be subject to confidentiality obligations in favor of such
				  Borrower or such Affiliates) and acknowledge that the Agents shall be under no
				  obligation to provide such information to them. Any Agent which is also a
				  Lender hereunder shall have the same rights and powers under this Agreement as
				  any other Lender and may exercise the same as though it were not an Agent, and
				  the terms “Lender” and “Lenders” shall include such Agent
				  in its individual capacity.

				 

				8.9 Successor
				  Agents.
				  

				 

				(a) The
				  Collateral Agent may, on the instructions of the Administrative Agent
				  (acting
				  at the direction of the Required Lenders), remove
				  and replace the Depositary Agent pursuant to the terms and conditions of the
				  Account Agreement and may, on the instructions of the Administrative Agent
				  (acting at the direction of the Required Lenders), direct the Depositary Agent
				  according to the terms of this Agreement and the relevant Financing
				  Documents.

				 

				(b) Subject
				  to the appointment and acceptance of a successor as provided below, each of the
				  Administrative Agent and the Collateral Agent may resign at any time by giving
				  notice thereof to the other Agents, the Lenders and the Borrowers, and each
				  such Agent may be removed at any time with or without cause by the Required
				  Lenders. Upon any such resignation or removal, the Required Lenders shall have
				  the right to appoint a successor to the applicable Agent. If no successor Agent
				  shall have been appointed by the Required Lenders, and shall have accepted such
				  appointment with thirty (30) days after the resigning Agent’s giving of
				  notice of resignation or the giving of any notice of removal of any such Agent,
				  then the resigning Agent or Agent being removed, as the case may be, may, at
				  the expense of the Borrowers, appoint, or petition a court of competent
				  jurisdiction for, a successor to such Agent. If the Collateral Agent shall
				  resign or be removed pursuant to the foregoing provisions, upon the acceptance
				  of appointment by a successor Collateral Agent hereunder, the former Collateral
				  Agent shall deliver all Collateral then in its possession to the successor
				  Collateral Agent. Upon the acceptance of its appointment as a successor Agent
				  hereunder, such successor Agent shall thereupon succeed to and become vested
				  with all the rights, powers, privileges and duties of such resigning or removed
				  Agent, and such resigning Agent or removed Agent shall be discharged from its
				  duties and obligations hereunder. 

				 
 

			 
				(c) After
				  any Agent’s resignation or removal, the provisions of this Section 8 and
				  of Sections 9.1 and 9.2 shall inure to its benefit as to any actions taken or
				  omitted to be taken by it while it was an Agent. 

				 

				(d) Any such
				  resignation by or removal of the Administrative Agent hereunder shall also
				  constitute its resignation as a Letter of Credit Issuer, in which case the
				  resigning Administrative Agent (x) shall not be required to issue any further
				  Letters of Credit and (y) shall maintain all of its rights as Letter of Credit
				  Issuer with respect to any Letters of Credit issued by it prior to the date of
				  such resignation. 

				 

				(e) Any
				  successor Collateral Agent shall be a bank that (a) has an office in New York,
				  New York with capital, surplus and undivided profits of at least One Hundred
				  

				 

				89

				 

				
 
				 

				Million
				  ($100,000,000), (b) is experienced in administering similar financing
				  transactions, (c) is experienced in administering non-recourse project finance
				  transactions and (d) is reasonably acceptable to the other Agents. Any
				  successor Collateral Agent shall evidence its acceptance of this Agreement by
				  executing and delivering to the Borrowers and the Agents an instrument
				  accepting this Agreement and its appointment as Collateral Agent and under the
				  Transaction Documents. 

				 

				(f) Subject
				  to satisfaction of the requirements in Section 8.9(e), any entity into which
				  the Collateral Agent is merged or converted or with which it is consolidated or
				  which results from a merger, conversion or consolidation to which it is a party
				  or who purchases all or substantially all of its corporate trust business
				  shall, to the extent permitted by Law, be the successor Collateral Agent under
				  this Agreement without further formality and shall thereupon succeed to and
				  become vested with all the rights, powers, privileges and duties of the
				  Collateral Agent with which such corporation was merged, converted or
				  consolidated. The Collateral Agent concerned shall forthwith notify any
				  Borrower and the Administrative Agent of any such event.

				 

				8.10 Registry. Each
				  Borrower hereby designates the Administrative Agent, and the Administrative
				  Agent agrees, to serve as the Borrowers’ agent, solely for purposes of
				  this Section 8.10, to maintain a register at one of its offices in New York,
				  New York (the “Register”)
				  on which it will record the Commitments from time to time of each of the
				  Lenders, the Loans made by each of the Lenders and each repayment in respect of
				  the principal amount of the Loans of each Lender. Failure to make any such
				  recordation, or any error in such recordation shall not affect any
				  Borrower’s obligations in respect of such Loans. With respect to any
				  Lender, the transfer of the Commitments of such Lender and the rights to the
				  principal of, and interest on, any Loan made pursuant to such Commitments shall
				  not be effective until such transfer is recorded on the Register maintained by
				  the Administrative Agent with respect to ownership of such Commitments and
				  Loans, and prior to such recordation all amounts owing to the transferor with
				  respect to such Commitments and Loans shall remain owing to the transferor. The
				  registration of an assignment or transfer of all or part of any Commitments and
				  Loans shall be recorded by the Administrative Agent on the Register only upon
				  the acceptance by the Administrative Agent of a properly executed and delivered
				  Assignment and Acceptance pursuant to Section 9.13. Coincident with the
				  delivery of such Assignment and Acceptance to the Administrative Agent for
				  acceptance and registration of assignment or transfer of all or part of a Loan,
				  or as soon thereafter as practicable, the assigning or transferor Lender shall
				  surrender the Note evidencing such Loan, and thereupon one or more new Notes in
				  the same aggregate principal amount shall be issued to the assigning or
				  transferor Lender and/or the new Lender. Each Borrower agrees to indemnify the
				  Administrative Agent from and against any and all losses, claims, damages and
				  liabilities of whatsoever nature which may be imposed on, asserted against or
				  incurred by the Administrative Agent in performing its duties under this
				  Section 8.10.

				 

				8.11 Information. The
				  Administrative Agent shall deliver to the Collateral Agent the certificate of
				  an Authorized Officer of the Administrative Agent certifying as to the name,
				  incumbency and specimen signature of each officer of the Administrative Agent
				  authorized to provide instructions or directions to the Collateral Agent under
				  the Transaction Documents. Each Borrower shall deliver to the Collateral Agent
				  the certificate of an Authorized Officer of such Borrower authorized to provide
				  instructions or directions to the Collateral Agent 

				 

				90

				 

				
 
				 

				under
				  the Transaction Documents. The Collateral Agent may conclusively rely on such
				  certificates until the Collateral Agent receives a replacement certificate from
				  the Administrative Agent or the Borrowers’ Agent, as
				  applicable.

				 

				8.12 Miscellaneous. 

				 

				(a) In any
				  circumstance where the Collateral Agent is required to exercise discretion,
				  approve documentation or distribute proceeds under any Transaction Documents,
				  the Collateral Agent may, at its option, seek to obtain instructions or
				  directions from the Administrative Agent with respect to such action.
				  

				 

				(b) The
				  Collateral Agent shall, at any time, have the right to seek instructions
				  concerning the administration of the arrangements created hereunder from any
				  court of competent jurisdiction. 

				 

				(c) The
				  Collateral Agent shall not be in breach of its obligations under this
				  Agreement, to the extent that its performance is prevented or delayed by any
				  act, event or circumstance which is not reasonably within the control of the
				  Collateral Agent acting as a reasonable and prudent Person (“force
				  majeure”). Acts, events or circumstances constituting force majeure shall
				  include, without limitation, strikes, work stoppages, acts of war or terrorism,
				  civil or military disturbances, nuclear or natural catastrophes or acts of god;
				  it being understood that the Collateral Agent shall use reasonable efforts
				  which are consistent with accepted practices in the banking industry to resume
				  performance as soon as practicable. If the Collateral Agent claims to be
				  relieved of its obligations under this Agreement on grounds that an act, event
				  or circumstance constitutes force majeure, it shall promptly notify the
				  Administrative Agent of such act, event or circumstance. 

				 

				(d) The
				  Collateral Agent shall not be liable under or in connection with the
				  Transaction Documents for indirect, special, incidental, punitive or
				  consequential losses or damages of any kind whatsoever, including, but not
				  limited to, lost profits, whether or not foreseeable (except for liability
				  arising from the Collateral Agent’s own gross negligence or willful
				  misconduct). 

				 

				(e) None of
				  the provisions of this Agreement or the other Transaction Documents shall be
				  construed to require the Collateral Agent in its individual capacity to expend
				  or risk its own funds or otherwise to incur any personal financial liability in
				  the performance of any of its duties hereunder or thereunder (except for
				  liability arising from the Collateral Agent’s own gross negligence or
				  willful misconduct).

				 

				(f) Any
				  notice from a Secured Party or the Administrative Agent to the Collateral Agent
				  shall state whether such notice is being delivered on behalf of the Required
				  Lenders or otherwise.

				 

				(g) In the
				  event that the Collateral Agent is required to acquire title to an asset for
				  any reason, or take any managerial action of any kind in regard thereto, in
				  order to carry out any fiduciary or trust obligation for the benefit of
				  another, which in the Collateral Agent’s sole discretion may cause the
				  Collateral Agent to be considered an “owner or operator” under the
				  provisions of the Comprehensive Environmental Response, Compensation and
				  Liability Act 

				 

				91

				 

				
 
				 

				(“CERCLA”),
				  42 U.S.C. §9601, et seq., or otherwise cause the Collateral Agent to incur
				  liability under CERCLA or any other federal, state or local law, the Collateral
				  Agent reserves the right, instead of taking such action, to resign as the
				  Collateral Agent. The Collateral Agent shall not be liable to any Borrower or
				  the Secured Parties or any other Person for any environmental claims or
				  contribution actions under any federal, state or local law, rule or regulation
				  by reason of the Collateral Agent’s actions and conduct as authorized,
				  empowered and directed hereunder or relating to the discharge, release or
				  threatened release of hazardous materials into the environment (except
				  for liability arising from the Collateral Agent’s own gross negligence or
				  willful misconduct). If at
				  any time it is necessary or advisable for the Project to be possessed, owned,
				  operated or managed by any Person (including the Collateral Agent) other than
				  the Borrowers, the Administrative Agent shall direct the Collateral Agent to
				  appoint an appropriately qualified Person (excluding the Collateral Agent) who
				  the Administrative Agent shall designate to possess, own, operate or manage, as
				  the case may be, the Project.

				 

				SECTION
				  9.  MISCELLANEOUS.
				  

				 

				9.1 Costs
				  and Expenses. The
				  Borrowers shall, whether or not the transactions contemplated hereby are
				  consummated and whether or not any of the following are incurred before or
				  after the Closing Date, pay, within ten (10) Business Days after receipt of
				  invoice, all reasonable costs and expenses of the Administrative
				  Agent, the Collateral Agent and the
				  Arranger in connection with the preparation, issuance, delivery, filing,
				  recording and administration of this Agreement (including any syndication of
				  Commitments and/or Loans), the other Transaction Documents, and any other
				  documents which may be delivered in connection herewith or therewith,
				  including, without limitation, all reasonable engineers’,
				  architects’, environmental, fuel, insurance, market and other
				  consultants’ fees (including any such fees incurred in connection with the
				  preparation of any report referred to herein and any inspections pursuant
				  hereto), all reasonable Attorney Costs, the reasonable fees and expenses of any
				  local counsel who may be retained by the Administrative Agent and/or the
				  Collateral Agent with respect to the transactions contemplated by this
				  Agreement, and all costs and expenses incurred by any Secured Party (including
				  Attorney Costs) in connection with (a) any and all amounts which any Secured
				  Party has paid relative to curing any Event of Default resulting from the acts
				  or omissions of any Borrower under this Agreement or any other Transaction
				  Document, (b) the enforcement or attempted enforcement of, or the investigation
				  or preservation of any rights or remedies under, this Agreement or any other
				  Transaction Document, or (c) any amendment, waiver or consent with respect to
				  any provision contained in this Agreement or any other Transaction Document. In
				  addition, the Borrowers shall pay and hold the Secured Parties harmless from
				  and against any and all present and future stamp, documentary, transfer, sales
				  and use, value-added, excise and other taxes and fees payable or determined to
				  be payable in connection with the execution, delivery, filing and recording of
				  and the performance of any obligation and making any payment under this
				  Agreement, any other Transaction Document, or any other document which may be
				  delivered in connection with this Agreement, and agrees to save the Secured
				  Parties harmless from and against any and all liabilities with respect to or
				  resulting from any delay in paying or omission to pay such taxes and fees.
				  

				 

				9.2 Indemnity.
				  Whether or not the transactions contemplated hereby are
				  consummated:

				 

				92

				 

				
 
				 

				(a) The
				  Borrowers shall pay, indemnify, and hold each Secured Party, the Arranger and
				  each of their respective officers, directors, employees, counsel, agents and
				  attorneys-in-fact and Affiliates (each, an “Indemnified
				  Person”)
				  harmless from and against any and all liabilities, obligations, losses,
				  damages, penalties, claims, actions, judgments, suits, costs, charges, expenses
				  or disbursements (including Attorney Costs) of any kind or nature whatsoever
				  which may at any time (including at any time following repayment of the Loans
				  or the termination, resignation or replacement of any Agent or any Lender) be
				  imposed on, incurred by or asserted against any such Person in any way relating
				  to or arising out of this Agreement or any other Transaction Document,
				  including the Security Documents and any other document or instrument
				  contemplated by or referred to herein or therein, or the transactions
				  contemplated hereby and thereby, or any action taken or omitted by any such
				  Person under or in connection with any of the foregoing, including with respect
				  to the exercise by any Secured Party of any of its respective rights or
				  remedies under any of the Financing Documents, and any investigation,
				  litigation or proceeding (including any bankruptcy, insolvency, reorganization
				  or other similar proceeding or appellate proceeding) related to this Agreement
				  or any other Transaction Document or the Loans, or the use of the proceeds
				  thereof, whether or not any Indemnified Person is a party thereto (all the
				  foregoing, collectively, the “Indemnified
				  Liabilities”);
				  provided, that
				  the Borrowers shall have no obligation hereunder to any Indemnified Person with
				  respect to Indemnified Liabilities arising from the gross negligence or willful
				  misconduct of such Indemnified Person.

				 

				(b) Environmental
				  Indemnity.

				 

				(i)
				  Without
				  in any way limiting the generality of the other provisions contained in this
				  Section 9.2, the Borrowers agree to defend, protect, indemnify, save and hold
				  harmless each Indemnified Person, whether as beneficiary of any of the Security
				  Documents, as a mortgagee in possession, or as successor-in- interest to any
				  Borrower by foreclosure deed or deed in lieu of foreclosure, or otherwise, from
				  and against any and all liabilities, obligations, losses, damages (including
				  punitive claims), penalties, fees, claims, actions, judgments, suits, costs,
				  disbursements (including, without limitation, Attorney Costs and
				  consultants’ fees and disbursements) and expenses (collectively,
				  “Losses”)
				  of any kind or nature whatsoever that may at any time be incurred by, imposed
				  on, asserted or awarded against any such Indemnified Person directly or
				  indirectly based on, or arising out of or resulting from, (A) the actual or
				  alleged presence of Hazardous Materials on, in, under or affecting all or any
				  portion of the Land whether or not the same originates or emanates from the
				  Land or any property adjoining or adjacent to the Land, or on, in, under or
				  affecting properties at which any Hazardous Materials generated, stored or
				  handled by the Borrowers were Released or disposed of, (B) any Environmental
				  Claim relating to the Land or the Project or (C)  reasonable and necessary
				  costs of response or corrective action in connection with any existing
				  contamination at any Project or otherwise arising under Environmental Laws, in
				  connection with the exercise of any Secured Party’s rights under any of
				  the provisions of the Security Documents (the “Indemnified
				  Matters”),
				  whether any of the Indemnified Matters arise before or after foreclosure of any
				  of the Security Interests or other taking of title to all or any portion of the
				  Collateral by any Secured Party, including, without limitation, (x) the costs
				  of removal of any and all Hazardous Materials from all or any portion of the
				  Land or any property adjoining or adjacent to the Land, (y) additional costs
				  required to take 

				 

				93

				 

				
 
				 

				reasonable
				  precautions to protect against the Release of Hazardous Materials on, in, under
				  or affecting the Land into the air, any body of water, any other public domain
				  or any surrounding areas, and (z) costs incurred to comply, in connection with
				  all or any portion of the Land or any surrounding areas, with all applicable
				  Environmental Laws with respect to Hazardous Materials, except to the extent
				  that any such Indemnified Matter arises from the gross negligence or willful
				  misconduct of such Indemnified Person.

				 

				(ii)
				  In no
				  event shall any site visit, observation, or testing by any Indemnified Person
				  (or any representative of any such Person) be deemed to be a representation or
				  warranty that Hazardous Materials are or are not present in, on, or under, the
				  Land, or that there has been or shall be compliance with any Environmental Law.
				  Neither any Borrower nor any other Person is entitled to rely on any site
				  visit, observation, or testing by any Indemnified Person. No Indemnified Person
				  owes any duty of care to protect any Borrower or any other Person against, or
				  to inform any Borrower or any other Person of, any Hazardous Materials or any
				  other adverse condition affecting the Land, each Plant or the Project. No
				  Indemnified Person shall be obligated to disclose to any Borrower or any other
				  Person any report or findings made as a result of, or in connection with, any
				  site visit, observation, or testing by any Indemnified Person, except as
				  reasonably required in connection with any claim for indemnification pursuant
				  to this Section 9.2(b).

				 

				(c) Survival;
				  Defense. The
				  obligations in this Section 9.2 shall survive payment of the Loans and all
				  other Obligations. At the election of any Indemnified Person, the
				  Borrower’s indemnification obligations under this Section 9.2 shall
				  include the obligation to defend such Indemnified Person using legal counsel
				  satisfactory to such Indemnified Person, at the sole cost and expense of the
				  Borrowers. All amounts owing under this Section 9.2 shall be paid within 30
				  days after demand.

				 

				(d) Contribution. To the
				  extent that any undertaking in the preceding paragraphs of this Section 9.2 may
				  be unenforceable because it is violative of any law or public policy, the
				  Borrowers will contribute the maximum portion that it is permitted to pay and
				  satisfy under applicable Law to the payment and satisfaction of such
				  undertaking.

				 

				(e) Settlement. So
				  long as the Borrowers are in compliance with their obligations under this
				  Section 9.2, the Borrowers shall not be liable to any Indemnified Person under
				  this Section 9.2 for any settlement made by such Indemnified Person without the
				  Borrowers’ consent.

				 

				9.3 Notices.

				 

				(a) All
				  notices, requests and other communications provided for hereunder shall be in
				  writing (including, unless the context expressly otherwise provides, by
				  facsimile transmission, but excluding email, provided that
				  any matter transmitted by any Borrower or the Borrowers’ Agent by
				  facsimile (i) shall be immediately confirmed by a telephone call to the
				  recipient at the number specified on the applicable signature page hereof, and
				  (ii) shall be followed promptly by a hard copy original thereof by express
				  courier) and faxed or delivered, to the address or facsimile number specified
				  for notices on the applicable signature page hereof or 

				 

				94

				 

				
 
				 

				to such
				  other address as shall be designated by such party in a written notice to the
				  other parties hereto.

				 

				(b) All such
				  notices, requests and communications (i) sent by express courier will be
				  effective upon delivery to or refusal to accept delivery by the addressee, and
				  (ii) transmitted by facsimile will be effective when sent and facsimile
				  confirmation received; except that all notices and other communications to any
				  Agent shall not be effective until actually received.

				 

				(c) Each
				  Borrower acknowledges and agrees that any agreement of the Secured Parties to
				  receive certain notices by telephone and facsimile is solely for the
				  convenience and at the request of the Borrowers. The Secured Parties shall be
				  entitled to rely on the authority of any Person purporting to be a Person
				  authorized by the Borrowers to give such notice and the Secured Parties shall
				  not have any liability to the Borrowers or other Person on account of any
				  action taken or not taken by any of the Secured Parties in reliance upon such
				  telephonic or facsimile notice.

				 

				(d) All
				  notices, requests and other communications hereunder and under the other
				  Financing Documents shall be in the English language.

				 

				9.4 Benefit
				  of Agreement. This
				  Agreement shall be binding upon and inure to the benefit of and be enforceable
				  by the respective successors and permitted assigns of the parties hereto. No
				  Borrower may assign or otherwise transfer any of its rights under this
				  Agreement or any of the other Financing Documents.

				 

				9.5 No
				  Waiver; Remedies
				  Cumulative.
				  No
				  failure or delay on the part of any of the Secured Parties or the holder of any
				  Note in exercising any right, power or privilege hereunder or under any other
				  Financing Document and no course of dealing between any Borrower and any
				  Secured Party or the holder of any Note shall operate as a waiver thereof, nor
				  shall any single or partial exercise of any right, power or privilege hereunder
				  or under any other Financing Document preclude any other or further exercise
				  thereof or the exercise of any other right, power or privilege hereunder or
				  thereunder. No notice to or demand on any Borrower in any case shall entitle
				  any Borrower to any other or further notice or demand in similar or other
				  circumstances or constitute a waiver of the rights of any Secured Party or the
				  holder of any Note to take any other or further action in any circumstances
				  without notice or demand. All remedies, either under this Agreement or any
				  other Financing Document or pursuant to any applicable Law or otherwise
				  afforded to any Secured Party shall be cumulative and not
				  alternative.

				 

				9.6 No
				  Third Party Beneficiaries. The
				  agreement of each Lender to make extensions of credit to the Borrowers on the
				  terms and conditions set forth in this Agreement and the other Financing
				  Documents is solely for the benefit of the Borrowers, and no other Person
				  (including any other Project Participant, or any contractor, sub-contractor,
				  supplier, worker, carrier, warehouseman, materialman or vendor furnishing
				  supplies, goods or services to or for the benefit of any Borrower or the
				  Project or receiving services from the Project) shall have any rights hereunder
				  against any Secured Party with respect to the Loans, the proceeds thereof or
				  otherwise.

				 

				95

				 

				
  

			 
 
 

	 9.7 Reinstatement. To the
		extent that any Secured Party receives any payment by or on behalf of any
		Borrower, which payment or any part thereof is subsequently invalidated,
		declared to be fraudulent or preferential, set aside or required to be repaid
		to such Borrower or to its estate, trustee, receiver, custodian or any other
		party under any Bankruptcy Law or otherwise, then to the extent of the amount
		so required to be repaid, the obligation or part thereof which has been paid,
		reduced or satisfied by the amount so repaid shall be reinstated by the amount
		so repaid and shall be included within the Obligations as of the date such
		initial payment, reduction or satisfaction occurred.

	  

	 9.8 No
		Immunity. To the
		extent that any Borrower may be entitled, in any jurisdiction in which judicial
		proceedings may at any time be commenced with respect to this Agreement or any
		other Financing Document, to claim for itself or its revenues, assets or
		Properties any immunity from suit, the jurisdiction of any court, attachment
		prior to judgment, attachment in aid of execution of judgment, set-off,
		execution of a judgment or any other legal process, and to the extent that in
		any such jurisdiction there may be attributed to such Person such an immunity
		(whether or not claimed), such Borrower hereby irrevocably agrees not to claim
		and hereby irrevocably waives such immunity to the fullest extent permitted by
		the Law of the applicable jurisdiction.

	  

	 9.9 Intentionally
		Omitted.
		

	  

	 9.10 The
		Arranger. The
		Arranger shall not have any right, power, obligation, liability, responsibility
		or duty under this Agreement other than the rights to receive reimbursement or
		payment of costs or expenses incurred by it as provided in Section 9.1 and the
		right to indemnity under Section 9.2.

	  

	 9.11 Counterparts. This
		Agreement may be executed in any number of counterparts and by the different
		parties hereto on separate counterparts, each of which when so executed and
		delivered shall be an original, but all of which shall together constitute one
		and the same instrument.

	  

	 9.12 Amendment
		or Waiver.

	  

	 (a) No
		provision of this Agreement or any other Financing Document may be amended,
		supplemented, modified or waived, except by a written instrument signed by the
		Administrative Agent (acting on the instructions of the Required Lenders), each
		of the Borrowers (but only if such Borrower is a party thereto) and the Agents
		party thereto, provided that if
		such Agent’s rights and obligations are not affected by such amendment,
		such Agent shall act upon the instructions of the Administrative Agent (acting
		on the instructions of the Required Lenders).
		Notwithstanding the foregoing provisions, no such waiver and no such amendment,
		supplement or modification shall (i) increase the Commitment of any Lender (it
		being understood that, except as expressly provided in this Agreement, waivers
		or modifications of conditions precedent, covenants, Defaults or Events of
		Default shall not constitute an increase of the Commitment of any Lender),
		without the prior written consent of such Lender, (ii) modify the scheduled
		final maturity date of any Loan or Unpaid Drawing, without the prior written
		consent of each affected Lender, or modify any date fixed by this Agreement or
		any other Financing Document for any payment of principal, interest or Fees due
		to any Lender hereunder or under 

	  

	 96

	  

	 
 
	  

	 any
		other Financing Document, without the prior written consent of such Lender,
		(iii) modify the principal of, or the rate of interest specified in any
		Financing Document on, any Loan of any Lender, without the prior written
		consent of such Lender, (iv) release all or substantially all of the Collateral
		except as shall be otherwise provided in any Security Document or other
		Financing Document or consent to the assignment or transfer by any Borrower of
		any of its respective obligations under this Agreement or any other Financing
		Document, without the prior written consent of each Lender, (v) amend, modify
		or waive any provision of this Section 9.12 or Section 2.26(c), 6.8, 9.1 or 9.2
		of this Agreement, or otherwise reduce any amount owed to any Lender under any
		Financing Document, without the prior written consent of each Lender, or (vi)
		reduce the percentage specified in or otherwise amend the definition of
		Required Lenders, without the prior written consent of each
		Lender.

	  

	 (b) Any
		waiver and any amendment, supplement or modification made or entered into in
		accordance with Section 9.12(a) shall be binding upon the Borrowers, the
		Agents, the Lenders and the
		Arranger.

	  

	 9.13 Assignments,
		Participations, etc.

	  

	 (a) Any
		Lender may, with the written consent of the Administrative Agent, and so long
		as no Default or Event of Default has occurred and is continuing, with the
		written consent of the Borrowers’ Agent (such consent not be unreasonably
		withheld or delayed), at any time assign to one or more Eligible Assignees
		(each, an “Assignee”)
		(provided that no
		written consent of the Administrative Agent, the Borrowers’ Agent or any
		other Person shall be required in connection with any assignment and delegation
		by a Lender to (i) an entity that is an Affiliate of such Lender or (ii)
		another Lender) all or any part of any Loan and the other rights and
		obligations of such Lender hereunder and under the other Financing Documents;
		provided, that
		(A) each such assignment by a Lender of its Loans, its Note or its Commitments
		shall be made in such a manner so that the same portion of its Loans, its Note
		and Commitments is assigned to the Assignee, and Construction Loans,
		Construction Notes, and Construction Loan Commitments shall only be assigned
		contemporaneously with Term Loan Commitments; (B) in the case of an assignment
		of any part of a Loan to any Assignee, such assignment shall not be for an
		amount less than Five Million Dollars ($5,000,000) (or a higher integral
		multiple of One Million Dollars ($1,000,000) in excess thereof) in each
		instance; and (C) the Borrowers and the Agents may continue to deal solely and
		directly with the assigning Lender in connection with the interest so assigned
		until (1) written notice of such assignment, together with payment
		instructions, addresses and related information with respect to the Assignee,
		shall have been given to the Borrowers and the Administrative Agent by such
		assigning Lender and the Assignee, (2) the assigning Lender or Assignee
		has paid to the Administrative Agent a processing fee in the amount of Three
		Thousand Five Hundred Dollars ($3,500), and (3) the assigning Lender shall have
		delivered to the Borrowers and the Administrative Agent an Assignment and
		Acceptance substantially in the form of Exhibit G hereto (an “Assignment
		and Acceptance”)
		with respect to such assignment from the assigning Lender.

	  

	 (b) Subject
		to Section 8.10, from and after the date that the Administrative Agent notifies
		the assigning Lender and the Borrowers that it has received (and provided its
		consent with respect to) an executed Assignment and Acceptance and payment of
		the above-referenced processing fee, (i) the Assignee thereunder shall be a
		party hereto and, to the extent 

	  

	 97

	  

	 
 
	  

	 that
		rights and obligations hereunder have been assigned to it pursuant to such
		Assignment and Acceptance, shall have the rights and obligations of a Lender
		hereunder and under the other Financing Documents, and this Agreement shall be
		deemed to be amended to the extent, but only to the extent, necessary to effect
		the addition of the Assignee, and any reference to the assigning Lender
		hereunder or under the other Financing Documents shall thereafter refer to such
		Lender and to the Assignee to the extent of their respective interests, and
		(ii) the assigning Lender shall, to the extent that rights and obligations
		hereunder and under the other Financing Documents have been assigned by it
		pursuant to such Assignment and Acceptance, relinquish its rights and be
		released from its obligations under the Financing Documents. At the time of
		each assignment pursuant to Section 9.13(a) to a Person which is not already a
		Lender hereunder, the respective assignee Lender shall provide to the Borrowers
		and the Administrative Agent the appropriate Internal Revenue Service Forms
		(and, if applicable, a Section 2.11(b)(ii) Certificate) described in Section
		2.11(b).

	  

	 (c) Within
		five (5) Business Days after its receipt of notice from the Administrative
		Agent that it has received an executed Assignment and Acceptance and payment of
		the processing fee, the Borrowers shall execute and deliver to the
		Administrative Agent new Notes evidencing the Assignee’s assigned
		Commitments and Loans and, if the assigning Lender has retained a portion of
		its Loans, replacement Notes reflecting the Commitment and the principal amount
		of the Loans retained by the assigning Lender (such Notes to be in exchange
		for, but not in payment of, the Notes held by such Lender).

	  

	 (d) Any
		Lender (the “originating
		Lender”)
		may at any time sell to one or more commercial banks or other Persons not
		Affiliates of the Borrowers (a “Participant”)
		participating interests in any Loans; provided,
		however, that
		(i) the originating Lender’s obligations under this Agreement shall
		remain unchanged, (ii) the originating Lender shall remain solely
		responsible for the performance of such obligations, (iii) the Borrowers
		and the Agents shall continue to deal solely and directly with the originating
		Lender in connection with the originating Lender’s rights and obligations
		under this Agreement and the other Financing Documents, and (iv) no Lender
		shall transfer or grant any participating interest under which the Participant
		shall have rights to approve any amendment to, or any consent or waiver with
		respect to, this Agreement or any other Transaction Document, except to the
		extent such amendment, consent or waiver would require unanimous consent of the
		Lenders as described in Section 9.12. In the case of any such participation,
		the Participant shall not have any rights under this Agreement or any of the
		other Financing Documents (the Participant’s rights against the
		originating Lender in respect of such participation to be those set forth in
		the agreement executed by the originating Lender in favor of the Participant
		relating thereto) and all amounts payable by the Borrowers hereunder shall be
		determined as if such Lender had not sold such participation.

	  

	 (e) Notwithstanding
		any other provision contained in this Agreement or any other Transaction
		Document to the contrary, any Lender may assign all or any portion of the Loans
		held by it as collateral security, provided that
		any payment in respect of such assigned Loans or Notes made by the Borrowers to
		or for the account of the assigning or pledging Lender in accordance with the
		terms of this Agreement shall satisfy the Borrowers’ obligations hereunder
		in respect to such assigned Loans or Notes to the extent of such payment. No
		such assignment shall release the assigning Lender from its obligations
		hereunder.

	  

	 98

	  

	 
 
	  

	 9.14 Survival. All
		indemnities set forth herein, including, without limitation, Section 9.2, shall
		survive the execution and delivery of this Agreement and the Notes and the
		making and repayment of the Loans. In addition, each representation and
		warranty made or deemed to be made pursuant hereto shall survive the making of
		such representation and warranty, and no Lender shall be deemed to have waived,
		by reason of making any extension of credit, any Default or Event of Default
		which may arise by reason of such representation or warranty proving to have
		been false or misleading, notwithstanding that such Lender may have had notice
		or knowledge or reason to believe that such representation or warranty was
		false or misleading at the time such extension of credit was made.

	  

	 9.15 WAIVER
		OF JURY TRIAL. EACH
		OF THE PARTIES HERETO HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES
		THE RIGHT ANY OF THEM MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION
		BASED ON, OR ARISING OUT OF, UNDER OR IN CONNECTION WITH, THIS AGREEMENT, THE
		NOTES OR ANY OTHER FINANCING DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE OF
		DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF ANY PARTY
		RELATING HERETO OR THERETO. THIS PROVISION IS A MATERIAL INDUCEMENT FOR THE
		SECURED PARTIES TO ENTER INTO THIS AGREEMENT.

	  

	 9.16  Right
		of Set-off.
		Subject to the terms of the Financing Documents relating to the application of
		amounts received by the Secured Parties, in addition to any rights now or
		hereafter granted under applicable Law or otherwise, and not by way of
		limitation of any such rights, upon the occurrence and during the continuance
		of an Event of Default, each Secured Party is hereby authorized at any time or
		from time to time, without presentment, demand, protest or other notice of any
		kind to the Borrowers or to any other Person, any such notice being hereby
		expressly waived, to set off and to appropriate and apply any and all deposits
		(general or special) and any other Indebtedness at any time held or owing to
		such Secured Party (including without limitation by branches and agencies of
		any Secured Party wherever located), to or for the credit or the account of any
		Borrower against and on account of the Obligations or liabilities of the
		Borrowers to such Secured Party under this Agreement or any of the other
		Financing Documents, including all claims of any nature or description arising
		out of or connected with this Agreement or any other Financing Document,
		irrespective of whether such Secured Party shall have made any demand hereunder
		and although said Obligations, liabilities or claims, or any of them, shall be
		contingent or unmatured. 

	  

	 9.17 Severability. Any
		provision hereof which is prohibited or unenforceable in any jurisdiction
		shall, as to such jurisdiction, be ineffective to the extent of such
		prohibition or unenforceability without invalidating the remaining provisions
		hereof and without affecting the validity or enforceability of any provision in
		any other jurisdiction.

	  

	 9.18 Domicile
		of Loans. Each
		Lender may transfer and carry its Loans at, to or for the account of any
		office, Subsidiary or Affiliate of such Lender.

	  

	 9.19 Limitation
		of Recourse. (a)
		There shall be full recourse to each and all of the Borrowers and to all of the
		Borrowers’ assets for the liabilities of any Borrower under this Agreement
		and the other Financing Documents and other Obligations of any Borrower, but in
		no 

	  

	 99

	  

	 
 
	  

	 event
		shall the Sponsor, BFE Holdings, or any officer, director or holder of any
		equity interest in the Borrowers or the Sponsor be personally liable or
		obligated for such liabilities and Obligations of any Borrower, except as may
		be specifically provided in any Transaction Document to which the Sponsor or
		BFE Holdings is a party. Nothing contained herein shall (a) limit or be
		construed to limit the obligations and liabilities of the Sponsor or BFE
		Holdings in any Transaction Document creating such liabilities and obligations
		to which the Sponsor or BFE Holdings is a party or (b) affect or diminish any
		rights of any Person against any other Person for such other Person’s
		fraud, willful misrepresentation, gross negligence or willful misconduct.
		

	  

	 (b) Each
		Lender for itself and its successors and assigns acknowledges and agrees that
		Cargill is not a party to this Agreement and is a legal entity separate from
		the Borrowers and the Borrowers’ Agent, and that Cargill has not, and does
		not, assume any of their obligations and has no obligation to contribute
		capital, or otherwise provide financial support, to the Borrowers and the
		Borrowers’ Agent or to any other entity in respect of the Project or the
		Plants (except for the equity contributions to be made by Cargill Biofuels
		Investments, LLC as set forth in each of the relevant LLC Agreements).
		Accordingly, each Lender is electing to enter into this Agreement without
		reliance upon the creditworthiness of Cargill for repayment of the Loans and
		without reliance upon any undertakings by Cargill in respect of the Project or
		the Plants except those undertakings expressly set forth in the Consent
		Agreements and the Project Documents to which Cargill is a Party. Cargill is a
		third party beneficiary of this Section 9.19 and is entitled to rely on and
		enforce this Section 9.19(b) against the parties to this Agreement. For
		purposes of this Section 9.19(b), Cargill means and includes Cargill and its
		Affiliates, including without limitation, Cargill Biofuels Investments, LLC and
		Cargill Commodities. 

	 

	 9.20 Governing
		Law; Submission to Jurisdiction.
		(a) THIS
		AGREEMENT AND EACH OF THE OTHER FINANCING DOCUMENTS (UNLESS SUCH DOCUMENT
		EXPRESSLY STATES OTHERWISE THEREIN) SHALL BE GOVERNED BY, AND CONSTRUED IN
		ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK WITHOUT REGARD TO THE
		CONFLICT OF LAW RULES THEREOF (OTHER THAN SECTION 5-1401 OF THE NEW YORK
		GENERAL OBLIGATIONS LAW).

	  

	 (b) Each
		Borrower hereby submits to the nonexclusive jurisdiction of the United States
		District Court for the Southern District of New York and of any New York State
		court sitting in New York City for the purposes of all legal proceedings
		arising out of or relating to this Agreement, any other Financing Document or
		the transactions contemplated hereby or thereby. Each Borrower hereby
		irrevocably waives, to the fullest extent permitted by applicable Law, any
		objection which it may now or hereafter have to the laying of the venue of any
		such proceeding brought in such a court and any claim that any such proceeding
		brought in such a court has been brought in an inconvenient forum. Each
		Borrower hereby irrevocably appoints CT Corporation System (the
		“Process
		Agent”),
		with an office on the date hereof at 111 Eighth Avenue, New York, New York
		10011, as its agent to receive on its behalf and on behalf of its Property,
		service of copies of the summons and complaint and any other process that may
		be served in any such action or proceeding. Service upon the Process Agent
		shall be deemed to be personal service on each Borrower and shall be legal and
		binding upon the Borrowers for all purposes
		notwithstanding any failure to mail copies of such legal process to the
		Borrowers, or any failure on the part of any Borrower to receive the same.
		Nothing herein shall affect the right to serve process in any other manner
		permitted by applicable Law or any right to bring legal
		

	  

	 100

	  

	 
 
	  

	 action
		or proceedings in any other competent jurisdiction, including judicial or
		non-judicial foreclosure of real Property interests which are part of the
		Collateral. Each Borrower further agrees that the aforesaid courts of the State
		of New York and of the United States of America for the Southern District of
		New York shall have exclusive jurisdiction with respect to any claim or
		counterclaim of any Borrower based upon the assertion that the rate of interest
		charged by or under this Agreement or under the other Financing Documents is
		usurious. To the extent permitted by applicable Law, each Borrower further
		irrevocably agrees to the service of process of any of the aforementioned
		courts in any suit, action or proceeding by the mailing of copies thereof by
		certified mail, postage prepaid, return receipt requested, to the Borrowers at
		the address referenced in Section 9.3, such service to be effective upon the
		date indicated on the postal receipt returned from the
		Borrowers.

	 
		
		   

		  (c) The
			 Borrowers’ Agent and each Borrower agrees that it will at all times
			 continuously maintain an agent to receive service of process in the State of
			 New York on behalf of itself and its Properties, and, in the event that for any
			 reason the agent mentioned above shall not serve as agent for the
			 Borrowers’ Agent or any Borrower to receive service of process in the
			 State of New York on its behalf, the Borrowers’ Agent and each such
			 Borrower shall promptly appoint a successor satisfactory to the Administrative
			 Agent so to
			 serve, advise the Administrative
			 Agent
			 thereof, and deliver to the Administrative
			 Agent
			 evidence in writing of the successor agent’s acceptance of such
			 appointment. The foregoing provisions constitute, among other things, a special
			 arrangement for service among the parties to this Agreement for the purposes of
			 28 U.S.C. § 1608.

		   

		  (d) To the
			 extent the Borrowers’ Agent or any Borrower may, in any action or
			 proceeding arising out of or relating to any of the Financing Documents be
			 entitled under any applicable Law to require or claim that any Secured Party
			 post security for costs or take similar action, the Borrowers’ Agent or
			 each such Borrower hereby irrevocably waives and agrees not to claim the
			 benefit of such entitlement.

		   

		  9.21 Complete
			 Agreement. THIS
			 AGREEMENT AND THE OTHER FINANCING DOCUMENTS REPRESENT THE FINAL AND COMPLETE
			 AGREEMENT OF THE PARTIES HERETO, AND ALL PRIOR NEGOTIATIONS, REPRESENTATIONS,
			 UNDERSTANDINGS, WRITINGS AND STATEMENTS OF ANY NATURE (OTHER THAN PROVISIONS OF
			 ANY AGREEMENT ENTERED INTO BETWEEN THE BORROWERS AND THE ARRANGER WHICH
			 PROVISIONS ARE EXPRESSLY STATED TO SURVIVE THE EXPIRATION OR TERMINATION OF
			 SUCH AGREEMENT, WHICH SHALL CONTINUE IN FULL FORCE AND EFFECT IN ACCORDANCE
			 WITH THEIR TERMS) ARE HEREBY SUPERSEDED IN THEIR ENTIRETY BY THE TERMS OF THIS
			 AGREEMENT AND THE OTHER FINANCING DOCUMENTS.

