Document:

Exhibit 10.4

 

	
        This instrument was prepared by, and after

        Recording should be returned to:

        Ronald L. Comes

        McGrath North Mullin & Kratz, PC LLO

        1601 Dodge Street, Suite 3700

        Omaha, NE 68102

        Phone: 402-341-3070
	
        Tax statements should be sent to:

        Illinois Corn Processing, LLC

        400 Capitol Mall, Suite 2060

        Sacramento, CA 95814

        Attention: Bryon McGregor

        Phone: 916-403-2710

 

Illinois
Future Advance Real Estate Mortgage

 

Made By

 

ILLINOIS
CORN PROCESSING, LLC

400
CapitOl Mall, Suite 2060

Sacramento,
ca 95814

 

as Mortgagor

 

in favor of

 

CoBANK, ACB

as agent for and on behalf of

COMPEER FINANCIAL, PCA

 

as Mortgagee

 

Dated as of

 

September 15, 2017

 

THIS INSTRUMENT CONSTITUTES A LIEN ON ALL
AFTER ACQUIRED PROPERTY OF THE MORTGAGOR.

 

THIS INSTRUMENT CONTAINS FUTURE ADVANCE
PROVISIONS.

 

 

 

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THIS Illinois
Future Advance Real Estate Mortgage, dated as of September 15, 2017, is made by ILLINOIS CORN PROCESSING, LLC, 400 Capitol
Mall, Suite 2060, Sacramento, CA 95814 (hereinafter called the "Mortgagor"), a limited liability company existing under
the laws of the State of Delaware in favor of CoBANK, ACB, in its capacity as agent for and on behalf of Compeer Financial, PCA
(hereinafter called the "Mortgagee"), a federally-chartered instrumentality of the United States.

 

ARTICLE I.

 

DEFINITIONS

 

Section 1.01.Definitions.
In addition to the terms defined elsewhere in this Mortgage, the following terms shall have the meanings specified in this Section
1.01, unless the context clearly requires otherwise. The terms defined herein include the plural as well as the singular. Accounting
terms used in this Mortgage but not otherwise defined herein shall have the meanings they have under GAAP.

 

Credit Agreements
shall mean all agreements, instruments and documents between the Mortgagor and the Mortgagee or executed by the Mortgagor in
favor of the Mortgagee which evidence or relate to the Obligations, whether now existing or hereafter entered into, and all amendments,
supplements and restatements thereof.

 

Environmental Law
shall have the meaning specified in Section 3.13.

 

Event of Default
shall have the meaning specified in Section 4.01.

 

GAAP shall mean
generally accepted accounting principles as established by the American Institute of Certified Public Accountants.

 

Hazardous Materials
shall have the meaning specified in Section 3.13.

 

Lender shall
mean Compeer Financial, PCA

 

Lien shall mean
any statutory or common law consensual or non-consensual mortgage, pledge, grant, security title or interest, lien, encumbrance
or charge of any kind against property, including, without limitation, any conditional sale or other title retention transaction,
and any lease transaction in the nature of a security interest.

 

Maturity Date
shall mean the maturity date(s) of the Obligations secured by this Illinois Future Advance Real Estate Mortgage, as set forth in
Exhibit “B” hereto.

 

Maximum Debt Limit
shall mean $84,000,000 at any one time outstanding.

 

Mortgage shall
mean this Illinois Future Advance Real Estate Mortgage, as it may be amended or supplemented from time to time.

 

Mortgaged Property
shall have the meaning specified in Section 2.01.

 

Mortgagee shall
mean CoBank, ACB, in its capacity as agent for and on behalf of Compeer Financial, PCA.

 

 

 

 

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Obligations
shall mean all indebtedness and other obligations of the Mortgagor to the Lender and CoBank, ACB of every type and description,
whether now existing or hereafter arising, fixed or contingent, as primary obligor or as guarantor or surety, acquired directly
or by assignment or otherwise, liquidated or unliquidated, regardless of how they arise or by what agreement or instrument they
may be evidenced, including, without limitation, all future advances, future obligations, indebtedness under all loans, advances
and other extensions of credit made to or for the account of the Mortgagor, including without limitation the promissory note(s)
that are more particularly identified on Exhibit “B” hereto, and including without limitation, obligations under Interest
Rate Agreements (as defined below), and all covenants, agreements and provisions contained in this Mortgage and in any of the Credit
Agreements. As used in this Mortgage, “Interest Rate Agreement” means any interest rate swap, hedge, cap, collar or
similar agreement, including any master agreement published by the International Swap and Derivatives Association, Inc., between
the Mortgagor and the Mortgagee, designed to protect the Mortgagor from fluctuations in interest rates.