		   

		  9.22 Borrowers’
			 Agent. Each
			 Borrower hereby appoints and authorizes Opco, and Opco hereby accepts such
			 appointment, as such Borrowers’ Agent to act as agent on such
			 Borrower’s behalf and to make any representations or certifications,
			 deliver and receive any notices or other communication and otherwise represent
			 and act on behalf of such Borrower under the Financing Documents, and to comply
			 with all covenants, conditions and other provisions of the Financing Documents
			 required to be satisfied by the Borrowers’ Agent. Each 

		   

		  101

		   

		  
 
		   

		  Borrower
			 hereby acknowledges and agrees that it will be bound by any action or inaction
			 taken by the Borrowers’ Agent as if such action or inaction had been taken
			 by such Borrower.

		   

		  *                                  
			 *                                   *

		   

		  102

		   

		  
  

		

	  

	 
		IN
		  WITNESS WHEREOF, the parties hereto have caused their duly authorized officers
		  to execute and deliver this Agreement as of the date first above
		  written.

		 

		
		  	
				  Notice
					 Address:

				   

				  BFE
					 Operating Company, LLC

				  1625
					 Broadway, Suite 2400

				  Denver,
					 Colorado

				   

				  Attention:
					 Mr. Scott Pearce

				  Telephone
					 No.: (303) 592 8110

				  Telecopier
					 No.: (303) 626 8251

				   
 	
				  BFE
					 OPERATING COMPANY, LLC,

				  as
					 Borrower

				   

				  By: /s/
					 Scott H. Pearce

				  Name:
					 Scott H. Pearce

				  Title:
					 Authorized Representative

				   
 
	
				  Notice
					 Address:

				   

				  Buffalo
					 Lake Energy, LLC

				  1625
					 Broadway, Suite 2400

				  Denver,
					 Colorado

				   

				  Attention:
					 Mr. Scott Pearce

				  Telephone
					 No.: (303) 592 8110

				  Telecopier
					 No.: (303) 626 8251

				   
 	
				  BUFFALO
					 LAKE ENERGY, LLC, 

				  as
					 Borrower 

				   

				  By: /s/
					 Scott H. Pearce

				  Name:
					 Scott H. Pearce

				  Title:
					 Authorized Representative

				   
 
	
				  Notice
					 Address:

				   

				  Pioneer
					 Trail Energy, LLC

				  1625
					 Broadway, Suite 2400

				  Denver,
					 Colorado

				   

				  Attention:
					 Mr. Scott Pearce

				  Telephone
					 No.: (303) 592 8110

				  Telecopier
					 No.: (303) 626 8251

				   
 	
				  PIONEER
					 TRAIL ENERGY, LLC, as

				  Borrower
					 

				   

				  By: /s/
					 Scott H. Pearce

				  Name:
					 Scott H. Pearce

				  Title:
					 Authorized Representative

				   
 
	
				  Notice
					 Address:

				   

				  BFE
					 Operating Company, LLC

				  1625
					 Broadway, Suite 2400

				  Denver,
					 Colorado

				   

				  Attention:
					 Mr. Scott Pearce

				  Telephone
					 No.: (303) 592 8110

				  Telecopier
					 No.: (303) 626 8251

				   
 	
				  BFE
					 OPERATING COMPANY, LLC,

				  as
					 Borrowers’ Agent

				   

				  By: /s/
					 Scott H. Pearce

				  Name:
					 Scott H. Pearce

				  Title:
					 Authorized Representative

				   
 
	
				  Notice
					 Address:

				   

				  BNP
					 Paribas

				  787
					 Seventh Avenue

				  New
					 York, NY 10019

				   
 	
				  BNP
					 PARIBAS, as Lender

				   

				  By: /s/
					 Andrew Platt  

				  Name:
					 Andrew Platt

				  Title:
					 Director

				   

				   
 

 

		
 
		
		  	 
				  Attention:
					 Barrette Palmer

				  Telephone
					 No.: (212) 841 3604

				  Telecopier
					 No.: (212) 841-2748
 	 
				  By: /s/
					 Timothy F. Vincent

				  Name:
					 Timothy F. Vincent

				  Title:
					 Director
 
	 	 
	
				  Notice
					 Address:

				   

				  Standard
					 Chartered Bank

				  One
					 Madison Avenue

				  New
					 York, NY 10010-3602

				   

				  Attention:
					 Luis Fernando Predigon

				  Telephone
					 No.: (212) 667 0275

				  Telecopier
					 No.: (212) 607 0272

				   
 	
				  STANDARD
					 CHARTERED BANK, 

				  as
					 Lender 

				   

				  By: /s/
					 Nada Elreedy

				  Name:
					 Nada Elreedy

				  Title:
					 Senior Vice President
Project Finance Americas

				   

				  By: /s/
					 Andrew Yang

				  Name:
					 Andrew Yang

				  Title:
					 Vice President
Standard Chartered Bank NY
 
	
				   

				  Notice
					 Address:

				   

				  AgFirst
					 Farm Credit Bank

				  1401
					 Hampton Street

				  Columbia,
					 SC 29201

				   

				  Attention:
					 Bruce Fortner

				  Telephone
					 No.: (803) 753 2457

				  Telecopier
					 No.: (803) 254 4219

				   
 	
				   

				  AGFIRST
					 FARM CREDIT BANK,
					 

				  as
					 Lender 

				   

				  By: /s/
					 Bruce B. Fortner

				  Name:
					 Bruce B. Fortner

				  Title:
					 Vice President

				   
 
	
				  Notice
					 Address:

				   

				  Farm
					 Credit Services of America

				  5015 S.
					 118th St.

				  Omaha,
					 NE 68137

				   

				  Attention:
					 Ron Brandt

				  Telephone
					 No.: (402) 348 3606

				  Telecopier
					 No.: (402) 661 3606

				   
 	
				  FARM
					 CREDIT SERVICES OF AMERICA,
					 

				  as
					 Lender 

				   

				  By: /s/
					 Steven L. Mare

				  Name:
					 Steven L. Mare

				  Title:
					 Vice President

				   
 
	
				  Notice
					 Address:

				   

				  GMAC
					 Commercial Finance LLC

				  600
					 Galleria Parkway

				  15th
					 Floor

				  Atlanta,
					 GA 30339

				   

				  Attention:
					 Daniel Nichols

				  Telephone
					 No.: (678) 324 2164

				  Telecopier
					 No.: (678) 324 2181

				   
 	
				  GMAC
					 COMMERCIAL FINANCE LLC,
					 

				  as
					 Lender 

				   

				  By: /s/
					 Patrick Riley

				  Name:
					 Patrick Riley

				  Title:
					 Vice President

				   
 

 
 

	 
		 

		2

		 

		
  

	  

	 

		
		  	
				  Notice
					 Address:

				   

				  Greenstone
					 Farm Credit Services, ACA/FLCA

				  1760
					 Abbey Rd.

				  East
					 Lansing, MI 48823

				   

				  Attention:
					 Ben Mahlich - AVP

				  Telephone
					 No.: (517) 318 4110

				  Telecopier
					 No.: (517) 318 4148

				   
 	
				  GREENSTONE
					 FARM CREDIT SERVICES,
 ACA/FLCA, as
					 Lender 

				   

				   

				  By: /s/
					 Ben Mahlich

				  Name:
					 Ben Mahlich

				  Title:
					 AVP/Lending Officer

				   
 
	
				  Notice
					 Address:

				   

				  Metropolitan
					 Life Insurance Company

				  10 Park
					 Avenue, P.O. BOX 1982

				  Morristown,
					 NJ 07962

				   

				  Attention:
					 John Tanyeri

				  Telephone
					 No.: (973) 355 4346

				  Telecopier
					 No.: (973) 355 4780

				   
 	
				  METROPOLITAN
					 LIFE INSURANCE 
COMPANY, as
					 Lender 

				   

				   

				  By: /s/
					 Judith A. Gulotta

				  Name:
					 Judith A. Gulotta

				  Title:
					 Director

				   
 
	
				  Notice
					 Address:

				   

				  Mizuho
					 Corporate Bank, Ltd.

				  1251
					 Ave. of the Americas

				  New
					 York, NY 10020

				   

				  Attention:
					 Ned Ganatra

				  Telephone
					 No.: (212) 282 3678

				  Telecopier
					 No.: (212) 282 3618

				   
 	
				  MIZUHO
					 CORPORATE BANK, LTD.,
					 

				  as
					 Lender 

				   

				  By: /s/
					 Masatoshi Abe

				  Name:
					 Masatoshi Abe

				  Title:
					 Senior Vice President

				   
 
	
				  Notice
					 Address:

				   

				  Amarillo
					 National Bank

				  410 S
					 Taylor

				  Amarillo,
					 TX 79101

				   

				  Attention:
					 Craig Sanders / Mark Fields

				  Telephone
					 No.: (806) 378 8244

				  Telecopier
					 No.: (806) 345 1663

				   
 	
				  AMARILLO
					 NATIONAL BANK,
					 

				  as
					 Lender 

				   

				  By: /s/
					 Mark Fields

				  Name:
					 Mark Fields

				  Title:
					 Vice President

				   
 
	
				  Notice
					 Address:

				   

				  Farm
					 Credit Bank of Texas

				  4801
					 Plaza on the Lake Drive

				  Austin,
					 TX 78746

				   

				  Attention:
					 Horace Harrod

				  Telephone
					 No.: (502) 225 4582

				   
 	
				  FARM
					 CREDIT BANK OF TEXAS,
					 

				  as
					 Lender 

				   

				  By: /s/
					 Horace R. Harrod

				  Name:
					 Horace R. Harrod

				  Title:
					 Vice President

				   
 

 
 

	  

	 3

	  

	 
 
	  

	 Telecopier
		No.: (512) 465 0704

	  

	 
		
		  	
				  Notice
					 Address:

				   

				  COÖPERATIEVE
					 CENTRALE 

				  RAIFFEISEN-BOERENLEENBANK
					 B.A., 

				  “RABOBANK
					 INTERNATIONAL”, NEW
					 

				  YORK
					 BRANCH

				  245 Park
					 Avenue

				  New
					 York, New York 10167

				   

				  Attention:
					 Brad Peterson 

				  Telephone
					 No.: (312) 408 8222 

				  Telecopier
					 No.: (312) 408 8240
 	
				  COÖPERATIEVE
					 CENTRALE 

				  RAIFFEISEN-BOERENLEENBANK
					 B.A., 

				  “RABOBANK
					 INTERNATIONAL”, NEW 

				  YORK
					 BRANCH,

				  as
					 Lender 

				   

				  By: /s/
					 Peter Duncan

				  Name:
					 Peter Duncan

				  Title:
					 Executive Director

				   

				   

				  By: /s/
					 Brett Delfino

				  Name:
					 Brett Delfino

				  Title:
					 Executive Director
 

 
 

	  

	 
		
		  	
				  Notice
					 Address:

				   

				  First
					 National Bank of Omaha

				  1620
					 Dodge Street

				  Omaha,
					 NE 68197

				   

				  Attention:
					 Fallon Savage

				  Telephone
					 No.: (402) 633 3031

				  Telecopier
					 No.: (402) 633 3519

				   
 	
				  FIRST
					 NATIONAL BANK OF OMAHA,
					 

				  as
					 Lender 

				   

				  By: /s/
					 Fallon Savage

				  Name:
					 Fallon Savage

				  Title:
					 Commercial Loan Officer

				   
 

 
 

	 
		
		  	
				  Notice
					 Address:

				   

				  Deutsche
					 Bank Trust Company Americas

				  60 Wall
					 Street, 27th Floor

				  Mail
					 Stop: NYC60-2710

				  New
					 York, NY 10005

				   

				  Attention:
					 Manager, Project Finance Group

				  Telecopier
					 No.: (732) 578 4636

				   
 	
				  DEUTSCHE
					 BANK TRUST COMPANY 

				  AMERICAS,
					 as Collateral Agent

				   

				   

				  By: /s/
					 Richard L. Buckwalter

				  Name:
					 Richard L. Buckwalter

				  Title:
					 Vice President

				   

				  By: /s/
					 Kerry Warwicker

				  Name:
					 Kerry Warwicker

				  Title:
					 Vice President

				   
 
	
				  Notice
					 Address:

				   

				  BNP
					 Paribas

				  787
					 Seventh Avenue

				  New
					 York, NY 10019

				   

				  Attention:
					 Barrette Palmer

				  Telephone
					 No.: (212) 841 3604

				   
 	
				  BNP
					 PARIBAS, 

				  as
					 Administrative Agent and Arranger 

				   

				  By: /s/
					 Andrew Platt  

				  Name:
					 Andrew Platt

				  Title:
					 Director

				   

				   
 

 

		 

		4

		 

		
 
		 

		
		  	 Telecopier No.: (212) 841-2748	
				  By: /s/
					 Timothy F. Vincent

				  Name:
					 Timothy F. Vincent

				  Title:
					 Director
 

 
 

	  

	 5

	 
 
	  

	 
		APPENDIX
		  A

		to

		Credit
		  Agreement

		 

		

		  DEFINED
			 TERMS AND RULES OF INTERPRETATION

		   

		  1. Defined
			 Terms.

		   

		  “Account
			 Agreement”
			 shall mean the Collateral Account Agreement, dated as of the date of the Credit
			 Agreement, among each of the Borrowers, the Borrowers’ Agent, the
			 Collateral Agent, and the Depositary Agent. 

		   

		  “Account
			 Agreement Collateral”
			 shall have the meaning provided in Section 2.3 of the Account
			 Agreement.

		   

		  “Account
			 Debtor”
			 shall mean any Person who may become obligated to the Borrower under, with
			 respect to, or on account of, an account (as defined in the UCC).

		   

		  “Accounts”
			 shall have the meaning provided in the Account Agreement and shall include any
			 other accounts or sub-accounts established pursuant to the Account
			 Agreement.

		   

		  “Additional
			 Project Document”
			 shall mean any contract or agreement (including a sub-contract) relating to the
			 development, construction, testing, operation, maintenance, repair, financing
			 or use of the Project entered into by any Borrower or a sub-contractor with any
			 other Person subsequent to the date of the Credit Agreement (including any
			 contract(s) or agreement(s) entered into in substitution for any Project
			 Document that has been terminated in accordance with its terms or
			 otherwise).

		   

		  “Adjusted
			 Eurodollar Rate”
			 shall mean, for any Eurodollar Loan for any Interest Period therefor, the rate
			 per annum (rounded upwards, if necessary, to the nearest 1/100 of 1%)
			 determined by the Administrative Agent to be equal to the quotient obtained by
			 dividing (a) the Eurodollar Rate for such Eurodollar Loan for such Interest
			 Period by (b) 1 minus the Reserve Requirement for such Eurodollar Loan for such
			 Interest Period.

		   

		  “Administrative
			 Agent”
			 shall mean BNP Paribas, acting in its capacity as agent for the Lenders
			 pursuant to the Credit Agreement.

		   

		  “Affected
			 Property”
			 shall mean, with respect to any Event of Loss, the Property lost, destroyed,
			 damaged, condemned (including, without limitation, through a Taking) or
			 otherwise taken as a result of such Event of Loss.

		   

		  “Affiliate”
			 shall mean, with respect to any Person, (a) any other Person that is directly
			 or indirectly controlled by, under common control with or controls such Person;
			 (b) any other Person owning beneficially or controlling ten (10) percent or
			 more of the Voting Stock of such Person; or (c) any officer, director or
			 partner of such Person. As used herein, the term “control” means
			 possession, directly or indirectly, of the power to direct or cause the
			 direction of the management and policies of a Person, whether through the
			 ownership of partnership interests or voting securities, by contract or
			 otherwise.

		   

		  
 
		   

		  Appendix
			 A

		  
			 Page
				2
 

		   

		  “Agent-Related
			 Persons”
			 shall mean each Agent, and any successor Agent appointed pursuant to Section
			 8.9 of the Credit Agreement, together with their respective officers,
			 directors, employees, representatives, attorneys, agents and
			 Affiliates.

		   

		  “Agents”
			 shall mean, collectively, the Administrative Agent, the Collateral Agent, and
			 the Depositary Agent.

		   

		  “Applicable
			 Lending Office”
			 shall mean, for each Lender and for each Type of Loan, the “Lending
			 Office” of such Lender (or of an affiliate thereof) designated for such
			 Type of Loan in Annex II to the Credit Agreement or such other office of such
			 Lender (or an affiliate thereof) as such Lender may from time to time specify
			 to the Administrative Agent and the Borrowers by written notice in accordance
			 with the terms hereof as the office by which its Loans of such Type are to be
			 made and maintained.

		   

		  “Applicable
			 Margin”
			 shall mean (a) in the case of Eurodollar Loans, (i) as to the Construction
			 Loans, 3.00%, (ii) as to the Term Loans, 3.00%, and (iii) as to the Working
			 Capital Loans, 3.00%, and (b) in the case of Base Rate Loans,
			 2.00%.

		   

		  “Arranger”
			 shall mean BNP Paribas.

		   

		  “Assignee”
			 shall have the meaning provided in Section 9.13(a) of the Credit
			 Agreement.

		   

		  “Assignment
			 and Acceptance”
			 shall have the meaning provided in Section 9.13(a) of the Credit
			 Agreement.

		   

		  “Assumed
			 Interest Rate”
			 shall mean, with respect to any Obligation bearing interest at a floating rate
			 of interest on any date of determination, the rate of interest on such
			 Obligation as in effect on such date of determination; provided, that
			 in the event that any Borrower has entered into a Required Hedging Agreement in
			 accordance with Section 5.17 of the Credit Agreement, such Required Hedging
			 Agreement may, to the extent applicable, be taken into account in determining
			 the rate of interest in effect on such date of determination.

		   

		  “Attorney
			 Costs”
			 shall mean all fees and disbursements of any law firm or other external
			 counsel, the allocated cost of internal legal services and all disbursements of
			 internal counsel.

		   

		  “Authorized
			 Officer”
			 shall mean (i) with respect to any Person that is a corporation or a limited
			 liability company, the Chairman, President, any Vice President or Secretary of
			 such Person, (ii) with respect to any Person that is a partnership, the
			 President, any Vice President or Secretary (or Assistant Secretary) of a
			 general partner or managing partner of such Person and (iii) with respect to
			 any other Person, the designated officers of such Person, in each case whose
			 name appears on a certificate of incumbency of such Person delivered in
			 accordance with the Credit Agreement, as such certificate may be amended from
			 time to time.

		   

		  “Bankruptcy
			 Code”
			 shall mean the United States Federal Bankruptcy Code of 1978, as
			 amended.

		   

		  
 
		  
			 Appendix
				A

			 
				Page
				  3
 
 

		   

		  “Bankruptcy
			 Law”
			 shall mean the Bankruptcy Code and any other Law of any jurisdiction relating
			 to bankruptcy, insolvency, liquidation, reorganization, moratorium, winding-up
			 or composition or readjustment of debts or any similar Law.

		   

		  “Base
			 Case Projections”
			 shall mean a projection of operating results for the Project over a period
			 ending no sooner than eight (8) years beyond the Signing Date, showing
			 reasonable good faith estimates of the Borrowers, as of the Signing Date, of
			 revenue, operating expenses, Historical Debt Service Coverage Ratios, Ratio of
			 Debt to Total Project Costs, Working Capital and sources and uses of revenues
			 over the forecast period. 

		   

		  “Base
			 Rate”,
			 for any day, shall mean the rate per annum equal to the higher of (a) the
			 Federal Funds Rate for such day plus one-half of one percent (0.5%) and (b) the
			 Prime Rate for such day. Any changes in the Base Rate due to a change in the
			 Prime Rate or the Federal Funds Rate shall be effective on the effective date
			 of such change in the Prime Rate or Federal Funds Rate.

		   

		  “Base
			 Rate Loans”
			 shall mean Loans which bear interest based upon the Base Rate.

		   

		  “BFE
			 Holdings”
			 shall mean BFE Holdings, LLC, a limited liability company organized and
			 existing under the laws of the State of Delaware.

		   

		  “BFE
			 Holdings Pledge Agreement”
			 shall mean the Pledge Agreement, dated the date hereof, between BFE Holdings
			 and the Collateral Agent, pursuant to which BFE Holdings pledges one hundred
			 percent (100%) of the LLC Interests of Opco to the Collateral
			 Agent.

		   

		  “Borrowers”
			 shall have the meaning provided in the preamble of the Credit
			 Agreement.

		   

		  “Borrowers’
			 Agent”
			 means Opco, in its capacity as agent for the Borrowers in accordance with
			 Section 9.22 of the Credit Agreement.

		   

		  “Borrowers
			 Completion Certificate”
			 shall mean a certificate, substantially in the form of Exhibit E-1 to the
			 Credit Agreement, dated the Conversion Date, duly completed and signed by an
			 Authorized Officer of the Borrowers’ Agent. 

		   

		  “Borrowing”
			 shall mean the borrowing of Loans of one Type from the Lenders on a given date
			 (or the conversion of a Loan or Loans of a Lender or Lenders on a given date)
			 having, in the case of Eurodollar Loans, the same Interest Period.

		   

		  “Buffalo
			 Lake”
			 shall mean Buffalo Lake Energy, LLC, a limited liability company organized and
			 existing under the laws of the State of Delaware.

		   

		  “Buffalo
			 Lake Access Agreement”
			 shall mean the Access Agreement to be
			 entered into between Buffalo Lake and Cargill
			 prior to the initial Disbursement of Buffalo Lake Construction Loan, in form
			 and substance satisfactory to the Administrative Agent and each
			 Lender.

		   

		  
 
		  
			 Appendix
				A

			 
				Page
				  4
 
 

		   

		  “Buffalo
			 Lake Commercial Operation Date”
			 shall mean the date of the first crush of corn at the Buffalo Lake
			 Plant.

		   

		  “Buffalo
			 Lake Construction Account”
			 shall mean the “Buffalo Lake Construction Account” established
			 pursuant to Section 2.2(a)(i) of the Account Agreement.

		   

		  “Buffalo
			 Lake Construction Budget”
			 shall mean the budget dated the Closing Date, prepared and certified as such by
			 an Authorized Officer of the Borrowers’ Agent of all Project Costs
			 theretofore incurred and thereafter expected to be incurred in respect of the
			 Buffalo Lake Plant on or prior to the Conversion Date, as the same may be
			 amended from time to time in accordance with Section 5.20(b) of the Credit
			 Agreement.

		   

		  “Buffalo
			 Lake Construction Loan”
			 shall have the meaning provided in Section 2.1(a) of the Credit
			 Agreement.

		   

		  “Buffalo
			 Lake Construction Loan Availability Period”
			 shall mean the period commencing on the Closing Date, and ending on the
			 earliest to occur of (i) the full utilization of the Buffalo Lake Construction
			 Loan Commitments of the Lenders, (ii) the Date Certain, (iii) the Conversion
			 Date, (iv) the date six (6) months after Provisional Acceptance under the
			 Buffalo Lake EPC Contract (provided that if
			 any Excess Construction Loan Commitment exists in respect of the Buffalo Lake
			 Construction Loan Commitment, such date shall be extended until the expiry date
			 of the Pioneer Trail Construction Loan Availability Period) and (v) the
			 termination of the Total Commitment pursuant to the provisions of the Credit
			 Agreement. 

		   

		  “Buffalo
			 Lake Construction Loan Commitment”
			 shall mean, as to any Lender, the applicable amount set forth opposite such
			 Lender’s name in Annex I to the Credit Agreement. 

		   

		  “Buffalo
			 Lake Construction Requisition”
			 shall mean a certificate, substantially in the form of Exhibit D-1-A to the
			 Credit Agreement, executed and delivered by an Authorized Officer of the
			 Borrowers’ Agent to the Administrative Agent (with a copy to the
			 Depositary Agent), including all attachments referred to therein (a) pursuant
			 to Section 3.3(a) of the Credit Agreement in connection with each Disbursement
			 of Buffalo Lake Construction Loans, and (b) pursuant to Section 5.21(g) of the
			 Credit Agreement in connection with each application of Project Revenues
			 permitted under such Section to the payment of Buffalo Lake Project
			 Costs.

		   

		  “Buffalo
			 Lake Corn Supply Agreement”
			 shall mean the Corn Supply Agreement dated
			 as of September 25, 2006, between Buffalo Lake and Cargill. 

		   

		  “Buffalo
			 Lake Corn Future Advisory Agreement”
			 shall mean the Futures Advisory Agreement to be
			 entered into between Buffalo Lake and Cargill
			 Commodity, doing business as Cargill Direct, prior to the initial Disbursement
			 of Buffalo Lake Construction Loan, in form and substance satisfactory to the
			 Administrative Agent and each Lender.
			 

		   

		  “Buffalo
			 Lake Corn
			 Supply Start-up Agreement”
			 shall mean the Corn Supply Start-up Agreement to be
			 entered into between Buffalo Lake and Cargill,
			 prior to the initial Disbursement of Buffalo
			 Lake
			 Construction Loans, in form and substance satisfactory to the Administrative
			 Agent and each Lender.

		   

		  
 
		  
			 Appendix
				A

			 
				Page
				  5
 
 

		   

		  “Buffalo
			 Lake Delta-T License Agreement”
			 shall mean the License Agreement, dated as of August 6, 2006, between Delta-T
			 and Buffalo Lake.

		   

		  “Buffalo
			 Lake Distillers Grains Marketing Agreement”
			 shall mean
			 the Distillers
			 Grains Marketing Agreement dated
			 as of September 25, 2006, between Buffalo Lake and Cargill, acting
			 through its the Non-Grain Feed Ingredients Business Unit.
			 

		   

		  “Buffalo
			 Lake Deposit Account Control Agreement”
			 shall mean the Deposit Account Control Agreement, dated as of the date of the
			 Credit Agreement, among the Collateral Agent, Buffalo Lake and Wells Fargo
			 Bank, National Association.

		   

		  “Buffalo
			 Lake EPC Contract”
			 shall mean the Agreement for Engineering, Procurement and Construction, dated
			 as of June 9, 2006, between Buffalo Lake and the EPC Contractor, and relating
			 to the engineering, procurement and construction of the Buffalo Lake
			 Plant.

		   

		  “Buffalo
			 Lake Ethanol Marketing Agreement”
			 shall mean the Ethanol Marketing Agreement dated as of September 25, 2006,
			 between Buffalo Lake and Cargill. 

		   

		  “Buffalo
			 Lake Gas Supply Agreement(s)”
			 shall mean the Buffalo Lake Gas Supply Agreement(s) to be entered into between
			 Buffalo Lake and the gas supplier named therein (which gas supplier shall be
			 acceptable to the Administrative Agent and each Lender) prior to the initial
			 Disbursement of the Buffalo Lake Construction Loans, in form and substance
			 satisfactory to the Administrative Agent and each Lender.

		   

		  “Buffalo
			 Lake Gas Supply Representation and Management Agreement” shall
			 mean the Buffalo Lake Gas Supply Representation and Management Agreement, to be
			 entered into between Buffalo Lake and Cargill prior to the initial Disbursement
			 of Buffalo Lake Construction Loans, in form and substance satisfactory to the
			 Administrative Agent and each Lender.

		   

		  “Buffalo
			 Lake Gas Transportation Services Agreement”
			 shall mean the Buffalo Lake Gas Transportation Services Agreement to be entered
			 into between Buffalo Lake and Northern Border Interstate Pipeline Company prior
			 to the initial Disbursement of the Buffalo Lake Construction Loans, in form and
			 substance satisfactory to the Administrative Agent and each Lender.
			 

		   

		  “Buffalo
			 Lake Gas Pipeline Construction and Management Agreement”
			 shall mean the Engineering, Procurement, and Construction Agreement to be
			 entered into between Buffalo Lake and Center Point Energy, Inc., or Cornerstone
			 or any other counterparty acceptable to the Administrative Agent and each
			 Lender prior to the initial Disbursement of Buffalo Lake Construction Loans, in
			 form and substance satisfactory to the Administrative Agent and each Lender, to
			 design, construct, commission and operate the five-mile natural gas lateral to
			 the Buffalo Lake Plant. 

		   

		  “Buffalo
			 Lake Goods and Services Agreements”
			 shall mean, collectively, the Buffalo Lake Corn Supply Agreement, the Buffalo
			 Lake Corn Future Advisory Agreement, the Buffalo Lake Risk Management
			 Agreement, the Buffalo Lake Distillers Grains Marketing 

		   

		  
 
		  
			 Appendix
				A

			 
				Page
				  6
 
 

		   

		  Agreement,
			 the Buffalo Lake Ethanol Marketing Agreement, the Buffalo Lake NAESB Agreement
			 and the Buffalo Lake Gas Supply Representation and Management Agreement.
			 

		   

		  “Buffalo
			 Lake Grain Facility Lease”
			 shall mean the Buffalo Lake Grain Facility Lease dated as
			 of September 25, 2006, between Buffalo Lake and Cargill, and the Memorandum
			 of Grain Facility Lease, dated as
			 of September 25, 2006,
			 between Buffalo Lake and Cargill.
			 

		   

		  “Buffalo
			 Lake Guaranteed Completion Dates”
			 shall mean the Guaranteed Completion Dates as such term is defined in the
			 Buffalo Lake EPC Contract. 

		   

		  “Buffalo
			 Lake Guaranteed Provisional Acceptance Date”
			 shall mean the Guaranteed Provisional Acceptance Date as such term is defined
			 in the Buffalo Lake EPC Contract. 

		   

		  “Buffalo
			 Lake Land”
			 shall mean the site upon which the Buffalo Lake Plant will be installed,
			 together with any fixtures and civil works constructed thereon and any other
			 easements, licenses and other real property rights and interests required for
			 the installation and operation of such Plant, including the land referred to in
			 the Buffalo Lake Grain Facility Lease.

		   

		  “Buffalo
			 Lake Land Purchase Agreements”
			 shall have the meaning provided in Section 3.1(p)(i) of the Credit Agreement.
			 

		   

		  “Buffalo
			 Lake LLC Agreement”
			 shall mean the Limited Liability Company Agreement of Buffalo Lake, dated as of
			 September 21, 2006.

		   

		  “Buffalo
			 Lake Management Services Agreement”
			 shall mean any management services agreement relating to the management of
			 Buffalo Lake which may be entered into between Buffalo Lake and the Sponsor or
			 one of its Affiliate(s) (other than the other Borrowers); provided, that
			 such Management Services Agreement shall be in form and substance satisfactory
			 to the Administrative Agent and each Lender.

		   

		  “Buffalo
			 Lake Master Agreement”
			 shall mean
			 the Master
			 Agreement dated
			 as of September 25, 2006, between
			 Buffalo Lake, Cargill and Cargill Commodity. 

		   

		  “Buffalo
			 Lake Mortgage”
			 shall mean the Future Advance Mortgage, Security Agreement, Assignment of
			 Leases, Rent and Profits, Financing Statement and Fixture Filing, dated as of
			 September 25, 2006, from Buffalo Lake to Deutsche Bank Trust Company Americas,
			 in its capacity as Collateral Agent.

		   

		  “Buffalo
			 Lake NAESB Agreement”
			 shall mean the Buffalo Lake NAESB Base Agreement for the Purchase and Supply of
			 Natural Gas to be entered into between Buffalo Lake and Cargill prior to the
			 initial Disbursement of Buffalo Lake Construction Loans in form and substance
			 satisfactory to the Administrative Agent and each Lender.

		   

		  “Buffalo
			 Lake O&M Agreement”
			 shall mean the Operation, Management and Maintenance Services Agreement to be
			 entered into between Buffalo Lake and the Operator on or prior to July 7, 2007
			 (except to the extent otherwise provided in Section 5.25 of the Credit
			 Agreement), in substantially the form provided by the Borrowers’ Agent to
			 the Administrative 

		   

		  
 
		  
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				A

			 
				Page
				  7
 
 

		   

		  Agent
			 and each Lender prior to the initial Disbursement of the Buffalo Lake
			 Construction Loans, which agreement shall, to the extent that the Operator
			 thereunder is an Affiliate of any Borrower, include the subordination of any
			 incentive or bonus payments payable to the Operator thereunder to the extent
			 and in the manner required by the Administrative Agent. 

		   

		  “Buffalo
			 Lake Payment and Performance Bond”
			 shall mean the bonds provided to Buffalo Lake by, or on behalf of, the EPC
			 Contractor pursuant to the Buffalo Lake EPC Contract on or prior to the Closing
			 Date, substantially in the form attached as Exhibit J-1 to the Credit Agreement
			 with changes approved by the Administrative Agent and each Lender.
			 

		   

		  “Buffalo
			 Lake Permitted Denaturant Agreement”
			 shall mean any Additional Project Document entered into by Buffalo Lake under
			 which Buffalo Lake agrees to purchase denaturant for the Buffalo Lake Plant for
			 duration in excess of thirty (30) days, provided that
			 each of the following conditions shall have been satisfied:

		   

		  (a) the
			 amount of denaturant committed for purchase under such Additional Project
			 Document by Buffalo Lake from the counterparty to such Additional Project
			 Document (each, a “Long-Term
			 Supplier”)
			 shall not, when aggregated with the denaturant committed for purchase under all
			 other then outstanding Buffalo Lake Permitted Denaturant Agreements, exceed (i)
			 fifty percent (50%) of the total denaturant requirements of the Buffalo Lake
			 Plant during for the period occurring on or prior to the second (2nd)
			 anniversary of the execution date of such Additional Project Document or (ii)
			 twenty percent (20%) of the total denaturant requirements of the Buffalo Lake
			 Plant for the period occurring after the second (2nd) anniversary of the
			 execution date of such Additional Project Document;

		   

		  (b) the
			 liability incurred by Buffalo Lake for failure to purchase denaturant under the
			 terms and conditions of such Additional Project Document shall be no greater
			 than customary contractual “cover” damages;

		   

		  (c) such
			 Additional Project Document shall include a waiver by the Long-Term Supplier of
			 consequential damages and protection for Buffalo Lake against force majeure
			 risk relating to the Buffalo Lake Plant;

		   

		  (d) Buffalo
			 Lake shall not be obligated under such Additional Project Document to provide
			 an indemnification to the Long-Term Supplier which is greater than that
			 required pursuant to the Buffalo Lake Ethanol Marketing Agreement or the
			 Buffalo Lake Distillers Grains Marketing Agreement, as the case may be, and the
			 Buffalo Lake Master Agreement;

		   

		  (e) no Event
			 of Default shall have occurred and be continuing, or would reasonably be
			 expected to occur as a result of the execution of such Additional Project
			 Document; and

		   

		  (f) the
			 Borrowers’ Agent shall have delivered to the Administrative Agent (within
			 fifteen (15) days of execution of such Additional Project Document) a copy of
			 such Additional Project Document, together with an Officer’s Certificate
			 from the Borrowers’ Agent (i) certifying as to the satisfaction of each of
			 the conditions described in clauses (a) through (e) above and (ii) demonstrating
			 that, after giving effect to such Additional Project Document, the
			 

		   

		  
 
		  
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				A

			 
				Page
				  8
 
 

		   

		  projected
			 Cash Flow divided by the projected number of gallons of denatured ethanol
			 produced by the Project during the duration of such Additional Project Document
			 shall not be less than $0.30 per gallon and that such Additional Project
			 Document is in compliance with the Risk Management Policy.

		   

		  “Buffalo
			 Lake Permitted Long-Term Sales Agreement”
			 shall mean any Additional Project Document entered into by Buffalo Lake
			 pursuant (and subject) to (i) Section 1.4 of the Buffalo Lake Ethanol Marketing
			 Agreement under which Buffalo Lake agrees to sell ethanol from the Buffalo Lake
			 Plant on a long-term basis for a period in excess of twelve (12) months or (ii)
			 Section 1.4 of the Buffalo Lake Distillers Grains Marketing Agreement under
			 which Buffalo Lake agrees to sell distillers grains from the Buffalo Lake Plant
			 on a long-term basis for a period in excess of twelve (12) months, provided in each
			 case that each of the following conditions shall have been
			 satisfied:

		   

		  (a) the
			 amount of ethanol or distillers grains, as the case may be, committed for sale
			 by Buffalo Lake under such Additional Project Document shall not, when
			 aggregated with the ethanol or distillers grains, as the case may be, committed
			 for sale under all other then outstanding Buffalo Lake Permitted Long-Term
			 Sales Agreements, exceed (i) fifty percent (50%) of the total ethanol or
			 distillers grains capacity of the Buffalo Lake Plant, as the case may be,
			 during for the period occurring on or prior to the second (2nd) anniversary of
			 the execution date of such Additional Project Document or (ii) twenty percent
			 (20%) of the total ethanol or distillers grains capacity of the Buffalo Lake
			 Plant, as the case may be, for the period occurring after the second (2nd)
			 anniversary of the execution date of such Additional Project
			 Document;

		   

		  (b) Cargill
			 shall be liable to Buffalo Lake under such Additional Project Document for all
			 amounts payable by the counterparty to such Additional Project Document (each,
			 a “Long-Term
			 Purchaser”);
			 

		   

		  (c) the
			 liability incurred by Buffalo Lake to the Long-Term Purchaser for failure to
			 deliver ethanol or distillers grain, as the case may be, under the terms and
			 conditions of such Additional Project Document shall be no greater than
			 customary contractual “cover” damages;

		   

		  (d) Buffalo
			 Lake shall not be obligated under such Additional Project Document to procure
			 or maintain insurance for the Buffalo Lake Plant or to provide an
			 indemnification to the Long-Term Purchaser which, in each case, is greater than
			 that required pursuant to the Buffalo Lake Ethanol Marketing Agreement or the
			 Buffalo Lake Distillers Grains Marketing Agreement, as the case may be, and the
			 Buffalo Lake Master Agreement;

		   

		  (e) such
			 Additional Project Document shall include a waiver by the Long-Term Purchaser
			 of consequential damages and protection for Buffalo Lake against force majeure
			 risk relating to the Buffalo Lake Plant to the extent provided in the Buffalo
			 Lake Ethanol Marketing Agreement or the Buffalo Lake Distillers Grains
			 Marketing Agreement, as the case may be (including in each case to the extent
			 provided to Cargill pursuant to Exhibit F thereto), and the Buffalo Lake Master
			 Agreement; 

		   

		  
 
		  
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				A

			 
				Page
				  9
 
 

		   

		  
			 (f) no Event
				of Default shall have occurred and be continuing, or would reasonably be
				expected to occur as a result of the execution of such Additional Project
				Document; and

			  

			 (g) the
				Borrowers’ Agent shall have delivered to the Administrative Agent (within
				fifteen (15) days of execution of such Additional Project Document) a copy of
				such Additional Project Document, together with an Officer’s Certificate
				from the Borrowers’ Agent (i) certifying as to the satisfaction of each of
				the conditions described in clauses (a) through (f) above and (ii) demonstrating
				that, after giving effect to such Additional Project Document, the projected
				Cash Flow divided by the projected number of gallons of denatured ethanol
				produced by the Project during the duration of such Additional Project Document
				shall not be less than $0.30 per gallon and that such Additional Project
				Document is in compliance with the Risk Management Policy.

			  

			 “Buffalo
				Lake Plant”
				shall mean the fuel grade, denatured ethanol production facility located near
				Fairmont, Minnesota, with a nameplate capacity of 115 million gallons-per-year,
				including the Buffalo Lake Land on which such facility is located, and all
				buildings, structures, improvements, easements and other property related
				thereto (including all associated electrical, gas, steam, and water
				interconnection, storage and treatment facilities, to the extent owned by any
				Borrower).