 

Permitted Encumbrances
shall mean:

 

(i)       as
to the real property specifically described in Exhibit “A” hereto, the restrictions, exceptions, reservations, conditions,
limitations, interests and other matters which are set forth or referred to in the descriptions of such real property; and

 

(ii)       as
to all Mortgaged Property, any Lien permitted under the Credit Agreements.

 

Potential Default
shall mean the occurrence of any event which with the giving of notice and/or the passage of time and/or the occurrence of any
other condition would ripen into an Event of Default.

 

ARTICLE II.

 

GRANTING CLAUSES 

 

Section 2.01.Granting
Clauses. In order to secure the repayment of the Obligations, whether such Obligations are made pursuant to a commitment, made
at the option of the Lender, made after a reduction to zero or other balance, or made otherwise, up to the Maximum Debt Limit,
and to declare the terms and conditions upon which the Obligations are to be secured, the Mortgagor, in consideration of the premises,
does hereby grant, bargain, sell, alienate, convey, assign, transfer, mortgage, warrant, hypothecate, pledge, set over and confirm
unto the Mortgagee, and its respective assigns the following (all of which are hereinafter collectively called the "Mortgaged
Property"):

 

All right, title and
interest of the Mortgagor in and to those fee and leasehold estates in real property described in Exhibit "A" hereto,
subject in each case to those matters set forth in such Exhibit, together with all buildings, improvements, fixed assets, personalty
and fixtures (collectively, “Improvements”), now or in the future annexed, affixed or attached to said real property
and/or Improvements; and

 

All right, title and
interest of the Mortgagor in, to and under any and all grants, privileges, rights of way, easements and other similar interests
now owned, held, leased, enjoyed or exercised, or which may hereafter be owned, held, leased, acquired, enjoyed or exercised, by
the Mortgagor for the purposes of, or in connection with the real property described in Exhibit “A” hereto or the construction,
acquisition, ownership, use or operation by or on behalf of the Mortgagor of all Improvements, wherever located.

 

TOGETHER WITH all tenements,
hereditaments and appurtenances belonging or otherwise pertaining to the Mortgaged Property or any part thereof, with all reversions,
remainders, rents, income, revenues, profits, cash, proceeds, products and benefits at any time derived, received or had from any
or all of the Mortgaged Property and all deposits or other accounts into which the same may be deposited.

 

TO HAVE AND TO HOLD
the Mortgaged Property unto the Mortgagee and its respective assigns forever, to secure the payment and performance of the Obligations,
including, without limitation, the due performance of the covenants, agreements and provisions herein contained, and for the uses
and purposes and upon the terms, conditions, provisos and agreements hereinafter expressed and declared.

 

 

 

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ARTICLE III.

 

PARTICULAR REPRESENTATIONS, WARRANTIES
AND

COVENANTS OF THE MORTGAGOR

 

The Mortgagor represents,
warrants and, except as otherwise permitted by the Mortgagee, covenants with the Mortgagee as follows:

 

Section 3.01.Authority
to Execute and Deliver this Mortgage; All Action Taken; Enforceable Obligations. The Mortgagor is authorized under its articles
of incorporation and bylaws or other applicable organizational documents and all applicable laws and by corporate or organizational
action to execute and deliver this Mortgage; and this Mortgage is, and any amendment, supplement or restatement of this Mortgage,
when executed and delivered will be, the legal, valid and binding obligations of the Mortgagor which are enforceable in accordance
with their respective terms.

 

Section 3.02.Authority
to Mortgage Property; No Liens; Exception for Permitted Encumbrances; Mortgagor to Defend Title and Remove Liens. The Mortgagor
has good and marketable title to all fee and leasehold estates in real property and good, right and lawful authority to mortgage
the Mortgaged Property for the purposes herein expressed. The Mortgaged Property is free and clear of any Lien affecting the title
thereto, except Permitted Encumbrances. The Mortgagor will, so long as any of the Obligations shall remain unpaid, maintain and
preserve the Lien of this Mortgage superior to all other Liens, other than Permitted Encumbrances, and will forever warrant and
defend the title to the Mortgaged Property against any and all claims and demands.

 

Section 3.03.No
Encumbrances on Mortgaged Property. The Mortgagor will not create, incur, suffer or permit to exist any Lien on any of the
Mortgaged Property, except for Permitted Encumbrances. Except for claims giving rise to Permitted Encumbrances, the Mortgagor will
promptly pay or discharge any and all obligations for or on account of which any such Lien might exist.

 

Section 3.04. Sale
or Transfer of Mortgaged Property. The Mortgagor shall not sell, lease or transfer any of the Mortgaged Property to any person
or entity except as permitted in the Credit Agreements.

 

Section 3.05.Payment
of Obligations. The Mortgagor will duly and punctually pay all amounts due under the Obligations, at the dates and places and
in the manner provided in all Credit Agreements, and all other sums becoming due hereunder.