			  

			 “Buffalo
				Lake Project Costs”
				shall mean the following costs and expenses incurred by the Borrowers to
				finance and complete the Buffalo Lake Plant and achieve the Buffalo Lake
				Commercial Operation Date and the Project Completion Date (and complete all
				Punch List items) in the manner contemplated by the Transaction Documents and
				set forth in the Buffalo Lake Construction Budget:

			  

			 
					 	
						(i)

							
						costs
						  incurred by the Borrowers under the Buffalo Lake EPC Contract, the Buffalo Lake
						  Gas Pipeline Construction and Management Agreement and any other costs
						  (including taxes) directly relating to the acquisition, site preparation,
						  design, engineering, construction, installation, start-up and testing of the
						  Buffalo Lake Plant;
 

 

			  

			 
					 	
						(ii)

							
						fees and
						  expenses incurred by or on behalf of the Borrowers and allocated to the Buffalo
						  Lake Plant in connection with the development of the Project and the
						  consummation of the transactions contemplated by this Agreement, including
						  financial, accounting, legal, surveying and consulting fees, and the costs of
						  preliminary engineering;
 

 

			  

			 
					 	
						(iii)

							
						interest
						  and fees on the Buffalo Lake Construction Loans until the Buffalo Lake
						  Commercial Operation Date;
 

 

			  

			 
					 	
						(iv)

							
						financing
						  fees and expenses in connection with the Loans and the fees, costs and expenses
						  of counsel and any consultants to the Agents or the Lenders that are allocated
						  to the Buffalo Lake Plant;
 

 

			  

			 
 
			 
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				  Page
					 10
 
 

			  

			 
					 	
						(v)

							
						insurance
						  premiums with respect to the title insurance policy for the Buffalo Lake Plant
						  and the insurance for the Buffalo Lake Plant required pursuant to the Credit
						  Agreement;
 

 

			  

			 
					 	
						(vi)

							
						costs of
						  corn and natural gas utilized for commissioning, Performance Tests for, and
						  operation of, the Buffalo Lake Plant prior to the Buffalo Lake Commercial
						  Operation Date; 
 

 

			  

			 
					 	
						(vii)

							
						initial
						  fees, drawdown fees and interest on the Mezzanine Debt until the Buffalo Lake
						  Commercial Operation Date that is allocated to the Buffalo Lake Plant, which
						  drawdown fees and interest shall not exceed $10,000,000
						  minus any
						  amount paid in respect of such drawdown fees and interest as Pioneer Trail
						  Project Costs pursuant to item (vii) of the definition of Pioneer Trail Project
						  Costs;
						  
 

 

			  

			 
					 	
						(viii)

							
						net
						  amounts payable under any Required Hedging Agreements prior to the Buffalo Lake
						  Commercial Operation Date that are allocated to the Buffalo Lake Plant;
						  
 

 

			  

			 
					 	
						(ix)
						  
 	
						amounts
						  included within the Buffalo Lake Construction Budget for use as cash collateral
						  for letters of credit issued in connection with construction and start-up and
						  initial operations of the Buffalo Lake Plant, provided that
						  each such letter of credit is issued by a Lender (or an Affiliate thereof) on
						  terms and conditions acceptable to the Administrative Agent and such amounts
						  (prior to any use thereof in connection with any drawdown under such letter of
						  credit) are subject to the Liens created under the Security Documents or
						  otherwise acceptable to the Administrative Agent; and
 

 

			  

			 
					 	
						(x)

							
						all
						  other costs and expenses included in the Buffalo Lake Construction Budget;
						  
 

 

			  

			 “Buffalo
				Lake Project Documents”
				shall mean (i) the Buffalo Lake Access Agreement, the Buffalo Lake Corn Supply
				Start-up Agreement, the Buffalo Lake EPC Contract, the Buffalo Lake O&M
				Agreement (when executed and delivered), the Buffalo Lake Corn Supply
				Agreement, the Buffalo Lake Corn Future Advisory Agreement, the Buffalo Lake
				Risk Management Agreement, the Buffalo Lake Distillers Grains Marketing
				Agreement, the Buffalo Lake Ethanol Marketing Agreement, the Buffalo Lake
				Master Agreement, the Buffalo Lake Gas Supply Agreement(s), the Buffalo Lake
				Gas Transportation Services Agreement, the Buffalo Lake NAESB Agreement, the
				Buffalo Lake Gas Supply Representation and Management Agreement, the Buffalo
				Lake Gas Pipeline Construction and Management Agreement, the Buffalo Lake Grain
				Facility Lease, the Buffalo Lake Land Purchase Agreements, the Buffalo Lake
				Delta-T License Agreement, the Buffalo Lake LLC Agreement, the Buffalo Lake
				Management Services Agreement (when executed and delivered), the Buffalo Lake
				Rail Car Exchange Agreement, the Buffalo Lake Railroad Car Lease Agreement, the
				TIC Indemnity Confirmation (Buffalo Lake), the Buffalo Lake Payment and
				Performance Bond, the Escrow Agreement, UP Consent (Buffalo Lake), UP Industry
				Track Contract (Buffalo Lake) and, at all times after the execution and
				delivery thereof, each Material Additional Project Document; (ii) a Consent
				Agreement relating to each of the following Project Documents: the Buffalo Lake
				

			  

			 
 
			 
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				  A

				
				  Page
					 11
 
 

			  

			 Access
				Agreement, the Buffalo Lake Corn Supply Start-up Agreement, the Buffalo Lake
				EPC Contract, the Buffalo Lake O&M Agreement, the Buffalo Lake Corn Supply
				Agreement, the Buffalo Lake Corn Future Advisory Agreement, the Buffalo Lake
				Risk Management Agreement, the Buffalo Lake Distillers Grains Marketing
				Agreement, the Buffalo Lake Ethanol Marketing Agreement, the Buffalo Lake
				Master Agreement, the Buffalo Lake Gas Supply Agreement, the Buffalo Lake Gas
				Supply Representation and Management Agreement, the Buffalo Lake Gas
				Transportation Services Agreement, the Buffalo Lake NAESB Agreement, the
				Buffalo Lake Gas Pipeline Construction and Management Agreement, the Buffalo
				Lake Grain Facility Lease, the Buffalo Lake Delta-T License Agreement, the
				Buffalo Lake Rail Car Exchange Agreement, the Buffalo Lake Rail Car Lease
				Agreement and the Buffalo Lake Management Services Agreement and (iii) at all
				times after the execution and delivery of any Material Additional Project
				Document, a Consent Agreement with respect thereto.

			  

			 “Buffalo
				Lake Rail Car Exchange Agreement”
				shall mean the Buffalo Lake Rail Car Exchange Agreement to be entered into
				between Buffalo Lake and Cargill prior to the initial Disbursement of Buffalo
				Lake Construction Loan, in form and substance satisfactory to the
				Administrative Agent and each Lender.

			  

			 “Buffalo
				Lake Railroad Car Lease Agreement”
				shall mean the Buffalo Lake Rail Car Lease Agreement to be entered into between
				Buffalo Lake and Trinity
				Industries Leasing Company prior
				to the initial Disbursement of Buffalo Lake Construction Loan, in form and
				substance satisfactory to the Administrative Agent and each
				Lender.

			  

			 “Buffalo
				Lake Risk Management Agreement”
				shall mean the Buffalo Lake Risk Management Agreement to be entered into
				between Buffalo Lake and Cargill prior to the initial Disbursement of Buffalo
				Lake Construction Loan, in form and substance satisfactory to the
				Administrative Agent and each Lender.

			  

			 “Buffalo
				Lake Title Insurance Policy”
				shall have the meaning provided in Section 3.1(q) (i) of the Credit
				Agreement.

			  

			 “Buffalo
				Lake Security Agreement”
				shall mean the Security Agreement, dated as of the date of the Credit
				Agreement, made by Buffalo Lake in favor of the Collateral Agent. 

			  

			 “Business
				Day”
				shall mean (i) for all purposes other than as covered by clause (ii) below, any
				day except Saturday, Sunday and any day which shall be in New York City a legal
				holiday or a day on which banking institutions are authorized or required by
				law or other government action to close in any such city, and (ii) with respect
				to all notices and determinations in connection with, and payments of principal
				and interest on, Eurodollar Loans, any day which is a Business Day described in
				clause (i) above and which is also a day for trading by and between banks in
				the London interbank eurodollar market.

			  

			 “Calculation
				Date”
				shall mean the date that is fifteen (15) days following each Quarterly Date
				occurring after the Closing Date.

			  
 
 

		
 
		
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			 A

		  
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		  “Capital
			 Adequacy Regulation”
			 means any guideline, request or directive of any central bank or other
			 Governmental Authority, or any other Law, whether or not having the force of
			 Law, in each case, regarding capital adequacy of any bank or of any corporation
			 controlling a bank.

		   

		  “Capital
			 Lease Obligations”
			 shall mean, for any Person, the obligations of such Person to pay rent or other
			 amounts under a lease of (or other agreement conveying the right to use) real
			 or personal Property which obligations are required to be classified and
			 accounted for as a capital lease on a balance sheet of such Person under GAAP
			 (including Statement of Financial Accounting Standards No. 13 of the Financial
			 Accounting Standards Board (“Statement No. 13”)) and, for purposes of
			 the Credit Agreement, the amount of such obligations shall be the capitalized
			 amount thereof, determined in accordance with GAAP (including such Statement
			 No. 13).

		   

		  “Capital
			 Stock”
			 shall mean, with respect to any Person, any and all shares, interests,
			 participations and/or rights in or other equivalents (however designated,
			 whether voting or nonvoting, ordinary or preferred) in the equity or capital of
			 such Person, now or hereafter outstanding, and any and all rights, warrants or
			 options exchangeable for or convertible into any thereof.

		   

		  “Cargill”
			 shall mean Cargill, Incorporated, a corporation organized and existing under
			 the laws of the State of Delaware.

		   

		  “Cargill
			 Commodity”
			 shall mean Cargill Commodity Services, Inc., a Delaware corporation, doing
			 business as Cargill Direct. 

		   

		  “Cargill
			 Loss Proceeds Account”
			 shall mean the Cargill Loss Proceeds Account established pursuant to Section
			 2.2(a)(xvi) of the Account Agreement.

		   

		  “Cash
			 Flow”
			 shall mean, for any period, the excess (if any) of (i) Project Revenues of the
			 type described in clauses (i) and (ii) of the definition of “Project
			 Revenues” which are deposited into the Project Revenues Collection Account
			 during such period over (ii)
			 the sum of (x) Operation and Maintenance Expenses paid from the Operating
			 Account during such period pursuant to the Account Agreement and (y)
			 Maintenance Capital Expenses paid from the Maintenance Capital Expenses Account
			 during such period pursuant to the Account Agreement.

		   

		  “Center
			 Point Energy”
			 shall mean Center Point Energy, Inc., a corporation organized and existing
			 under the laws of the State of Texas.

		   

		  “Change
			 of Control”
			 shall mean:

		   

		  (a) at any
			 time, BFE Holdings shall cease to (i) own and control, directly, 100% of the
			 total Voting Stock or economic interests of Opco, (ii) own and control,
			 indirectly, 100% of the total Voting Stock or economic interests of each of
			 Buffalo Lake and Pioneer Trail, or (iii) possess, directly or indirectly, the
			 power to direct or cause the direction of all the management, policies and
			 decisions of any Borrower; 

		   

		  
 
		  
			 Appendix
				A

			 
				Page
				  13
 
 

		   

		  (b) at any
			 time, the Sponsor shall cease to either (i) own and control, directly or
			 indirectly, 100% of the total Voting Stock or economic interests of any
			 Borrower, or (ii) possess, directly or indirectly, the power to direct or cause
			 the direction of all the management, policies and decisions of any Borrower;
			 

		   

		  (c) at any
			 time, Opco shall cease to own and control, directly, 100% of the total Voting
			 Stock or economic interest of each of Buffalo Lake and Pioneer Trail;
			 or

		   

		  (d) during
			 the period commencing on the Closing Date and ending on the earlier of (i) the
			 date which is six (6) months after the Conversion Date or (ii) the expiration
			 date of any lock-up agreement required to be signed by Cargill in the initial
			 public offering of Capital Stock of a Person which currently owns LLC Interests
			 in the Sponsor (provided that
			 Cargill shall not be required to sign a lock-up agreement with a term longer
			 than the lock-up term applicable to the officers, directors and all other
			 holders of 1% of more of the Capital Stock of such Person), Cargill shall cease
			 to own and control, directly or indirectly, LLC Interests of the Borrowers (or
			 Capital Stock of the Person that currently owns LLC Interests in the Sponsor,
			 in the event of an initial public offering) having an aggregate value
			 (calculated reasonably and without duplication on a going-concern basis) of at
			 least $8,000,000; provided that
			 this provision shall not be triggered so long as Cargill has not sold any of
			 its directly or indirectly held LLC Interests of the Borrowers (or, Capital
			 Stock in the case of an initial public offering) even if the value thereof is
			 less than $8,000,000.

		   

		  “Charter
			 Documents”
			 shall mean, with respect to any Person, (i) the articles of incorporation,
			 limited liability company agreement, partnership agreement, or other similar
			 organizational document of such Person, (ii) the by-laws or other similar
			 document of such Person, (iii) any certificate of designation or instrument
			 relating to the rights of preferred shareholders or other holders of Capital
			 Stock of such Person, and (iv) any shareholder rights agreement or other
			 similar agreement.

		   

		  “CHS,
			 Inc.”
			 shall
			 mean CHS, Inc., a corporation organized and existing under the laws of the
			 State of Minnesota.

		  

		  “Closing
			 Date”
			 shall mean the date upon which (i) the conditions precedent set forth in
			 Section 3.1 of the Credit Agreement have been satisfied (or waived by the
			 appropriate Lenders by a written instrument signed by such Lenders) and (ii)
			 the conditions precedent set forth in Section 3.2 of the Credit Agreement in
			 respect of the earlier to occur of the initial Disbursement of the Buffalo Lake
			 Construction Loan and the initial Disbursement of the Pioneer Trail
			 Construction Loan, as the case may be, have been satisfied (or waived by the
			 appropriate Lenders by a written instrument signed by such
			 Lenders).

		   

		  “Code”
			 shall mean the Internal Revenue Code of 1986, as amended from time to time, and
			 the regulations promulgated and rulings issued thereunder. Section references
			 to the Code are to the Code as in effect at the date of the Credit Agreement
			 and any subsequent provisions of the Code, amendatory thereof, supplemental
			 thereto or substituted therefor.

		   

		  
 
		  
			 Appendix
				A

			 
				Page
				  14
 
 

		   

		  “Collateral”
			 shall mean all Property that, in accordance with the terms of the Security
			 Documents, is intended to be subject to any Lien in favor of the Collateral
			 Agent and/or the Secured Parties.

		   

		  “Collateral
			 Agent”
			 shall mean Deutsche Bank Trust Company Americas, acting in its capacity as
			 Collateral Agent for the Secured Parties, and shall include any successor
			 Collateral Agent appointed pursuant to Section 8.9 of the Credit
			 Agreement.

		   

		  “Commercial
			 Operation Date”
			 shall mean, the Buffalo Lake Commercial Operation Date and the Pioneer Trail
			 Commercial Operation Date, as the case may be.

		   

		  “Commitment
			 Fee”
			 shall have the meaning provided in Section 6.7(a) of the Credit
			 Agreement.

		   

		  “Commitments”
			 shall mean the Construction Loan Commitments, the Term Loan Commitments and the
			 Working Capital Loan Commitments.

		   

		  “Consent
			 Agreement”
			 shall mean an Acknowledgment and Consent Agreement between a Project
			 Participant and the Collateral Agent and acknowledged by each of the Borrowers,
			 substantially in the form of Exhibit F to the Credit Agreement.

		   

		  “Construction
			 Accounts”
			 shall mean, collectively, the Buffalo Lake Construction Account and the Pioneer
			 Trail Construction Account.

		   

		  “Construction
			 Budgets”
			 shall mean, collectively, the Buffalo Lake Construction Budget and the Pioneer
			 Trail Construction Budget.

		   

		  “Construction
			 Loan Commitments”
			 shall mean, as to any Lender, the aggregate of the Buffalo Lake Construction
			 Loan Commitment and the Pioneer Trail Construction Loan Commitment for such
			 Lender.

		   

		  “Construction
			 Loans”
			 shall mean, collectively, the Buffalo Lake Construction Loans and the Pioneer
			 Trail Construction Loans.

		   

		  “Construction
			 Notes”
			 shall have the meaning provided in Section 2.7 of the Credit
			 Agreement.

		   

		  “Construction
			 Requisition”
			 shall mean a Buffalo Lake Construction Requisition or a Pioneer Trail
			 Construction Requisition, as the case may be.

		   

		  “Contingent
			 Obligation”
			 shall mean, as to any Person, any obligation of such Person guaranteeing or
			 intending to guarantee any Indebtedness, leases, dividends or other obligations
			 (“primary obligations”) of any other Person (the “primary
			 obligor”) in any manner, whether directly or indirectly, including,
			 without limitation, any obligation of such Person, whether or not contingent,
			 (a) to purchase any such primary obligation or any property constituting direct
			 or indirect security therefor, (b) to advance or supply funds (i) for the
			 purchase or payment of any such primary obligation or (ii) to maintain working
			 capital or equity capital of the primary obligor or otherwise to maintain the
			 net worth or solvency of the primary 

		   

		   

			 
			 
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				  A

				
				  Page
					 15

				   
 
 

			 
				obligor,
				  (c) to purchase property, securities or services primarily for the purpose of
				  assuring the owner of any such primary obligation of the ability of the primary
				  obligor to make payment of such primary obligation or (d) otherwise to assure
				  or hold harmless the owner of such primary obligation against loss in respect
				  thereof. The amount of any Contingent Obligation shall be deemed to be an
				  amount equal to the stated or determinable amount of the primary obligation in
				  respect of which such Contingent Obligation is made or, if not stated or
				  determinable, the maximum reasonably anticipated liability in respect thereof
				  (assuming such Person is required to perform thereunder) as determined by such
				  Person in good faith.

				 

				“Conversion”
				  shall mean the actions to be taken on the Conversion Date pursuant to Section
				  2.2(a) of the Credit Agreement.

				 

				“Conversion
				  Date”
				  shall mean the date on which the conditions precedent set forth in Section 3.4
				  of the Credit Agreement are satisfied and Conversion occurs.

				 

				“Corn
				  Supply Agreements”
				  shall mean, collectively, the Buffalo Lake Corn Supply Agreement and Pioneer
				  Trail Corn Supply Agreement.

				 

				“Cornerstone”
				  shall mean Cornerstone Energy, Inc., a corporation organized and existing under
				  the laws of the State of Nebraska.

				 

				“Cost”
				  shall mean, in respect of any Scope Change Order, all costs incurred or to be
				  incurred by any Borrower in respect thereof, any Debt Service or other costs
				  attributable to a delay in the Guaranteed Completion Date, or any other cost
				  incurred by any Borrower directly or indirectly as a result of such Scope
				  Change Order.

				 

				“Credit
				  Agreement”
				  shall mean the Credit Agreement, dated as of September 25, 2006, among the
				  Borrowers, the Borrowers’ Agent, the Administrative Agent, the Arranger,
				  the Lenders and the Collateral Agent.

				 

				“Date
				  Certain”
				  shall mean June 30, 2009.

				 

				“Debt”
				  shall mean, at any time, the sum of (without duplication) (i) prior to the
				  Conversion Date, the total outstanding Construction Loans (plus accrued
				  interest and Commitment Fees on the Construction Loans), (ii) on and after
				  the Conversion Date, the total outstanding Term Loans (plus accrued interest
				  and Commitment Fees on the Term Loans), and (iii) the total outstanding
				  Working Capital Loans (plus accrued interest and Commitment Fees on the Working
				  Capital Loans), (iv) all Indebtedness of any Borrower as would be required
				  to be reflected as debt or Capital Lease Obligations on the liability side of a
				  balance sheet of such Borrower in accordance with GAAP, (v) all
				  Indebtedness of any Borrower of the type described in clauses
				  (iii)(Letters
				  of Credit),
				  (vii)(Hedging
				  Agreements) and
				  (viii)(Off-Balance
				  Sheet Liabilities) of the
				  definition of Indebtedness and (vi) all Contingent Obligations of any
				  Borrower in respect of Indebtedness of any third Person of the type referred to
				  in preceding clauses (iv) and (v); provided that
				  the amount of Indebtedness in respect of Hedging Agreements shall be at any
				  time the unrealized net loss position, if any, of any Borrower thereunder on a
				  marked-to-market basis determined no more than one month prior to such
				  time.

				 

				
 
				
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					 A

				  
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						16

					  
 
 

				“Debt
				  Service”
				  shall mean, for any period, the sum of (without duplication) (i) all amounts
				  payable by any Borrower during such period pursuant to the terms and conditions
				  of the Financing Documents (including, without limitation, all amounts that are
				  required to be prepaid and all amounts overdue from any prior period) in
				  respect of principal of the Loans during such period plus (ii)
				  all amounts payable in respect of Interest Expense for such period plus (iii)
				  all scheduled Fees payable during such period. 

				 

				“Debt
				  Service and Related Payments Account”
				  shall mean the “Debt Service and Related Payments Account”
				  established pursuant to Section 2.2(a)(vii) of the Account
				  Agreement.

				 

				“Debt
				  Service Reserve Account”
				  shall mean the “Debt Service Reserve Account” established pursuant to
				  Section 2.2(a)(viii) of the Account Agreement.

				 

				“Debtor
				  Relief Laws”
				  shall mean the Bankruptcy Code and all other liquidation, conservatorship,
				  bankruptcy, assignment for the benefit of creditors, moratorium, rearrangement,
				  receivership, insolvency, reorganization, or similar debtor relief laws of the
				  United States or other applicable jurisdictions from time to time in effect and
				  affecting the rights of creditors generally.

				

				“Default”
				  shall mean any event or circumstance which with notice or lapse of time or both
				  would become an Event of Default.

				 

				“Default
				  Rate”
				  shall have the meaning provided in Section 2.9(c) of the Credit
				  Agreement.

				 

				“Delay
				  Liquidated Damages”
				  shall mean all liquidated damages payable under Articles 7 (Completion Dates)
				  of any EPC Contract.

				 

				“Delta-T”
				  shall mean Delta-T Corp., a corporation organized and existing under the laws
				  of Virginia. 

				

				“Delta-T
				  License Agreements”
				  shall mean, collectively, the Buffalo Lake Delta-T License Agreement and
				  Pioneer Trail Delta-T License Agreement. 

				 

				“Deposit
				  Account Control Agreements”
				  shall mean, collectively, the Opco Deposit Account Control Agreement, Buffalo
				  Lake Deposit Account Control Agreement and Pioneer Trail Deposit Account
				  Control Agreement.

				 

				“Depositary
				  Agent”
				  shall mean Deutsche Bank Trust Company Americas, acting in its capacity as
				  Depositary Agent in accordance with the Account Agreement, and shall include
				  any successor Depositary Agent appointed pursuant to Section 8.4 of the Account
				  Agreement.

				 

				“Disbursement”
				  shall mean any disbursement of a Loan pursuant to the Credit Agreement.
				  

				 

				
 
				
				  Appendix
					 A

				  
					 Page
						17
 
 

				 

				“Disbursement
				  Date”
				  shall mean the date specified in a Construction Requisition as the date on
				  which Disbursements of Construction Loans are requested by the Borrowers’
				  Agent.

				 

				“Disposition”
				  shall mean any sale, transfer or other disposition by any Borrower to any
				  Person of any Property. 

				 

				“Distillers
				  Grains Marketing Agreements”
				  shall mean, collectively, the Buffalo Lake Distillers Grains Marketing
				  Agreement and the Pioneer Trail Distillers Grains Marketing
				  Agreement.

				 

				“Distillers
				  Grains Market Consultant”
				  shall mean Informa Economics Inc. or any other Person from time to time
				  appointed by the Required Lenders to act as the Distillers Grains Market
				  Consultant for the purposes of the Credit Agreement.

				 

				“Distribution”
				  shall have the meaning provided in Section 5.16 of the Credit
				  Agreement.

				 

				“Distribution
				  Account”
				  shall mean the “Distribution Account” established pursuant to Section
				  2.2(a)(xiv) of the Account Agreement.

				 

				“Distribution
				  Date Certificate”
				  shall have the meaning provided in Section 5.16 of the Credit
				  Agreement.

				 

				“Distribution
				  Release Conditions”
				  shall mean each of the conditions to distributions from the Distribution
				  Account set forth in Section 5.16 of the Credit Agreement. 

				 

				“Dollars”
				  and the sign “$”
				  shall each mean freely transferable, lawful money of the United
				  States.

				 

				“Drawing”
				  shall have the meaning provided in Section 2.22(b) of the Credit
				  Agreement.

				 

				“DSRA
				  Letter of Credit”
				  shall have the meaning provided in Section 5.1 of the Account
				  Agreement.

				 

				“ECF
				  Sweep Account”
				  shall mean the “ECF Sweep Account” established pursuant to Section
				  2.2(a)(ix) of the Account Agreement.

				 

				“Eligible
				  Assignee”
				  shall mean (i) a commercial bank or other financial institution having a
				  combined capital and surplus of at least Twenty Five Million Dollars
				  ($25,000,000), or (ii) a Person that is primarily engaged in the business
				  of commercial banking and that is an Affiliate of a Lender.

				 

				“Eligible
				  Bank”
				  shall mean a commercial bank (i) whose long-term unsecured debt is rated
				  at least A+ by Standard & Poor’s and A1 by Moody’s,
				  (ii) with a minimum capital base of One Billion Dollars
				  ($1,000,000,000), (iii) that has a branch or agency regulated under the
				  Laws of the United States and (iv) that is reasonably acceptable to the
				  Administrative Agent.

				 
 

			  

				
				
				  Appendix
					 A

				  
					 Page
						18

					  
 
 
 

			 
				“Enforcement
				  Action”
				  shall mean any action or proceeding against any Borrower, the Project or all or
				  any part of the Collateral taken for the purpose of (i) enforcing the rights of
				  any Secured Party under or in respect of the Collateral or the Security
				  Documents, including, without limitation, the initiation of action in any court
				  or before any administrative agency or Governmental Authorities to enforce such
				  rights, and any action to exercise any rights provided in Section 7.3 of the
				  Credit Agreement, and (ii) adjudicating or seeking a judgment on a
				  claim.

				 

				“Environmental
				  Claim”
				  shall mean, with respect to any Person, (i) any notice, claim, administrative,
				  regulatory or judicial or equitable action, suit, Lien, judgment or demand by
				  any other Person or (ii) any other written communication by any Governmental
				  Authority, in either case alleging or asserting such Person’s liability
				  for investigatory costs, cleanup costs, consultants’ fees, governmental
				  response costs, damages to natural resources (including, without limitation,
				  wetlands, wildlife, aquatic and terrestrial species and vegetation) or other
				  Property, property damages, or personal injuries, or seeking injunctive relief,
				  fines or penalties arising out of, based on or resulting from (x) the presence,
				  or Release into the environment, of any Hazardous Material at any location,
				  whether or not owned by such Person or (y) circumstances forming the basis of
				  any violation, or alleged violation, of any Environmental Law or Governmental
				  Approval issued under any Environmental Law.

				 

				“Environmental
				  Laws”
				  shall mean any and all Laws, now or hereafter in effect, and any judicial or
				  administrative interpretation thereof, including any judicial or administrative
				  order, consent decree or judgment, relating to the environment, human health or
				  safety, or to emissions, discharges, releases or threatened releases of
				  pollutants, contaminants, chemicals, or toxic or hazardous substances or wastes
				  into the environment including, without limitation, ambient air, surface water,
				  groundwater, or land, or otherwise relating to the manufacture, processing,
				  distribution, use, treatment, storage, disposal, transport, or handling of
				  pollutants, contaminants, chemicals, or toxic or hazardous substances or
				  wastes.

				 

				“Environmental
				  Site Assessment Report”
				  shall mean, with respect to each Plant and the real property that is the
				  subject of each of the Grain Facility Leases, a Phase I environmental site
				  assessment report prepared by an environmental consulting firm acceptable to
				  the Lenders, which report will comply with ASTM standard 1527-00, and a Phase
				  II environmental site assessment report acceptable to the Lenders, addressing
				  any recognized environmental conditions or other areas of concern identified in
				  the relevant Phase I report if in the reasonable determination of the
				  Administrative Agent, acting in consultation with the Independent Engineer, a
				  Phase II assessment is warranted. 

				 

				“EPC
				  Contractor”
				  shall mean TIC - The Industrial Company Wyoming, Inc., a corporation organized
				  and existing under the laws of Wyoming.

				 

				“EPC
				  Contracts”
				  shall mean, collectively, the Buffalo Lake EPC Contract and the Pioneer Trail
				  EPC Contract. 

				 

				“Equity
				  Contributions”
				  shall mean the amounts contributed in return for the issuance of Capital Stock
				  in any Borrower. 

				 

				
 
				
				  Appendix
					 A

				  
					 Page
						19
 
 

				 

				“ERISA”
				  shall mean the Employee Retirement Income Security Act of 1974, as amended from
				  time to time, and the regulations promulgated and rulings issued thereunder.
				  Section references to ERISA are to ERISA, as in effect at the date of the
				  Credit Agreement and any subsequent provisions of ERISA, amendatory thereof,
				  supplemental thereto or substituted therefor.

				 

				“ERISA
				  Affiliate”
				  shall mean each person (as defined in Section 3(9) of ERISA) which together
				  with any Borrower or a Subsidiary of any Borrower would be deemed to be a
				  “single employer” (i) within the meaning of Section 414(b), (c), (m)
				  or (o) of the Code or (ii) as a result of such Borrower or a Subsidiary of such
				  Borrower being or having been a general partner of such person.

				 

				“Escrow
				  Account”
				  shall mean any Escrow Account established pursuant to the Escrow Agreement.
				  

				 

				“Escrow
				  Agreement”
				  shall mean the Escrow Agreement to be entered into prior to
				  the initial Disbursement of the Construction Loans among Buffalo Lake, Pioneer
				  Trail, Cargill and Deutsche Bank Trust Company Americas, as escrow agent,
				  relating to the application of Loss Proceeds from an Event of Loss relating to
				  any Property that is the subject of a Grain Facility Lease, in form and
				  substance satisfactory to the Administrative Agent and each
				  Lender.

				 

				“Ethanol
				  Market Consultant”
				  shall mean Muse, Stancil & Co. or any other Person from time to time
				  appointed by the Required Lenders to act as Ethanol Market Consultant for the
				  purposes of the Credit Agreement.

				 

				“Ethanol
				  Marketing Agreements”
				  shall mean, collectively, the Buffalo Lake Ethanol Marketing Agreement and the
				  Pioneer Trail Ethanol Marketing Agreement.

				 

				“Eurodollar
				  Loan”
				  shall mean Loans which bear interest based on the Adjusted Eurodollar
				  Rate.

				 

				“Eurodollar
				  Rate”
				  shall mean, with respect to each Interest Period in respect of a Eurodollar
				  Loan, the rate per annum (rounded upwards, if necessary, to the nearest 1/100
				  of one percent (1%)) appearing on Telerate Page 3750 (or any successor page) as
				  the London interbank offered rate for deposits in Dollars at approximately
				  11:00 a.m. (London time) two Business Days prior to the first day of such
				  Interest Period for a term comparable to such Interest Period. If for any
				  reason such rate is not available, the term “Eurodollar Rate” shall
				  mean, for any Eurodollar Loan for any Interest Period therefor, the rate per
				  annum (rounded upwards, if necessary, to the nearest 1/100 of one percent (1%))
				  appearing on Reuters Screen LIBO Page as the London interbank offered rate for
				  deposits in Dollars at approximately 11:00 a.m. (London time) two Business Days
				  prior to the first day of such Interest Period for a term comparable to such
				  Interest Period; provided,
				  however, if
				  more than one rate is specified on Reuters Screen LIBO Page, the applicable
				  rate shall be the arithmetic mean of all such rates (rounded upwards, if
				  necessary, to the nearest 1/100 of one percent (1%)).

				 

				“Event
				  of Default”
				  shall have the meaning provided in Section 7.1 of the Credit
				  Agreement.

				 

				
 
				
				  Appendix
					 A

				  
					 Page
						20
 
 

				 

				“Event
				  of Loss”
				  shall mean, with respect to any Property of any Borrower, any loss of,
				  destruction of or damage to, or any condemnation (including, without
				  limitation, a Taking) or other taking of, such Property.

				 

				“Expropriation
				  Event”
				  shall mean (a) any condemnation, nationalization, seizure or expropriation by a
				  Governmental Authority of all or a substantial portion of the Project or the
				  Property or the assets of any Borrower or of its share capital or of either
				  grain facility that is the subject of a Grain Facility Lease, (b) any
				  assumption by a Governmental Authority of control of the Property, assets or
				  business operations of any Borrower or of its share capital or of either grain
				  facility that is the subject of a Grain Facility Lease, (c) any taking of any
				  action by a Governmental Authority for the dissolution or disestablishment of
				  any Borrower or (d) any taking of any action by a Governmental Authority that
				  would prevent any Borrower from carrying on its business or operations or a
				  substantial part thereof.

				 

				“Excess
				  Construction Loan Commitment”
				  shall mean, after the date on which Substantial Completion occurs for each
				  Plant under the relevant EPC Contract, with respect to the Construction Loan
				  Commitment for such Plant, the amount equal to (i) the Construction Loan
				  Commitment for such Plant; minus
				  (ii) the aggregate Construction Loans disbursed for such Plant on or prior
				  to such date; minus
				  (iii) the amount set forth in the Construction Budget for such Plant to
				  cover the required funding of fifty percent (50%) of the Required Debt Service
				  Reserve Amount on the Conversion Date; and minus (iv)
				  amounts adequate for each Borrower to take necessary steps to satisfy all the
				  conditions precedent required under Section 3.4 of the Credit
				  Agreement.

				 

				“Facing
				  Fees”
				  shall have the meaning provided in Section 2.24(b) of the Credit
				  Agreement.

				 

				“Federal
				  Funds Rate”
				  shall mean, for any day, the rate per annum (rounded upwards, if necessary, to
				  the nearest 1/100 of one percent (1%)) equal to the weighted average of the
				  rates on overnight Federal funds transactions with members of the Federal
				  Reserve System arranged by Federal funds brokers on such day, as published by
				  the Federal Reserve Bank of New York on the Business Day next succeeding such
				  day; provided, that
				  (i) if the day for which such rate is to be determined is not a Business
				  Day, the Federal Funds Rate for such day shall be such rate on such
				  transactions on the next preceding Business Day as so published on the next
				  succeeding Business Day and (ii) if such rate is not so published for any
				  day, the Federal Funds Rate for such day shall be the average rate charged to
				  the Administrative Agent (in its individual capacity) on such day on such
				  transactions as determined by the Administrative Agent.

				 

				“Fee
				  Letters”
				  shall mean each of the Administrative Agent Fee Letter dated the date of the
				  Credit Agreement among the Administrative Agent and each of the Borrowers and
				  the Fee Letter dated the date of the Credit Agreement between the Arranger and
				  the Sponsor.

				 

				“Fees”
				  shall mean all amounts payable pursuant to or referred to in Section 6.7 of the
				  Credit Agreement.

				 

				“Financial
				  Covenant Statement”
				  shall mean each statement delivered pursuant to Section 5.1(e) of the Credit
				  Agreement.

				 
 
 

		  
 
		  
			 Appendix
				A

			 
				Page
				  21
 
 

		   

		  

			 “Financing
				Documents”
				shall mean, collectively, the Credit Agreement, the Notes, the Security
				Documents, the Fee Letters and the Required Hedging Agreements.

			  

			 “Foreign
				Pension Plan”
				shall mean any plan, fund (including, without limitation, any superannuation
				fund) or other similar program established or maintained outside the United
				States by any Borrower or any one or more of its Subsidiaries primarily for the
				benefit of employees of any Borrower or such Subsidiaries residing outside the
				United States, which plan, fund or other similar program provides, or results
				in, retirement income, a deferral of income in contemplation of retirement or
				payments to be made upon termination of employment, and which plan is not
				subject to ERISA or the Code. 

			  

			 “GAAP”
				shall mean generally accepted accounting principles and practices as in effect
				from time to time in the United States.

			  

			 “Gas
				Pipeline Construction and Management Agreements”
				shall mean, collectively, the Buffalo Lake Gas Pipeline Construction and
				Management Agreement and Pioneer Trail Gas Pipeline Construction and Management
				Agreement.

			  

			 “Gas
				Supply Agreements”
				shall mean, collectively, the Buffalo Lake Gas Supply Agreement(s) and the
				Pioneer Trail Gas Supply Agreement(s).

			  

			 “Gas
				Transportation Services Agreements”
				shall mean, collectively, the Buffalo Lake Gas Transportation Services
				Agreement and the Pioneer Trail Gas Transportation Services
				Agreement.

			  

			 “Good
				Industry Practices”
				means the professional practices, methods, equipment, specifications and safety
				and output standards and industry codes of the United States ethanol industry
				for projects of a similar type and capacity as the Project, with respect to the
				design, installation, operation, maintenance and use of equipment and similar
				or better machinery, all of the above in compliance with applicable standards
				of safety, output, dependability, efficiency and economy, including recommended
				practice, of a good, safe, prudent and workman-like character and in compliance
				with all applicable Laws. Good Industry Practices are not intended to be
				limited to the optimum or minimum practice or method to the exclusion of all
				others, but rather to be a spectrum of reasonable and prudent practices and
				methods as practiced in the industry.

			  

			 “Goods
				and Services Agreements”
				shall mean, collectively, the Buffalo Lake Goods and Services Agreement and
				Pioneer Trail Goods and Services Agreement. 

			  

			 “Governmental
				Approval”
				shall mean any authorization, consent, approval, license, ruling, permit,
				tariff, rate, certification, exemption, filing, variance, claim, order,
				judgment, decree, publication, notice to, declaration of or with, or
				registration by or with, any Governmental Authority.

			  

			 “Governmental
				Authority”
				shall mean any government, governmental department, commission, board, bureau,
				agency, regulatory authority, instrumentality, judicial or administrative body,
				domestic or foreign, federal, state or local authority having jurisdiction over
				

			  

			 
 
			 
				Appendix
				  A

				
				  Page
					 22
 
 

			  

			 the
				matter or matters in question, including, without limitation, those of the
				State of Nebraska, the State of Minnesota and the United States.

			  

			 “Grain
				Facility Leases”
				shall mean, collectively, the Buffalo Lake Grain Facility Lease and Pioneer
				Trail Grain Facility Lease.

			  

			 “Guaranteed
				Provisional Acceptance Date”
				shall mean the Buffalo Lake Guaranteed Provisional Acceptance Date or the
				Pioneer Trail Guaranteed Provisional Acceptance Date, as the context may
				require.

			  

			 “Guaranteed
				Completion Date”
				shall mean the Buffalo Lake Guaranteed Completion Date or the Pioneer Trail
				Guaranteed Completion Date, as the context may require.

			  

			 “Hazardous
				Material”
				shall mean any substance that is regulated or could lead to liability under any
				Environmental Law, including, but not limited to, any petroleum or petroleum
				product, asbestos in any form that is or could become friable, transformers or
				other equipment that contain dielectric fluid containing levels of
				polychlorinated biphenyls (PCB’s), hazardous waste, hazardous material,
				hazardous substance, toxic substance, contaminant or pollutant, as defined or
				regulated as such under, any applicable Environmental Law.

			  

			 “Hedging
				Agreement”
				means any agreement in respect of any interest rate swap transaction, basis
				swap, forward rate transaction, commodity swap, commodity option, equity or
				equity index swap, equity or equity index option, bond option, interest rate
				option, foreign exchange transaction, cap transaction, floor transaction,
				collar transaction, currency swap transaction, cross-currency rate swap
				transaction, currency option or any other similar transaction (including any
				option with respect to any of the foregoing transactions) or any combination of
				the foregoing transactions entered into by any Borrower. 

			  

			 “Hedging
				Reserve
				Account”
				shall mean the “Hedging Reserve Account” established pursuant to
				Section 2.2(a)(xi) of the Account Agreement. 

			  

			 “Historical
				Debt Service Coverage Ratio”
				shall mean, as at any Calculation Date occurring after the Conversion Date, for
				the period of four consecutive fiscal quarters of the Borrowers (or such lesser
				number of fiscal quarters occurring since such Conversion Date) most recently
				ended (taken as one accounting period), the ratio of (i) Cash Flow for such
				period, to (ii) the Debt Service for such period (including Scheduled Principal
				Payments but excluding mandatory prepayments in respect of the Loans payable
				during such period pursuant to the Financing Documents) or lesser
				period.

			  

			 “Indebtedness”
				of any Person shall mean (i) all indebtedness of such Person for borrowed
				money, (ii) the deferred purchase price of assets or services which in
				accordance with GAAP would be shown on the liability side of the balance sheet
				of such Person, (iii) the face amount of all letters of credit issued for the
				account of such Person and, without duplication, all drafts drawn thereunder,
				(iv) all Indebtedness of a second Person secured by any Lien on any Property
				owned by such first Person, whether or not such Indebtedness has been assumed,
				(v) all Capital Lease Obligations of such Person, (vi) all obligations of such
				Person to pay a specified purchase price for goods or services whether or not
				delivered or accepted, i.e.,
				take-or-pay and similar obligations, (vii) all net obligations of such Person
				under Hedging Agreements, (viii) all 

			  

			 
 
			 
				Appendix
				  A

				
				  Page
					 23
 
 

			  

			 Off-Balance
				Sheet Liabilities of such Person and (ix) all Contingent Obligations of such
				Person; provided that
				Indebtedness shall not include trade payables arising in the ordinary course of
				business so long as such trade payables are payable within 90 days of the date
				the respective goods are delivered and are not overdue.

			  

			 “Indemnified
				Liabilities”
				shall have the meaning provided in Section 9.2(a) of the Credit Agreement.
				

			  

			 “Indemnified
				Matters”
				shall have the meaning provided in Section 9.2(b)(i) of the Credit
				Agreement.

			  

			 “Indemnified
				Person”
				shall have the meaning provided in Section 9.2(a) of the Credit
				Agreement.

			  

			 “Independent
				Engineer”
				shall mean Luminate, LLC or any other Person from time to time appointed by the
				Required Lenders to act as Independent Engineer for the purposes of the Credit
				Agreement.

			  

			 “Independent
				Engineer Completion Certificate”
				shall mean a certificate, substantially in the form of Exhibit E-2 to the
				Credit Agreement, dated the Conversion Date, duly completed and signed by an
				Authorized Officer of the Independent Engineer.

			  

			 “Information
				Memorandum”
				shall mean the Confidential Information Memorandum, dated July 25, 2006,
				prepared by the Borrowers and the Sponsor in respect of the financing
				contemplated by the Credit Agreement.

			  

			 “Insurance
				Advisor”
				shall mean Moore-McNeil, LLC or any other Person from time to time appointed by
				the Required Lenders to act as Insurance Advisor for the purposes of the Credit
				Agreement.

			  

			 “Insurance
				Proceeds”
				shall mean all amounts payable to any Borrower or the Collateral Agent in
				respect of any insurance required to be maintained (or caused to be maintained)
				by any Borrower pursuant to Section 5.9 of the Credit Agreement (other than
				general liability insurance, delayed startup insurance and business
				interruption insurance).