 

Section 3.06.Preservation
of Franchises and Compliance with Laws. The Mortgagor will take or cause to be taken all such action as may from time to time
be necessary to obtain, preserve and renew all franchises, rights of way, easements, permits, and licenses now or hereafter granted
or upon it conferred necessary to the operations of the Mortgagor, and will comply in all material respects with all laws, ordinances,
regulations, and requirements applicable to it or the Mortgaged Property.

 

Section 3.07.Maintenance
of Mortgaged Property. Except as permitted in the Credit Agreement, the Mortgagor will at all times maintain and preserve the
Mortgaged Property and each and every material part and parcel thereof in good repair, working order and condition, ordinary wear
and tear excepted, and in material compliance with all applicable laws, ordinances, regulations, and requirements, and will from
time to time make all needed and proper repairs, renewals, and replacements, and useful and proper alterations, additions, betterments
and improvements, and will, subject to contingencies beyond its reasonable control, at all times keep its plant and properties
in continuous operating condition.

 

 

 

 

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Section 3.08.Insurance;
Restoration of Damaged Mortgaged Property. The Mortgagor will maintain insurance as required by the Credit Agreements. In the
event of damage to or the destruction or loss of any portion of the Mortgaged Property, unless the Mortgagee shall otherwise agree,
the Mortgagor shall replace or restore such damaged, destroyed or lost portion so that the Mortgaged Property shall be in substantially
the same condition as it was in prior to such damage, destruction or loss. Provided no Potential Default or Event of Default then
exists, the Mortgagee shall provide to the Mortgagor any insurance proceeds received by the Mortgagee upon such reasonable terms
and conditions as the Mortgagee may require to ensure that such proceeds are used for the foregoing purpose and that such required
replacement or restoration will be completed. The Mortgagor shall replace the lost portion of the Mortgaged Property or shall commence
such restoration promptly after such damage, destruction or loss shall have occurred and shall complete such replacement or restoration
as expeditiously as practicable, and shall pay or cause to be paid, out of the proceeds of such insurance or otherwise, all costs
and expenses in connection therewith so that such replacement or restoration shall be so completed that the portion of the Mortgaged
Property so replaced or restored shall be free and clear of all Liens, except for Permitted Encumbrances. At the request of the
Mortgagee, the Mortgagor shall exercise such rights and remedies which it may have under any insurance policy or fidelity bond
and which may be designated by the Mortgagee. In the event the Mortgagor fails to take any action requested or required under this
Section 3.08, the Mortgagee may take any such action and make, execute and record any such instruments and documents for and in
the name of the Mortgagor, and the Mortgagor hereby irrevocably appoints the Mortgagee as its attorney-in-fact to take such actions,
which appointment is coupled with an interest and irrevocable. Mortgagor shall pay all reasonable costs and expenses incurred by
the Mortgagee in connection with such exercise.

 

The following notice
is given pursuant to the Illinois Collateral Protection Act. For the purpose of this Section 3.08, the terms “you”
and “your” shall refer to the Mortgagor and the terms “we” and “us” shall refer to the Mortgagee.
UNLESS YOU PROVIDE US WITH EVIDENCE OF THE INSURANCE COVERAGE REQUIRED BY YOUR AGREEMENT WITH US, WE MAY PURCHASE INSURANCE AT
YOUR EXPENSE TO PROTECT OUR INTERESTS IN YOUR COLLATERAL. THIS INSURANCE MAY, BUT NEED NOT, PROTECT YOUR INTERESTS. THE COVERAGE
THAT WE PURCHASE MAY NOT PAY ANY CLAIM THAT YOU MAKE OR ANY CLAIM THAT IS MADE AGAINST YOU IN CONNECTION WITH THE COLLATERAL. YOU
MAY LATER CANCEL ANY INSURANCE PURCHASED BY US, BUT ONLY AFTER PROVIDING US WITH EVIDENCE THAT YOU HAVE OBTAINED INSURANCE AS REQUIRED
BY OUR AGREEMENT. If WE PURCHASE INSURANCE FOR THE COLLATERAL, YOU WILL BE RESPONSIBLE FOR THE COSTS OF THAT INSURANCE, INCLUDING
INTEREST AND ANY OTHER CHARGES WE MAY IMPOSE IN CONNECTION WITH THE PLACEMENT OF THE INSURANCE, UNTIL THE EFFECTIVE DATE OF THE
CANCELLATION OR EXPIRATION OF THE INSURANCE. THE COSTS OF THE INSURANCE MAY BE ADDED TO YOUR TOTAL OUTSTANDING BALANCE OR OBLIGATION.
THE COSTS OF THE INSURANCE MAY BE MORE THAN THE COST OF INSURANCE YOU MAY BE ABLE TO OBTAIN ON YOUR OWN.

 

Section 3.09.Lender
Right to Expend Money to Protect Mortgaged Property. From time to time, the Lender may, in its sole discretion, but shall not
be obligated to, advance funds on behalf of the Mortgagor, in order to ensure compliance with any covenant or agreement of the
Mortgagor made in or pursuant to this Mortgage or any of the Credit Agreements, to preserve or protect any right or interest of
the Mortgagee in the Mortgaged Property or under or pursuant to this Mortgage or any of the Credit Agreements, including, without
limitation, the payment of any insurance premiums or taxes and the satisfaction or discharge of any judgment or any Lien upon the
Mortgaged Property or other property or assets of the Mortgagor (other than Permitted Encumbrances); provided, however, that the
making of any such advance by the Lender shall not constitute a waiver by the Lender or Mortgagee of any Event of Default with
respect to which such advance is made nor excuse the Mortgagor from any performance required hereunder. The Mortgagor shall pay
to the Lender upon demand all such advances made by the Lender with interest thereon at a rate equal at all times to 4% per annum
above the Mortgagee’s “CoBank Base Rate”. For purposes hereof, the CoBank Base Rate shall mean the rate of interest
established by the Mortgagee from time to time as its CoBank Base Rate, which rate is intended by the Mortgagee to be a reference
rate and not its lowest rate. All such advances and accrued interest shall be secured by this Mortgage.

 

 

 

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Section 3.10.Further
Assurances. Upon the request of the Mortgagee, the Mortgagor shall promptly do all acts and things, including the execution,
acknowledgment and delivery of such amendments hereto and other instruments and documents as the Mortgagee may reasonably request,
to enable the Mortgagee to perfect and maintain the Lien of this Mortgage and/or the Mortgagee’s rights and remedies hereunder.
The Mortgagor shall notify the Mortgagee promptly upon the acquisition of any fee or leasehold estate in real property and, to
the extent required under the Credit Agreement, shall execute and record such amendments or supplements to this Mortgage or other
documents or instruments as are necessary or appropriate to subject such real property to the Lien of this Mortgage and shall deliver
such executed and recorded amendments or supplements or other documents or instruments to the Mortgagee. In the event the Mortgagor
fails to take any action requested or required under this Section 3.10, the Mortgagee may take any such action and make, execute
and record any such instruments and documents for and in the name of the Mortgagor, and the Mortgagor hereby irrevocably appoints
the Mortgagee as its attorney-in-fact to take such actions, which appointment is coupled with an interest and irrevocable. Mortgagor
shall pay all reasonable costs and expenses incurred by the Mortgagee in connection with such exercise.

 

Section 3.11.Condemnation,
Etc. In the event that the Mortgaged Property or any part thereof shall be taken under the power of eminent domain or like
power, then, unless the Mortgagee otherwise consents, all proceeds and avails thereof shall be applied by the Mortgagor to the
prepayment of the Obligations (such prepayments to be applied in such order and manner as the Mortgagee may, in its sole discretion,
elect); provided, however, Mortgagee’s consent to use of proceeds shall not be unreasonably delayed, conditioned or withheld
in the event of partial condemnation if no Event of Default is outstanding and Borrower applies the proceeds to remedy the condition
of the Trust Estate caused by the partial condemnation.

 

Section 3.12.Conflict
with Mortgage Terms. The provisions of this Mortgage and the Credit Agreements shall be cumulative and not mutually exclusive,
notwithstanding any inconsistencies. In the event of irreconcilable inconsistency between the provisions of this Mortgage and the
primary Credit Agreement, the provisions of the primary Credit Agreement shall control, except with respect to the remedies provided
in this Mortgage.

 

Section 3.13.Environmental
Representations, Warranties and Covenants. The Mortgagor makes the following representations, warranties and covenants, all
of which are subject to (i) any exceptions that the Mortgagor may have previously disclosed in writing to the Mortgagee, (ii) the
extent that they deal with representations of fact, are based on the Mortgagor’s present knowledge, arrived at after reasonable
inquiry and (iii) qualifications otherwise provided in the Environmental Indemnity and Reimbursement Agreement of same date.

 

(A)       Use
of the Mortgaged Property.

 

(1)       The
Mortgagor shall: (a) use, handle, transport or store Hazardous Materials as defined under any Environmental Law (both as hereinafter
defined); and (b) store or treat non-hazardous wastes: (i) in a good and prudent manner in the ordinary course of business; and
(ii) in compliance with all applicable Environmental Laws.