			  

			 “Interest
				Determination Date”
				shall mean, with respect to any Eurodollar Loan, the second Business Day prior
				to the commencement of any Interest Period relating to such Eurodollar
				Loan.

			  

			 “Interest
				Expense”
				shall mean, for any period, the sum of the following: (i) all interest on the
				Loans accrued or capitalized during such period (whether or not actually paid
				during such period) pursuant to the Financing Documents plus (ii)
				the net amounts payable (or minus the net
				amounts receivable) under the Required Hedging Agreements accrued during such
				period (whether or not actually paid or received during such
				period).

			  

			 “Interest
				Period”
				shall have the meaning provided in Section 2.10 of the Credit
				Agreement.

			  

			 
 
			 
				Appendix
				  A

				
				  Page
					 24
 
 

			  

			 
				“Investment”
				  in any Person shall mean, without duplication: (a) the acquisition (whether for
				  cash, securities, other Property, services or otherwise) or holding of capital
				  stock, bonds, notes, debentures, partnership or other ownership interests or
				  other securities of such Person, or any agreement to make any such acquisition
				  or to make any capital contribution to such Person; or (b) the making of any
				  deposit with, or advance, loan or other extension of credit to, such
				  Person.

				 

				“Kinder
				  Morgan”
				  shall mean Kinder Morgan Interstate Gas Transmission, LLC, a limited liability
				  company organized and existing under the laws of Colorado and a subsidiary of
				  Kinder Morgan Energy Partners, LLP, a limited liability company organized and
				  existing under the laws of Delaware. 

				 

				“Land”
				  shall mean, collectively, the Buffalo Lake Land and the Pioneer Trail
				  Land.

				 

				“Law”
				  shall mean, with respect to any Person (i) any statute, law, regulation,
				  ordinance, rule, judgment, order, decree, permit, concession, grant, franchise,
				  license, agreement or other governmental restriction or any interpretation or
				  administration of any of the foregoing by any Governmental Authority
				  (including, without limitation, Governmental Approvals) and (ii) any
				  directive, guideline, policy, requirement or any similar form of decision of or
				  determination by any Governmental Authority which is binding on such Person, in
				  each case, whether now or hereafter in effect (including, without limitation,
				  in each case, any Environmental Law).

				 

				“Leisingers”
				  shall mean, collectively, Rozella M. Leisinger and Richard K.
				  Leisinger.

				 

				“Lender”
				  shall mean each Lender named on Annex I to the Credit Agreement including cash
				  Working Capital Lender) and any Assignee thereof pursuant to Section 9.13 of
				  the Credit Agreement.

				 

				“Letter
				  of Credit”
				  shall have the meaning provided in Section 2.18(a).

				 

				“Letter
				  of Credit Fee”
				  shall have the meaning provided in Section 2.24(a).

				 

				“Letter
				  of Credit Issuer”
				  shall mean BNP Paribas (except as otherwise provided in Section 8.9 of the
				  Credit Agreement) and any other Working Capital Lender acceptable to the
				  Administrative Agent which agrees to issue Letters of Credit hereunder. Any
				  Letter of Credit Issuer may, in its discretion, arrange for one or more Letters
				  of Credit to be issued by one or more Affiliates of such Letter of Credit
				  Issuer (and such Affiliate shall be deemed to be a “Letter of Credit
				  Issuer” for all purposes of the Financing Documents).

				 

				“Letter
				  of Credit Outstandings”
				  shall mean, at any time, the sum of (i) the Stated Amount of all outstanding
				  Letters of Credit at such time and (ii) the aggregate amount of all Unpaid
				  Drawings in respect of all Letters of Credit at such time.

				 

				“Letter
				  of Credit Participant”
				  shall have the meaning provided in Section 2.21(a) of the Credit
				  Agreement.

				 

				
 
				
				  Appendix
					 A

				  
					 Page
						25
 
 

				 

				“Letter
				  of Credit Percentage”
				  shall mean the fraction (expressed as a percentage) of any Letter of Credit
				  issued at any time, the numerator of which is the Working Capital Loan
				  Commitment of such Working Capital Lender at such time and the denominator of
				  which is the Working Capital Loan Commitment of all Working Capital Lenders at
				  such time, provided that if
				  the Letter of Credit Percentage of any Working Capital Lender is to be
				  determined after the Working Capital Loan Commitment has been terminated, then
				  the Letter of Credit Percentage of such Working Capital Lender shall be
				  determined immediately prior (and without giving effect) to such
				  termination.

				 

				“Letter
				  of Credit Request”
				  shall have the meaning provided in Section 2.20(a) of the Credit
				  Agreement.

				 

				“Lien”
				  shall mean, with respect to any Property of any Person, any mortgage, lien,
				  deed of trust, hypothecation, fiduciary transfer of title, assignment by way of
				  security, lien, pledge, charge, lease, sale and lease-back arrangement,
				  easement, servitude, trust arrangement, or security interest or encumbrance of
				  any kind in respect of such Property, or any preferential arrangement having
				  the practical effect of constituting a security interest with respect to the
				  payment of any obligation with, or from the proceeds of, any Property of any
				  kind (and a Person shall be deemed to own subject to a Lien any Property that
				  it has acquired or holds subject to the interest of a vendor or lessor under
				  any conditional sale agreement, capital lease or other title retention
				  agreement relating to such Property).

				 

				“LLC
				  Agreement”
				  shall mean, collectively, the Opco LLC Agreement, the Buffalo Lake LLC
				  Agreement and the Pioneer Trail LLC Agreement. 

				 

				“LLC
				  Interests”
				  shall mean, as to any Person organized as a limited liability company, any and
				  all shares of the profits and losses of such Person, any and all rights to
				  receive distributions of such Person’s assets, and any and all rights,
				  benefits or privileges pertaining to any of the foregoing, including, without
				  limitation, voting rights and the right to participate in
				  management.

				 

				“Loans”
				  shall mean the Construction Loans, the Term Loans, and the Working Capital
				  Loans. 

				 

				“Loan
				  Termination Date”
				  shall mean the date on which all Obligations, other than contingent liabilities
				  and obligations which are unasserted at such date, have been indefeasibly paid
				  and satisfied in full and all Commitments have been terminated.

				 

				“Losses”
				  shall have the meaning provided in Section 9.2(b) of the Credit
				  Agreement.

				 

				“Loss
				  Proceeds”
				  shall mean, with respect to any Event of Loss, any Insurance Proceeds,
				  condemnation awards or other compensation, awards, damages and other payments
				  or relief (including any compensation payable in connection with a Taking) with
				  respect to such Event of Loss (excluding, in each case, the proceeds of general
				  liability insurance, delayed startup insurance and business interruption
				  insurance).

				 

				
 
				
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				“Loss
				  Proceeds Account”
				  shall mean the “Loss Proceeds Account” established pursuant to
				  Section 2.2(a)(xv) of the Account Agreement.

				 

				“Maintenance
				  Capital Expenses”
				  shall mean all expenses incurred by any Borrower (including for labor) for
				  regularly scheduled (or reasonably anticipated) major maintenance of the
				  Project (including, without limitation, teardowns, overhauls, capital
				  improvements and replacements of major components of either Plant) in
				  accordance with Good Utility Practices and vendor and supplier recommendations.
				  

				 

				“Maintenance
				  Capital Expense Account”
				  shall mean the Maintenance Capital Expense Account established pursuant to
				  Section 2.2(a)(vi) of the Account Agreement.

				 

				“Management
				  Services Agreement”
				  shall mean, collectively, the Buffalo Lake Management Services Agreement,
				  Pioneer Trail Management Services Agreement and Opco Management Services
				  Agreement. 

				 

				“Margin
				  Account”
				  shall mean any margin account opened and maintained by any Borrower to the
				  extent permitted pursuant to the Risk Management Policy.

				 

				“Margin
				  Stock”
				  shall mean margin stock within the meaning of Regulation U and Regulation
				  X.

				 

				“Market
				  Consultants”
				  shall mean, collectively, the Ethanol Market Consultant and the Distillers
				  Grains Market Consultant.

				 

				“Master
				  Agreements”
				  shall mean, collectively, the Buffalo Lake Master Agreement and Pioneer Trail
				  Master Agreement. 

				 

				“Material
				  Additional Project Document”
				  shall mean any Additional Project Document if (i) the
				  aggregate cost or value of goods and services to be acquired by any Borrower
				  pursuant thereto could reasonably be expected to exceed Two Million Dollars
				  ($2,000,000) or the equivalent in any calendar year, (ii)
				  the aggregate amount of termination fees, liquidated damages or aggregate
				  liability which could be incurred by any Borrower in respect of such Additional
				  Project Document in any single calendar year could reasonably be expected to
				  exceed Two Million Dollars ($2,000,000) or the equivalent, (iii) such
				  Additional Project Document provides for the sale of any service, output or
				  other product by any Borrower, other than a Buffalo Lake Permitted Long-Term
				  Sales Agreement or a Pioneer Trail Permitted Long-Term Sales Agreement, (iv)
				  such Additional Project Document provides for the purchase of gas by any
				  Borrower other than pursuant to and in accordance with the Risk Management
				  Policy, or as otherwise permitted under clauses (i) or (ii) above, or (v) such
				  Additional Project Document provides for the purchase of denaturants by any
				  Borrower other than a Buffalo Lake Permitted Denaturant Agreement, a Pioneer
				  Trail Permitted Denaturant Agreement, or as otherwise permitted under clauses
				  (i) or (ii) above. 

				 

				“Material
				  Adverse Effect”
				  shall mean a material adverse effect on (i) the Project, (ii) the
				  business, operations, prospects, condition (financial or otherwise) or a
				  material portion of the Property of any Borrower, (iii) the ability of any
				  Borrower to timely perform any of its obligations under any of the Transaction
				  Documents to which it is a party, (iv) the legality, 
 

			  
 
 

		
 
		
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		  validity
			 or enforceability of any provision of any Transaction Document, (v) the
			 ability of any Project Participant to timely perform any of its material
			 obligations under any of the Transaction Documents to which it is a party,
			 (vi) the rights and remedies of the Secured Parties under any of the
			 Financing Documents or (vii) the Security Interests provided under the
			 Security Documents or the value thereof.

		   

		  “Mechanical
			 Completion”
			 shall have the meaning provided in any EPC Contract.

		   

		  “Member”
			 shall mean each of the members of any Borrower.

		   

		  “Mezzanine
			 Credit Agreement”
			 shall mean the Loan Agreement, dated September 25, 2006, entered into by and
			 between the Sponsor, the Subordinated Lenders and Greenlight
			 APE, LLC, as
			 administrative agent for the Subordinated Lenders thereunder.

		   

		  “Mezzanine
			 Debt”
			 shall mean the loans, in an amount equal to Fifty Million Dollars
			 ($50,000,000), to be made available by the Subordinated Lenders to Sponsor on
			 or before the Closing Date pursuant to the Mezzanine Debt Documents, the
			 proceeds of which shall be contributed by Sponsor to BFE Holdings for onward
			 contribution to the Borrowers as Equity Contributions and which at all times
			 shall be subject to the terms and conditions set forth in the Mezzanine Debt
			 Guaranties and the Subordination Agreement.

		   

		  “Mezzanine
			 Debt Documents”
			 shall mean (i) Mezzanine Credit Agreement, (ii) the Mezzanine Debt Guaranties;
			 (iii) the Subordination Agreement; (iv) the Pledge Agreement dated September
			 25, 2006 between the Sponsor and Greenlight APE, LLC, as agent, (v) promissory
			 notes issued by the Sponsor pursuant to the Mezzanine Credit Agreement, (vi)
			 the
			 Financial Information Sharing Letter Agreement dated September 25, 2006 by and
			 between the Sponsor and
			 Opco, (vii) the Financial Information Sharing Letter Agreement dated September
			 25, 2006 by and between the Sponsor and Buffalo Lake, and (viii) the Financial
			 Information Sharing Letter Agreement dated September 25, 2006 by and between
			 the Sponsor and Pioneer Trail.

		   

		  “Mezzanine
			 Debt Payments”
			 shall mean any payments (including interest, principal or otherwise) to be
			 provided by any Borrower to or on behalf of any Person (including the
			 Subordinated Lenders) in respect of, or relating to, the Mezzanine Debt,
			 whether in cash or other Property.

		   

		  “Mezzanine
			 Debt Documents”
			 shall mean (i) Mezzanine Credit Agreement, (ii) the Mezzanine Debt Guaranties;
			 (iii) the Subordination Agreement; (iv) the Pledge Agreement dated September
			 25, 2006 between the Sponsor and Greenlight APE, LLC, as agent, (v) promissory
			 notes issued by the Sponsor pursuant to the Mezzanine Credit Agreement, (vi)
			 the
			 Financial Information Sharing Letter Agreement dated September 25, 2006 by and
			 between the Sponsor and
			 Opco, (vii) the Financial Information Sharing Letter Agreement dated September
			 25, 2006 by and between the Sponsor and Buffalo Lake, and (viii) the Financial
			 Information Sharing Letter Agreement dated September 25, 2006 by and between
			 the Sponsor and Pioneer Trail.

		   
 

		“Monthly
		  Period”
		  shall mean a period commencing on the day succeeding a Monthly Transfer Date
		  and ending on the next succeeding Monthly Transfer Date.

		 

		
 
		
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		“Monthly
		  Transfer Date”
		  shall mean the last Business Day of each month commencing on the first such day
		  occurring on or after the first Commercial Operation Date.

		 

		“Moody’s”
		  shall mean Moody’s Investors Service, a subsidiary of Moody’s
		  Corporation. 

		 

		“Mortgage
		  Registry Tax Refund”
		  shall have the meaning specified in Section 5.30(a) of the Credit
		  Agreement.

		 

		“Mortgages”
		  shall mean, collectively, the Buffalo Lake Mortgage and the Pioneer Trail
		  Mortgage.

		 

		“Multiemployer
		  Plan”
		  shall mean any multiemployer plan as defined in Section 4001(a)(3) of
		  ERISA. 

		 

		“Necessary
		  Governmental Approval”
		  shall have the meaning provided in Section 4.6 of the Credit
		  Agreement.

		

		“Net
		  Available Amount”
		  shall mean, with respect to any Event of Loss, the aggregate amount of Loss
		  Proceeds received by any Borrower or the Collateral Agent in respect of such
		  Event of Loss, net of reasonable expenses incurred in connection with the
		  collection thereof.

		 

		“Net
		  Disposition Proceeds”
		  shall mean, with respect to any Disposition, the gross cash proceeds received
		  from such Disposition (including any cash received by way of deferred payment
		  pursuant to a promissory note, receivable or otherwise, but only as and when
		  received), net of the reasonable out-of-pocket costs of such Disposition,
		  including fees, expenses and commissions with respect to legal, accounting,
		  financial advisory, brokerage and other professional services provided in
		  connection with such Disposition.

		 

		“Notes”
		  shall mean and include Construction Notes, the Term Notes and the Working
		  Capital Notes. 

		 

		“Notice
		  of Borrowing”
		  shall have the meaning provided in Section 2.3 of the Credit
		  Agreement.

		 

		“Notice
		  of Commencement”
		  shall mean that certain Notice of Commencement executed by Pioneer Trail as of
		  September 25, 2006 and to be filed with the Register of Deeds of Hall County,
		  Nebraska.

		 

		“Notice
		  of Conversion”
		  shall have the meaning as provided in Section 2.8 of the Credit
		  Agreement.

		

		“Notice
		  Office”
		  shall mean the office of the Administrative Agent located at 787 Seventh
		  Avenue, New York, NY 10019, Attention: Barrette Palmer, Telephone:
		  212-841-3604, Facsimile: 212-841-2748, or such other office, telephone or
		  facsimile number as the Administrative Agent may hereafter designate in writing
		  as such to each of the other parties to the Credit Agreement. 

		 

		 

		  
		  
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		“NRC”
		  shall mean Nebraska Resources Company, LLC, a limited liability company
		  organized and existing under the laws of Oklahoma and a subsidiary of
		  Seminole.

		

		“O&M
		  Agreements”
		  shall mean, collectively, the Buffalo Lake O&M Agreement and the Pioneer
		  Trail O&M Agreement. 

		

		“Obligations”
		  shall mean, collectively, (i) all loans, advances, debts, liabilities, and
		  obligations, howsoever arising, owed by any Borrower under a Financing Document
		  or otherwise to the Collateral Agent or any Secured Party of every kind and
		  description (whether or not evidenced by any note or instrument and whether or
		  not for the payment of money), direct or indirect, absolute or contingent, due
		  or to become due, now existing or hereafter arising, including all interest,
		  fees, charges, expenses, attorneys’ fees and consultants’ fees
		  chargeable to such Borrower; (ii) any and all sums advanced by the Collateral
		  Agent or any Secured Party in order to preserve the Collateral or to preserve
		  the Security Interests; (iii) in the event of any Enforcement Action, the
		  reasonable expenses of retaking, holding, preparing for sale or lease, selling
		  or otherwise disposing of or realizing on the Collateral, or of any exercise by
		  the Collateral Agent and/or the Secured Parties of their rights under the
		  Security Documents, together with reasonable attorneys’ fees and court
		  costs; and (iv) the obligations of any Borrower under any Required Hedging
		  Agreement entered into with any Secured Swap Counterparty.

		

		“Off-Balance
		  Sheet Liabilities”
		  of any Person shall mean (i) any repurchase obligation or liability of such
		  Person with respect to accounts or notes receivable sold by such Person, (ii)
		  any liability of such Person under any sale and leaseback transactions that do
		  not create a liability on the balance sheet of such Person, (iii) any
		  obligation under a lease transaction under which the parties intend that (x)
		  the lease will be treated as an “operating lease” by the lessee and
		  (y) the lessee will be entitled to various tax and other benefits ordinarily
		  available to owners (as opposed to lessees) of like property or (iv) any
		  obligation arising with respect to any other transaction which is the
		  functional equivalent of or takes the place of borrowing but which does not
		  constitute a liability on the balance sheet of such Person.

		 

		“Officer’s
		  Certificate”
		  shall mean an officer’s certificate signed by an Authorized Officer of any
		  Borrower.

		 

		“Opco”
		  shall mean BFE Operating Company, LLC, a limited liability company organized
		  and existing under the laws of the State of Delaware.

		 

		“Opco
		  Deposit Account Control Agreement”
		  shall mean the Deposit Account Control Agreement, dated as of the date of the
		  Credit Agreement, between the Collateral Agent, Opco and Wells Fargo Bank,
		  National Association.

		 

		“Opco
		  Equity Contribution Account”
		  shall mean the “Opco Equity Contribution Account” established
		  pursuant to Section 2.2(a)(iii) of the Account Agreement.

		 

		“Opco
		  LLC Agreement”
		  shall mean the Limited Liability Company Agreement of Opco, dated as of
		  September 21, 2006.

		 

		 

		  
		  
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				A

			 
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			 “Opco
				Management Services Agreement”
				shall mean any management services agreement relating to the management of Opco
				which may be entered into between Opco and the Sponsor or one of its
				Affiliate(s) (other than the other Borrowers); provided, that
				such Management Services Agreement shall be in form and substance satisfactory
				to the Administrative Agent and each Lender.

			  

			 “Opco
				Pledge Agreement”
				shall mean the Pledge Agreement, dated the date of the Credit Agreement,
				between Opco and the Collateral Agent, pursuant to which Opco pledges one
				hundred percent (100%) of the LLC Interests of each of Buffalo Lake and Pioneer
				Trail to the Collateral Agent.

			  

			 “Opco
				Project Documents”
				shall mean the Opco LLC Agreement and the Opco Management Services Agreement
				(when executed and delivered).

			  

			 “Opco
				Security Agreement”
				shall mean the Security Agreement, dated as of the date of the Credit
				Agreement, made by Opco in favor of the Collateral Agent. 

			  

			 “Operating
				Account”
				shall mean the “Operating Account” established pursuant to Section
				2.2(a)(v) of the Account Agreement.

			  

			 “Operating
				Budget”
				shall have the meaning provided in Section 5.23(a) of the Credit
				Agreement.

			  

			 “Operating
				Year”
				shall mean each year (or portion thereof) occurring after the first Commercial
				Operation Date shall have occurred and thereafter each calendar
				year.

			  

			 “Operation
				and Maintenance Expenses”
				shall mean (with respect to each Plant that has achieved its Commercial
				Operation Date), for any period on or after the Commercial Operation Date for
				each such Plant, collectively, without duplication, all reasonable
				(i) expenses of administering and operating the Project and of maintaining
				it in accordance with Good Industry Practices (including expenses which may be
				capitalized) incurred by any Borrower, (ii) grain and fuel procurement and
				transportation costs payable by any Borrower, (iii) direct operating and
				maintenance costs of the Plants payable by any Borrower, (iv) insurance
				premiums payable by any Borrower, (v) property, sales, value-added and excise
				taxes payable by any Borrower (other than taxes imposed on or measured by
				income or receipts), (vi) costs and fees incurred by any Borrower in
				connection with obtaining and maintaining in effect the Governmental Approvals
				required in connection with the Project, (vii) legal, accounting and other
				professional fees incurred in the ordinary course of business in connection
				with the Project payable by any Borrower and (viii) payments payable by any
				Borrower under and pursuant to the Management Services Agreements; provided, that
				“Operation and Maintenance Expenses” shall not include (a) Project
				Costs, (b) payments into the Debt Service Reserve Account, depreciation, or any
				items properly chargeable by GAAP to fixed capital accounts, (c) any Mezzanine
				Debt Payments, or (d) any payments to the Operator and subordinated pursuant to
				the Buffalo Lake O&M Agreement or the Pioneer Trail O&M Agreement, as
				the case may be.

			  

			 “Operator”
				shall mean an operator of the Plants acceptable to the Administrative Agent and
				each Lender.

			  

			 
 
			 
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			 “Participant”
				shall have the meaning provided in Section 9.13(d) of the Credit
				Agreement.

			  

			 “Patriot
				Act”
				shall mean United States Public Law 107-56, Uniting and Strengthening America
				by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism
				(USA PATRIOT ACT) of 2001, and the rules and regulations promulgated
				thereunder.

			  

			 “Payment
				Accounts”
				shall mean the “Payment Accounts” established pursuant to Sections
				2.2 (d), (e) and (f) of the Account Agreement. 

			  

			 “Payment Office”
				shall mean the office of the Administrative Agent located in New York, New York
				or such other office as the Administrative Agent may hereafter designate in
				writing as such to each of the other parties to the Credit
				Agreement.

			  

			 “Payment
				and Performance Bonds”
				shall mean, collectively, the Buffalo Lake Payment and Performance Bond and
				Pioneer Trail Payment and Performance Bond.

			  

			 “Performance
				Guarantees”
				shall have the meaning provided in any EPC Contract. 

			  

			 “Performance
				Guarantee Payments”
				shall mean the performance liquidated damages and buy-down amounts payable by
				the EPC Contractor pursuant to Section 8.1 of any EPC Contract.

			  

			 “Performance
				Tests”
				shall have the meaning provided in any EPC Contract.

			  

			 “Permitted
				Investments”
				shall mean, for any Person: (i) direct obligations of the United States,
				or of any agency thereof, or obligations guaranteed as to principal and
				interest by the United States, or of any agency thereof, in either case
				maturing not more than one hundred eighty (180) days from the date of
				acquisition thereof by such Person; (ii) Dollar time deposits in the
				London interbank market with, or certificates of deposit issued by, any bank or
				trust company licensed under the laws of the United States or any state thereof
				which has outstanding senior long-term unsecured indebtedness which is rated
				(on the date of acquisition thereof) A+ or A1 or better by Standard &
				Poor’s or Moody’s, respectively, maturing not more than one hundred
				eighty (180) days from the date of acquisition thereof by such Person;
				(iii) commercial paper rated A-1 or P-1 or better by Standard &
				Poor’s or Moody’s, respectively, maturing not more than one hundred
				eighty (180) days from the date of acquisition thereof by such Person; and
				(iv) money market funds rated at least “AA” by Standard &
				Poor’s or “Aa” or better by Moody’s, including any fund for
				which the Collateral Agent or an Affiliate of the Collateral Agent serves as an
				investment advisor, administrator, shareholder servicing agent, custodian or
				subcustodian, notwithstanding that (A) the Collateral Agent or an
				Affiliate of the Collateral Agent charges and collects fees and expenses from
				such funds for services rendered (provided that such charges, fees and expenses
				are on terms consistent with terms negotiated at arm’s length) and
				(B) the Collateral Agent charges and collects fees and expenses for
				services rendered pursuant to the Credit Agreement and the other Financing
				Documents. 

			  

			 “Permitted
				Lien”
				shall mean any Lien permitted to be incurred by the Borrowers pursuant to
				Section 5.12 of the Credit Agreement.

			  

			 
 
			 
				Appendix
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			 “Permitted
				Transferee”
				shall mean any Person which: (i) at the time of the transfer has and for
				the two years prior to the transfer had a Tangible Net Worth of at least Two
				Hundred Million Dollars ($200,000,000), (ii) is not a competitor of any
				Borrower with an ethanol project located within a three hundred (300) mile
				radius of either Plant and does not have a material non-passive investment
				interest (whether held directly or indirectly) in a competitor with an ethanol
				project located within a three hundred (300) mile radius of any Plant,
				(iii) at the time of the transfer is not and during the two (2) years
				prior to the transfer was not engaged in any material dispute or litigation
				with any Borrower, Cargill, the Operator, the Sponsor or any Secured Party, and
				(iv) would not cause any Secured Party to be in violation of any Law.
				

			  

			 “Person”
				shall mean any individual, corporation, limited liability company, company,
				voluntary association, partnership, joint venture, trust, or other enterprises
				or unincorporated organization or government (or any agency, instrumentality or
				political subdivision thereof).

			  

			 “Pioneer
				Trail”
				shall mean Pioneer Trail Energy, LLC, a limited liability company organized and
				existing under the laws of the State of Delaware.

			  

			 “Pioneer
				Trail Access Agreement”
				shall mean the Access Agreement to be entered into between Pioneer Trail and
				Cargill
				prior to the initial Disbursement of Pioneer Trail Construction Loans, in form
				and substance satisfactory to the Administrative Agent and each
				Lender.

			  

			 “Pioneer
				Trail Commercial Operation Date”
				shall mean the date of the first crush of corn at the Pioneer Trail
				Plant.

			  

			 “Pioneer
				Trail Construction Account”
				shall mean the “Pioneer Trail Construction Account” established
				pursuant to Section 2.2(a)(ii) of the Account Agreement.

			  

			 “Pioneer
				Trail Construction Budget”
				shall mean the budget dated the Closing Date, prepared and certified as such by
				an Authorized Officer of the Borrowers’ Agent of all Project Costs
				theretofore incurred and thereafter expected to be incurred in respect of the
				Pioneer Trail Plant on or prior to the Conversion Date, as the same may be
				amended from time to time in accordance with Section 5.20(b) of the Credit
				Agreement.

			  

			 “Pioneer
				Trail Construction Loan”
				shall have the meaning provided in Section 2.1(b) of the Credit
				Agreement.

			  

			 “Pioneer
				Trail Construction Loan Availability Period”
				shall mean the period commencing on the Closing Date, and ending on the
				earliest to occur of (i) the full utilization of the Pioneer Trail Construction
				Loan Commitments of the Lenders, (ii) the Date Certain, (iii) the Conversion
				Date, (iv) the date six (6) months after Provisional Acceptance under the
				Pioneer Trail EPC Contract (provided that if
				any Excess Construction Loan Commitment exists in respect of the Pioneer Trail
				Construction Loan Commitment, such date shall be extended until the expiry date
				of the Buffalo Lake Construction Loan Availability Period) and (v) the
				termination of the Total Commitment pursuant to the provisions of the Credit
				Agreement.

			  

			 
 
			 
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			 “Pioneer
				Trail Construction Loan Commitment”
				shall mean, as to any Lender, the applicable amount set forth opposite such
				Lender’s name in Annex I to the Credit Agreement. 

			  

			 “Pioneer
				Trail Construction Requisition”
				shall mean a certificate, substantially in the form of Exhibit D-1-B to the
				Credit Agreement, executed and delivered by an Authorized Officer of the
				Borrowers’ Agent to the Administrative Agent (with a copy to the
				Depositary Agent), including all attachments referred to therein (a) pursuant
				to Section 3.3(a) of the Credit Agreement in connection with each Disbursement
				of Pioneer Trail Construction Loans, and (b) pursuant to Section 5.21(g) of the
				Credit Agreement in connection with each application of Project Revenues
				permitted under such Section to the payment of Pioneer Trail Project
				Costs.

			  

			 “Pioneer
				Trail Corn Supply Agreement”
				shall mean the Corn Supply Agreement dated
				as of September 25, 2006, between Pioneer Trail and Cargill. 

			  

			 “Pioneer
				Trail Corn
				Future Advisory Agreement”
				shall mean the Futures Advisory Agreement to be
				entered into between Pioneer Trail and Cargill
				Commodity, doing business as Cargill Direct, prior to the initial Disbursement
				of Pioneer Trail Construction Loans, in form and substance satisfactory to the
				Administrative Agent and each Lender.

			  

			 “Pioneer
				Trail Corn Supply Start-up Agreement”
				shall mean the Corn Supply Start-up Agreement to be
				entered into between Pioneer Trail and Cargill,
				prior to the initial Disbursement of Pioneer Trail Construction Loans, in form
				and substance satisfactory to the Administrative Agent and each
				Lender.

			  

			 “Pioneer
				Trail Delta-T License Agreement”
				shall mean the License Agreement, dated as of April 28, 2006, between Delta-T
				and Pioneer Trail.

			  

			 “Pioneer
				Trail Deposit Account Control Agreement”
				shall mean the Deposit Account Control Agreement, dated as of the date of the
				Credit Agreement, among the Collateral Agent, Pioneer Trail and Wells Fargo
				Bank, National Association.

			  

			 “Pioneer
				Trail Distillers Grains Marketing Agreement”
				shall mean
				the Distillers
				Grains Marketing Agreement dated
				as of September 25, 2006, between
				Pioneer Trail and Cargill, acting
				through its the Non-Grain Feed Ingredients Business Unit.
				

			  

			 “Pioneer
				Trail EPC Contract”
				shall mean the Agreement for Engineering, Procurement and Construction, dated
				as of April 28, 2006, as amended on July 28,
				2006,
				between Pioneer Trail and the EPC Contractor, and relating to the engineering,
				procurement and construction of the Pioneer Trail Plant.

			  

			 “Pioneer
				Trail Ethanol Marketing Agreement”
				shall mean the Ethanol Marketing Agreement dated as of September 25,
				2006, between
				Pioneer Trail and Cargill. 

			  

			 “Pioneer
				Trail Gas Supply Agreement”
				shall mean the Pioneer Trail Gas Supply Agreement to be entered into between
				Pioneer Trail and the gas supplier named therein (which gas supplier shall be
				acceptable to the Administrative Agent and each Lender) prior to the initial
				Disbursement of Pioneer Trail Construction Loans, in form and substance
				satisfactory to the Administrative Agent and each Lender. 

			  

			 
 
			 
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			 “Pioneer
				Trail Gas Supply Representation and Management Agreement” shall
				mean the Pioneer Trail Gas Supply Representation and Management Agreement to be
				entered into between Pioneer Trail and Cargill prior to the initial
				Disbursement of Pioneer Trail Construction Loans, in form and substance
				satisfactory to the Administrative Agent and each Lender.

			  

			 “Pioneer
				Trail Gas Transportation Services Agreement”
				shall mean the Pioneer Trail Gas Transportation Services Agreement to be
				entered into between Pioneer Trail and Kinder Morgan prior to the initial
				Disbursement of the Pioneer Trail Construction Loans, in form and substance
				satisfactory to the Administrative Agent and each Lender. 

			  

			 “Pioneer
				Trail Gas Pipeline Construction and Management Agreement”
				shall mean the Pipeline Engineering, Procurement, and Construction Agreement to
				be entered into between Pioneer Trail and NRC prior to the initial Disbursement
				of Pioneer Trail Construction Loans, in form and substance satisfactory to the
				Administrative Agent and each Lender, to design, construct, commission and
				operate the twelve-mile natural gas lateral to the Pioneer Trail Plant.
				

			  

			 “Pioneer
				Trail Goods and Services Agreements”
				shall mean, collectively, the Pioneer Trail Corn Supply Agreement, the Pioneer
				Trail Corn Future Advisory Agreement, the Pioneer Trail Risk Management
				Agreement, the Pioneer Trail Distillers Grains Marketing Agreement, the Pioneer
				Trail Ethanol Marketing Agreement, the Pioneer Trail NAESB Agreement and the
				Pioneer Trail Gas Supply Representation and Management Agreement. 

			  

			 “Pioneer
				Trail Grain Facility Lease”
				shall mean the Pioneer Trail Grain Facility Lease and Sublease dated as
				of September 25, 2006, between Pioneer Trail and Cargill, and the Memorandum
				of Grain Facility Lease and Sublease, dated as
				of September 25, 2006,
				between Pioneer Trail and Cargill.
				

			  

			 “Pioneer
				Trail Guaranteed Completion Date”
				shall mean the Guaranteed Completion Date as such term is defined in the
				Pioneer Trail EPC Contract. 

			  

			 “Pioneer
				Trail Guaranteed Provisional Acceptance Date”
				shall mean the Guaranteed Provisional Acceptance Date as defined in the Pioneer
				Trail EPC Contract. 

			  

			 “Pioneer
				Trail Land”
				shall mean the site upon which the Pioneer Trail Plant will be installed,
				together with any fixtures and civil works constructed thereon and any other
				easements, licenses and other real property rights and interests required for
				the installation and operation of such Plant, including the land referred to in
				the Pioneer Trail Grain Facility Lease and the Land referred to in the Pioneer
				Trail Water Rights Deed.

			  

			 “Pioneer
				Trail Land Purchase Agreements”
				shall have the meaning provided in Section 3.1(p)(ii). 

			  

			 “Pioneer
				Trail LLC Agreement”
				shall mean the Limited Liability Company Agreement of Pioneer Trail, dated as
				of September 21, 2006.

			  

			 
 
			 
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				  A

				
				  Page
					 35
 
 

			  

			 “Pioneer
				Trail Management Services Agreement”
				shall mean any management services agreement relating to the management of
				Pioneer Trail which may be entered into between Pioneer Trail and the Sponsor
				or one of its Affiliate(s) (other than the other Borrowers); provided, that
				such Management Services Agreement shall be in form and substance satisfactory
				to the Administrative Agent and each Lender.

			  

			 “Pioneer
				Trail Master Agreement”
				shall mean
				the Master
				Agreement dated
				as of September 25, 2006, between
				Pioneer Trail, Cargill and Cargill Commodity. 

			  

			 “Pioneer
				Trail Mortgage”
				shall mean the Fee Simple and Leasehold Deed of Trust, Security Agreement,
				Assignment of Leases, Rent and Profits and Financing Statement and Fixture
				Filing from Pioneer Trail, dated as of September 25, 2006, to an in favor of
				First American Title Insurance Company as trustee for the benefit of Deutsche
				Bank Trust Company Americas in its capacity as Collateral Agent, as
				beneficiary.

			  

			 “Pioneer
				Trail NAESB Agreement”
				shall mean the Pioneer Trail NAESB Base Agreement for the Purchase and Supply
				of Natural Gas to be entered into between Pioneer Trail and Cargill prior to
				the initial Disbursement of Pioneer Trail Construction Loan, in form and
				substance satisfactory to the Administrative Agent and each
				Lender.

			  

			 “Pioneer
				Trail O&M Agreement”
				shall mean the Operation, Management and Maintenance Services Agreement to be
				entered into between Pioneer Trail and the Operator on or prior to May 31, 2007
				(except to the extent otherwise provided in Section 5.25 of the Credit
				Agreement), in substantially the form provided by the Borrowers’ Agent to,
				and accepted by the Administrative Agent and each Lender prior to the initial
				Disbursement of the Pioneer Trail Construction Loans, which agreement shall, to
				the extent that the Operator thereunder is an Affiliate of any Borrower,
				include the subordination of any incentive or bonus payments payable to the
				Operator thereunder to the extent and in the manner required by the
				Administrative Agent.

			  

			 “Pioneer
				Trail Payment and Performance Bond”
				shall mean the bonds provided to Pioneer Trail by, or on behalf of, the EPC
				Contractor pursuant to the Pioneer Trail EPC Contract on or prior to the
				Closing date, substantially in the form attached as Exhibit J-2 to the Credit
				Agreement with changes approved by the Administrative Agent and each Lender.
				

			  

			 “Pioneer
				Trail Permitted Denaturant Agreement”
				shall mean any Additional Project Document entered into by Pioneer Trail under
				which Pioneer Trail agrees to purchase denaturant for the Pioneer Trail Plant
				for duration in excess of thirty (30) days, provided that
				each of the following conditions shall have been satisfied:

			  

			 (a) the
				amount of denaturant committed for purchase under such Additional Project
				Document by Pioneer Trail from the counterparty to such Additional Project
				Document (each, a “Long-Term
				Supplier”)
				shall not, when aggregated with the denaturant committed for purchase under all
				other then outstanding Pioneer Trail Permitted Denaturant Agreements, exceed
				(i) fifty percent (50%) of the total denaturant requirements of the Pioneer
				Trail Plant during for the period occurring on or prior to the second (2nd)
				anniversary of the execution date of such Additional Project Document or (ii)
				twenty percent (20%) of the total denaturant 

			  

			 
 
			 
				Appendix
				  A

				
				  Page
					 36
 
 

			  

			 requirements
				of the Pioneer Trail Plant for the period occurring after the second (2nd)
				anniversary of the execution date of such Additional Project
				Document;

			  

			 (b) the
				liability incurred by Pioneer Trail for failure to purchase denaturant under
				the terms and conditions of such Additional Project Document shall be no
				greater than customary contractual “cover” damages;

			  

			 (c) such
				Additional Project Document shall include a waiver by the Long-Term Supplier of
				consequential damages and protection for Pioneer Trail against force majeure
				risk relating to the Pioneer Trail Plant;

			  

			 (d) Pioneer
				Trail shall not be obligated under such Additional Project Document to provide
				an indemnification to the Long-Term Supplier which is greater than that
				required pursuant to the Pioneer Trail Ethanol Marketing Agreement or the
				Pioneer Trail Distillers Grains Marketing Agreement, as the case may be, and
				the Pioneer Trail Master Agreement;

			  

			 (e) no Event
				of Default shall have occurred and be continuing, or would reasonably be
				expected to occur as a result of the execution of such Additional Project
				Document; and

			  

			 (f) the
				Borrowers’ Agent shall have delivered to the Administrative Agent (within
				fifteen (15) days of execution of such Additional Project Document) a copy of
				such Additional Project Document, together with an Officer’s Certificate
				from the Borrowers’ Agent (i) certifying as to the satisfaction of each of
				the conditions described in clauses (a) through (e) above and (ii) demonstrating
				that, after giving effect to such Additional Project Document, the projected
				Cash Flow divided by the projected number of gallons of denatured ethanol
				produced by the Project during the duration of such Additional Project Document
				shall not be less than $0.30 per gallon and that such Additional Project
				Document is in compliance with the Risk Management Policy.

			  

			 “Pioneer
				Trail Permitted Long-Term Sales Agreement”
				shall mean any Additional Project Document entered into by Pioneer Trail
				pursuant (and subject) to (i) Section 1.4 of the Pioneer Trail Ethanol
				Marketing Agreement under which Pioneer Trail agrees to sell ethanol from the
				Pioneer Trail Plant on a long-term basis for a period in excess of twelve (12)
				months or (ii) Section 1.4 of the Pioneer Trail Distillers Grains Marketing
				Agreement under which Pioneer Trail agrees to sell distillers grains from the
				Pioneer Trail Plant on a long-term basis for a period in excess of twelve (12)
				months, provided in each case that each of the following conditions shall have
				been satisfied:

			  

			 (a) the
				amount of ethanol or distillers grains, as the case may be, committed for sale
				by Pioneer Trail under such Additional Project Document shall not, when
				aggregated with the ethanol or distillers grains, as the case may be, committed
				for sale under all other then outstanding Pioneer Trail Permitted Long-Term
				Sales Agreements, exceed (i) fifty percent (50%) of the total ethanol or
				distillers grains capacity of the Pioneer Trail Plant, as the case may be,
				during for the period occurring on or prior to the second (2nd) anniversary of
				the execution date of such Additional Project Document or (ii) twenty percent
				(20%) of the total ethanol or distillers 

			  

			 
 
			 
				Appendix
				  A

				
				  Page
					 37
 
 

			  

			 grains
				capacity of the Pioneer Trail Plant, as the case may be, for the period
				occurring after the second (2nd) anniversary of the execution date of such
				Additional Project Document;

			  

			 (b) Cargill
				shall be liable to Pioneer Trail under such Additional Project Document for all
				amounts payable by the counterparty to such Additional Project Document (each,
				a “Long-Term
				Purchaser”);
				

			  

			 (c) the
				liability incurred by Pioneer Trail to the Long-Term Purchaser for failure to
				deliver ethanol or distillers grain, as the case may be, under the terms and
				conditions of such Additional Project Document shall be no greater than
				customary contractual “cover” damages;

			  

			 (d) Pioneer
				Trail shall not be obligated under such Additional Project Document to provide
				an indemnification to the Long-Term Purchaser which, in each case, is greater
				than that required pursuant to the Pioneer Trail Ethanol Marketing Agreement or
				the Pioneer Trail Distillers Grains Marketing Agreement, as the case may be,
				and the Pioneer Trail Master Agreement;

			  

			 (e) such
				Additional Project Document shall include a waiver by the Long-Term Purchaser
				of consequential damages and protection for Pioneer Trail against force majeure
				risk relating to the Pioneer Trail Plant to the extent provided in the Pioneer
				Trail Ethanol Marketing Agreement or the Pioneer Trail Distillers Grains
				Marketing Agreement, as the case may be (including in each case to the extent
				provided to Cargill pursuant to Exhibit F thereto), and the Pioneer Trail
				Master Agreement; 

			  

			 (f) no Event
				of Default shall have occurred and be continuing, or would reasonably be
				expected to occur as a result of the execution of such Additional Project
				Document; and

			  

			 (g) the
				Borrowers’ Agent shall have delivered to the Administrative Agent (within
				fifteen (15) days of execution of such Additional Project Document) a copy of
				such Additional Project Document, together with an Officer’s Certificate
				from the Borrowers’ Agent (i) certifying as to the satisfaction of each of
				the conditions described in clauses (a) through (f) above and (ii) demonstrating
				that, after giving effect to such Additional Project Document, the projected
				Cash Flow divided by the projected number of gallons of denatured ethanol
				produced by the Project during the duration of such Additional Project Document
				shall not be less than $0.30 per gallon and that such Additional Project
				Document is in compliance with the Risk Management Policy.