 

 

 

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(2)       The
Mortgagor shall not conduct or allow to be conducted, in violation of any Environmental Law, any business, operations or activity
on the Mortgaged Property, or, except in strict compliance with applicable law, employ or use the Mortgaged Property to generate,
use, handle, manufacture, treat, store, process, transport or dispose of any Hazardous Materials, or any other substance which
is prohibited, controlled or regulated under applicable law. The Mortgagor shall not use the Mortgaged Property in a way that poses
a threat or nuisance to public safety, health or the environment, or cause or allow to be caused a known or suspected release of
Hazardous Materials, on, under, or from the Mortgaged Property.

 

(3)       The
Mortgagor shall not do or permit any act or thing, business or operation that poses an unreasonable risk of harm, or impairs or
may impair the value of the Mortgaged Property or any part thereof.

 

(B)       Condition
of the Mortgaged Property.

 

(1)       The
Mortgagor shall take all appropriate response actions, including any removal and remedial actions, in the event of a release, emission,
discharge or disposal of Hazardous Materials in, on, under, or about the Mortgaged Property, so as to remain in compliance with
all Environmental Laws.

 

(2)       All
underground tanks, wells, septic tanks, ponds, pits, or any other storage tanks (whether currently in use or abandoned) on the
Mortgaged Property, if any, are, as of the date hereof, maintained in compliance with all applicable Environmental Laws.

 

(C)       Notice
of Environmental Problems or Litigation. Neither the Mortgagor nor any of its tenants have given, nor were they required to
give, nor have they received, any notice, letter, citation, order, warning, complaint, inquiry, claim or demand that: (1) the Mortgagor
and/or any of its tenants have violated, or are about to violate, any Environmental Law, judgment or order; (2) there has been
a release, or there is a threat of release, of Hazardous Materials from the Mortgaged Property; (3) the Mortgagor and/or any of
its tenants may be or are liable, in whole or in part, for the costs of cleaning up, remediating, removing or responding to a release
or a threatened release of Hazardous Materials; or (4) the Mortgaged Property is subject to a Lien in favor of any governmental
entity for any liability, costs or damages, under any Environmental Law arising from, or costs incurred by such governmental entity
in response to, a release or a threatened release of a Hazardous Material. The Mortgagor further represents and warrants that no
conditions currently exist or are currently reasonably foreseeable that would subject the Mortgagor to any such investigation,
litigation, administrative enforcement or to any damages, penalties, injunctive relief, or cleanup costs under any Environmental
Law. Upon receipt of any such notice, the Mortgagor and its tenants shall immediately provide a copy to the Mortgagee.

 

(D)       Right
of Inspection. The Mortgagor hereby grants, and will cause any of its tenants to grant, to the Mortgagee, its agents, attorneys,
employees, consultants, contractors, successors and assigns, an irrevocable license and authorization, upon reasonable notice,
to enter upon and inspect the Mortgaged Property and facilities thereon, and perform such tests, including without limitation,
subsurface testing, soils and groundwater testing, and other tests which may physically invade the Mortgaged Property, as the Mortgagee,
in its sole discretion, determines are necessary to protect its security interest; provided, however, that under no circumstances
shall the Mortgagee be obligated to perform such inspections or tests.

 

 

 

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(E)        Indemnity.
The Mortgagor agrees to indemnify and hold the Lender and Mortgagee, their directors, employees, agents, and their successors and
assigns, harmless from and against any and all claims, losses, damages, liabilities, fines, penalties, charges, judgments, administrative
orders, remedial action requirements, enforcement actions of any kind, and all costs and expenses incurred in connection therewith
(including without limitation attorney’s fees and expenses) arising directly or indirectly, in whole or in part, out of any
failure of the Mortgagor to comply with the environmental representations, warranties, and covenants contained herein.

 

(F)       Continuation
of Representations, Warranties, Covenants and Indemnities. The Mortgagor’s representations, warranties, covenants, and
indemnities contained herein shall survive the occurrence of any event whatsoever, including, without limitation, the satisfaction
of the Obligations secured hereby, the reconveyance or foreclosure of this Mortgage, the acceptance by the Mortgagee of a deed
in lieu of foreclosure, or any transfer or abandonment of the Mortgaged Property.

 

(G)       Corrective
Action. In the event the Mortgagor is in breach of any of its representations, warranties or agreements as set forth above,
then, without limiting the Mortgagee’s other rights hereunder, the Mortgagor, at its sole expense, shall take all actions
required, including, without limitation, environmental cleanup of the Mortgaged Property, to comply with the representations, warranties,
and covenants contained herein and with all applicable legal requirements and, in any event, shall take all actions deemed necessary
under all applicable Environmental Laws.

 

(H)       Hazardous
Materials Defined. The term “Hazardous Materials” shall mean dangerous, toxic, or hazardous pollutants, contaminants,
chemicals, wastes, materials or substances, as defined in or governed by the provisions of any Environmental Law.

 

(I)        Environmental
Law Defined. The term “Environmental Law” shall mean any federal, state or local laws, statute, ordinance, rule,
regulation, administration order, or permit now in effect or hereinafter enacted, pertaining to the public health, safety, industrial
hygiene, or the environmental conditions on, under or about the Mortgaged Property.

 

ARTICLE IV.

 

EVENTS OF DEFAULT AND

REMEDIES OF THE MORTGAGEE

 

Section 4.01.Events
of Default. Each of the following shall be an "Event of Default":

 

(A)       default
shall be made in the payment of any amount due under any Obligation;

 

(B)       default
shall be made in the due observance or performance of any of the covenants, conditions or agreements on the part of the Mortgagor,
and, if such default shall be under Sections 3.06, 3.07, or 3.08 hereof, such default shall continue for a period of thirty (30)
days after written notice specifying such default and requiring the same to be remedied shall have been given to the Mortgagor
by the Lender or Mortgagee;

 

(C)       any
representation or warranty made by the Mortgagor herein, or in any certificate, instrument or document delivered hereunder, shall
prove to be false or misleading in any material respect on or as of the date made;

 

(D)       an
“Event of Default” shall have occurred under any Credit Agreement; and

 

 

 

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(E)       an
event of damage, destruction or loss or a taking under the power of eminent domain or like power (or transfer in lieu of such taking)
shall have had, in the judgment of the Mortgagee, a material adverse effect on the ability of the Mortgagor to pay or perform the
Obligations.

 

Section 4.02.Acceleration
of Maturity. If an Event of Default shall have occurred and be continuing, the Lender or Mortgagee may declare the Obligations
to be due and payable immediately by a notice in writing from Lender or Mortgagee to the Mortgagor, and upon such declaration,
all Obligations shall become due and payable immediately, anything contained herein or in the Credit Agreements to the contrary
notwithstanding.

 

Section 4.03.Remedies
of the Lender and Mortgagee.  If one or more Events of Default shall occur and be continuing, the Lender and Mortgagee (personally
or by attorney), in their discretion, may:

 

(A)       take
immediate possession of the Mortgaged Property, collect and receive all credits, outstanding accounts and bills receivable of the
Mortgagor and all rents, income, revenues, profits and proceeds pertaining to or arising from the Mortgaged Property, or any part
thereof, whether then past due or accruing thereafter, and issue binding receipts therefor; and manage, control and operate the
Mortgaged Property as fully as the Mortgagor might do if in possession thereof, including, without limitation, the making of all
repairs or replacements deemed necessary or advisable;

 

(B)       proceed
to protect and enforce the rights of the Mortgagor and the rights of the Lender or Mortgagee by suits or actions in equity or at
law in any court or courts of competent jurisdiction, whether for specific performance of any covenant or any agreement contained
herein or in any Credit Agreement or in aid of the execution of any power herein granted or for the foreclosure hereof or hereunder
or for the sale of the Mortgaged Property, or any part thereof, or to collect the debts hereby secured or for the enforcement of
such other or additional appropriate legal or equitable remedies as may be deemed necessary or advisable to protect and enforce
the rights and remedies herein granted or conferred, and in the event of the institution of any such action or suit, the Mortgagee
shall have the right to have appointed a receiver of the Mortgaged Property and of all rents, income, revenues, profits and proceeds
pertaining thereto or arising therefrom, whether then past due or accruing after the appointment of such receiver, derived, received
or had from the time of the commencement of such suit or action, and such receiver shall have all the usual powers and duties of
receivers in like and similar cases, to the fullest extent permitted by law, and if application shall be made for the appointment
of a receiver, the Mortgagor hereby expressly consents that the court to which such application shall be made may make said appointment
ex parte;

 