			  

			 “Pioneer
				Trail Plant”
				shall mean the fuel grade, denatured ethanol production facility located near
				Wood River, Nebraska, with a nameplate capacity of 115 million
				gallons-per-year, including the Pioneer Trail Land on which such facility is
				located, and all buildings, structures, improvements, easements and other
				property related thereto (including all associated electrical, gas, steam, and
				water interconnection, storage and treatment facilities, to the extent owned by
				any Borrower).

			  

			 “Pioneer
				Trail Project Costs”
				shall mean the following costs and expenses incurred by the Borrowers to
				finance and complete the Pioneer Trail Plant and achieve the 

			  

			 
 
			 
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				  A

				
				  Page
					 38

				   
 
 

			 Pioneer
				Trail Commercial Operation Date and the Project Completion Date (and complete
				all Punch List items) in the manner contemplated by the Transaction Documents
				and set forth in the Pioneer Trail Construction Budget:

			  

			 
					 	
						(i)

							
						costs
						  incurred by the Borrowers under the Pioneer Trail EPC Contract, the Pioneer
						  Trail Gas Pipeline Construction and Management Agreement and any other costs
						  (including taxes) directly relating to the acquisition, site preparation,
						  design, engineering, construction, installation, start-up and testing of the
						  Pioneer Trail Plant;
 

 

			  

			 
					 	
						(ii)

							
						fees and
						  expenses incurred by or on behalf of the Borrowers and allocated to the Pioneer
						  Trail Plant in connection with the development of the Project and the
						  consummation of the transactions contemplated by this Agreement, including
						  financial, accounting, legal, surveying and consulting fees, and the costs of
						  preliminary engineering;
 

 

			  

			 
					 	
						(iii)

							
						interest
						  and fees on the Pioneer Trail Construction Loans until the Pioneer Trail
						  Commercial Operation Date;
 

 

			  

			 
					 	
						(iv)

							
						financing
						  fees and expenses in connection with the Loans and the fees, costs and expenses
						  of counsel and any consultants to the Agents or the Lenders that are allocated
						  to the Pioneer Trail Plant;
 

 

			  

			 
					 	
						(v)

							
						insurance
						  premiums with respect to the title insurance policy for the Pioneer Trail Plant
						  and the insurance for the Pioneer Trail Plant required pursuant to the Credit
						  Agreement;
 

 

			  

			 
					 	
						(vi)

							
						costs of
						  corn and natural gas utilized for commissioning, Performance Tests for, and
						  operation of, the Pioneer Trail Plant prior to the Pioneer Trail Commercial
						  Operation Date; 
 

 

			  

			 
					 	
						(vii)

							
						initial
						  fee, drawdown fees and interest on the Mezzanine Debt until the Pioneer Trail
						  Commercial Operation Date that is allocated to the Pioneer Trail Plant, which
						  drawdown fees and interest shall not exceed $10,000,000 minus any
						  amount paid in respect of such drawdown fees and interest as Buffalo Lake
						  Project Costs pursuant to item (vii) of the definition of Buffalo Lake Project
						  Costs; 
 

 

			  

			 
					 	
						(viii)

							
						net
						  amounts payable under any Required Hedging Agreements prior to the Pioneer
						  Trail Commercial Operation Date that are allocated to the Pioneer Trail Plant;
						  
 

 

			  

			 
					 	
						(ix)

							
						amounts
						  included within the Pioneer Trail Construction Budget for use as cash
						  collateral for letters of credit issued in connection with construction and
						  start-up and initial operations of the Pioneer Trail Plant, provided that
						  each such letter of credit is issued by a Lender (or an Affiliate thereof) on
						  terms and conditions acceptable to the Administrative Agent and such amounts
						  (prior to any use thereof in connection with any drawdown under such letter of
						  credit) are subject to the Liens created under the Security Documents or
						  otherwise acceptable to the Administrative Agent; and
 

 

			  

			 
					 	
						(x)

							
						all
						  other costs and expenses included in the Pioneer Trail Construction Budget.
						  
 

 

			  

			 
 
			 
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				  Page
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			 “Pioneer
				Trail Project Documents”
				shall mean (i) the Pioneer Trail Access Agreement, the Pioneer Trail Corn
				Supply Start-up Agreement, the Pioneer Trail EPC Contract, the Pioneer Trail
				O&M Agreement (when executed and delivered), the Pioneer Trail Corn Supply
				Agreement, the Pioneer Trail Corn Future Advisory Agreement, the Pioneer Trail
				Risk Management Agreement, the Pioneer Trail Distillers Grains Marketing
				Agreement, the Pioneer Trail Ethanol Marketing Agreement, the Pioneer Trail
				Master Agreement, the Pioneer Trail Gas Supply Agreement(s), the Pioneer Trail
				Gas Transportation Services Agreement, the Pioneer Trail NAESB Agreement, the
				Pioneer Trail Gas Supply Representation and Management Agreement, the Pioneer
				Trail Gas Pipeline Construction and Management Agreement, the Pioneer Trail
				Grain Facility Lease, the Pioneer Trail Land Purchase Agreements, the Pioneer
				Trail Delta-T License Agreement, the Pioneer Trail LLC Agreement, the Pioneer
				Trail Management Services Agreement (when executed and delivered), the Pioneer
				Trail Rail Car Exchange Agreement, the Pioneer Trail Railroad Car Lease
				Agreement, TIC Indemnity Confirmation (Pioneer Trail), the Pioneer Trail
				Payment and Performance Bond, the Escrow Agreement, the Pioneer Trail
				Redevelopment Contract, the Pioneer Trail Water Rights Deed, UP Consent
				(Pioneer Trail), UP Industry Track Contract (Pioneer Trail), UP Ground Leases,
				and, at all times after the execution and delivery thereof, each Material
				Additional Project Document; (ii) a Consent Agreement relating to each of the
				following Project Documents: the Pioneer Trail Access Agreement, Pioneer Trail
				Corn Supply Start-up Agreement, the Pioneer Trail EPC Contract, the Pioneer
				Trail O&M Agreement, the Pioneer Trail Corn Supply Agreement, the Pioneer
				Trail Corn Future Advisory Agreement, the Pioneer Trail Risk Management
				Agreement, the Pioneer Trail Distillers Grains Marketing Agreement, the Pioneer
				Trail Ethanol Marketing Agreement, the Pioneer Trail Master Agreement, the
				Pioneer Trail Gas Supply Agreement, the Pioneer Trail Gas Supply Representation
				and Management Agreement, the Pioneer Trail Gas Transportation Services
				Agreement, the Pioneer Trail NAESB Agreement, the Pioneer Trail Gas Pipeline
				Construction and Management Agreement, the Pioneer Trail Grain Facility Lease,
				the Pioneer Trail Delta-T License Agreement, the Pioneer Trail Rail Car
				Exchange Agreement, the Pioneer Trail Rail Car Lease Agreement and the Pioneer
				Trail Management Services Agreement and (iii) at all times after the execution
				and delivery of any Material Additional Project Document, a Consent Agreement
				with respect thereto.

			  

			 “Pioneer
				Trail Rail Car Exchange Agreement”
				shall mean the Pioneer Trail Rail Car Exchange Agreement to be entered into
				between Pioneer Trail and Cargill prior to the initial Disbursement of Pioneer
				Trail Construction Loans, in form and substance satisfactory to the
				Administrative Agent and each Lender.

			  

			 “Pioneer
				Trail Railroad Car Lease Agreement”
				shall mean the Pioneer Trail Railroad Car Lease Agreement to be entered into
				between Pioneer Trail and Trinity
				Industries Leasing Company prior to
				the initial Disbursement of Pioneer Trail Construction Loans, in form and
				substance satisfactory to the Administrative Agent and each
				Lender.

			  
 

		  
  

		

	  

	  

	 
		Appendix
		  A

		Page
		  40 

		 
 

	 “Pioneer
		Trail Redevelopment Contract”
		shall mean the Redevelopment Contract to be entered into by and between the
		Community Redevelopment Authority of the City of Wood River and Pioneer Trail
		prior to the initial Disbursement of the Pioneer Trail Construction Loan, in
		form and substance satisfactory to the Administrative Agent and each
		Lender.

	  

	 “Pioneer
		Trail Risk Management Agreement”
		shall mean the Pioneer Trail Risk Management Agreement to be entered into
		between Pioneer Trail and Cargill prior to the initial Disbursement of the
		Pioneer Trail Construction Loans, in form and substance satisfactory to the
		Administrative Agent and each Lender. 

	  

	  

	 “Pioneer
		Trail Security Agreement”
		shall mean the Security Agreement, dated as of the date of the Credit
		Agreement, made by Pioneer Trail in favor of the Collateral Agent.
		

	  

	 “Pioneer
		Trail Title Insurance Policy”
		shall have the meaning provided in Section 3.1(q) (ii) of the Credit
		Agreement.

	  

	 “Pioneer
		Trail Water Rights Deed”
		shall mean the Water Rights Deed and Declaration of Restrictive Covenants and
		Easements to be entered into by and among the Leisingers and Pioneer Trail
		prior to the Closing Date, in form and substance satisfactory to the
		Administrative Agent and each Lender, pursuant to the Water Rights Option
		Purchase Agreement, dated as of April 13, 2006, by and between Rozella M.
		Leisinger and Richard K. Leisinger and Pioneer Trail.

	  

	 “Plans
		and Specifications”
		shall mean the plans and specifications relating to the Project as set forth in
		or contemplated by any EPC Contract.

	  

	 “Plants”
		shall mean, collectively, the Buffalo Lake Plant and the Pioneer Trail
		Plant.

	  

	 “Pledge
		Agreements”
		shall mean (a) the BFE Holdings Pledge Agreement, (b) the Opco Pledge
		Agreement, and (c) any pledge agreement entered into pursuant to Section 5.33
		of the Credit Agreement. 

	  

	 “Pledged
		Securities”
		shall mean the LLC Interests pledged pursuant to the Pledge
		Agreements.

	  

	 “Prepayment
		Holding Account”
		shall mean the “Prepayment Holding Account” established pursuant to
		Section 2.2(a)(xii) of the Account Agreement. 

	  

	 “Prime
		Rate”
		shall mean the per annum rate of interest established from time to time by BNP
		Paribas as its prime rate, which rate may not be the lowest rate of interest
		charged by BNP Paribas to its customers.

	  

	 “Principal
		Payment Dates”
		shall have the meaning provided in Section 6.1(b) of the Credit
		Agreement.

	  

	 
 
	 
		Appendix
		  A

		Page
		  41 
 

	  

	 “Process
		Agent”
		shall have the meaning provided in Section 9.20(b) of the Credit
		Agreement.

	  

	 “Project”
		shall mean, collectively, the Plants, the Land, and all easements, leasehold
		interests, licenses, permits, contract rights and other real and personal
		property interests now owned or hereafter acquired by any Borrower or in which
		any Borrower has any rights.

	  

	 “Project
		Completion”
		shall have the meaning provided in each of the EPC Contracts.

	  

	 “Project
		Completion Date”
		shall mean the date upon which all of the following events shall have
		occurred:

	  

	 (i) each
		Plant shall have been started up and operated, and Substantial Completion for
		each Plant shall have occurred;

	  

	 (ii) the Work
		for each Plant (except for Punch List items the total cost of which to complete
		shall not exceed Seven Hundred Fifty Thousand Dollars ($750,000)) shall have
		been completed in accordance with the EPC Contract relating to such Plant and
		in compliance with all applicable Laws and Governmental Approvals, and all
		clearing, landscaping, lighting and paving of the Plant site, and all ancillary
		construction, upgrades and improvements necessary for the operation of such
		Plant and the Project as contemplated by the Transaction Documents (other than
		such Punch List items) shall have been completed; 

	  

	 (iii) the
		Performance Tests (as defined in the EPC Contract relating to such Plant) have
		been completed and the results demonstrate that each Plant (A) has achieved at
		least 95% of the Production Guarantee, (ii) at least 95% of the Yield Guarantee
		and (iii) no greater than 105% of the Consumption Guarantees (as such terms are
		defined in such EPC Contract) and (B) has operated in compliance with all
		applicable Laws and Necessary Governmental Approvals; and the EPC Contractor
		shall have paid in full all Performance Guarantees Payments due and payable
		under the EPC Contracts;

	  

	 (iv) each of
		the Plants shall have completed indicative performance tests as performed by an
		independent testing company acceptable to the Administrative Agent and the
		results demonstrate that each Plant can operate in compliance with all
		applicable Laws and Necessary Government Approvals, including in the case of
		the Buffalo Lake Plant, the Air Emission Permit No. 09100060 and in the case of
		the Pioneer Trail Plant, the Permit to Construct an Air Contaminant Source,
		Permit No. CP05-0030;

	  

	 (v) in the
		case of the Buffalo Lake Plant, the construction and testing of the Buffalo
		Lake Plant and the lateral private service gas pipeline (as described in the
		Buffalo Lake Gas Pipeline Construction and Management Agreement) has been
		completed and the initial delivery of gas to the Buffalo Lake Plant (as
		described in the Buffalo Gas Supply and Transportation Agreement) has been
		made;

	  

	 (vi) in the
		case of Pioneer Trail Plant, the construction and testing of the Pioneer Trail
		Plant and the lateral private service gas pipeline (as described in the Pioneer
		Trail 

	  

	 
 
	  

	 
		Appendix
		  A

		Page
		  42 
 

	  

	 Gas
		Pipeline Construction and Construction Agreement) has been completed and the
		initial delivery of gas to the Pioneer Trail Plant (as described in the Pioneer
		Trail Gas Supply and Transportation Agreement) has been made;

	  

	 (vii) the
		Borrowers’ Agent shall have delivered the Borrower Completion Certificate
		to the Administrative Agent; 

	  

	 (viii) the
		Administrative Agent shall have received an executed counterpart of the
		Independent Engineer Completion Certificate; 

	  

	 (ix) the
		Effective Date (as defined therein) under each Master Agreement, Goods and
		Service Agreements, Grain Facility Lease and Rail Car Exchange Agreement shall
		have occurred; 

	  

	 (x) the
		construction, interconnection with the Project and operation in accordance with
		the requirements of the Railroad of the turn outs from the railroad track
		adjacent to the Land and related works (that are not within the scope of work
		of the EPC Contract) shall have been completed; and 

	  

	 (xi) the
		Borrower shall have purchased or leased the vehicles, locomotive, equipment,
		tools and parts set forth on Schedule 3.3 to the Credit Agreement in accordance
		with the Base Case Projections and Operating Budget for the first Operating
		Year and all such vehicles, locomotive, equipment, tools and parts shall be
		located at the Project site in good working order.

	  

	 “Project
		Costs”
		shall mean, collectively, the Buffalo Lake Project Costs and the Pioneer Trail
		Project Costs. 

	  

	 “Project
		Document Claim”
		shall mean any claim in respect of Performance Guarantees Payments, any
		termination payments or other similar amounts payable to any Borrower under any
		Project Document.

	  

	 “Project
		Document Claims Account”
		shall mean the “Project Document Claims Account” established pursuant
		to Section 2.2(a)(xvii) of the Account Agreement.

	  

	 “Project
		Documents”
		shall mean, collectively, the Buffalo Lake Project Documents, Pioneer Trail
		Project Documents and the Opco Project Documents.

	  

	 “Project
		Participants”
		shall mean the Sponsor, BFE Holdings, Cargill, Center Point Energy,
		Cornerstone, NRC, the EPC Contractor (only until the expiration or final
		settlement of liquidated damages and warranty claims under each EPC Contract
		and Payment and Performance Bond), Delta-T (only until the expiration or final
		settlement of liquidated damages and warranty claims under each EPC Contract
		and Payment and Performance Bond), the Operator, Trinity
		Industries Leasing Company, each manager under the Management Services
		Agreements, each gas supplier under each relevant Gas Supply Agreement, each
		gas pipeline construction and management counterparty under each Gas Pipeline
		Construction and Management Agreement, each gas
		transportation counterparty under each Gas Transportation Services
		

	  

	 
 

	 
	  

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	 Agreement
		and each party (other than any Borrower) to an Material Additional Project
		Document, and each Replacement Project Participant.

	  

	 “Project
		Revenues”
		shall mean, for any period, without duplication, the aggregate of all revenues
		received by any Borrower during such period from (i) payments made to such
		Borrower by or on behalf of Cargill and any payment derived from the sale of
		ethanol and distiller’s grain produced by the Project, (ii) interest
		accrued on, and other income derived from, the balance outstanding during such
		period in the Accounts (including, without limitation, from Permitted
		Investments), (iii) the proceeds of any delayed startup and business
		interruption insurance, and (iv) the proceeds of any Delay Liquidated Damages;
		provided that
		Project Revenues shall exclude, to the extent included, (1) net amounts
		receivable under any Hedging Agreements, (2) proceeds payable in respect of any
		insurance (other than delayed start up and business interruption insurance),
		(3) the proceeds of any Performance Guarantees Payments and any liquidated
		damages payable to the Borrower under the relevant O&M Agreement in respect
		of performance deficiencies, or (4) warranty or indemnity payments or damages
		payable to the Borrower under any Project Document.

	  

	 “Project
		Revenues Collection Account”
		shall mean the “Project Revenues Collection Account” established
		pursuant to Section 2.2(a)(iv) of the Account Agreement.

	  

	 “Property”
		shall mean any property of any kind whatsoever, whether real, personal or mixed
		and whether tangible or intangible, and any right or interest
		therein.

	  

	 “Prospective
		Debt Service Coverage Ratio”
		shall mean, as at any Calculation Date occurring after the Conversion Date, for
		the period of four consecutive fiscal quarters of the Borrowers commencing on
		the Quarterly Date most recently falling prior to such Calculation Date (taken
		as one accounting period), the ratio of (i) Cash Flow projected for such period
		to (ii) the Debt Service projected for such period (including (x) Scheduled
		Principal Payments required to be paid during such period but excluding
		mandatory prepayments in respect of the Loans payable during such period
		pursuant to the Financing Documents, and (y) the projected Interest Expense in
		respect of the Loans required to be paid during such period (with such Interest
		Expense to be calculated on the basis of the Assumed Interest Rate)); it being
		understood that such projections shall be provided by the Borrowers;
		provided,
		however, that
		(A) in the event that the Historical Debt Service Coverage Ratio or the
		Prospective Debt Service Coverage Ratio in respect of such Calculation Date is
		less than 2.50:1.00 or (B) at any time upon the written request of the
		Administrative Agent or any Lender, then, in each case, in respect of such
		Calculation Date, the Prospective Debt Service Coverage Ratio shall be
		calculated based on feedstock and product pricing forecasts provided by the
		Market Consultants and operating cost forecasts (including forecasts of
		Operating and Maintenance Expenses), which forecasts will be binding on the
		Borrowers for all purposes of the Financing Documents.

	  

	 “Provisional
		Acceptance”
		shall have the meaning provided in any EPC Contract.

	  

	 “Punch
		List”
		shall have the meaning provided in any EPC Contract.

	  

	 “Quarterly
		Dates”
		shall mean the last Business Day of each March, June, September and December.
		

	  

	  

	 
 
	  

	 
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	 “Quarterly
		Distribution Date”
		shall mean each ten (10) days after the Principal Payment Date occurring in the
		months of January, April, July and October, commencing with the first such date
		to occur after the Conversion Date and the first Principal Payment
		Date.

	  

	 “Quarterly
		Period”
		shall mean a period commencing on the day succeeding a Quarterly Date and
		ending on the next succeeding Quarterly Date.

	  

	 “Railroad”
		shall mean Union Pacific Railroad Company.

	  

	 “Rail
		Car Exchange Agreement”
		shall mean, collectively, the Buffalo Lake Rail Car Exchange Agreement and the
		Pioneer Trail Rail Car Exchange Agreement.

	  

	 “Railroad
		Car Lease Agreements”
		shall mean, collectively, the Buffalo Lake Railroad Car Lease Agreement and the
		Pioneer Trail Railroad Car Lease Agreement. 

	  

	 “Ratio
		of Debt to Total Project Costs”
		shall mean, at any time, the ratio of (i) the total amount of Debt (excluding
		the aggregate outstanding principal amount of Working Capital Loans) to (ii)
		the total amount of Project Costs. 

	  

	 “Real
		Property Appraisal”
		shall have the meaning specified in Section 5.30(a) of the Credit
		Agreement.

	  

	 “Register”
		shall have the meaning provided in Section 8.10 of the Credit
		Agreement.

	  

	 “Regulation
		D”
		shall mean Regulation D of the Board of Governors of the Federal Reserve system
		(or any successor).

	  

	 “Regulation
		U”
		shall mean Regulation U of the Board of Governors of the Federal Reserve system
		(or any successor).

	  

	 “Regulation
		X”
		shall mean Regulation X of the Board of Governors of the Federal Reserve system
		(or any successor).

	  

	 “Release”
		shall mean any spilling, leaking, pumping, pouring, emitting, emptying,
		discharging, injecting, escaping, leaching, dumping, or disposing into the
		environment (including the abandonment or discarding of barrels, containers,
		and other closed receptacles containing any Hazardous Material, but excluding
		(i) emissions from the engine exhaust of a motor vehicle and (ii) the normal
		application of fertilizer).

	  

	 “Replaced
		Lender”
		shall have the meaning provided in Section 2.17 of the Credit
		Agreement.

	  

	 “Replacement
		Lender”
		shall have the meaning provided in Section 2.17 of the Credit
		Agreement.

	  

	 “Replacement
		Project Participant”
		shall mean, with respect to any Project Participant (other than any Borrower),
		any Person satisfactory to the Required Lenders and 

	  

	 
 

	 
	  

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		A

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	 having
		credit, or acceptable credit support, equal to or greater than that of the
		replaced Project Participant on the date that the applicable Project Document
		was entered into who, pursuant to a definitive agreement reasonably
		satisfactory to the Required Lenders, assumes the obligations of the replaced
		Project Participant on terms and conditions no less favorable to the relevant
		Borrower than those applicable to the replaced Project Participant pursuant to
		the applicable Project Document.

	  

	 “Required
		Debt Service Reserve Amount”
		shall mean the scheduled
		Debt Service payable during the next succeeding
		semi-annual period.

	  

	 “Required
		Hedging Agreement”
		shall mean an interest rate swap, cap or collar agreement or similar
		arrangement entered into by any Borrower and a Swap Counterparty in accordance
		with Section 5.17 of the Credit Agreement.

	  

	 “Required
		Lenders”
		shall mean the Lenders holding at least (a) 66-2/3% of the aggregate
		outstanding principal amount of the (i) Loans (other than the Working Capital
		Loans) and (ii) Working Capital Loan Commitments or (b) if no Loans have been
		made, at least 66-2/3% of the aggregate amount of (i) the Construction Loan
		Commitments and (ii) the Working Capital Loan Commitments. 

	  

	 “Requisition”
		shall mean a Construction Requisition or a Restoration
		Requisition.

	  

	 “Requisition
		Date”
		shall mean each date specified in a Requisition as a date on which moneys are
		requested by any Borrower to be withdrawn and transferred from the Account to
		which such Requisition relates for the purpose set forth in such
		Requisition.

	  

	 “Reserve
		Requirement”
		shall mean, at any time, the maximum rate at which reserves (including, without
		limitation, any marginal, special, supplemental, or emergency reserves) are
		required to be maintained under regulations issued from time to time by the
		Board of Governors of the Federal Reserve System (or any successor) by member
		banks of the Federal Reserve System against “Eurocurrency
		liabilities” (as such term is used in Regulation D). Without limiting the
		effect of the foregoing, the Reserve Requirement shall reflect any other
		reserves required to be maintained by such member banks with respect to (i) any
		category of liabilities which includes deposits by reference to which the
		Adjusted Eurodollar Rate is to be determined, or (ii) any category of
		extensions of credit or other assets which include Eurodollar Loans. The
		Adjusted Eurodollar Rate shall be adjusted automatically on and as of the
		effective date of any change in the Reserve Requirement.

	  

	 “Responsible
		Officer”
		shall mean, when used with respect to the Collateral Agent or the Depositary
		Agent, any officer in the corporate trust or agency area (or any successor area
		of such Agent) of the Collateral Agent or the Depositary Agent including any
		managing director, director, vice president, assistant vice president,
		associate or any other officer of the Collateral Agent or the Depositary Agent,
		as the case may be, who shall have direct responsibility for the administration
		of the Transaction Documents, customarily performing functions similar to those
		performed by the persons who at the time shall be such officers, respectively,
		or to whom any corporate trust or agency matter is referred because of his or
		her knowledge and familiarity with the particular subject.

	  

	  

	  

		
		 

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	 “Restoration
		Requisition”
		shall have the meaning provided in Section 4.13(e) of the Account
		Agreement.

	  

	 “Restoration
		Work”
		shall mean the design, engineering, procurement, construction and other work
		with respect to the Restoration of Affected Property.

	  

	 “Restore”
		shall mean, with respect to any Affected Property, to rebuild, repair, restore
		or replace such Affected Property. The term “Restoration”
		shall have a correlative meaning.

	  

	 “Returns”
		shall have the meaning provided in Section 4.9(a). 

	  

	 “Risk
		Management Agreements”
		shall mean, collectively, the Buffalo Lake Risk Management Agreement and
		Pioneer Trail Risk Management Agreement. 

	  

	 “Risk
		Management Committee”
		shall mean the risk management committee of any Borrower appointed pursuant to
		the Risk Management Policy.

	  

	 “Risk
		Management Policy”
		shall mean the risk management policy of any Borrower relating to the
		management of commodity price risks for corn, gas, ethanol and distiller’s
		grain, approved by the Administrative Agent pursuant to Section
		5.31.

	  

	 “Scheduled
		Principal Payments”
		shall mean the scheduled amounts payable in respect of the principal of the
		Loans pursuant to Section 6.1(b) of the Credit Agreement.

	  

	 “Scope
		Change Order”
		shall have the meaning provided in any EPC Contract.

	  

	 “Secured
		Parties”
		shall mean, collectively, the Agents, the Lenders and each Secured Swap
		Counterparty.

	  

	 “Secured
		Swap Counterparty”
		shall mean any Swap Counterparty which is a Lender or an Affiliate
		thereof.

	  

	 “Security
		Agreements”
		shall mean (a) the Buffalo Lake Security Agreement, (b) the Pioneer Trail
		Security Agreement and (c) the Opco Security Agreement. 

	  

	 “Security
		Documents”
		shall mean, collectively, the Account Agreement, the Pledge Agreements, the
		Deposit Account Control Agreements, the Security Agreements, the Mortgages, the
		Notice of Commencement, the Subordination Agreement, each DSRA Letter of
		Credit, each Consent Agreement and all Uniform Commercial Code financing
		statements and other filings, recordings or registrations required by the
		Credit Agreement to be filed or made in respect of any such Security
		Document.

	  

	 “Security
		Interest”
		shall mean the Lien on the Collateral or any other collateral purported to be
		granted to the Collateral Agent for the benefit of one or more of the Secured
		Parties (or any trustee, sub-agent or other Person acting for or on behalf of
		the Collateral Agent).

	  

	  

	 
		 

		
 
		 

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	 “Seminole”
		shall mean Seminole Energy Services, LLC, a limited liability company organized
		and existing under the laws of Oklahoma. 

	 

	 “Signing
		Date”
		shall mean the date of execution of the Credit Agreement.

	  

	 “Spencer”
		shall have the meaning ascribed to such term in Section 3.1(p)(i) of the Credit
		Agreement.

	  

	 “Sponsor”
		shall mean Biofuel Energy, LLC, a limited liability company organized and
		existing under the laws of the State of Delaware. 

	  

	 “Standard
		& Poor’s”
		shall mean Standard & Poor’s Ratings Services, a division of The
		McGraw-Hill Companies, Inc.

	  

	 “Stated
		Amount”
		of each Letter of Credit shall mean, at any time, the maximum amount available
		to be drawn thereunder (in each case determined without regard to whether the
		conditions to drawing could then be met).

	  

	 “Sub-Account”
		shall have the meaning set forth in Section 2.2(b) of the Account Agreement.
		

	  

	 “Subordinated
		Lenders”
		shall mean have the meaning specified in the Subordination
		Agreement.

	  

	 “Subordination
		Agreement”
		shall mean the Subordination Agreement, dated as of September 25, 2006, among
		each of the Borrowers, BFE Holdings, the Subordinated Lenders, Greenlight
		APE, LLC, as administrative
		agent of the Subordinated Lenders thereunder and the Collateral
		Agent.

	  

	 “Subsidiary”
		shall mean, for any Person, any corporation, partnership or other entity of
		which at least a majority of the securities or other ownership interests having
		by the terms thereof ordinary voting power to elect a majority of the board of
		directors or other persons performing similar functions of such corporation,
		partnership or other entity (irrespective of whether or not at the time
		securities or other ownership interests of any other class or classes of such
		corporation, partnership or other entity shall have or might have voting power
		by reason of the happening of any contingency) is at the time directly or
		indirectly owned or controlled by such Person or one or more Subsidiaries of
		such Person or by such Person and one or more Subsidiaries of such
		Person.

	  

	 “Substantial
		Completion”
		shall have the meaning provided in any EPC Contract.

	  

	 “Swap
		Counterparty”
		shall mean a Person which enters into a Required Hedging Agreement with any
		Borrower.

	  

	 “Swap
		Termination Value”
		shall mean in respect of the Required Hedging Agreements, after taking into
		account the effect of any legally enforceable netting agreement relating to
		such Required Hedging Agreement, (a) on any date on or after the date such
		Required Hedging Agreement have been closed out and termination value(s)
		determined in accordance

	  

	 
 
	  

	 
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		  48 
 

	  

	  therewith,
		such termination value(s), and (b) for any date prior to the date referenced in
		clause (a), the amount(s) determined as the mark-to-market value(s) for such
		Required Hedging Agreements, as determined based upon one or more mid-market or
		other readily available quotations provided by any recognized dealer in such
		Required Hedging Agreement (which may include a Lender or any Affiliate of a
		Lender).

	  

	 “Taking”
		shall mean any circumstance or event, or series of circumstances or events
		(including an Expropriation Event), in consequence of which the Project or any
		portion thereof shall be condemned, nationalized, seized, compulsorily acquired
		or otherwise expropriated by any Governmental Authority under power of eminent
		domain or otherwise. The term “Taken”
		shall have a correlative meaning.

	  

	 “Tangible
		Net Worth”
		shall mean the sum of the capital accounts, retained earnings and any other
		amount which, in accordance with GAAP, constitutes member’s equity, but
		excluding (i) goodwill and other intangibles, and (ii) all write-ups in the
		book value of any asset.

	  

	 “Target
		Balance Amount”
		shall mean the aggregate of all principal payable under the Term Loans
		projected to the outstanding on each Principal Payment Date, as set forth on
		Annex III of the Credit Agreement.

	  

	 “Tax”
		shall have the meaning provided in Section 2.11(a) of the Credit
		Agreement.

	  

	 “Tax
		Distribution”
		shall mean, in respect of a Quarterly Period, an amount attributable to such
		period that, when aggregated with all Tax Distributions for the relevant tax
		year, is equal to the product of (a) the amount of aggregate net taxable income
		of the Borrowers allocated to the Members for the relevant tax year (taking
		into account any losses to the extent not utilized in prior fiscal years) and
		(b) thirty-eight percent.

	  

	 “Tax
		Distributions Account”
		shall mean the “Tax Distributions Account” established pursuant to
		Section 2.2(a)(x) of the Account Agreement. 

	  

	 “Term
		Date”
		shall mean the earlier to occur of (i) the Conversion Date and (ii) the Date
		Certain.

	  

	 “Term
		Loan Commitment”
		shall mean, for each Lender, the aggregate amount of Construction Loans of such
		Lender as of the Conversion Date (after giving effect to any Borrowing of
		Construction Loans on such date in accordance with Section 2.1 of the Credit
		Agreement and any prepayment of Construction Loans on such date in accordance
		with Section 6 of the Credit Agreement).

	  

	 “Term
		Loan Maturity Date”
		shall mean the eighth anniversary of the Signing Date.

	  

	 “Term
		Loans”
		shall have the meaning provided in Section 2.2(a) of the Credit
		Agreement.

	  

	  

	  

		
		 

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	 “Term
		Notes”
		shall have the meaning provided in Section 2.7 of the Credit
		Agreement.

	  

	 “TIC
		Indemnity Confirmations”
		shall mean, collectively, TIC Indemnity Confirmation (Buffalo Lake) and TIC
		Indemnity Confirmation (Pioneer Trail).

	  

	 “TIC
		Indemnity Confirmation (Buffalo Lake)”
		shall mean the confirmation provided by TIC - Holdings, Inc, a corporation
		organized under the laws of Colorado, dated as of September 25, 2006, in favor
		of Travelers Casualty and Surety Company of Americas, relating to the Buffalo
		Lake Payment and Performance Bond issued pursuant to the Buffalo Lake EPC
		Contract. 

	  

	 “TIC
		Indemnity Confirmation (Pioneer Trail)”
		shall mean the confirmation provided by TIC - Holdings, Inc, a corporation
		organized under the laws of Colorado, dated as of September 25, 2006, in favor
		of Travelers Casualty and Surety Company of Americas, relating to the Pioneer
		Trail Payment and Performance Bond issued pursuant to the Pioneer Trail EPC
		Contract. 

	  

	 “TIF
		Indebtedness”
		shall have the meaning provided in Section 5.13 of the Credit
		Agreement.

	  

	 “Title
		Insurance Policy”
		shall meaning, collectively, the Buffalo Lake Title Insurance Policy and the
		Pioneer Trail Title Insurance Policy. 

	  

	 “Title
		Insurance Company”
		shall mean First American Title Insurance Company of New York.

	  

	 “Total
		Commitment”
		shall mean, at any time, the Construction Loan Commitments of the Lenders, the
		Term Loan Commitments of the Lenders and the Working Loan Commitment of the
		Lenders.

	  

	 “Total
		Project Costs”
		shall mean, at any time, the aggregate of all Project Costs incurred by the
		Borrowers, but in no event shall Total Project Costs exceed Three Hundred
		Sixty-Eight Million Two Hundred Fifty Seven Thousand Six Hundred and Fifty-Two
		Dollars ($368,257,652).

	  

	 “Transaction
		Documents”
		shall mean, collectively, the Project Documents and the Financing
		Documents.

	  

	 “Transfer
		Date Certificate”
		shall mean a “Transfer Date Certificate” as defined in and delivered
		under the Account Agreement. 

	  

	 “Trust
		Property”
		shall have the meaning (i) provided in the Pioneer Trail Mortgage and (ii)
		assigned to the term “Mortgaged Property” in the Buffalo Lake
		Mortgage.

	  

	 “Type”
		shall mean the type of Loan determined with regard to the interest option
		applicable thereto, i.e., whether a Base Rate Loan or a Eurodollar
		Loan.

	  

	  

	 
 

	 
	  

	 Appendix
		A

	 Page 50 

	  

	 “Uniform
		Commercial Code”
		or “UCC”
		shall mean the Uniform Commercial Code as adopted in any applicable
		jurisdiction.

	  

	 “United
		States”
		and “U.S.”
		shall each mean the United States of America.

	  

	 “Unpaid
		Drawing”
		shall have the meaning provided in Section 2.22(a).

	  

	 “Unutilized
		Commitment”
		shall mean, for each Lender, at any time, (i) in respect of Construction Loans,
		the Construction Loan Commitment of such Lender at such time less the aggregate
		outstanding principal amount of all Construction Loans made by such Lender, and
		(ii) in respect of Working Capital Loans, the Working Capital Loan Commitment
		of such Lender at such time less the aggregate outstanding principal amount of
		all Working Capital Loans made by such Lender.

	  

	 “UP
		Consents”
		shall mean, collectively, UP Consent (Buffalo Lake) and UP Consent (Pioneer
		Trail). 

	  

	  

	 “UP
		Consent (Buffalo Lake)”
		shall mean the consents to be granted by Railroad prior to the Closing Date,
		permitting Cargill to grant Buffalo Lake the exclusive right to use the Tracks
		(as defined in the Buffalo Lake Grain Facility Lease) pursuant to the Buffalo
		Lake Grain Facility Lease and permitting Buffalo Lake to collaterally assign
		its lease or contractual rights in such Tracks to the Collateral Agent for the
		benefit of the Secured Parties, all in form and substance satisfactory to the
		Administrative Agent and each Lender.

	  

	  

	 “UP
		Consent (Pioneer Trail)”
		shall mean the consents to be granted by Railroad prior to the Closing Date,
		permitting Cargill to grant Pioneer Trail the exclusive right to use the Track
		(as
		defined in the Pioneer Trail Grain Facility Lease) and
		permitting Cargill to sublease Railroad’s property described in the
		Railroad Leases (as defined in the Pioneer Trail Grain Facility Lease) pursuant
		to the Pioneer Trail Grain Facility Lease and permitting Pioneer Trail to
		collaterally assign its lease or contractual rights in such Track and the
		sublease of the Railroad Leases to the Collateral Agent for the benefit of the
		Secured Parties, all in form and substance satisfactory to the Administrative
		Agent and each Lender.

	  

	 “UP
		Ground Leases”
		shall mean, collectively, the Lease dated October 24, 2004 between Railroad and
		Cargill (OMA 6897) and the Lease dated October 22, 1985 between Railroad and
		Cargill (OMA-7366).

	  

	 “UP
		Industry Track Contract (Buffalo Lake)”
		shall mean the Industry Track Contract Articles of Agreement dated July 20,
		2001 by and between Railroad and Cargill.

	  

	 “UP
		Industry Track Contract (Pioneer Trail)”
		shall mean the Industry Track Contract Articles of Agreement dated October 24,
		1997 by and between Railroad and Cargill.

	  

	 “VEETC
		Event”
		shall mean (i) if the Volumetric Ethanol Excise Tax Credit is not extended by
		June 30, 2009 or (ii) if, on any date after June 30, 2009, the Volumetric
		Ethanol Excise Tax Credit is scheduled to expire less than eighteen (18) months
		from such date.

	  

	  

	  

	 
 
	  

	 
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	 “VEETC
		Holding Account”
		shall mean the “VEETC Holding Account” established pursuant to
		Section 2.2(a)(xiii) of the Account Agreement.

	  

	 “Volumetric
		Ethanol Excise Tax Credit”
		shall mean the “alcohol fuel mixture credit” provided for in Section
		6426 of the Code, which allows as a credit against gasoline excise taxes
		imposed by Section 4081 of the Code, as in effect on the date hereof, together
		with any successor provisions thereto that provide for a similar credit at a
		rate of no less than forty-one cents ($0.41) per gallon of ethanol.
		

	  

	 “Voting
		Stock”,
		with respect to any Person, shall mean Capital Stock the holders of which are
		ordinarily, in the absence of contingencies, entitled to vote for the election
		of directors (or persons performing similar functions) of such Person, even if
		the right so to vote has been suspended by the happening of a
		contingency.

	  

	 “Work”
		shall have the meaning provided in any EPC Contract.

	  

	 “Working
		Capital Availability Period”
		shall mean the period commencing on the Mechanical Completion under the earlier
		to occur of Buffalo Lake EPC Contract and the Pioneer Trail EPC Contract, as
		the case may be, and ending on the date 60 days prior to the Working Capital
		Loan Maturity Date. 

	  

	 “Working
		Capital Lender”
		shall mean each Lender named on Annex I to the Credit Agreement with a Working
		Capital Loan Commitment set forth opposite its name and any Assignee thereof
		pursuant to Section 9.13 of the Credit Agreement.

	  

	 “Working
		Capital Loan Commitment”
		shall mean, as to any Lender, the applicable amount set forth opposite such
		Lender’s name in Annex I to the Credit Agreement.

	  

	 “Working
		Capital Loan Maturity Date”
		shall mean the fourth anniversary of the Signing Date; provided, that
		the Working Capital Loan Maturity Date may, at the written request of the
		Borrowers Agent received by the Administrative Agent no later than sixty (60)
		days prior to the Working Capital Loan Maturity Date and upon the prior written
		approval of the Required Lenders, be extended to the fifth anniversary of the
		Signing Date.

	  

	 “Working
		Capital Loans”
		shall have the meaning provided in Section 2.2(c) of the Credit
		Agreement.

	  

	 “Working
		Capital Note”
		shall have the meaning provided in Section 2.7(b) of the Credit Agreement.
		

	  

	 2. Rules
		of Interpretation. In
		each Financing Document, unless otherwise indicated:

	  

	 (a) each
		reference to, and the definition of, any document (including any Financing
		Document) shall be deemed to refer to such document as it may be amended,
		supplemented, revised or modified from time to time in accordance with its
		terms and, to the extent applicable, the terms of the Credit
		Agreement;

	  

	  

	  

	  

		
		 

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	 (b) each
		reference to a Law or Governmental Approval shall be deemed to refer to such
		Law or Governmental Approval as the same may be amended, supplemented or
		otherwise modified from time to time;

	  

	 (c) any
		reference to a Person in any capacity includes a reference to its permitted
		successors and assigns in such capacity but, if applicable, only if such
		successors and assigns are permitted by this Credit Agreement, and, in the case
		of any Governmental Authority, any Person succeeding to any of its functions
		and capacities;

	  

	 (d) references
		to days shall refer to calendar days unless Business Days are specified;
		references to weeks, months or years shall be to calendar weeks, months or
		years, respectively;

	  

	 (e) all
		references to a “Section,” “Appendix,” “Annex,”
		“Schedule” or “Exhibit” are to a Section of such Financing
		Document or to an Appendix, Annex, Schedule or Exhibit attached
		thereto;

	  

	 (f) the
		table of contents and Section headings and other captions therein are for the
		purpose of reference only and do not affect the interpretation of such
		Financing Document;

	  

	 (g) defined
		terms in the singular shall include the plural and vice versa, and the
		masculine, feminine or neuter gender shall include all genders;

	  

	 (h) the
		words “hereof”, “herein” and “hereunder”, and
		words of similar import, when used in any Financing Document, shall refer to
		such Financing Document as a whole and not to any particular provision of such
		Financing Document;

	  

	 (i) the
		words “include,” “includes” and “including” are
		deemed to be followed by the phrase “without limitation”;
		

	  

	 (j) where
		the terms of any Financing Document require that the approval, opinion, consent
		or other input of any Secured Party be obtained, such requirement shall be
		deemed satisfied only where the requisite approval, opinion, consent or other
		input is given by or on behalf of the relevant party in writing; 

	  

	 (k) where
		the terms of any Financing Document require or permit any action to be taken by
		the Collateral Agent, such action shall be taken strictly in accordance with
		the applicable provisions of the relevant Financing Documents; and

	  

	 (l) any
		reference to a document shall be deemed to include all exhibits, annexes,
		appendices and schedules thereto.

	  

	 

	 
 

	 APPENDIX
		B

	 to

	 Credit
		Agreement

	 

	  

	 SCHEDULED
		PRINCIPAL PAYMENTS

	  

	 
			
				PRINCIPAL
				  PAYMENT DATE
 	 	
				AMOUNT

				
	
				First
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Second
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Third
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Fourth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Fifth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Sixth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Seventh
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Eighth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Ninth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Tenth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Eleventh
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Twelfth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Thirteenth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Fourteenth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Fifteenth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Sixteenth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Seventeenth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Eighteenth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Nineteenth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Twentieth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Twenty-first
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Twenty-second
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Twenty-third
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Twenty-fourth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Twenty-fifth
				  Quarterly Date after the Conversion Date
 	 	
				$3,150,000

				
	
				Twenty-sixth
				  Quarterly Date after the Conversion Date
 	 	
				$131,250,000Exhibit 10.3
	 

	 
		Execution Copy
	 

	 
		
		  
		  

		

	 
		COLLATERAL ACCOUNT AGREEMENT
	 

	 
		among
	 

	 
		BFE OPERATING COMPANY, LLC,
	 

	 
		BUFFALO LAKE ENERGY, LLC and
	 

	 
		PIONEER TRAIL ENERGY, LLC,
	 

	 
		as Borrowers
	 

	 
		BFE OPERATING COMPANY, LLC,
	 

	 
		as Borrowers’ Agent
	 

	 
		DEUTSCHE BANK TRUST COMPANY AMERICAS,

	 

	 
		as Collateral Agent,
	 

	 
		and
	 

	 
		DEUTSCHE BANK TRUST COMPANY AMERICAS,

	 

	 
		as Depositary Agent and Securities
		Intermediary
	 

	 
	 

	 

	 
		Dated as of September 25, 2006
	 

	 
	 

	 

	 
		BFE Ethanol Facility Financing
	 

	 
		
		  
		  

		

	 
		 
	 

	 
 

	 
		TABLE OF CONTENTS
	 

	 
		 
	 

	 
			
				
				   
				

			 	
				
				  Page
				

			 
	
				
				  ARTICLE I. DEFINITIONS
				

			 	
				
				  2
				

			 
	
				
				  Section 1.1 Capitalized Terms
				

			 	
				
				  2
				

			 
	
				
				  Section 1.2 Rules of Interpretation
				

			 	
				
				  2
				

			 
	
				
				  Section 1.3 Joint and Several Obligations
				

			 	
				
				  2
				

			 
	
				
				   
				

			 	
				
				   
				

			 
	
				
				  ARTICLE II. APPOINTMENT OF
				  DEPOSITARY AGENT; ESTABLISHMENT OF ACCOUNTS
				

			 	
				
				  2
				

			 
	
				
				  Section 2.1 Appointment of Depositary Agent
				

			 	
				
				  2
				

			 
	
				
				  Section 2.2 Establishment of Accounts and Sub-Accounts
				

			 	
				
				  3
				

			 
	
				
				  Section 2.3 Security Interest
				

			 	
				
				  5
				

			 
	
				
				  Section 2.4 Control
				

			 	
				
				  5
				

			 
	
				
				  ARTICLE III. DEPOSITS INTO
				  ACCOUNTS
				

			 	
				
				  6
				

			 
	
				
				  Section 3.1 Buffalo Lake Construction Account
				

			 	
				
				  6
				

			 
	
				
				  Section 3.2 Pioneer Trail Construction Account
				

			 	
				
				  6
				

			 
	
				
				  Section 3.3 Opco Equity Contribution Account
				

			 	
				
				  6
				

			 
	
				
				  Section 3.4 Project Revenues Collection Account
				

			 	
				
				  7
				

			 
	
				
				  Section 3.5 Debt Service and Related Payments Account
				

			 	
				
				  7
				

			 
	
				
				  Section 3.6 Loss Proceeds Account
				

			 	
				
				  7
				

			 
	
				
				  Section 3.7 Hedging Reserve Account
				

			 	
				
				  7
				

			 
	
				
				  Section 3.8 Project Document Claims Account
				

			 	
				
				  8
				

			 
	
				
				  Section 3.9 Disposition Proceeds
				

			 	
				
				  8
				

			 
	
				
				  Section 3.10 Payment Instructions
				

			 	
				
				  8
				

			 
	
				
				  Section 3.11 Inadequately Identified Amounts
				

			 	
				
				  8
				

			 
	
				
				  ARTICLE IV. TRANSFERS FROM
				  ACCOUNTS
				

			 	
				
				  8
				

			 
	
				
				  Section 4.1 Construction Accounts
				

			 	
				
				  8
				

			 
	
				
				  Section 4.2 Project Revenues Collection Account
				

			 	
				
				  11
				

			 
	
				
				  Section 4.3 Operating Account; Payment Accounts
				

			 	
				
				  15
				

			 
	
				
				  Section 4.4 Debt Service and Related Payments Account
				

			 	
				
				  16
				

			 
	
				
				  Section 4.5 Debt Service Reserve Account
				

			 	
				
				  16
				

			 
	
				
				  Section 4.6 Maintenance Capital Expense Account
				

			 	
				
				  16
				

			 
	
				
				  Section 4.7 Tax Distribution Account
				

			 	
				
				  16
				

			 
	
				
				  Section 4.8 ECF Sweep Account
				

			 	
				
				  16
				

			 
	
				
				  Section 4.9 Prepayment Holding Account
				

			 	
				
				  17
				

			 
	
				
				  Section 4.10 VEETC Holding Account
				

			 	
				
				  17
				

			 
	
				
				  Section 4.11 Hedging Reserve Account
				

			 	
				
				  18
				

			 
	
				
				  Section 4.12 Distribution Account
				

			 	
				
				  18
				

			 
	
				
				  Section 4.13 Loss Proceeds Account
				

			 	
				
				  20
				

			 
	
				
				  Section 4.14 Project Document Claims Account
				

			 	
				
				  21
				

			 
	
				
				  Section 4.15 Opco Equity Contribution Account
				

			 	
				
				  21
				

			 

 

	 
		 
	 

	 
 

	 
		 
	 

	 
			
				
				  Section 4.16 Cargill Loss Proceeds Account
				

			 	
				
				  21
				

			 
	
				
				  Section 4.17 Permitted Investments
				

			 	
				
				  22
				

			 
	
				
				  Section 4.18 Taxation of Earnings
				

			 	
				
				  23
				

			 
	
				
				  Section 4.19 Disposition of Accounts Upon Payment of
				  Obligations
				

			 	
				
				  23
				

			 
	
				
				  Section 4.20 Account Balance Statements
				

			 	
				
				  23
				

			 
	
				
				  ARTICLE V. DSRA LETTERS OF
				  CREDIT
				

			 	
				
				  23
				

			 
	
				
				  Section 5.1 DSRA Letters of Credit
				

			 	
				
				  23
				

			 
	
				
				  Section 5.2 Drawings under DSRA Letters of Credit
				

			 	
				
				  24
				

			 
	
				
				  Section 5.3 Termination of DSRA Letters of Credit
				

			 	
				
				  24
				

			 
	
				
				  Section 5.4 Calculations, etc.
				

			 	
				
				  24
				

			 
	
				
				  ARTICLE VI. EVENTS OF DEFAULT AND
				  REMEDIES
				

			 	
				
				  24
				

			 
	
				
				  Section 6.1 Events of Default
				

			 	
				
				  24
				

			 
	
				
				  Section 6.2 Remedies
				

			 	
				
				  25
				

			 
	
				
				  ARTICLE VII. REPRESENTATIONS,
				  WARRANTIES AND COVENANTS
				

			 	
				
				  27
				

			 
	
				
				  Section 7.1 Representations, Warranties and Covenants
				

			 	
				
				  27
				

			 
	
				
				  ARTICLE VIII. DEPOSITARY
				  AGENT
				

			 	
				
				  28
				

			 
	
				
				  Section 8.1 Appointment of Depositary Agent, Powers and
				  Immunities
				

			 	
				
				  28
				

			 
	
				
				  Section 8.2 Reliance by Depositary Agent
				

			 	
				
				  29
				

			 
	
				
				  Section 8.3 Court Orders
				

			 	
				
				  30
				

			 
	
				
				  Section 8.4 Resignation or Removal
				

			 	
				
				  30
				

			 
	
				
				  Section 8.5 Representations and Agreements By Depositary
				  Agent
				

			 	
				
				  31
				

			 
	
				
				  ARTICLE IX. EXPENSES;
				  INDEMNIFICATION; FEES
				

			 	
				
				  32
				

			 
	
				
				  Section 9.1 Expenses
				

			 	
				
				  32
				

			 
	
				
				  Section 9.2 Indemnification
				

			 	
				
				  32
				

			 
	
				
				  Section 9.3 Fees
				

			 	
				
				  32
				

			 
	
				
				  ARTICLE X. MISCELLANEOUS
				

			 	
				
				  32
				

			 
	
				
				  Section 10.1 Amendments; Etc.
				

			 	
				
				  32
				

			 
	
				
				  Section 10.2 Addresses for Notices
				

			 	
				
				  32
				

			 
	
				
				  Section 10.3 Integration, Etc.
				

			 	
				
				  33
				

			 
	
				
				  Section 10.4 No Third Party Beneficiaries
				

			 	
				
				  33
				

			 
	
				
				  Section 10.5 Benefit of Agreement
				

			 	
				
				  33
				

			 
	
				
				  Section 10.6 No Waiver; Remedies Cumulative
				

			 	
				
				  33
				

			 
	
				
				  Section 10.7 Execution in Counterparts
				

			 	
				
				  33
				

			 
	
				
				  Section 10.8 WAIVER OF JURY TRIAL
				

			 	
				
				  33
				

			 
	
				
				  Section 10.9 Limitation of Recourse
				

			 	
				
				  34
				

			 
	
				
				  Section 10.10 Governing Law; Submission to Jurisdiction
				

			 	
				
				  34
				

			 
	
				
				  Section 10.11 No Immunity
				

			 	
				
				  35
				

			 
	
				
				  Section 10.12 Severability
				

			 	
				
				  35
				

			 

 

	 
		SCHEDULE
	 

	 
		 
	 

	 
		ii
	 

	 
		 
	 

	 
 

	 
		 
	 

	 
			
				
				  SCHEDULE I
				

			 	
				
				  Accounts
				

			 
	
				
				   
				

			 	
				
				   
				

			 
	
				
				  EXHIBITS
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 
	
				
				  EXHIBIT A
				

			 	
				
				  Form of Transfer Date
				  Certificate
				

			 
	
				
				  EXHIBIT B
				

			 	
				
				  Form of Restoration
				  Requisition
				

			 
	
				
				  EXHIBIT C
				

			 	
				
				  Form of DSRA Letter of Credit

				

			 
	
				
				  EXHIBIT D
				

			 	
				
				  Form of Deposit Account Control
				  Agreement
				

			 
	
				
				  EXHIBIT E
				

			 	
				
				  Form of Distribution Date
				  Certificate
				

			 

 

	 
		 
	 

	 
		iii
	 

	 
		 
	 

	 
 

	 
		COLLATERAL ACCOUNT AGREEMENT (this
		“Agreement” or this “Account Agreement”), dated as of September 25, 2006, among (i) BFE
		Operating Company, LLC, a limited liability company organized and existing
		under the Laws of the State of Delaware (“Opco”),
		Buffalo Lake Energy, LLC, a limited liability company organized and existing
		under the Laws of the State of Delaware (“Buffalo Lake”), Pioneer Trail Energy, LLC, a limited liability
		company organized and existing under the Laws of the State of Delaware
		(“Pioneer Trail” and, together with Opco and “Buffalo Lake”, the “Borrowers”), (ii) Opco, as Borrowers’ Agent, as
		provided in the Credit Agreement (as defined below) (iii) Deutsche Bank Trust
		Company Americas, in its capacity as collateral agent (together with its
		successors and permitted assigns in such capacity, the “Collateral Agent”), and (iv) Deutsche Bank Trust Company Americas,
		in its capacity as depositary agent and as securities intermediary (together
		with its successors and permitted assigns in such capacity, the
		“Depositary Agent”).
	 

	 
		W
		I T
		N E
		S S
		E T
		H :
	 

	 
		WHEREAS, the Borrowers, various financial
		institutions named therein from time to time as Lenders, Deutsche Bank Trust
		Company Americas, as Collateral Agent, and BNP Paribas, as Administrative Agent
		and Arranger, have entered into a Credit Agreement, dated as of the date hereof
		(the “Credit
		Agreement”), pursuant to which the
		parties to the Credit Agreement have set forth certain of their respective
		rights and obligations in respect of the financing of the Project pursuant to
		the Financing Documents, including (i) the conditions precedent to each Loan
		and (ii) certain representations, warranties, covenants, events of default,
		remedies and other terms and conditions with respect to the financing of the
		Project pursuant to the Financing Documents;
	 

	 
		WHEREAS, pursuant to the Credit Agreement,
		the Collateral Agent has been appointed as collateral agent with the authority
		to act on behalf of the Secured Parties with respect to the Collateral,
		including, without limitation, the Accounts established pursuant to this
		Account Agreement;
	 

	 
		WHEREAS, the parties hereto have agreed to
		enter into this Account Agreement in order to establish the Accounts and to set
		forth their respective rights and obligations in respect of the Project
		Revenues and the Accounts; and
	 

	 
		WHEREAS, the Borrowers and the Collateral
		Agent desire to appoint the Depositary Agent as depositary agent and securities
		intermediary to hold, invest and administer monies deposited into the Accounts
		pursuant to this Account Agreement;
	 

	 
		NOW, THEREFORE, in consideration of the
		premises and for other good and valuable consideration, the receipt of which is
		hereby acknowledged, the parties hereto agree as follows:
	 

	 
		 
	 

	 
 

	 
		ARTICLE I.
	 

	 
		DEFINITIONS
	 

	 
		Section 1.1 Capitalized Terms. Each capitalized term used herein and not otherwise
		defined herein shall have the meaning assigned to that term in Appendix A to
		the Credit Agreement.
	 

	 
		Section 1.2 Rules of Interpretation. Except as otherwise expressly provided herein, the
		rules of interpretation set forth in Appendix A to the Credit Agreement shall
		apply to this Account Agreement.
	 

	 
		Section 1.3 Joint and Several Obligations. 
	 

	 
		(a) Subject to Section 1.3(b), the
		Obligations of each Borrower under this Agreement and each other Financing
		Document to which any Borrower is a party shall constitute the joint and
		several obligations of all Borrowers, and references to any Borrower or to the
		Borrowers in this Agreement and such other Financing Documents shall mean and
		include all Borrowers or, where the context permits, any of the Borrowers. All
		representations, warranties, undertakings, agreements and obligations of each
		Borrower expressed or implied in this Agreement or any other Financing Document
		shall, unless the context requires otherwise, be deemed to be made, given or
		assumed by the Borrowers jointly and severally.
	 

	 
		(b) Each of the Borrowers hereby confirms
		that it is the intention of all such Persons that this Agreement and the other
		Financing Documents and the Obligations of each Borrower hereunder and
		thereunder not constitute a fraudulent transfer or conveyance for purposes of
		any Debtor Relief Laws, the Uniform Fraudulent Conveyance Act, the Uniform
		Fraudulent Transfer Act or any similar foreign, federal or state law, to the
		extent applicable to this Agreement or such other Financing Documents and the
		Obligations of each Borrower hereunder and thereunder. To effectuate the
		foregoing intention, the Borrowers hereby irrevocably agree that the
		Obligations of each Borrower at any time shall be limited to the maximum amount
		as will result in the Obligations of such Borrower not constituting a
		fraudulent transfer or conveyance.
	 

	 
		ARTICLE II.
	 

	 
		APPOINTMENT OF DEPOSITARY AGENT;
		ESTABLISHMENT OF ACCOUNTS
	 

	 
		Section 2.1 Appointment of Depositary Agent. (a) Deutsche Bank Trust Company Americas hereby agrees
		to act as Depositary Agent and as “securities intermediary” (as
		defined in Section 8.5) hereunder and to accept all cash, payments, other
		amounts and Permitted Investments to be delivered to or held by the Depositary
		Agent pursuant to the terms of this Account Agreement. The Depositary Agent
		shall maintain the Accounts during the term of this Account Agreement and shall
		treat the cash, instruments and securities in the Accounts as monies,
		instruments and securities pledged by each Borrower to the Collateral Agent for
		the benefit of the Secured Parties to be held in the custody of the Depositary
		Agent, as agent for the Collateral Agent (on behalf of the Secured Parties), in
		accordance with the provisions of this 
	 

	 
		 
	 

	 
		2
	 

	 
		 
	 

	 
 

	 
		Account Agreement and the UCC. In performing
		its functions and duties under this Account Agreement, the Depositary Agent
		shall act solely as agent for the Collateral Agent (on behalf of the Secured
		Parties) and, except in such capacity, does not assume and shall not be deemed
		to have assumed any relationship of agency or trust with or for the
		Borrower.
	 

	 
		(b) The Borrowers shall not exercise any
		rights against or in respect of monies held in the Accounts, as third party
		beneficiary or otherwise, except that the Borrowers’ Agent shall have the
		right to make requisitions of monies held in the Accounts and to direct the
		investment of monies held in the Accounts, in each case in accordance with the
		terms of this Account Agreement.
	 

	 
		Section 2.2 Establishment of Accounts and
		Sub-Accounts. (a) The Borrowers hereby
		establish with the Depositary Agent the following accounts, each of which shall
		be a non-interest bearing, special, segregated and irrevocable securities
		account which shall be maintained by the Depositary Agent at all times until
		the termination of this Account Agreement (each, an “Account” and, collectively, the “Accounts”):
	 

	 
		(i) Buffalo Lake Construction
		Account;
	 

	 
		(ii) Pioneer Trail Construction
		Account;
	 

	 
		(iii) Opco Equity Contribution
		Account;
	 

	 
		(iv) Project Revenues Collection
		Account;
	 

	 
		(v) Operating Account;
	 

	 
		(vi) Maintenance Capital Expense
		Account;
	 

	 
		(vii) Debt Service and Related Payments
		Account;
	 

	 
		(viii) Debt Service Reserve Account;
	 

	 
		(ix) ECF Sweep Account; 
	 

	 
		(x) Tax Distributions Account; 
	 

	 
		(xi) Hedging Reserve Account;
	 

	 
		(xii) Prepayment Holding Account; 
	 

	 
		(xiii) VEETC Holding Account; 
	 

	 
		(xiv) Distribution Account;
	 

	 
		(xv) Loss Proceeds Account;
	 

	 
		(xvi) Cargill Loss Proceeds Account;
		and
	 

	 
		 
	 

	 
		3
	 

	 
		 
	 

	 
 

	 
		(xvii) Project Document Claims
		Account.
	 

	 
		The account numbers of the Accounts
		established hereunder on the date hereof are set forth on Schedule I
		hereto.
	 

	 
		(b) Certain additional accounts related to
		the Accounts shall be established and created from time to time in accordance
		with this Account Agreement or at the direction of the Collateral Agent and,
		for ease of administration, the Depositary Agent may, with the consent of the
		Collateral Agent and upon notice to the Borrowers, establish and create other
		accounts related to the Accounts (and each Borrower hereby consents to such
		establishment and creation). In the event that, in accordance with this Account
		Agreement, the Depositary Agent is required to segregate certain monies in an
		Account from any other amounts on deposit in such Account pending application
		in accordance with this Account Agreement, the Depositary Agent shall either
		(i) hold such monies in such Account for use solely for such application or
		(ii) if requested by the Collateral Agent, create a separate account for such
		purpose. Any account established in accordance with this Section 2.2(b) shall
		hereinafter be referred to as a “Sub-Account”.
	 

	 
		(c) Each of the Accounts shall be in the
		name of the Collateral Agent as Secured Party. All amounts from time to time
		held in each Account shall be held (i) subject to the Lien of the Collateral
		Agent for the benefit of the Secured Parties, and (ii) in the custody of
		the Depositary Agent for the purposes and on the terms set forth in this
		Account Agreement. All such amounts shall constitute a part of the Collateral
		and shall not constitute payment of any Obligation of the Borrowers until
		applied for such purpose as hereinafter provided.
	 

	 
		(d) Opco has established and shall maintain
		a demand deposit account at Wells Fargo Bank, National Association (the
		“Opco Local Bank”) Account No.: 4121405161, ABA No.: 121000248,
		called the Opco Payment Account, into which funds shall be transferred from the
		Operating Account as hereinafter provided (the “Opco Payment Account”). The Opco Payment Account shall at all times
		remain subject to a Deposit Account Control Agreement in the form attached
		hereto as Exhibit D, it being understood that if at any time such Deposit
		Account Control Agreement shall cease to be in full force and effect, all
		monies at the time on deposit in the Opco Payment Account shall be transferred
		into the Operating Account.
	 

	 
		(e) Buffalo Lake has established and shall
		maintain a demand deposit account at Wells Fargo Bank, National Association
		(the “Buffalo Lake Local
		Bank”) Account No.: 4121405187,
		ABA No.: 121000248, called the Buffalo Lake Payment Account, into which funds
		shall be transferred from the Operating Account as hereinafter provided (the
		“Buffalo Lake Payment
		Account”). The Buffalo Lake
		Payment Account shall at all times remain subject to a Deposit Account Control
		Agreement in the form attached hereto as Exhibit D, it being understood that if
		at any time such Deposit Account Control Agreement shall cease to be in full
		force and effect, all monies at the time on deposit in the Buffalo Lake Payment
		Account shall be transferred into the Operating Account.
	 

	 
		(f) Pioneer Trail has established and shall
		maintain a demand deposit account at Wells Fargo Bank, National Association
		(the “Pioneer Trail Local
		Bank”) Account No.: 4121405179,
		ABA No.: 121000248, called the Pioneer Trail Payment Account, into which funds
		shall be transferred from the Operating Account as hereinafter provided (the
		“Pioneer Trail 
	 

	 
		 
	 

	 
		4
	 

	 
		 
	 

	 
 

	 
		Payment Account”, together with the Opco Payment Account and
		Buffalo Lake Payment Account, the “Payment Accounts”). The Pioneer Trail Payment Account shall at all
		times remain subject to a Deposit Account Control Agreement in the form
		attached hereto as Exhibit D, it being understood that if at any time such
		Deposit Account Control Agreement shall cease to be in full force and effect,
		all monies at the time on deposit in the Pioneer Trail Payment Account shall be
		transferred into the Operating Account.
	 

	 
		Section 2.3 Security Interest. As collateral security for the prompt and complete
		payment and performance when due of the Obligations, each Borrower hereby
		pledges, assigns, hypothecates, transfers and grants to the Collateral Agent
		for the benefit of the Secured Parties and hereby grants to the Collateral
		Agent a first-priority Lien on and security interest in and to, all of its
		right, title and interest in and to (a) each Account and Sub-Account and the
		respective Payment Account, (b) all cash, instruments, investment property and
		other financial assets at any time on deposit in or credited to any Account or
		Sub-Account or to the Payment Accounts, including all income, earnings and
		distributions thereon and all proceeds, products and accessions of and to any
		and all of the foregoing, including whatever is received or receivable upon any
		collection, exchange, sale or other disposition of any of the foregoing and any
		Property into which any of the foregoing is converted, whether cash or non-cash
		proceeds, and any and all other amounts paid or payable under or in connection
		with any of the foregoing and all “security entitlements” (as defined
		in Section 8.5 hereof) of the Borrowers in any and all of the foregoing
		(collectively, the “Account
		Agreement Collateral”). The
		Depositary Agent is acting as the agent of the Collateral Agent, for the
		benefit of the Secured Parties, for the purpose of receiving payments
		contemplated hereunder and for the purpose of perfecting the Lien of the
		Collateral Agent for the benefit of the Secured Parties in and to the Accounts
		and the Sub-Accounts and the other Account Agreement Collateral;
		provided, that the Depositary Agent shall not be responsible to
		take any action to perfect such Lien except through the performance of its
		express obligations hereunder or upon the written direction of the Collateral
		Agent (acting on the instruction of the Administrative Agent), on behalf of the
		Secured Parties, complying in all respects with this Account Agreement. Each of
		the Accounts and the Sub-Accounts shall at all times be in the exclusive
		possession of, and under the exclusive domain and control of, the Depositary
		Agent, as agent for the Collateral Agent, for the benefit of the Secured
		Parties. This Account Agreement constitutes a “security agreement” as
		defined in Article 9 of the Uniform Commercial Code as adopted in the State of
		New York (as amended from time to time, the “UCC”).
	 

	 
		Section 2.4 Control. Each
		Borrower hereby irrevocably directs, and the Depositary Agent (in its capacity
		as “securities intermediary”) hereby agrees, that the Depositary
		Agent will comply with all instructions and orders (including entitlement
		orders) regarding each Account and each Sub-Account originated by the
		Collateral Agent without the further consent of the Borrowers or any other
		Person. In the case of a conflict between any instruction or order originated
		by the Collateral Agent and any instruction or order originated by any other
		Person other than a court of competent jurisdiction, the instruction or order
		originated by the Collateral Agent shall prevail.
	 

	 
		 
	 

	 
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		ARTICLE III.
	 

	 
		DEPOSITS INTO ACCOUNTS.
	 

	 
		Section 3.1 Buffalo Lake Construction Account. The following amounts shall be deposited into the
		Buffalo Lake Construction Account from time to time directly, or if received by
		the Borrowers or the Collateral Agent, as soon as practicable upon
		receipt:
	 

	 
		(a) the proceeds of all Buffalo Lake
		Construction Loans;
	 

	 
		(b) all proceeds of the Excess Construction
		Loan Commitment relating to the Pioneer Trail Construction Loan Commitment to
		be applied to Buffalo Lake Project Costs;
	 

	 
		(c) all proceeds of the Buffalo Lake Payment
		and Performance Bond provided pursuant to the Buffalo Lake EPC Contract, Delay
		Liquidated Damages or delayed start up insurance, which shall be deposited in a
		Sub-Account within the Buffalo Lake Construction Account created for such
		purpose);
	 

	 
		(d) all amounts required to be deposited
		into the Buffalo Lake Construction Account pursuant to Section 4.2(a)(iii);
		and
	 

	 
		(e) all Equity Contributions made to Buffalo
		Lake prior to the Conversion Date.
	 

	 
		Section 3.2 Pioneer
		Trail Construction Account. The
		following amounts shall be deposited into the Pioneer Trail Construction
		Accounts from time to time directly, or if received by the Borrowers or the
		Collateral Agent, as soon as practicable upon receipt:
	 

	 
		(a) the proceeds of all Pioneer Trail
		Construction Loans;
	 

	 
		(b) all proceeds of the Excess Construction
		Loan Commitment relating to the Buffalo Lake Construction Loan Commitment to be
		applied to Pioneer Trail Project Costs; 
	 

	 
		(c) all proceeds of the Pioneer Trail
		Payment and Performance Bond provided pursuant to the Pioneer Trail EPC
		Contract, Delay Liquidated Damages or delayed start up insurance, which shall
		be deposited in a Sub-Account within the Pioneer Trail Construction Account
		created for such purpose);
	 

	 
		(d) all amounts required to be deposited
		into the Pioneer Trail Construction Account pursuant to Section 4.2(a)(iii);
		and
	 

	 
		(e) all Equity Contributions made to Pioneer
		Trail prior to the Conversion Date.
	 

	 
		Section 3.3 Opco Equity Contribution Account. On or prior to the Closing Date, the Borrowers shall
		cause an amount equal to the amount specified to be deposited into the Opco
		
	 

	 
		 
	 

	 
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		Equity Contribution Account pursuant to
		Section 3.1(c) of the Credit Agreement to be deposited into the Opco Equity
		Contribution Account.
	 

	 
		Section 3.4 Project Revenues Collection Account. The following amounts shall be deposited into the
		Project Revenues Collection Account from time to time directly, or if received
		by the Borrowers or the Collateral Agent, as soon as practicable upon
		receipt:
	 

	 
		(a) all Project Revenues, other than Delay
		Liquidated Damages or delayed start up insurance proceeds to be deposited into
		the Construction Accounts as provided in Sections 3.1 and 3.2; 
	 

	 
		(b) all proceeds from Dispositions as
		permitted by the Credit Agreement, but only to the extent such proceeds are not
		required to be deposited into the Debt Service and Related Payments Account in
		accordance with Section 3.9 below; 
	 

	 
		(c) net amounts receivable by or on behalf
		of any Borrower under any Hedging Agreements other than the Required Hedging
		Agreements;
	 

	 
		(d) except as otherwise provided in this
		Article III, all other income (howsoever earned), revenue (howsoever generated)
		and proceeds of any nature whatsoever received by or on behalf of any Borrower;
		
	 

	 
		(e) except as set forth in Section 3.7 below
		or except as otherwise provided in the Credit Agreement, the proceeds of all
		Working Capital Loans borrowed by or on behalf of any Borrower; and 
	 

	 
		(f) all other amounts remitted to the
		Depositary Agent for deposit in the Project Revenues Collection Account by any
		other Secured Party under any of the Financing Documents.
	 

	 
		Section 3.5 Debt Service and Related Payments
		Account. All amounts paid to the
		Borrowers pursuant to the Required Hedging Agreements shall be deposited in the
		Debt Service and Related Payments Account for application in accordance with
		Section 4.4.
	 

	 
		Section 3.6 Loss Proceeds Account. All Loss Proceeds (other than any Loss Proceeds from
		an Event of Loss relating to the Property that is the subject of a Grain
		Facility Lease) shall be deposited in the Loss Proceeds Account for application
		in accordance with Section 4.13.
	 

	 
		Section 3.7 Hedging Reserve Account. All Working Capital Loans drawn for the purpose of
		paying margin calls pursuant to the Hedging Agreements entered into in
		accordance with the Risk Management Policy shall be: (i) deposited in the
		Hedging Reserve Account for application in accordance with Section 4.11; or
		(ii) transferred directly to the Margin Account in relation to such Hedging
		Agreements; or (iii) with prior written notice to the Administrative Agent,
		paid directly to the hedging counterparties provided that
		such payments are permitted under the Risk Management Policy and under Section
		5.31 of the Credit Agreement, as the case may be.
	 

	 
		 
	 

	 
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		Section 3.8 Project Document Claims Account. All amounts received in respect of any Project
		Document Claim shall be deposited in the Project Document Claims Account for
		application in accordance with Section 4.14.
	 

	 
		Section 3.9 Disposition Proceeds. All proceeds from Dispositions, to the extent such
		proceeds are required to be applied to prepay the outstanding Loans pursuant to
		Section 6.3(c) of the Credit Agreement, shall be deposited directly into the
		Debt Service and Related Payments Account and applied to such
		prepayment.
	 

	 
		Section 3.10 Payment Instructions. Each Borrower hereby represents and warrants that it
		has irrevocably authorized and instructed the EPC Contractor, the Operator and
		Cargill, and no later than the Closing Date in respect of all other Project
		Participants and upon entry into any Additional Project Document, each Borrower
		shall irrevocably authorize and instruct each such other Project Participant
		and each Project Participant party to such Additional Project Document from
		whom amounts described in this Article III may be received, to pay such amounts
		directly to the Depositary Agent for deposit in the relevant Account as
		specified in this Article III. If, notwithstanding the foregoing, any Borrower
		receives any such amount, it shall hold such amount in trust for and on behalf
		of the Collateral Agent, segregated from its other funds, and shall immediately
		deliver such amount in the exact form received, with any necessary endorsements
		and adequately identified as to its origin, to the Depositary Agent for deposit
		in the relevant Account specified in this Article III in accordance with this
		Account Agreement.
	 

	 
		Section 3.11 Inadequately Identified Amounts.
		In the event that the Collateral Agent receives
		any amount which is inadequately or incorrectly identified as to the Account
		into which such amount is to be credited, the Collateral Agent shall notify the
		Administrative Agent of such event and shall request instructions as to the
		Account into which such amount should be credited. The Collateral Agent shall
		credit such amount to the Project Revenues Collection Account and segregate and
		hold such amount in such Account until such time as the Collateral Agent
		receives instructions from the Administrative Agent stating that such amount
		should be credited to another Account in accordance with this Agreement, in
		which case the Collateral Agent shall credit such amount to the Account
		designated by the Administrative Agent. 
	 

	 
		ARTICLE IV.
	 

	 
		TRANSFERS FROM ACCOUNTS
	 

	 
		Section 4.1 Construction Accounts. (a) Except as otherwise provided in this Account
		Agreement, amounts held in the Buffalo Lake Construction Account shall be
		applied solely for the payment of Buffalo Lake Project Costs due and payable on
		any Requisition Date in accordance with the disbursement procedures hereinafter
		described in this Section 4.1.
	 

	 
		(b) Except as otherwise provided in Section
		4.1(i) hereof, as a condition precedent to any withdrawal and transfer from the
		Buffalo Lake Construction Account on any Requisition Date, there shall be
		delivered to the Depositary Agent (with a copy to the Administrative Agent) no
		less than three Business Days prior to such Requisition Date a Buffalo Lake
		Construction Requisition signed by an Authorized Officer of the Borrowers’
		Agent in respect of such Requisition Date, together with a copy of an
		Independent Engineer’s certificate 
	 

	 
		 
	 

	 
		8
	 

	 
		 
	 

	 
 

	 
		 in the form attached as Exhibit D-2 to the
		Credit Agreement, in each case containing no exceptions or qualifications which
		are reasonably unsatisfactory to the Administrative Agent.
	 

	 
		(c) On each Requisition Date, following
		receipt of the documentation described in Section 4.1(b) and so long as
		the Depositary Agent shall not have received prior to such Requisition Date a
		written objection from the Administrative Agent stating that a Default or an
		Event of Default has occurred and is continuing, or that the conditions set
		forth in Section 3.3 of the Credit Agreement have not been satisfied as of such
		date, or that such documentation contains exceptions or qualifications which
		are reasonably unsatisfactory to the Administrative Agent, the Depositary Agent
		shall make payments in accordance with the related Buffalo Lake Construction
		Requisition by transferring monies from the Buffalo Lake Construction Account
		directly to the payees of such Buffalo Lake Project Costs as are set forth in
		such Construction Requisition, which Project Costs shall include, for the
		avoidance of doubt, drawdown fees and interest on the Mezzanine Debt due and
		payable prior to the Conversion Date to the extent permitted under Section
		5.16(b) of the Credit Agreement.
	 

	 
		(d) The proceeds of any payment prior to the
		Conversion Date in respect of any proceeds of the Buffalo Lake Payment and
		Performance Bond provided pursuant to the Buffalo Lake EPC Contract, Delay
		Liquidated Damages or delayed startup insurance shall be deposited into a
		Sub-Account related to the Buffalo Lake Construction Account in accordance with
		Section 3.1(c) hereof and applied solely to the payment of Buffalo Lake Project
		Costs consisting of interest and fees on the Buffalo Lake Construction Loans
		and Buffalo Lake Operation and Maintenance Expenses (to the extent not already
		paid pursuant to Section 4.2(a)(i)), in each case due or accrued on or prior to
		the Conversion Date, in accordance with the disbursement procedure described in
		Section 4.1(c) hereof.
	 

	 
		(e) Except as otherwise provided in this
		Account Agreement, amounts held in the Pioneer Trail Construction Account shall
		be applied solely for the payment of Pioneer Trail Project Costs due and
		payable on any Requisition Date in accordance with the disbursement procedures
		hereinafter described in this Section 4.1.
	 

	 
		(f) Except as otherwise provided in Section
		4.1(i) hereof, as a condition precedent to any withdrawal and transfer from the
		Pioneer Trail Construction Account on any Requisition Date, there shall be
		delivered to the Depositary Agent (with a copy to the Administrative Agent) no
		less than three Business Days prior to such Requisition Date a Pioneer Trail
		Construction Requisition signed by an Authorized Officer of the Borrowers’
		Agent in respect of such Requisition Date, together with a copy of an
		Independent Engineer’s certificate in the form attached as Exhibit D-2 to
		the Credit Agreement, in each case containing no exceptions or qualifications
		which are reasonably unsatisfactory to the Administrative Agent.
	 

	 
		(g) On each Requisition Date, following
		receipt of the documentation described in Section 4.1(f) and so long as
		the Depositary Agent shall not have received prior to such Requisition Date a
		written objection from the Administrative Agent stating that a Default or an
		Event of Default has occurred and is continuing, or that the conditions set
		forth in Section 3.3 of the Credit Agreement have not been satisfied as of such
		date, or that such documentation contains exceptions or qualifications which
		are reasonably unsatisfactory to the Administrative Agent, the Depositary Agent
		shall make payments in accordance with the related Pioneer Trail Construction
		Requisition by transferring monies from the Pioneer Trail 
	 

	 
		 
	 

	 
		9
	 

	 
		 
	 

	 
 

	 
		Construction Account directly to the payees
		of such Project Costs as set forth in such Construction Requisition, which
		Project Costs shall include, for the avoidance of doubt, drawdown fees and
		interest on the Mezzanine Debt due and payable prior to the Conversion Date to
		the extent permitted under Section 5.16(b) of the Credit Agreement.
	 

	 
		(h) The proceeds of any payment prior to the
		Conversion Date in respect of any proceeds of the Pioneer Trail Payment and
		Performance Bond provided pursuant to the Pioneer Trail EPC Contract, Delay
		Liquidated Damages or delayed startup insurance shall be deposited into a
		Sub-Account related to the Pioneer Trail Construction Account in accordance
		with Section 3.2(c) hereof and applied solely to the payment of Pioneer Trail
		Project Costs consisting of interest and fees on the Pioneer Trail Construction
		Loans and Pioneer Trail Operation and Maintenance Expenses (to the extent not
		already paid pursuant to Section 4.2(a)(i)), in each case due or accrued on or
		prior to the Conversion Date, in accordance with the disbursement procedure
		described in Section 4.1(g) hereof.
	 