(C)       immediately
foreclose this Mortgage and, in any foreclosure proceeding the court shall, upon application, at once, and without notice to Mortgagor,
or any party claiming under said Mortgagor, and without giving bond on such application (such notice and bond being hereby expressly
waived) and also without reference to the then value of the Mortgaged Property, to the use of said Mortgaged Property as a homestead,
or to the solvency or insolvency of any person liable for any of the Obligations secured hereby, appoint a receiver for the benefit
of the legal holder of the Obligations secured hereby, to take possession of the Mortgaged Property, with power to collect rents,
issues, and profits of the Mortgaged Property, then due or to become due, during the pendency of such foreclosure suit, and until
the time to redeem the same shall expire (such rents, issues and profits being hereby expressly assigned and pledged as additional
security for the payment of the Obligations secured by this Mortgage); this provision for appointment of a receiver being expressly
a condition upon which the loan hereby secured was made; and Mortgagor hereby further consents that said receiver may, out of the
said rents, pay prior or subordinate liens, the taxes, assessments, water rates and insurance on Mortgaged Property, then due or
unpaid or accruing whether before or after the filing of such bill, and for any necessary repairs thereon, and management and rental
fees and any other proper charges, and the amount of any deficiency decree; provided that, in case of any default or breach, as
aforesaid, as a concurrent (and not alternative or exclusive) remedy and measure for making effective the terms provisions and
purposes hereof, it shall be lawful for Mortgagee, its agent or attorney forthwith (either with or without process of law, forcibly
or otherwise) to enter upon and take possession of said Mortgaged Property and to expel and remove any person, goods or chattels,
occupying or upon the same, to collect and to receive all the rents, issues and profits therefrom, from time to time, to manage
and control the same and make all necessary repairs, and lease the same or any part thereof at such rentals as in its sole discretion
it may deem just and reasonable, and after deducting all reasonable attorneys’ fees and all expenses incurred in the protection,
care, repair and management of said Mortgaged Property, apply the remaining income upon the Obligations hereby secured in the same
manner as is hereafter provided upon the sale of said Mortgaged Property under foreclosure; and said Mortgagor hereby expressly
releases and waives any and all right to possession, control or management of the Mortgaged Property, or to the rents, issues and
profits therefrom, after any default or breach of the terms or provisions of this Mortgage and said Mortgagor hereby further expressly
releases and waives any and all damages and claims for damages occasioned by such expulsion; and

 

 

 

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(D)       sell
or cause to be sold all of the Mortgaged Property or any part thereof, and all right, title, interest, claim and demand of the
Mortgagor therein or thereto, at public auction at such place in any county in which the property to be sold, or any part thereof,
is located, at such time, upon such notice, and upon such terms as may be specified in a notice of sale, which shall state the
time when and the place where the sale is to be held, shall contain a brief description of the property to be sold, and shall be
given by mailing a copy thereof to the Mortgagor at least fifteen (15) days prior to the date fixed for such sale and by publishing
the same once in each week for two successive calendar weeks prior to the date of such sale in a newspaper of general circulation
published in said county or, if no such newspaper is published in such county, in a newspaper of general circulation in such county,
the first such publication to be not less than fifteen (15) days nor more than thirty (30) days prior to the date fixed for such
sale. Any sale to be made under this Section 4.03(D) may be adjourned from time to time by announcement at the time and place appointed
for such sale or for such adjourned sale or sales, and without further notice or publication the sale may be had at the time and
place to which the same shall be adjourned. Notwithstanding the foregoing, in the event another or different notice of sale or
another or different manner of conducting the same shall be required by law, the notice of sale shall be given or the sale be conducted,
as the case may be, in accordance with the applicable provisions of law. The costs and expenses incurred by the Mortgagee (including,
but not limited to, receiver's fees, counsel fees, cost of advertisement and agents' compensation) in the exercise of any of the
remedies provided in this Mortgage shall be secured by this Mortgage.

 

Section 4.04.Application
of Proceeds from Remedial Actions.  Any proceeds or funds arising from the exercise of any rights or the enforcement of any
remedies herein provided after the payment or provision for the payment of any and all costs and expenses in connection with the
exercise of such rights or the enforcement of such remedies shall be applied to the Obligations in such order and manner as the
Mortgagee shall elect in its sole discretion, and the balance, if any, shall be paid to whomsoever shall be entitled thereto.

 

Section 4.05.Remedies
Cumulative; No Election. Every right or remedy herein conferred upon or reserved to the Lender and Mortgagee shall be cumulative
and shall be in addition to every other right and remedy given hereunder or under any Credit Agreement or now or hereafter existing
at law, or in equity, or by statute. The pursuit of any right or remedy shall not be construed as an election.

 

Section 4.06.Waiver
of Appraisement Rights. The Mortgagor, for itself and all who may claim through or under it, covenants that it will not at
any time insist upon or plead, or in any manner whatever claim, or take the benefit or advantage of, any appraisement, valuation,
stay, extension or redemption laws now or hereafter in force in any locality where any of the Mortgaged Property may be situated,
in order to prevent, delay or hinder the enforcement or foreclosure of this Mortgage, or the absolute sale of the Mortgaged Property,
or any part thereof, or the final and absolute putting into possession thereof, immediately after such sale, of the purchaser or
purchasers thereat, and the Mortgagor, for itself and all who may claim through or under it, hereby waives the benefit of all such
laws unless such waiver shall be forbidden by law.

 

 

 

    	 	10	 

     

    

 

ARTICLE V.

 

POSSESSION UNTIL DEFAULT; SATISFACTION

 

Section 5.01.Possession
Until Default. Until one or more Events of Default shall have occurred, the Mortgagor shall be permitted to retain actual possession
of the Mortgaged Property, and to manage, operate and use the same and any part thereof, with the rights and franchises appertaining
thereto, including, without limitation, to collect, receive, take, use and enjoy the rents, revenues, issues, earnings, income,
products, profits and proceeds thereof or therefrom, subject to the provisions of this Mortgage.