	 
		(i) The Borrowers’ Agent shall, through
		delivery of an Officer’s Certificate no less than five Business Days prior
		to the Conversion Date to the Depositary Agent (with a copy to the
		Administrative Agent) notify the Depositary Agent of the anticipated Conversion
		Date. The Depositary Agent shall deem such anticipated Conversion Date to be
		the Conversion Date for purposes of this Account Agreement unless otherwise
		notified in writing by the Administrative Agent prior to such date. On the
		Conversion Date, after giving effect to any disbursements being made on the
		Conversion Date in accordance with this Section 4.1, the Depositary Agent shall
		take the following actions in respect of the amounts on deposit in the
		Construction Accounts in the following order and as set forth in an
		Officer’s Certificate from the Borrowers’ Agent:
	 

	 
		(i) First, identify
		(A) from the remaining funds within the Buffalo Lake Construction Account the
		amount to remain in the Buffalo Lake Construction Account, as set forth in such
		Officer’s Certificate (concurred with in writing by an Authorized Officer
		of the Independent Engineer) for the payment of remaining Buffalo Lake Project
		Costs (if any) and to provide for reasonable contingency expenses (the
		“Buffalo Lake Punch List
		Amount”) and (B) from the
		remaining funds within the Pioneer Trail Construction Account the amount to
		remain in the Pioneer Trail Construction Account, as set forth in such
		Officer’s Certificate (concurred with in writing by an Authorized Officer
		of the Independent Engineer) for the payment of remaining Pioneer Trail Project
		Costs (if any) and to provide for reasonable contingency expenses (the
		“Pioneer Trail Punch List
		Amount”);
	 

	 
		(ii) Second, transfer
		into the Debt Service Reserve Account (but subject to the provisions of Article
		V) an amount equal to fifty percent (50%) of the Required Debt Service Reserve
		Amount; 
	 

	 
		(iii) Third, transfer
		into the Hedging Reserve Account and the Cargill Loss Proceeds Account any
		amounts then required to be deposited into such Accounts;
	 

	 
		 
	 

	 
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		(iv) Fourth, transfer
		into the Debt Service Reserve Account an amount such that the amounts on
		deposit in the Debt Service Reserve Account are equal to the Required Debt
		Service Reserve Amount; 
	 

	 
		(v) Fifth, pay to
		the Borrowers the Mortgage Registry Tax Refund, if any; 
	 

	 
		(vi) Sixth, pay to
		BFE Holdings as repayment to, or reimbursement of, BFE Holdings of the Equity
		Contributions made by or on behalf of BFE Holdings in an amount equal to
		forty-percent (40%) of any Construction Loan Commitments outstanding on the
		Conversion Date which remain outstanding after any disbursements made in order
		to give effect to the transfers described in priorities first through
		fifth above; and
	 

	 
		(vii) Seventh,
		transfer the remaining funds (other than the funds identified in priority
		first above) in the Construction Accounts to the Project
		Revenues Collection Account.
	 

	 
		Section 4.2 Project Revenues Collection Account.
	 

	 
		(a) On each Monthly Transfer Date, the
		Depositary Agent shall make withdrawals and transfers of monies to the extent
		then available in the Project Revenues Collection Account (except as otherwise
		set forth in this Account Agreement) in accordance with an Officer’s
		Certificate in the form attached hereto as Exhibit A to be received by the
		Depositary Agent (with a copy to the Administrative Agent) at least three
		Business Days prior to such Monthly Transfer Date setting forth the amounts to
		be withdrawn, transferred or segregated pursuant to this Section 4.2 and
		the Persons to whom and the dates on which amounts withdrawn are to be paid and
		the address or wire transfer instructions required for such payments (with
		respect to each Monthly Transfer Date, the “Transfer Date Certificate”) in the following order of priority (so long as
		the Depositary Agent shall not have received prior to such Monthly Transfer
		Date a written objection from the Administrative Agent with respect to such
		Transfer Date Certificate stating that such Transfer Date Certificate does not
		comply with this Account Agreement or any other Financing Document):
	 

	 
		(i) First: The
		Depositary Agent shall transfer from the monies in the Project Revenues
		Collection Account to the Operating Account the amount set forth in the
		Transfer Date Certificate and certified therein to be the Borrowers’ good
		faith estimate of the amounts payable for Operation and Maintenance Expenses
		with respect to each Plant that has achieved its Commercial Operation Date
		during the Monthly Period commencing on such Monthly Transfer Date,
		provided that the amount set forth in such Transfer Date
		Certificate shall not exceed the amount permitted to be expended for Operation
		and Maintenance Expenses with respect to such Plant pursuant to the Credit
		Agreement;
	 

	 
		(ii) Second, after
		making the transfer specified in clause (i) above, the Depositary Agent shall
		transfer from the monies remaining in the Project Revenues Collection Account
		to the Maintenance Capital Expenses Account, in the amount set forth in the
		Transfer Date Certificate and certified therein to be the amount necessary to
		pay Maintenance Capital Expenses that are or will become due and payable during
		the immediately succeeding calendar month in accordance with the Operating
		Budget for the 
	 

	 
		 
	 

	 
		11
	 

	 
		 
	 

	 
 

	 
		Project and for which insufficient funds are
		available for payment thereof in the Maintenance Capital Expense Account,
		provided that the amount set forth in such Transfer Date
		Certificate shall not exceed the amount permitted to be expended for
		Maintenance Capital Expenses with respect to such Plant pursuant to the Credit
		Agreement;
	 

	 
		(iii) Third: after
		making the transfers specified in clauses (i) and (ii) above, the Depositary
		Agent shall transfer from the monies remaining in the Project Revenues
		Collection Account to the relevant Construction Account the amount set forth in
		the Transfer Date Certificate and certified therein to be the amount permitted
		to be so transferred under Section 5.21(g) of the Credit Agreement and
		necessary to pay Project Costs due and owing during the immediately succeeding
		calendar month;
	 

	 
		(iv) Fourth: After
		making the transfers specified in clauses (i) through (iii) above, the
		Depositary Agent shall transfer from the monies remaining in the Project
		Revenues Collection Account to the Debt Service and Related Payments Account
		the amount set forth in the Transfer Date Certificate and certified therein to
		be the amount necessary to make the funds on deposit in the Debt Service and
		Related Payments Account (and allocated for such purposes) equal to the sum
		(without duplication) of the following amounts (in the order of priority set
		forth below and pro rata within each
		sub-clause set forth below):
	 

	 
		(A) the amount of accrued interest in
		respect of the Working Capital Loans and accrued Commitment Fees in respect of
		the Unutilized Commitment in respect of the Working Capital Loan
		Commitment;
	 

	 
		(B) (1) the amount at the time due or
		accrued, or to become due or to accrue during the Monthly Period commencing on
		such Monthly Transfer Date, in respect of interest on the Loans (other than the
		Working Capital Loans) pursuant to the Financing Documents; provided,
		however, that to the extent that any floating interest rate
		necessary to compute such amount is not ascertainable on any date of
		determination, then for purposes of computing such amount, such interest shall
		be deemed to accrue at the Assumed Interest Rate as of such date; and (2) the
		amount at the time due or accrued, or to become due or to accrue during the
		Monthly Period commencing on the Monthly Transfer Date, in respect of interest
		under any Required Hedging Agreements;
	 

	 
		(C) the amount at the time due or accrued,
		or to become due or to accrue during the Monthly Period commencing on such
		Monthly Transfer Date, in respect of the fees payable with respect to the
		Obligations; 
	 

	 
		(D) the outstanding principal in respect of
		the Working Capital Loans;
	 

	 
		(E) (1) an amount equal to the product of
		(I) one-third times the number of months elapsed since the preceding Principal
		Payment Date (or, in the event that no Principal Payment Date has yet occurred,
		the number of months elapsed since the Quarterly Date occurring prior to the
		first Principal Payment 
	 

	 
		 
	 

	 
		12
	 

	 
		 
	 

	 
 

	 
		Date) (including the month in which such
		Monthly Transfer Date occurs) times (II) the aggregate principal amount to
		become due on the next succeeding Principal Payment Date with respect to the
		Loans; and (2) the amount of any termination payments under any Required
		Hedging Agreement due and payable at any time during the Monthly Period
		commencing on such Monthly Transfer Date; and
	 

	 
		(F) any other amount (to the extent not
		covered by any other clause of this Section 4.2(a)(iv)) at the time due or to
		become due during the Monthly Period commencing on such Monthly Transfer Date
		in respect of the Obligations;
	 

	 
		(v) Fifth: After
		making the transfers specified in clauses (i) through (iv) above, but subject
		to the provisions of Article V, the Depositary Agent shall transfer from the
		monies remaining in the Project Revenues Collection Account to the Debt Service
		Reserve Account the amount set forth in the Transfer Date Certificate and
		certified therein to be the amount equal to the excess, if any, of (A) the
		Required Debt Service Reserve Amount as of such Monthly Transfer Date over (B)
		the sum of (x) the amount then on deposit in the Debt Service Reserve Account
		and (y) the undrawn amount then available under any outstanding DSRA Letter(s)
		of Credit on such date, after giving effect to any withdrawals from the Debt
		Service Reserve Account to be made on such Monthly Transfer Date;
	 

	 
		(vi) Sixth: After
		making the transfers specified in clauses (i) through (v) above, in the event
		that an Event of Loss has occurred that relates to any Property which is the
		subject of a Grain Facility Lease, the Depositary Agent shall transfer from the
		monies remaining in the Project Revenues Collection Account to the Cargill Loss
		Proceeds Account the amount set forth in the Transfer Date Certificate and
		certified therein to be the amount equal to the excess if any of (A) the amount
		which in the opinion of the Independent Engineer is sufficient to Restore such
		Property over (B) the Loss Proceeds which relate to such Event of Loss
		affecting such Property that are then on deposit in the relevant Escrow Account
		described in the Escrow Agreement after giving effect to any withdrawals from
		the Cargill Loss Proceeds Accounts to be made on such Monthly Transfer Date.
		
	 

	 
		(vii) Seventh: After
		making the transfers specified in clauses (i) through (vi) above, the
		Depositary Agent shall transfer from the monies remaining in the Project
		Revenues Collection Account to the ECF Sweep Account the amount set forth in
		the Transfer Date Certificate and certified therein to be the amount equal to
		the sum of (x) forty percent (40%) of the monies remaining in the Project
		Revenues Collection Account (which percentage shall increase to seventy-five
		percent (75%) of such monies if the Depositary Agent shall have received
		written notice from the Administrative Agent, the Collateral Agent or any
		Borrower that a VEETC Event shall have occurred and be continuing)
		plus (y) the amount set forth in the Transfer Date
		Certificate and certified to be the additional amount which, upon application
		of such additional amount on the next Principal Payment Date to the prepayment
		of the Loans (other than the Working Capital Loans) pursuant to Section 4.8 of
		this Agreement and Section 6.3(d) of the Credit Agreement, will cause the then
		outstanding principal amount of the Loans to be equal to 
	 

	 
		 
	 

	 
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		the Target Balance Amount for such Principal
		Payment Date; provided, however, that if
		the most recent Financial Covenants Statement shall indicate that the
		Historical Debt Service Coverage Ratio for the period most recently ended prior
		to the Monthly Transfer Date shall be less than 1.50:1.00, the Depositary Agent
		shall transfer from the monies remaining in the Project Revenues Collection
		Account to the ECF Sweep Account the entire balance remaining on deposit in the
		Project Revenues Collection Account;
	 

	 
		(viii) Eighth: After
		making the transfers specified in clauses (i) through (vii) above, commencing
		on the first Quarterly Date after the Conversion Date, the Depositary Agent
		shall transfer from the monies remaining in the Project Revenues Collection
		Account to the Tax Distributions Account the amount set forth in the Transfer
		Date Certificate and certified therein to be the amount necessary to make the
		funds on deposit in the Tax Distributions Account equal to the product of (A)
		one-third times the number of months elapsed since the preceding Quarterly
		Date, times (B) the Tax Distribution for the preceding Quarterly Period;

	 

	 
		(ix) Ninth: After
		making the transfers specified in clauses (i) through (viii) above, commencing
		on the first Monthly Transfer Date after the Depositary Agent shall have
		received written notice from the Administrative Agent, the Collateral Agent or
		any Borrower that a VEETC Event shall have occurred and be continuing, the
		Depositary Agent shall transfer from the monies remaining in the Project
		Revenues Collection Account to the VEETC Holding Account the entire balance
		remaining on deposit in the Project Revenues Collection Account; 
	 

	 
		(x) Tenth: After
		making the transfers specified in clauses (i) through (ix) above, if the most
		recent Financial Covenants Statement shall indicate that (A) the Historical
		Debt Service Coverage Ratio for the period most recently ended prior to the
		Monthly Transfer Date is greater than or equal to 1.50:1.00 and (B) the
		Prospective Debt Service Coverage Ratio for such period is less than 1.50:1.00,
		the Depositary Agent shall transfer from the monies remaining in the Project
		Revenues Collection Account to the Prepayment Holding Account the entire
		balance remaining on deposit in the Project Revenues Collection Account;

	 

	 
		(xi) Eleventh: After
		making the transfers specified in clauses (i) through (x) above, the Depositary
		Agent shall transfer from the monies remaining in the Project Revenues
		Collection Account, if any, to the Hedging Reserve Account the amount set forth
		in the Transfer Date Certificate as specified by the Borrower’s Agent as
		the amount required to be deposited into the Hedging Reserve Account pursuant
		to the Risk Management Policy; and
	 

	 
		(xii) Twelfth: After
		making the transfers specified in clauses (i) through (xi) above, the
		Depositary Agent shall transfer from the monies remaining in the Project
		Revenues Collection Account to the Distribution Account the entire balance
		remaining on deposit in the Project Revenues Collection Account.
	 

	 
		(b) If, on any Monthly Transfer Date, the
		amount available in the Project Revenues Collection Account is insufficient to
		make the deposits to the Debt Service and 
	 

	 
		 
	 

	 
		14
	 

	 
		 
	 

	 
 

	 
		Related Payments Account specified in
		Section 4.2(a)(iii), or if on any date, the amount available in the Debt
		Service and Related Payments Account is insufficient to pay the amounts
		specified in Section 4.4 hereof which are then due (after giving effect to the
		prescribed order of priority within the Debt Service and Related Payments
		Account and after giving effect to any transfers required to be made on such
		date pursuant to Sections 4.9, 4.10 and 4.12 below), the Depositary Agent,
		without further direction from any Borrower, shall withdraw the amount of such
		deficiency from the following Accounts in the following order of priority and
		deposit such amount into the Debt Service and Related Payments Account for
		application in accordance with this Account Agreement: first, the
		Distribution Account, second, the
		Prepayment Holding Account; third, the VEETC
		Holding Account, fourth, the Tax Distributions Account, fifth, the ECF
		Sweep Account, sixth, the Debt Service Reserve Account, and seventh, the
		Hedging Reserve Account.
	 

	 
		(c) If, on any Monthly Transfer Date, the
		amount available in the Project Revenues Collection Account is insufficient to
		make the deposits to the Operating Account specified in Section 4.2(a)(i), or
		if on any date, the amounts available in the Operating Account and the Payment
		Accounts are insufficient to pay the Operation and Maintenance Expenses
		specified in Section 4.3 hereof which are then due (after giving effect to any
		transfers required to be made on such date pursuant to Section 4.12 below), the
		Depositary Agent, upon the written instructions of the Borrowers’ Agent
		(and with a copy to the Administrative Agent and the Collateral Agent), shall
		withdraw the amount of such deficiency from the following Accounts in the
		following order of priority and deposit such amount into the Operating Account
		for application to such Operation and Maintenance Expenses in accordance with
		this Account Agreement: first, the
		Distribution Account, second, the
		VEETC Holding Account, third, the Tax
		Distribution Account, and fourth, the
		Hedging Reserve Account; provided, that
		the amounts transferred from any of the VEECT Holding Account, the Tax
		Distribution Account and the Hedging Reserve Account pursuant to this Section
		4.2(c) shall not exceed $2,500,000 in the aggregate at any time prior to the
		Loan Termination Date.
	 

	 
		(d) The Depositary Agent shall transfer from
		the Project Revenues Collection Account to the Debt Service and Related
		Payments Account, an amount equal to the principal amount of Working Capital
		Loans which the Borrower may have elected to repay on such date by written
		notice to the Administrative Agent and the Depositary Agent. If a notice
		pursuant to this Section 4.2(d) is delivered at or prior to 12:00 noon, New
		York time, on a Business Day, the Depositary Agent shall make such payment on
		the same Business Day and if such a notice is delivered after 12:00 noon, New
		York time, the Depositary Agent shall make such payment than no later than
		12:00 noon, New York time, on the next Business Day. 
	 

	 
		Section 4.3 Operating Account; Payment Accounts. (a) Except as otherwise provided in this Account
		Agreement, all funds from time to time on deposit in the Operating Account
		shall be withdrawn and transferred to the applicable Payment Account as
		provided in the relevant Transfer Date Certificate.
	 

	 
		(b) All funds from time to time on deposit
		in each Payment Account shall be available to the Borrower at any time to be
		applied as determined by the Borrower solely for the payment of Operation and
		Maintenance Expenses when due.
	 

	 
		 
	 

	 
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		Section 4.4 Debt Service and Related Payments
		Account. (a) On any date on which any
		principal of or interest on any of the Loans or any other amount in respect of
		the Obligations is due and payable, as set forth in the most recent Transfer
		Date Certificate or in any written notice to the Depositary Agent from the
		Administrative Agent, the Depositary Agent shall withdraw such amount from the
		monies on deposit in the Debt Service and Related Payments Account (and
		allocated for such purpose) and remit such monies to the Persons entitled
		thereto (ratably to the extent sufficient funds are not available in such
		Account) in accordance with such Transfer Date Certificate or such written
		notice.
	 

	 
		(b) On the date on which any amounts are
		transferred from the Project Revenues Collection Account to the Debt Service
		and Related Payments Account pursuant to Section 4.2(d), the Depositary Agent
		shall withdraw such amount from the monies on deposit in the Debt Service and
		Related Payments Account and remit such monies to the Administrative
		Agent.
	 

	 
		Section 4.5 Debt Service Reserve Account. (a) Monies on deposit in the Debt Service Reserve
		Account shall be applied as provided in Section 4.2(b) hereof.
	 

	 
		(b) In the event that on any Monthly
		Transfer Date the aggregate amount of monies in the Debt Service Reserve
		Account plus the undrawn amount then available under any outstanding
		DSRA Letter(s) of Credit on such date, exceeds the amount required by this
		Account Agreement to be on deposit therein as indicated in the relevant
		Transfer Date Certificate, then prior to making the transfers pursuant to
		Section 4.3 on such Monthly Transfer Date, the Depositary Agent shall transfer
		such excess monies from the Debt Service Reserve Account to the Project
		Revenues Collection Account.
	 

	 
		Section 4.6 Maintenance Capital Expense Account.
	 

	 
		(a) Except as otherwise provided in this
		Account Agreement, all funds from time to time on deposit in the Maintenance
		Capital Expense Account shall be withdrawn and transferred to the applicable
		Payment Account as provided in the relevant Transfer Date Certificate.
	 

	 
		(b) All funds from time to time on deposit
		in each Payment Account shall be available to the Borrower at any time to be
		applied as determined by the Borrower solely for the payment of Maintenance
		Capital Expenses when due.
	 

	 
		Section 4.7 Tax Distribution Account. On any Monthly Transfer Date which is also a Quarterly
		Distribution Date, the Depositary Agent, without any further direction from the
		Borrower, but after making any transfers required under Section 4.2(c), shall
		withdraw the monies on deposit in the Tax Distribution Account and transfer
		such monies to the Members in accordance with the Transfer Date Certificate and
		Section 5.16 of the Credit Agreement.
	 

	 
		Section 4.8 ECF Sweep Account. On each Principal Payment Date (or on the date on
		which any transfer is made to the ECF Sweep Account pursuant to Section
		4.9(b)(ii) or 4.10(b)(ii)), the Depositary Agent, without any further direction
		from the Borrower, shall withdraw the monies on deposit in the ECF Sweep
		Account and remit such monies to the 
	 

	 
		 
	 

	 
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		Administrative Agent for distribution to the
		Lenders entitled thereto and application to the prepayment of the Loans in
		accordance with Section 6.3(d) of the Credit Agreement.
	 

	 
		Section 4.9 Prepayment Holding Account. (a) If, on any Monthly Transfer Date, the amount
		available in the Project Revenues Collection Account is insufficient to make
		all of the deposits required by clause (iv) of Section 4.2(a), then, after
		giving effect to any deposit into the Project Revenues Collection Account
		required by Section 4.10 and 4.12 below, the Depositary Agent, without further
		direction from the Borrower, shall withdraw the amount of such deficiency from
		the Prepayment Holding Account and deposit such amount into the Project
		Revenues Collection Account for application on such date in accordance with
		Section 4.2(a)(iv). 
	 

	 
		(b) On any Principal Payment Date on which
		funds are on deposit in the Prepayment Holding Account, after giving effect to
		any transfers required by Section 4.9(a), such funds in the Prepayment Holding
		Account shall be applied upon receipt of written instructions from the
		Borrowers’ Agent or the Administrative Agent in accordance with the
		following:
	 

	 
		(i) If the most recent Financial Covenants
		Statement (which statement and the supporting data thereto shall be subject to
		review and confirmation by the Administrative Agent) shall indicate that (A)
		the Historical Debt Service Coverage Ratio for the period most recently ended
		prior to such Principal Payment Date is greater than or equal to 1.50:1.00 and
		(B) the Prospective Debt Service Coverage Ratio for such period is greater than
		or equal to 1.50:1.00, the Depositary Agent (acting on instructions of the
		Administrative Agent) shall transfer the entire remaining balance on deposit in
		the Prepayment Holding Account to the Distribution Account the entire balance
		remaining on deposit in the Prepayment Holding Account; and
	 

	 
		(ii) If the most recent Financial Covenants
		Statement (which statement and the supporting data thereto shall be subject to
		review and confirmation by the Administrative Agent) shall indicate that the
		Historical Debt Service Coverage Ratio for the period most recently ended prior
		to such Principal Payment Date is less than 1.50:1.00, the Depositary Agent
		(acting on instructions of the Administrative Agent) shall transfer the entire
		remaining balance on deposit in the Prepayment Holding Account to the ECF Sweep
		Account for application as a prepayment of the Loans in accordance with the
		Credit Agreement.
	 

	 
		Section 4.10 VEETC Holding Account. (a) If, on any Monthly Transfer Date, the amount
		available in the Project Revenues Collection Account is insufficient to make
		all of the deposits required by clauses (iv) of Section 4.2(a), then, after
		giving effect to any deposit into the Project Revenues Collection Account
		required by Sections 4.12 below, the Depositary Agent, without further
		direction from the Borrower, shall withdraw the amount of such deficiency from
		the VEETC Holding Account and deposit such amount into the Project Revenues
		Collection Account for application on such date in accordance with
		Section 4.2(a)(iv). 
	 

	 
		(b) On any Principal Payment Date on which
		funds are on deposit in the VEETC Holding Account, after giving effect to any
		transfers required by Section 4.10(a), such 
	 

	 
		 
	 

	 
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		funds in the Prepayment Holding Account
		shall be applied upon receipt of written instructions from the Borrowers’
		Agent or the Administrative Agent in accordance with the following:
	 

	 
		(i) If the Volumetric Ethanol Excise Tax
		Credit is extended at any time after the occurrence of a VEETC Event and before
		December 31, 2010, the Depositary Agent (acting on instructions of the
		Administrative Agent) shall transfer the entire remaining balance on deposit in
		the VEETC Holding Account to the Distribution Account; and
	 

	 
		(ii) If the Volumetric Ethanol Excise Tax
		Credit is not extended before December 31, 2010, the Depositary Agent (acting
		on instructions of the Administrative Agent) shall on December 31, 2010
		transfer the entire remaining balance on deposit in the VEETC Holding Account
		to the ECF Sweep Account for application as a prepayment of the Loans in
		accordance with the Credit Agreement.
	 

	 
		Section 4.11 Hedging Reserve Account. (a) The Depositary Agent shall make withdrawals and
		transfers of monies to the extent then available in the Hedging Reserve Account
		(except as otherwise set forth in this Account Agreement) in accordance with an
		Officer’s Certificate, to be received by the Depositary Agent (with a copy
		to the Administrative Agent) at least two Business Days prior to the proposed
		transfer date setting forth the amounts to be withdrawn and transferred
		pursuant to this Section 4.11 and the counterparties to Hedging Agreements
		to whom and the dates on which amounts withdrawn are to be paid and the address
		or wire transfer instructions required for such payments (so long as the
		Depositary Agent shall not have received prior to such proposed transfer date a
		written objection from the Administrative Agent with respect to such withdrawal
		and transfer stating that such withdrawal and transfer does not comply with
		this Account Agreement or any other Financing Document). Except to the extent
		that funds on deposit in the Hedging Reserve Account are utilized as specified
		in Sections 4.2(b) and (c), all funds from time to time on deposit in the
		Hedging Reserve Account shall be available to the Borrower at any time to be
		applied solely for the payment when due of margin calls pursuant to Hedging
		Agreements entered into in accordance with the Risk Management Policy.
	 

	 
		(b) In the event that on any Monthly
		Transfer Date the aggregate amount of monies in the Hedging Reserve Account
		exceeds the amount required by the Risk Management Policy to be on deposit
		therein as provided in the relevant Transfer Date Certificate, then prior to
		making the transfers pursuant to Section 4.2 on such Monthly Transfer Date, the
		Depositary Agent (acting on instructions of the Administrative Agent) shall
		transfer such excess monies from the Hedging Reserve Account to the Project
		Revenues Collection Account.
	 

	 
		Section 4.12 Distribution Account. (a) If, on any Monthly Transfer Date, the amount
		available in the Project Revenues Collection Account is insufficient to make
		all of the deposits required by clauses (i) through (vii) of Section 4.2(a),
		then, the Depositary Agent, without any further direction from the Borrower,
		shall withdraw the amount of such deficiency from the Distribution Account and
		deposit such amount into the Project Revenues Collection Account for
		application on such date in accordance with Section 4.2.
	 

	 
		(b) In the event that an Event of Loss has
		occurred that relates to any Property which is the subject of a Grain Facility
		Lease, (i) the Borrowers’ Agent shall so notify the 
	 

	 
		 
	 

	 
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		Administrative Agent (with a copy of such
		notice to the Depositary Agent), (ii) the Administrative Agent (in consultation
		with the Independent Engineer) shall determine (x) the amount which in the
		opinion of the Independent Engineer is sufficient to Restore such Property and
		(y) the amount of the Loss Proceeds which relate to such Event of Loss
		affecting such Property that are then on deposit in the relevant Escrow Account
		described in the Escrow Agreement and (iii) the Administrative Agent shall
		notify the Borrowers’ Agent and the Depositary Agent of such amounts
		specified in clauses (x) and (y) above. Upon receipt of such notice from the
		Administrative Agent, the Depositary Agent shall transfer to the Cargill Loss
		Proceeds Account from the monies then on deposit in the Distribution Account an
		amount equal to the excess if any of (A) such amount which in the opinion of
		the Independent Engineer is sufficient to Restore such Property over (B) such
		Loss Proceeds.
	 

	 
		(c) In the event that the Performance
		Guarantees with respect to any Plant are deemed satisfied pursuant to Section
		6.5.5(b) of the relevant EPC Contract, the Administrative Agent (in
		consultation with the Independent Engineer) shall furnish to the Depositary
		Agent (with a copy to the Borrowers’ Agent) a certificate setting forth
		the amount of Performance Liquidated Damages which the relevant Borrower will
		fail to receive as a result of such deemed satisfaction (in which the
		Independent Engineer shall assume for purposes of such calculation that the
		performance levels of such Plant shall not exceed (or be more favorable than)
		the results obtained in the last performance test conducted in accordance with
		such EPC Contract). Upon receipt of such certificate from the Administrative
		Agent, the Depositary Agent shall transfer from the Distribution Account to the
		Administrative Agent an amount equal to such foregone Performance Liquidated
		Damages for application to the prepayment of the Loans in accordance with
		Sections 5.10(c) and 6.3(a) of the Credit Agreement, and to the extent that the
		amounts then on deposit in the Distribution Account are not sufficient to make
		such transfer, the Depositary Agent shall, on each date on which funds are
		deposited into the Distribution Account (but after giving effect to any
		transfers required by Sections 4.12(a) and (b)), transfer such funds to the
		Administrative Agent for application to such prepayment of the Loans until such
		time as the full amount specified in such certificate from the Administrative
		Agent has been so transferred from the Distribution Account.
	 

	 
		(d) On any Monthly Transfer Date which is
		also a Quarterly Distribution Date, after giving effect to any transfers
		required by Sections 4.12(a), (b) and (c), the Depositary Agent shall transfer
		from the Distribution Account to the Borrower the then current balance in the
		Distribution Account for the purpose of making Distributions or any other
		lawful purpose; provided, however, that no
		transfer of monies from the Distribution Account shall be made pursuant to this
		Section 4.12(d) on any Quarterly Distribution Date unless (i) in the applicable
		Transfer Date Certificate and the Distribution Date Certificate, the Borrower
		shall have certified that the Distribution Release Conditions have been
		satisfied with respect to such Quarterly Distribution Date, and (ii) the
		Depositary Agent shall not have received prior to such Quarterly Distribution
		Date a written objection from the Administrative Agent stating that the
		Distribution Release Conditions have not been satisfied with respect to such
		Quarterly Distribution Date. Any such transfer of funds from the Distribution
		Account shall be made in the following order of priority: first, to pay any amounts then due and payable in respect of
		Mezzanine Debt, and second, to make
		any other Distribution as determined by the Borrower.
	 

	 
		 
	 

	 
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		Section 4.13 Loss Proceeds Account. (a) Amounts on deposit in the Loss Proceeds Account
		shall be held therein until distribution in the manner set forth in clauses (b)
		through (e) below.
	 

	 
		(b) Upon the deposit of Loss Proceeds into
		the Loss Proceeds Account, the Borrower shall deliver to the Depositary Agent
		an Officer’s Certificate (with copy to the Administrative Agent) setting
		forth (i) the source of such Loss Proceeds, (ii) the reasonable expenses
		incurred in respect of the collection of such Loss Proceeds, and (iii) whether
		the Net Available Amount of such Loss Proceeds is required to be applied to the
		prepayment of Loans in accordance with Sections 5.11 and 6.3(b) of the Credit
		Agreement. The Depositary Agent shall transfer the amount representing such
		reasonable expenses referred to in clause (ii) of the preceding sentence
		directly to the Project Revenues Collection Account.
	 

	 
		(c) In the event that pursuant to Sections
		5.11 and 6.3(b) of the Credit Agreement the Borrower is required to prepay the
		Loans from the Net Available Amount of Loss Proceeds, then the Depositary Agent
		shall transfer the monies representing the Net Available Amount of such Loss
		Proceeds to the Administrative Agent in accordance with the instructions of the
		Administrative Agent for application to the prepayment of the Loans in
		accordance with Sections 5.11 and 6.3(b) of the Credit Agreement.
	 

	 
		(d) In the event that pursuant to
		Section 5.11 of the Credit Agreement the Borrower shall be required to
		Restore the Project, then upon delivery to the Depositary Agent (with a copy to
		the Administrative Agent) of an Officer’s Certificate certifying that all
		of the conditions set forth in Section 5.11 of the Credit Agreement have been
		satisfied, the Net Available Amount of Loss Proceeds on deposit in the Loss
		Proceeds Account shall be applied in accordance with Section 4.13(e)
		below.
	 

	 
		(e) (i) Before any withdrawal and transfer
		shall be made from the Loss Proceeds Account on a Requisition Date, there shall
		be filed with the Depositary Agent (with a copy to the Administrative Agent) at
		least three Business Days prior to such Requisition Date a requisition from the
		Borrowers’ Agent in the form attached hereto as Exhibit B (a
		“Restoration
		Requisition”) dated not more than
		eight Business Days prior to the Requisition Date on which such withdrawal and
		transfer is to be made, signed by an Authorized Officer of the Borrowers’
		Agent, together with the certificates and other items required to be attached
		thereto in accordance with Exhibit B. 
	 

	 
		(ii) On any Requisition Date referred to in
		Section 4.13(e)(i), following receipt of the documents described in Section
		4.13(e)(i), the Depositary Agent shall withdraw and transfer from the Loss
		Proceeds Account and shall remit to or upon the order of the Borrower the
		amount set forth in the Restoration Requisition, and thereafter the Borrower
		shall remit or cause to be remitted to the applicable payees any amounts so
		transferred in accordance with such Restoration Requisition.
	 

	 
		(iii) Upon completion of any Restoration
		Work, there shall be filed with the Depositary Agent (with a copy to the
		Administrative Agent) (A) an Officer’s Certificate certifying the
		completion of the Restoration of the Project and the amount, if any, required
		in the opinion of the Borrower to be retained in the Loss Proceeds Account for
		
	 

	 
		 
	 

	 
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		the payment of any remaining costs of
		Restoration not then due and payable or the liability for payment of which is
		being contested or disputed by the Borrower and for the payment of reasonable
		contingencies following completion of the Restoration and (B) if the Net
		Available Amount of Loss Proceeds initially deposited in the Loss Proceeds
		Account in respect of such Event of Loss exceeded $15,000,000, a certificate of
		an Authorized Officer of the Independent Engineer stating that completion of
		the Restoration of the Project has occurred and concurring with the amounts to
		be retained in the Loss Proceeds Account. Upon receipt of the documents
		described in clauses (A) and (B) above, the Depositary Agent shall
		transfer the amount, if any, remaining in the Loss Proceeds Account in excess
		of the amounts, if any, to remain in the Loss Proceeds Account as stated in the
		Officer’s Certificate referred to in the preceding sentence, to the
		Project Revenues Collection Account. Thereafter, upon receipt of an
		Officer’s Certificate certifying payment of all costs of Restoration of
		the Project, the Depositary Agent shall transfer any amounts remaining in the
		Loss Proceeds Account to the Project Revenues Collection Account.
	 

	 
		Section 4.14 Project Document Claims Account. Upon the deposit of the proceeds of any Project
		Document Claim into the Project Document Claims Account, the Borrowers’
		Agent shall furnish to the Depositary Agent (with a copy to the Administrative
		Agent) an Officer’s Certificate setting forth the source of the proceeds
		of such Project Document Claim and, if such Project Document Claim consists of
		Performance Liquidated Damages, the type of Performance Liquidated Damages
		represented thereby. The Depositary Agent shall transfer the monies
		representing the proceeds of such Project Document Claim to the Administrative
		Agent for application to the prepayment of the Loans in accordance with
		Sections 5.10(c) and 6.3(a) of the Credit Agreement.
	 

	 
		Section 4.15 Opco Equity Contribution Account. The Depositary Agent shall transfer the amounts on
		deposit in the Opco Equity Contribution Account solely to the Buffalo Lake
		Construction Account at the times and in the amounts specified in an Officers
		Certificate from the Borrowers’ Agent to the Depositary Agent (with a copy
		to the Administrative Agent) for application solely to the payment of Buffalo
		Lake Project Costs in accordance with the terms of this Agreement;
		provided, however, that
		two (2) Business Days prior to the date of the initial disbursement of the
		Buffalo Lake Construction Loans, all funds remaining in the Opco Equity
		Contribution Account shall be transferred to the Buffalo Lake Construction
		Account.
	 

	 
		Section 4.16 Cargill Loss Proceeds Account.
	 

	 
		(a) Amounts on deposit in the Cargill Loss
		Proceeds Account shall be held therein until distribution thereof upon receipt
		of an Officer’s Certificate from the Borrowers’ Agent to the
		Depositary Agent (with a copy to the Administrative Agent) identifying the
		amount to be transferred from the Cargill Loss Proceeds Account, the payee
		thereof, and confirming that the amount so transferred shall be applied solely
		to the payment of costs then due and payable of Restoring the Property which
		was the subject of the Event of Loss to which such amounts relate.
	 

	 
		(b) In the event that on any Monthly
		Transfer Date the aggregate amount of monies in the Cargill Loss Proceeds
		Account exceeds the amount required by this Agreement to be on deposit therein,
		then prior to making the transfers pursuant to Section 4.2 on such Monthly
		
	 

	 
		 
	 

	 
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		Transfer Date, the Depositary Agent (acting
		on instructions of the Administrative Agent) shall transfer such excess monies
		from the Cargill Loss Proceeds Account to the Project Revenues Collection
		Account. Upon receipt by the Depositary Agent of a certificate from the
		Independent Engineer (with a copy to the Administrative Agent and the
		Borrowers’ Agent) confirming the completion of the Restoration of the
		Property to which the amounts of deposit in the Cargill Loss Proceeds Account
		related, the Depositary Agent (acting on instructions of the Administrative
		Agent) shall transfer any remaining amounts on deposit in the Cargill Loss
		Proceeds Account to the Depositary Account.
	 

	 
		Section 4.17 Permitted Investments. Monies held in any
		Account (or Sub-Account) created by and held under this Account Agreement shall
		be invested and reinvested in Permitted Investments at the written direction
		(which may be in the form of a standing instruction) of an Authorized Officer
		of the Borrowers’ Agent; provided,
		however, that at any time when (a) the Depositary Agent has
		received written notice from any Secured Party that an Event of Default shall
		have occurred and be continuing or (b) an Authorized Officer of the
		Borrowers’ Agent has not timely furnished such a written direction or,
		after a request by the Depositary Agent, has not so confirmed a standing
		instruction to the Depositary Agent, the Depositary Agent (acting on
		instructions of the Collateral Agent pursuant to instructions of Administrative
		Agent) shall invest such monies only in Permitted Investments of the type
		specified in clause (iv) of the definition thereof. Any written direction of an
		Authorized Officer of the Borrowers’ Agent with respect to the investment
		or reinvestment of monies held in any Account (or Sub-Account) shall direct
		investment or reinvestment only in Permitted Investments that shall mature in
		such amounts and have maturity dates or be subject to redemption at the option
		of the holder thereof on or prior to maturity as needed for the purposes of
		such Account (or Sub-Account), but in no event shall such Permitted Investments
		mature more than (i) prior to the Conversion Date, 30 days after the date
		acquired and (ii) after the Conversion Date, one year after the date acquired.
		The Depositary Agent shall at any time and from time to time liquidate any or
		all of such investments prior to maturity as needed in order to effect the
		transfers and withdrawals contemplated by this Account Agreement in accordance
		with an Officer’s Certificate; provided that,
		in the absence of timely receipt of such an Officer’s Certificate, the
		Depositary Agent shall liquidate all such investments (using reasonable efforts
		to minimize the costs of such liquidation) as it deems necessary in order to
		effect the transfers and withdrawals contemplated by this Account Agreement. In
		the event any such investments are redeemed prior to the maturity thereof, the
		Depositary Agent shall not be liable for any loss or penalties relating
		thereto. Any income or gain realized from such investments shall be deposited
		into the Account (or the Sub-Account) from which such monies came. The
		Depositary Agent shall not be liable for any such loss other than by reason of
		its willful misconduct or gross negligence or any breach of its express
		obligations with respect to Permitted Investments in this Section 4.17. Monies
		held in the Payment Account may be invested and reinvested in Permitted
		Investments that shall mature in such amounts and have maturity dates or be
		subject to redemption at the option of the holder thereof on or prior to
		maturity as needed for the purposes of the Payment Account, but in no event
		shall the Permitted Investments mature more than 30 days after the date
		acquired. It is understood and agreed that the Depositary Agent or its
		affiliates are permitted to receive additional compensation that could be
		deemed to be in the Depositary Agent’s economic self-interest for (1)
		serving as investment adviser, administrator, shareholders servicing agent,
		custodian or sub-custodian with respect to certain of the investments, (2)
		using affiliates to effect transaction in certain investments and (3) effecting
		transactions in investments.
	 

	 
		 
	 

	 
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		Section 4.18 Taxation of Earnings. For tax purposes, and all interest, dividends and
		other income earned hereunder, which shall be credited to any Account for all
		purposes of this Agreement, shall be taxable to the applicable Borrower, and
		such Borrower shall file all tax returns consistent with such treatment.
		
	 

	 
		Section 4.19 Disposition of Accounts Upon Payment of
		Obligations. In the event that the
		Depositary Agent shall have received an Officer’s Certificate signed by
		the Administrative Agent stating that (a) the Loan Termination Date has
		occurred, (b) all claims for the payment of fees, costs and out-of-pocket
		expenses of any Secured Party of which the Administrative Agent is aware have
		been paid in full and (c) all other amounts required to be paid hereunder and
		under the other Financing Documents of which the Administrative Agent is aware
		have been paid in full, then all amounts remaining in any Account shall be paid
		by the Depositary Agent to the Borrowers’ Agent. All parties hereto agree
		that the payment of such amounts to the Borrowers’ Agent shall satisfy the
		obligations of the Depositary Agent under this Section 4.19.
	 

	 
		Section 4.20 Account Balance Statements. The Depositary Agent shall, on a monthly basis,
		provide to the Administrative Agent and the Borrowers’ Agent account
		balance statements in respect of each of the Accounts. Such balance statements
		shall also include deposits, withdrawals and transfers from and to any Account.
		At such other times as the Administrative Agent or the Borrowers’ Agent
		may from time to time reasonably request (but not more frequently than once
		each week unless an Event of Default shall have occurred and be continuing),
		the Depositary Agent shall provide written informal account information
		regarding (a) balances in respect of each of the Accounts, and (b) deposits,
		withdrawals and transfers from and to any Account. The Borrowers shall cause
		the Opco Local Bank, the Buffalo Lake Local Bank and the Pioneer Trail Local
		Bank (as such terms are defined in Section 2.2) to provide to the
		Administrative Agent, on a monthly basis, an account balance statement in
		respect of the Payment Account, which statement shall include deposits,
		withdrawals, payments and payees from such Payment Account during the period
		covered by such statement.
	 

	 
		ARTICLE V.
	 

	 
		DSRA LETTERS OF CREDIT
	 

	 
		Section 5.1 DSRA Letters of Credit. (a) At any time, and from time to time, the
		Borrowers’ Agent may deliver to the Collateral Agent one or more
		irrevocable letters of credit in respect of the Debt Service Reserve Account,
		each of which shall satisfy the criteria specified in Section 5.1(b) below
		(each such letter of credit being hereinafter referred to as a
		“DSRA Letter of
		Credit”), and upon receipt of any
		such DSRA Letter of Credit and otherwise subject to the terms of this Article
		V, the Collateral Agent shall notify the Depositary Agent that the Collateral
		Agent has received such DSRA Letter of Credit and shall advise the Depositary
		Agent of the stated amount thereof, and the Depositary Agent shall (i) promptly
		release monies on deposit in the Debt Service Reserve Account in an amount,
		such that the stated amount of such DSRA Letter of Credit plus the remaining
		balance in the Debt Service Reserve Account equals the Required Debt Service
		Reserve Amount, to or at the direction of the Borrower and (ii) treat the
		undrawn amount then available under such DSRA Letter of Credit as monies on
		deposit in the Debt Service Reserve Account for purposes of Section 4.2.
		
	 

	 
		 
	 

	 
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		(b) Each DSRA Letter of Credit (i) shall be
		issued by an Eligible Bank, which Eligible Bank shall have no recourse,
		directly or indirectly, against the Borrowers’ Agent, any Borrowers or any
		of their respective Properties in connection therewith, (ii) shall be in the
		form attached hereto as Exhibit C (with the blanks therein appropriately
		completed) and (iii) when delivered to the Collateral Agent, shall be
		accompanied by a certificate signed by an Authorized Officer of the
		Borrowers’ Agent certifying that the requirements applicable to such DSRA
		Letter of Credit set forth in this Article V have been satisfied. 
	 

	 
		Section 5.2 Drawings under DSRA Letters of Credit. If at any time the Depositary Agent is required to
		withdraw any amounts from the Debt Service Reserve Account pursuant to the
		terms of this Account Agreement, the Depositary Agent shall first withdraw any
		monies on deposit in the Debt Service Reserve Account and, to the extent that
		such monies are insufficient, the Depositary Agent shall notify the Collateral
		Agent of such insufficiency and the Collateral Agent shall make a drawing on
		any outstanding DSRA Letter(s) of Credit in the amount of such insufficiency
		and shall deposit the proceeds of such drawing in the Debt Service Reserve
		Account for application in accordance with this Account Agreement.
	 

	 
		Section 5.3 Termination of DSRA Letters of Credit. If the Collateral Agent receives notice from the
		issuer of a DSRA Letter of Credit that such issuer has elected not to renew
		such DSRA Letter of Credit and the Collateral Agent thereafter receives payment
		from such issuer of the stated amount of such DSRA Letter of Credit on the
		expiration date thereof in accordance with the terms of such DSRA Letter of
		Credit, the Collateral Agent shall promptly deposit such payment into the Debt
		Service Reserve Account.
	 

	 
		Section 5.4 Calculations, etc. When any amount is
		specified hereunder as being required to be on deposit in the Debt Service
		Reserve Account, such amount shall be calculated by adding (a) any monies on
		deposit in such account at such date and (b) the undrawn amount then available
		under any outstanding DSRA Letter(s) of Credit on such date. The Depositary
		Agent may conclusively rely on written advice given by the Collateral Agent as
		to the amount described in clause (b) above.
	 

	 
		ARTICLE VI.
	 

	 
		EVENTS OF DEFAULT AND REMEDIES

	 

	 
		Section 6.1 Events of Default. (a)
		Notwithstanding anything herein to the contrary, on and after any date on which
		the Depositary Agent receives a written notice from any other Agent stating
		that an Event of Default has occurred (the date of receipt of any such notice,
		the “Default Notice
		Date”), the Depositary Agent shall
		thereafter accept all notices and instructions required to be given to the
		Depositary Agent pursuant to the terms of this Account Agreement only from the
		Collateral Agent (acting on instructions of the Administrative Agent pursuant
		to the Credit Agreement) and not from any other Person, and the Depositary
		Agent shall not withdraw, dispose of, transfer, pay or otherwise distribute any
		monies in any of the Accounts except pursuant to such notices and instructions
		from the Collateral Agent (acting on instructions of the Administrative Agent).
		
	 

	 
		 
	 

	 
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		(b) On the Default Notice Date, the
		Depositary Agent shall render an accounting of all monies in the Accounts as of
		the Default Notice Date to each Agent.
	 

	 
		(c) On and after the Default Notice Date,
		unless otherwise instructed in writing by the Collateral Agent (acting on
		instructions of the Administrative Agent), the Depositary Agent shall comply
		with Sections 4.12(a), (b) and (c) hereof and shall distribute all amounts then
		held in the Project Revenues Collection Account in accordance with Sections 4.2
		through 4.11 hereof (except that (i) no withdrawal, transfer or payment shall
		be made in accordance with Section 4.2(a)(i), 4.2(a)(ii), 4.2(a)(iii),
		4.2(a)(viii), 4.2(a)(ix), 4.3, 4.6, 4.7, 4.9(b)(i), 4.10(b)(i) or 4.12(d)
		unless the Depositary Agent shall have been instructed in writing by the
		Collateral Agent to make such withdrawal, disposition, transfer or payment and
		(ii) the Transfer Date Certificate(s) shall be prepared and delivered to the
		Depositary Agent by the Administrative Agent rather than the Borrower), in the
		order of priority set forth in such Sections, and ratably to the amounts due to
		the Secured Parties entitled to payment from a particular Account, to the
		extent sufficient funds are not available in such Account to pay all such
		amounts in full.
	 

	 
		(d) Upon receipt from the Collateral Agent
		or any other Person of any cash proceeds resulting from any sale, disposition,
		liquidation or other realization or foreclosure, or of any other Enforcement
		Action, upon or with respect to the Collateral or any portion thereof, the
		Depositary Agent shall (i) first, deposit
		such proceeds into the Project Revenues Collection Account; (ii)
		second, pay to the Agents, ratably, the amounts at the time
		due in respect of the claims of such Persons for fees, costs and expenses;
		(iii) third, pay to the Secured Parties, ratably, the amounts at
		the time due in respect of the claims of such Persons for indemnities; and (iv)
		fourth, distribute the balance of such proceeds in accordance
		with Section 6.1(c) hereof.
	 

	 
		Section 6.2 Remedies. (a)
		During the existence of an Event of Default, the Collateral Agent (in
		accordance with the written directions of the Administrative Agent) may,
		without being required to give any notice (except as may be required by
		mandatory requirements of Law) and without limitation of and in addition to any
		and all rights with respect to the Account Agreement Collateral granted to the
		Collateral Agent or the other Secured Parties under the Credit Agreement and
		the other Financing Documents: 
	 

	 
		(i) personally, or by agents or attorneys,
		immediately take possession of the Account Agreement Collateral or any part
		thereof, from the Borrower or any other Person which then has possession of any
		part thereof with or without notice or process of Law;
	 

	 
		(ii) instruct the obligor or obligors on or
		any counterparties to any agreement, instrument or other obligation in respect
		of or relating to the Account Agreement Collateral to make any payment required
		by the terms of such instrument, agreement or obligation directly to the
		Collateral Agent;
	 

	 
		(iii) take possession of the Account
		Agreement Collateral or any part thereof by directing the Borrower in writing
		to deliver the same to the Collateral Agent at any place or places designated
		by the Collateral Agent, it being understood that the Borrower’s
		obligation so to deliver the Account Agreement Collateral is of the essence of
		this Account Agreement and that, accordingly, upon application to a court of
		equity hav-
	 

	 
		 
	 

	 
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		ing jurisdiction, the Collateral Agent shall
		be entitled to a decree requiring specific performance by the Borrower of such
		obligation;
	 

	 
		(iv) withdraw any and all cash and liquidate
		any and all investments in the Accounts and apply such cash, the liquidation
		proceeds of investments and other cash, if any, then held as Account Agreement
		Collateral pursuant to the Credit Agreement and the other Financing Documents;
		and
	 

	 
		(v) sell, assign or otherwise liquidate the
		Account Agreement Collateral or any part thereof at public or private sale, for
		cash, upon credit or for future delivery, and at such prices as the Collateral
		Agent may deem satisfactory and take possession of the proceeds of any such
		sale or liquidation. 
	 

	 
		(b) Any public sale of Account Agreement
		Collateral under this Section 6.2 shall be held at such time(s) within ordinary
		business hours and at such place(s) as the Collateral Agent may determine, in
		accordance with applicable requirements of Law. At any such sale, the Account
		Agreement Collateral may be sold in one lot as an entirety or in separate
		parcels, as the Collateral Agent may be directed or may determine. The
		Collateral Agent shall not be obligated to make any such sale pursuant to any
		previously delivered notice. The Collateral Agent may, without notice or
		publication, adjourn any public or private sale or cause the same to be
		adjourned from time to time by announcement at the time and place fixed for the
		sale, and such sale may be made at any time or place to which the same may be
		so adjourned. In case of any sale of all or any part of the Account Agreement
		Collateral on credit or for future delivery, the Account Agreement Collateral
		so sold may be retained by the Collateral Agent until the selling price is paid
		by the purchaser thereof, but the Collateral Agent shall not incur any
		liability in case of the failure of such purchaser to take up and pay for the
		Account Agreement Collateral so sold and, in case of any such failure, such
		Account Agreement Collateral may again be sold upon like notice.
	 

	 
		(c) To the extent permitted by any
		requirement of Law, the Collateral Agent (on behalf of any or all of the
		Secured Parties) or any or all of the Secured Parties may bid for and become
		the purchaser of the Account Agreement Collateral (or any portion thereof)
		offered for sale in accordance with this Section 6.2.
	 

	 
		(d) During the existence of an Event of
		Default, in addition to the rights otherwise provided herein, the Collateral
		Agent may exercise for the ratable benefit of the Secured Parties all rights of
		a secured party under the UCC and the Uniform Commercial Code in effect in all
		other relevant jurisdictions. In addition to the rights otherwise provided
		herein, the Collateral Agent may proceed by a suit or suits at Law or in equity
		to foreclose the security interests in and sell the Account Agreement
		Collateral (or any portion thereof) for the ratable benefit of the Secured
		Parties, under a judgment or decree of a court or courts of competent
		jurisdiction.
	 

	 
		(e) Upon any sale of Account Agreement
		Collateral under this Section 6.2, the Collateral Agent shall have the right to
		deliver, assign and transfer to the purchaser thereof the Account Agreement
		Collateral so sold. Each purchaser at any such sale shall hold the Account
		Agreement Collateral so sold to it absolutely and free from any Lien, claim or
		right of 
	 

	 
		 
	 

	 
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		any kind, and the Borrower, to the extent
		permitted by applicable requirements of Law, hereby specifically waives all
		rights of redemption, stay or appraisal that it has or may have under any
		requirement of Law now existing or hereafter adopted. The Borrower will execute
		and deliver such documents and take such other actions as the Collateral Agent
		deems necessary or advisable in order that any such sale may be made in
		compliance with applicable requirements of Law.
	 

	 
		ARTICLE VII.
	 

	 
		REPRESENTATIONS, WARRANTIES AND
		COVENANTS
	 

	 
		Section 7.1 Representations, Warranties
		and Covenants. Each Borrower represents, warrants and covenants as
		follows:
	 

	 
		(a) Necessary Filings. All filings, registrations and recordings necessary or
		appropriate to create, preserve, protect and perfect the security interest
		granted by each Borrower to the Collateral Agent hereby in respect of the
		Account Agreement Collateral have been accomplished and the security interest
		granted to the Collateral Agent pursuant to this Account Agreement in and to
		the Account Agreement Collateral constitutes a valid and enforceable perfected
		first-priority security interest therein superior and prior to the rights of
		all other Persons therein and subject to no other Liens and is entitled to all
		the rights, priorities and benefits afforded by the UCC or other relevant Law
		as enacted in any relevant jurisdiction to perfected security interests.
		
	 

	 
		(b) No Liens. The
		Account Agreement Collateral is and will be free from any Lien or other right,
		title or interest of any Person (other than the security interest granted to
		the Collateral Agent hereunder), and each Borrower shall defend the Account
		Agreement Collateral against all claims and demands of all Persons at any time
		claiming the same or any interest therein adverse to the Collateral
		Agent.
	 

	 
		(c) Other Financing Statements. There is no financing statement (or similar statement
		or instrument of registration under the Law of any jurisdiction) covering or
		purporting to cover any interest of any kind in the Account Agreement
		Collateral, and so long as any of the Obligations remain unpaid, any Borrower
		will not execute or authorize to be filed in any public office any financing
		statement (or similar statement or instrument of registration under the Law of
		any jurisdiction) or statements relating to the Account Agreement Collateral,
		except financing statements filed or to be filed in respect of and covering the
		security interests granted hereby. 
	 

	 
		(d) Chief Executive Office; Records;
		Location. The place of business or, if
		it has more than one place of business, the chief executive office of the
		Borrowers and the place where the records of each Borrower concerning the
		Account Agreement Collateral are kept are at:
	 

	 
		Opco: 1625 Broadway, Suite 2400, Denver,
		Colorado 80202
	 

	 
		Buffalo Lake: 1625 Broadway, Suite 2400,
		Denver, Colorado 80202
	 

	 
		Pioneer Trail: 1625 Broadway, Suite 2400,
		Denver, Colorado 80202
	 

	 
		 
	 

	 
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		Borrowers’ Agent: 1625 Broadway, Suite
		2400, Denver, Colorado 80202 
	 

	 
		The originals of all documents evidencing
		the Account Agreement Collateral and the only original books of account and
		records of the Borrowers relating thereto are, and will continue to be, kept at
		such place of business or chief executive office, or at such new location as
		the Borrower may establish in accordance with this Account Agreement. Each
		Borrower’s jurisdiction of organization is the State of Delaware. Any
		Borrower shall not establish a new location for its chief executive office or
		change its jurisdiction of organization until (a) it shall have given to the
		Collateral Agent not less than 45 days’ prior written notice of its
		intention so to do, clearly describing such new location or jurisdiction and
		providing such other information in connection therewith as the Collateral
		Agent may reasonably request and (b) with respect to such new location or
		jurisdiction, it shall have taken all action, satisfactory to the
		Administrative Agent, to maintain the security interest of the Collateral Agent
		in the Account Agreement Collateral intended to be granted hereby at all times
		fully perfected and in full force and effect.
	 

	 
		(e) Further Actions.
		Each Borrower will, at its own expense, make, execute, endorse, acknowledge,
		file and/or deliver to the Collateral Agent from time to time such vouchers,
		invoices, schedules, confirmatory assignments, conveyances, financing
		statements, transfer endorsements, powers of attorney, certificates, reports
		and other assurances or instruments and take such further steps relating to the
		Account Agreement Collateral as is necessary or otherwise as the Collateral
		Agent (acting on the instructions of the Administrative Agent) may reasonably
		require.
	 

	 
		ARTICLE VIII.
	 

	 
		DEPOSITARY AGENT
	 

	 
		The provisions of this Article VIII are
		solely for the benefit of the Secured Parties and no Borrower shall have any
		rights or obligations under this Article VIII against the Depositary Agent, the
		Collateral Agent or any other Secured Party; provided, that
		the Depositary Agent shall be liable to the Borrowers for gross negligence,
		willful misconduct and the bad faith misapplication of monies held by it in
		accordance the terms of this Account Agreement.
	 

	 
		Section 8.1 Appointment of Depositary
		Agent, Powers and Immunities. The Collateral Agent (acting on instructions
		of the Administrative Agent) on behalf of the Secured Parties hereby
		irrevocably appoints and authorizes the Depositary Agent to act as its agent
		hereunder, with such powers as are expressly delegated to the Depositary Agent
		by the terms of this Account Agreement, together with such other powers as are
		reasonably incidental thereto. Each Borrower hereby acknowledges the
		appointment of the Depositary Agent to act as the agent for the Secured Parties
		hereunder, with such powers as are expressly delegated to the Depositary Agent
		by the terms of this Account Agreement, together with such other powers as are
		reasonably incidental thereto. The Depositary Agent shall not have any duties
		or responsibilities to any Person except those expressly set forth in this
		Account Agreement and shall not have any fiduciary relationship with any other
		Secured Party (and no implied covenants, functions or responsibilities shall be
		read into this Account Agreement or otherwise exist against the Depositary
		Agent). Without limiting the generality of the foregoing, the Depositary Agent
		shall take all actions as the Collateral Agent or the Administrative Agent
		shall direct it to take in 
	 

	 
		 
	 

	 
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		accordance with the express provisions of
		this Account Agreement. Notwithstanding anything to the contrary contained
		herein, the Depositary Agent shall not be required to take any action which is
		contrary to this Account Agreement or applicable Law or which would require the
		Depositary Agent to advance or extend its own funds or take action for which it
		is not indemnified to its satisfaction. Neither the Depositary Agent nor any of
		its Affiliates shall be responsible to any other Secured Party for any
		recitals, statements, representations or warranties made by any Borrower or the
		Collateral Agent contained in this Account Agreement or any other Transaction
		Document or in any certificate or other document referred to or provided for
		in, or received by any other Secured Party under, the Credit Agreement, this
		Account Agreement or any other Transaction Document, for the value, validity,
		effectiveness, genuineness, enforceability or sufficiency of this Account
		Agreement or any other Transaction Document or any other document referred to
		or provided for herein or therein or for any failure by any Borrower to perform
		its obligations hereunder or thereunder. The Depositary Agent shall not be
		required to ascertain or inquire as to the performance by any Borrower of any
		of its obligations under the Credit Agreement or any other Transaction Document
		or any other document or agreement contemplated hereby or thereby. The
		Depositary Agent shall not be (a) required to initiate or conduct any
		litigation or collection proceeding hereunder or under any other Security
		Document or (b) responsible for any action taken or omitted to be taken by
		it hereunder (except for its own gross negligence or willful misconduct) or in
		connection with any other Security Document; provided that
		the Depositary Agent shall be liable for its grossly negligent or bad faith
		misapplication of monies held by it in accordance with the terms of this
		Account Agreement or any other Security Document to which it is a party. Except
		as otherwise expressly set forth in this Account Agreement, the Depositary
		Agent shall take action under this Account Agreement only as it shall be
		directed in writing by the Administrative Agent. The Depositary Agent shall
		have the right at any time to reasonably seek instructions concerning the
		administration of this Account Agreement from the Collateral Agent, the
		Administrative Agent, legal counsel or any court of competent jurisdiction.
		
	 

	 
		Section 8.2    Reliance by
		Depositary Agent. The Depositary Agent shall be entitled to rely upon any
		Officer’s Certificate or officer’s certificate of an Authorized
		Officer of the Collateral Agent, the Administrative Agent or any other
		certificate, notice or other document (including any cable, telegram, telecopy
		or telex) believed by it to be genuine and to have been signed or sent by or on
		behalf of the proper Person or Persons, and upon advice of legal counsel,
		independent accountants and other experts selected by the Depositary Agent and
		shall have no liability for its actions taken thereupon, unless due to the
		Depositary Agent’s willful misconduct or gross negligence. The Depositary
		Agent shall be fully justified in failing or refusing to take any action under
		this Account Agreement (a) if such action would, in the opinion of the
		Depositary Agent, be contrary to applicable Law or the terms of this Account
		Agreement, (b) if such action is not specifically provided for in this Account
		Agreement and it shall not have received any such advice or concurrence of the
		Collateral Agent as it deems appropriate or (c) if, in connection with the
		taking of any such action that would constitute an exercise of remedies under
		this Account Agreement (whether such action is or is intended to be an action
		of the Depositary Agent or the Collateral Agent), it shall not first be
		indemnified to its satisfaction against any and all liability and expense which
		may be incurred by it by reason of taking or continuing to take any such
		action. The Depositary Agent shall in all cases be fully protected in acting,
		or in refraining from acting, under this Account Agreement in accordance with a
		request of the Collateral Agent (to the extent that the Collateral Agent is
		expressly authorized to direct 
	 

	 
		 
	 

	 
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		the Depositary Agent to take or refrain from
		taking such action) or the Administrative Agent, and such request and any
		action taken or failure to act pursuant thereto shall be binding upon all the
		Secured Parties. In the event that the Depositary Agent is required to perform
		any action on a particular date only following the delivery of an
		Officer’s Certificate or other document, the Depositary Agent shall be
		fully justified in failing to perform such action if it has not first received
		such Officer’s Certificate or other document and shall be fully justified
		in continuing to fail to perform such action until such time as it has received
		such Officer’s Certificate or other document.
	 

	 
		Section 8.3 Court Orders.
		The Depositary Agent is hereby authorized, in its exclusive discretion, to obey
		and comply with all writs, orders, judgments or decrees issued by any court or
		administrative agency affecting any money, documents or things held by the
		Depositary Agent. The Depositary Agent shall not be liable to any of the
		parties hereto or any other Secured Party, their successors, heirs or personal
		representatives by reason of the Depositary Agent’s compliance with such
		writs, orders, judgments or decrees, notwithstanding such writ, order, judgment
		or decree is later reversed, modified, set aside or vacated.
	 

	 
		Section 8.4 Resignation or Removal. Subject to the appointment and acceptance of a
		successor Depositary Agent as provided below, the Depositary Agent may resign
		at any time by giving 30 days’ prior written notice thereof to the
		Collateral Agent, the Administrative Agent and the Borrower. The Depositary
		Agent may be removed at any time with or without cause by the Collateral Agent
		(acting on instructions of the Administrative Agent). Upon any such resignation
		or removal, the Collateral Agent (acting on instructions of the Administrative
		Agent) shall have the right to appoint a successor Depositary Agent (which
		appointment shall be subject to the consent of the Borrower (not to be
		unreasonably withheld or delayed) so long as no Event of Default has occurred
		or is continuing) which successor shall be a bank that (a) has an office in New
		York, New York with capital, surplus and undivided profits of at least
		$50,000,000, (b) is experienced in administering similar financing
		transactions, (c) is experienced in administering non-recourse project finance
		transactions and (d) is reasonably acceptable to the other Agents. If no
		successor Depositary Agent shall have been appointed by the Collateral Agent
		(acting on instructions of the Administrative Agent) and shall have accepted
		such appointment within 30 days after the retiring Depositary Agent’s
		giving of notice of resignation or the removal of the retiring Depositary
		Agent, then the retiring Depositary Agent may appoint, or petition a court of
		competent jurisdiction to appoint, a successor Depositary Agent, which shall be
		a bank or trust company that (i) has an office in New York, New York with
		capital, surplus and undivided profits of at least $50,000,000, (ii) is
		experienced in administering similar financing transactions, (iii) is
		experienced in administering non-recourse project finance transactions and (iv)
		is acceptable to the other Agents. Upon the acceptance of any appointment as
		Depositary Agent hereunder by the successor Depositary Agent, (A) such
		successor Depositary Agent shall thereupon succeed to and become vested with
		all the rights, powers, privileges and duties of the retiring Depositary Agent,
		and the retiring Depositary Agent shall be discharged from its duties and
		obligations hereunder and (B) the retiring Depositary Agent shall promptly
		transfer all Accounts within its possession or control to the possession or
		control of the successor Depositary Agent and shall execute and deliver such
		notices, instructions and assignments as may be necessary or desirable to
		transfer the rights of the Depositary Agent with respect to the Accounts to the
		successor Depositary Agent. After the retiring Depositary Agent’s
		resignation or removal hereunder as Depositary Agent, the provisions of this
		Article VIII and of Article IX shall 
	 

	 
		 
	 

	 
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		continue in effect for its benefit in
		respect of any actions taken or omitted to be taken by it while it was acting
		as Depositary Agent. Further, a corporation into which the Depositary Agent is
		merged or converted or with which it is consolidated or which results from a
		merger, conversion or consolidation to which it is a party shall, to the extent
		permitted by applicable Law, be the successor Depositary Agent under this
		Account Agreement without further formality and shall thereupon succeed to and
		become vested with all the rights, powers, privileges and duties of the
		Depositary Agent with which such corporation was merged, converted or
		consolidated. The Depositary Agent concerned shall forthwith notify the
		Borrower and the Collateral Agent of any such event.
	 

	 
		Section 8.5 Representations and Agreements By Depositary
		Agent. The Depositary Agent hereby
		represents and agrees (in its capacity as securities intermediary hereunder)
		that (i) the Depositary Agent is a “securities intermediary” (as
		defined in Section 8-102(a)(14) of the UCC) and is acting in that capacity,
		(ii) the Depositary Agent is not a “clearing corporation” (as defined
		in Section 8-102(a)(5) of the UCC), (iii) each Account and Sub-Account is a
		“securities account” (as defined in Section 8-501(a) of the UCC),
		(iv) the Depositary Agent will treat any and all “instruments” (as
		defined in Section 9-102(a)(47) of the UCC), “securities” (as defined
		in Section 8-102(a)(15) of the UCC), “security entitlements” (as
		defined in Section 8-102(a)(17) of the UCC) and other assets and property
		credited from time to time to any of the Accounts or Sub-Accounts as
		“financial assets” (as defined in Section 8-102(a)(9) of the UCC),
		(v) no “financial asset” (as defined in Section 8-102(a)(9) of the
		UCC) credited to any Account shall be registered in the name of, payable to the
		order of, or specially indorsed to any person other than the Depositary Agent,
		unless indorsed to the Depositary Agent or in blank, (vi) the Borrower is the
		“entitlement holder” (as defined in Section 8-102(a)(7) of the UCC)
		of each Account and each Sub-Account thereof, subject to the
		“control” (within the meaning of Section 8-106 of the UCC) of the
		Collateral Agent, (vii) the Depositary Agent does not have any “adverse
		claim” (as defined in Section 8-102(a)(1) of the UCC) or “notice of
		adverse claim” (within the meaning of Section 8-105 of the UCC) in respect
		of any Account, Sub-Account or “financial asset” (as defined in
		Section 8-102(a)(9) of the UCC) credited thereto, and will promptly notify the
		Collateral Agent upon obtaining any such adverse claim or notice of adverse
		claim, and (viii) the Depositary Agent hereby subordinates any security
		interest, Lien and right of setoff in respect of any Account Agreement
		Collateral which the Depositary Agent may have or acquire from time to time by
		agreement or by operation of Law to the security interest of the Collateral
		Agent created by Section 2.3 hereof (for the avoidance of doubt, this shall not
		affect the rights of the Collateral Agent to setoff amounts in accordance with
		the Financing Documents). To the extent that the Accounts are not considered
		“securities accounts” (within the meaning of Section 8-501(a) of the
		UCC), the Accounts shall be deemed to be “deposit accounts” (as
		defined in Section 9-102(a)(29) of the UCC) to the extent a security interest
		can be granted and perfected under the UCC in the Accounts as deposit accounts,
		which the Depositary Agent shall maintain acting not as a securities
		intermediary but as a “bank” (within the meaning of Section
		9-102(a)(8) of the UCC). The Collateral Agent shall be deemed to be the
		“customer” of the Depositary Bank (within the meaning of Section
		9-104(a)(3) of the UCC) for purposes of the Accounts and as such shall be
		entitled to all the rights that customers of banks have under applicable law
		with respect to deposit accounts, including the right to withdraw funds from,
		or close, the Accounts. 
	 

	 
		 
	 

	 
		31
	 

	 
		 
	 

	 
 

	 
		ARTICLE IX.
	 

	 
		 
	 

	 
		EXPENSES; INDEMNIFICATION;
		FEES
	 

	 
		Section 9.1 Expenses. Each
		Borrower agrees to pay or reimburse all reasonable out-of-pocket expenses of
		the Depositary Agent (including reasonable fees and expenses for legal
		services) in respect of, or incidental to, the administration or enforcement of
		any of the provisions of this Account Agreement or in connection with any
		amendment, waiver or consent relating to this Account Agreement.
	 

	 
		Section 9.2 Indemnification.
		Each Borrower agrees to indemnify the Depositary Agent in its capacity as such,
		and, in their capacity as such, its officers, directors, shareholders,
		controlling persons, employees, agents and servants in accordance with and in
		the manner contemplated by Section 9.2 of the Credit Agreement.
	 

	 
		Section 9.3 Fees. During the
		term of this Account Agreement, the Borrowers shall pay the Depositary Agent
		such fees from time to time as agreed upon between the Borrowers and the
		Depositary Agent in an amount mutually agreed on by the Borrowers and the
		Depositary Agent in writing on or prior to the date hereof.
	 

	 
		ARTICLE X.
	 

	 
		 
	 

	 
		MISCELLANEOUS
	 

	 
		Section 10.1 Amendments; Etc.  No amendment or waiver of, or consent with respect to,
		any provision of this Account Agreement shall in any event be effective unless
		the same shall be in writing and signed by the Collateral Agent (acting on the
		instructions of the Administrative Agent at the direction of the Required
		Lenders), the Borrowers and the Depositary Agent. Any such amendment, waiver or
		consent shall be effective only in the specific instance and for the specified
		purpose for which given. 
	 

	 
		Section 10.2 Addresses for Notices. All notices, requests and other communications
		provided for herein (including, without limitation, any modifications of, or
		waivers or consents under, this Account Agreement) shall be given or made in
		writing (including, without limitation, by telecopy, but excluding email,
		provided that any matter transmitted by the Borrowers’
		Agent by telecopy (a) shall be immediately confirmed by a telephone call to the
		recipient at the number specified on the applicable signature page hereof, and
		(b) shall be followed promptly by a hard copy original thereof by express
		courier) delivered to the intended recipient at the “Address for
		Notices” specified below its name on the signature pages hereof or, as to
		any party, at such other address as shall be designated by such party in a
		notice to each other party. Except as otherwise provided in this Account
		Agreement, all such notices, requests and other communications (i) sent by
		express courier will be effective upon delivery to or refusal to accept
		delivery by the addressee, and (ii) transmitted by telecopy will be effective
		when sent and telecopy confirmation received; except that all notices and other
		communications to any Agent shall not be effective until actually received.
		
	 

	 
		 
	 

	 
		32
	 

	 
		 
	 

	 
 

	 
		Section 10.3 Integration, Etc.
		 This Account Agreement and the other Financing
		Documents represent the final and complete agreement of the parties hereto, and
		all prior negotiations, representations, understandings, writings and
		statements of any nature are hereby superseded in their entirety by the terms
		of this Account Agreement and the other Financing Documents.
	 

	 
		Section 10.4 No Third Party Beneficiaries. The agreements of the parties hereto are solely for
		the benefit of the Borrowers, the Collateral Agent, the Depositary Agent and
		the other Secured Parties and their respective successors and assigns and no
		other Person (including any other Project Participant, or any contractor,
		sub-contractor, supplier, worker, carrier, warehouseman, materialman or vendor
		furnishing supplies, goods or services to or for the benefit of the Borrowers
		or the Project or receiving any services from the Project) shall have any
		rights hereunder.
	 

	 
		Section 10.5 Benefit of Agreement. This Account Agreement shall be binding upon and inure
		to the benefit of and be enforceable by the respective successors and permitted
		assigns of the parties hereto. No Borrower may assign or otherwise transfer any
		of its rights under this Account Agreement or any of the other Financing
		Documents.
	 

	 
		Section 10.6 No Waiver; Remedies Cumulative. No failure or delay on the part of any of the Secured
		Parties in exercising any right, power or privilege hereunder or under any
		other Financing Document and no course of dealing between any Borrower and any
		Secured Party shall operate as a waiver thereof, nor shall any single or
		partial exercise of any right, power or privilege hereunder or under any other
		Financing Document preclude any other or further exercise thereof or the
		exercise of any other right, power or privilege hereunder or thereunder. No
		notice to or demand on any Borrower in any case shall entitle any Borrower to
		any other or further notice or demand in similar or other circumstances or
		constitute a waiver of the rights of any Secured Party to take any other or
		further action in any circumstances without notice or demand. All remedies,
		either under this Account Agreement or any other Financing Document or pursuant
		to any applicable Law or otherwise afforded to any Secured Party shall be
		cumulative and not alternative.
	 

	 
		Section 10.7 Execution in Counterparts. This Account Agreement may be executed in any number
		of counterparts, each of which when so executed shall be deemed to be an
		original, but all such counterparts shall together constitute but one and the
		same instrument.
	 

	 
		Section 10.8 WAIVER OF JURY TRIAL. EACH OF THE PARTIES HERETO HEREBY KNOWINGLY,
		VOLUNTARILY AND INTENTIONALLY WAIVES THE RIGHT ANY OF THEM MAY HAVE TO A TRIAL
		BY JURY IN RESPECT OF ANY LITIGATION BASED ON, OR ARISING OUT OF, UNDER OR IN
		CONNECTION WITH, THIS ACCOUNT AGREEMENT OR ANY OTHER FINANCING DOCUMENT, OR ANY
		COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR
		ACTIONS OF ANY PARTY RELATING HERETO OR THERETO. THIS PROVISION IS A MATERIAL
		INDUCEMENT FOR THE SECURED PARTIES TO ENTER INTO THIS AGREEMENT.
	 

	 
		 
	 

	 
		33
	 

	 
		 
	 

	 
 

	 
		Section 10.9 Limitation of Recourse. There shall be full recourse to the Borrowers and to
		all of its assets for the liabilities of the Borrowers under this Account
		Agreement and the other Financing Documents and its other Obligations, but in
		no event shall the Sponsor, BFE Holdings, or any officer, director or holder of
		any equity interest in the Borrowers or the Sponsor be personally liable or
		obligated for such liabilities and Obligations of the Borrowers, except as may
		be specifically provided in any other Transaction Document to which the Sponsor
		or BFE Holdings is a party. Nothing contained herein shall (a) limit or be
		construed to limit the obligations and liabilities of the Sponsor or BFE
		Holdings in any Transaction Document creating such liabilities and obligations
		to which the Sponsor or BFE Holdings is a party or (b) affect or diminish any
		rights of any Person against any other Person for such other Person’s
		fraud, willful misrepresentation, gross negligence or willful
		misconduct.
	 

	 
		Section 10.10 Governing Law; Submission to
		Jurisdiction. (a) THIS
		ACCOUNT AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
		LAW OF THE STATE OF NEW YORK WITHOUT REGARD TO THE CONFLICT OF LAW RULES
		THEREOF (OTHER THAN SECTION 5-1401 OF THE NEW YORK
		GENERAL OBLIGATIONS LAW).
	 

	 
		(b) Each Borrower and the Borrowers’
		Agent hereby submit to the nonexclusive jurisdiction of the United States
		District Court for the Southern District of New York and of any New York State
		court sitting in New York City for the purposes of all legal proceedings
		arising out of or relating to this Account Agreement or the transactions
		contemplated hereby. Each Borrower and the Borrowers’ Agent hereby
		irrevocably waive, to the fullest extent permitted by applicable Law, any
		objection which it may now or hereafter have to the laying of the venue of any
		such proceeding brought in such a court and any claim that any such proceeding
		brought in such a court has been brought in an inconvenient forum. Each
		Borrower and the Borrowers’ Agent hereby irrevocably appoint the Process
		Agent, with an office on the date hereof at 111 Eighth Avenue, New York, New
		York 10011, as its agent to receive on its behalf and on behalf of its
		Property, service of copies of the summons and complaint and any other process
		that may be served in any such action or proceeding. Service upon the Process
		Agent shall be deemed to be personal service on the Borrowers and the
		Borrowers’ Agent and shall be legal and binding upon the Borrowers and the
		Borrowers’ Agent for all purposes notwithstanding any failure to mail
		copies of such legal process to the Borrowers and the Borrowers’ Agent, or
		any failure on the part of the Borrowers and the Borrowers’ Agent to
		receive the same. Nothing herein shall affect the right to serve process in any
		other manner permitted by applicable Law or any right to bring legal action or
		proceedings in any other competent jurisdiction. To the extent permitted by
		applicable Law, each Borrower and the Borrowers’ Agent further irrevocably
		agrees to the service of process of any of the aforementioned courts in any
		suit, action or proceeding by the mailing of copies thereof by certified mail,
		postage prepaid, return receipt requested, to each Borrower or the
		Borrowers’ Agent, as the case may be, at the address referenced in Section
		10.2, such service to be effective upon the date indicated on the postal
		receipt returned from each Borrower, or the Borrowers’ Agent, as the case
		may be.
	 

	 
		(c) Notwithstanding anything to the contrary
		contained herein or in any other Financing Document or other document
		applicable to the Accounts, the “securities 
	 

	 
		 
	 

	 
		34
	 

	 
		 
	 

	 
 

	 
		intermediary’s jurisdiction”
		(within the meaning of Section 8-110(e) of the UCC) of the Depositary Agent is
		the State of New York.
	 

	 
		Section 10.11 No Immunity. To
		the extent that any Borrower may be entitled, in any jurisdiction in which
		judicial proceedings may at any time be commenced with respect to this Account
		Agreement, to claim for itself or its revenues, assets or Properties any
		immunity from suit, the jurisdiction of any court, attachment prior to
		judgment, attachment in aid of execution of judgment, set-off, execution of a
		judgment or any other legal process, and to the extent that in any such
		jurisdiction there may be attributed to such Person such an immunity (whether
		or not claimed), each Borrower hereby irrevocably agrees not to claim and
		hereby irrevocably waives such immunity to the fullest extent permitted by the
		Laws of such jurisdiction.
	 

	 
		Section 10.12 Severability.
		Any provision hereof which is prohibited or unenforceable in any jurisdiction
		shall, as to such jurisdiction, be ineffective to the extent of such
		prohibition or unenforceability without invalidating the remaining provisions
		hereof and without affecting the validity or enforceability of any provision in
		any other jurisdiction.
	 

	 
		*                   *                  *

	 

	 
		 
	 

	 
		35
	 

	 
		 
	 

	 
 

	 
		IN WITNESS WHEREOF, the parties hereto have
		caused this Account Agreement to be duly executed as of the day and year first
		above written.
	 

	 
		 
	 

	 
			
				
				  Notice Address:
				

			 	
				
				   
				

			 	
				
				  BFE OPERATING COMPANY, LLC, as
				  Borrower
				

			 
	
				
				  
 1625 Broadway, Suite
				  2400
 Denver, Colorado
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  Attention: Mr. Scott
				  Pearce
 Telephone No.: (303) 592
				  8110
 Telecopier No.: (303) 626 8251
				  
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

				
 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Name:
				

			 	
				
				  Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Title:
				

			 	
				
				  Authorized
				  Representative
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				  Notice Address:
				

			 	
				
				   
				

			 	
				
				  BUFFALO LAKE ENERGY, LLC, as
				  Borrower
				

			 
	
				
				  
 1625 Broadway, Suite
				  2400
 Denver, Colorado
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  Attention: Mr. Scott
				  Pearce
 Telephone No.: (303) 592
				  8110
 Telecopier No.: (303) 626
				  8251
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

				
 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Name:
				

			 	
				
				  Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Title:
				

			 	
				
				  Authorized
				  Representative
				

			 
	
				
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				  Notice Address:
				

			 	
				
				   
				

			 	
				
				  PIONEER TRAIL ENERGY, LLC, as
				  Borrower
				

			 
	
				
				  
 1625 Broadway, Suite
				  2400
 Denver, Colorado
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  Attention: Mr. Scott
				  Pearce
 Telephone No.: (303) 592
				  8110
 Telecopier No.: (303) 626
				  8251
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

				
 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Name:
				

			 	
				
				  Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Title:
				

			 	
				
				  Authorized
				  Representative
				

			 
	
				
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				  Notice Address:
				

			 	
				
				   
				

			 	
				
				  BFE OPERATING COMPANY, LLC, as
				  Borrowers’ Agent
				

			 
	
				
				  
 1625 Broadway, Suite
				  2400
 Denver, Colorado
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 

 

	 
		 
	 

	 
		36
	 

	 
		 
	 

	 
 

	 
		 
	 

	 
			
				
				  Attention: Mr. Scott
				  Pearce
 Telephone No.: (303) 592
				  8110
 Telecopier No.: (303) 626
				  8251
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

				
 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Name:
				

			 	
				
				  Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Title:
				

			 	
				
				  Authorized
				  Representative
				

			 
	
				
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				  Notice Address:
				

			 	
				
				   
				

			 	
				
				  DEUTSCHE BANK TRUST COMPANY
				  AMERICAS, as Collateral Agent
				

			 
	
				
				  
 60 Wall Street, 27th
				  Floor
 Mail Stop: NYC60-2710

				  New York, NY 10005

				  Attention: Manager
				

				
				  Project Finance Group
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  Telecopier No.: (732)
				  578-4636
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Richard L.
				  Buckwalter
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

				
 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Name:
				

			 	
				
				  Richard L.
				  Buckwalter
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Title:
				

			 	
				
				  Vice President
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Kerry Warwicker
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

				
 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Name:
				

			 	
				
				  Kerry Warwicker
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Title:
				

			 	
				
				  Vice President
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  Notice Address:
				

			 	
				
				   
				

			 	
				
				  DEUTSCHE BANK TRUST COMPANY
				  AMERICAS, as Depositary Agent
				

			 
	
				
				  
 60 Wall Street, 27th
				  Floor
 Mail Stop: NYC60-2710

				  New York, NY 10005

				  Attention: Manager
				

				
				  Project Finance Group
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  Telecopier No.: (732)
				  578-4636
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Richard L.
				  Buckwalter
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

				
 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Name:
				

			 	
				
				  Richard L.
				  Buckwalter
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Title:
				

			 	
				
				  Vice President
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Kelly Warwicker
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

				
 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Name:
				

			 	
				
				  Kelly Warwicker
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Title:
				

			 	
				
				  Vice President
				

			 

 

	 
		 
	 

	 
		37

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