 

Section 5.02.Satisfaction.
If the Mortgagor shall well and truly pay or cause to be paid the Obligations at the times and in the manner provided in the Credit
Agreements, and shall also pay or cause to be paid all other sums payable by the Mortgagor hereunder, and shall keep and perform
all covenants herein and in all Credit Agreements required to be kept and performed by it, and there are no further obligations
to make advances to the Mortgagor under any of the Credit Agreements, then and in that case, all property, rights and interest
hereby conveyed or assigned or pledged shall, upon the written request of the Mortgagor, revert to the Mortgagor and the estate,
right, title and interest of the Mortgagee shall thereupon cease, determine and become void, and the Mortgagee, in such case, at
the Mortgagee’s cost and expense, shall enter satisfaction of this Mortgage upon the record.

ARTICLE VI.

 

MISCELLANEOUS

 

Section 6.01.Property
Deemed Real Property. It is hereby declared to be the intention of the Mortgagor that all the Mortgaged Property, including,
without limitation, all rights of way and easements granted or given to the Mortgagor or obtained by it to use real property in
connection with the construction, acquisition, ownership, use or operation of the Improvements, and all other property physically
attached to any of the foregoing, including fixtures now or in the future attached to any of the foregoing, shall be deemed to
be real property.

 

Section 6.02.Mortgage
to Bind and Benefit Successors and Assigns. All of the covenants, stipulations, promises, undertakings and agreements herein
contained by or on behalf of the Mortgagor shall bind its successors and assigns, whether so specified or not, and all titles,
rights and remedies hereby granted to or conferred upon the Mortgagee shall pass to and inure to the benefit of the successors
and assigns of the Mortgagee. The Mortgagor hereby agrees to execute such consents, acknowledgments and other instruments as may
be requested by the Mortgagee in connection with the assignment, transfer, mortgage, hypothecation or pledge of the rights or interests
of the Mortgagee hereunder or under the Credit Agreements or in and to any of the Mortgaged Property.

 

Section 6.03.Headings.
The descriptive headings of the various articles and sections of this Mortgage were formulated and inserted for convenience only
and shall not be deemed to affect the meaning or construction of any of the provisions hereof.

 

 

 

 

    	 	11	 

     

    

 

Section 6.04.Notices.
All demands, notices, reports, approvals, designations or directions required or permitted to be given hereunder shall be in writing
and shall be deemed to be properly given if sent by registered or certified mail, postage prepaid, or delivered by hand, or sent
by facsimile transmission, receipt confirmed, addressed to the proper party or parties at the following address:

 

	As to the Mortgagor:	 	
        Illinois Corn Processing, LLC

        c/o Pacific Ethanol, Inc.

        400 Capitol Mall, Suite 2060

        Sacramento, CA 95814

	 	 	Attention:  Chief Financial Officer
	 	 	Fax No:  916-403-2785
	 	 	Email:  bmcgregor@pacificethanol.com

 

	With copy to:	 	
        Pacific Ethanol, Inc.

        400 Capital Mall, Suite 2060

        Sacramento, CA 95814

	 	 	Attention:  General Counsel
	 	 	Fax  No.: 916-403-2785
	 	 	Email:  cwright@pacificethanol.com

 

	With copy to:	 	
        Troutman Sanders, LLP

        5 Park Plaza, Suite 1400

        Irvine, California 92614

	 	 	
        Attention:
	Larry Cerutti, Esq.

	 	 	 	Martin Taylor, Esq.
	 	 	Fax No:  949-769-2078
	 	 	
        Email:
	Larry.Cerutti@troutmansanders.com

        

	 	 	 	Martin.Taylor@troutmansanders.com
	 	 	 
	As to the Mortgagee:	 	CoBank, ACB
	 	 	6340 South Fiddlers Green Circle
	 	 	Greenwood Village, CO 80111
	 	 	Attention:  Credit Information Services
	 	 	Fax No.:  303-224-6101

 

Either such party may from time to time
designate to each other a new address to which demands, notices, reports, approvals, designations or directions may be addressed,
and from and after any such designation, the address designated shall be deemed to be the address of such party in lieu of the
address given above.

 

Section 6.05.Severability.
The invalidity of any one or more phrases, clauses, sentences, paragraphs or provisions of this Mortgage shall not affect the remaining
portions hereof.

 

Section 6.06.Governing
Law. The effect and meaning of this Mortgage, and the rights of all parties hereunder, shall be governed by, and construed
according to, the laws of the State of Illinois, except to the extent governed by federal law.

 

 

 

    	 	12	 

     

    

 

Section 6.07.Indemnification
by the Mortgagor of the Lender and Mortgagee. The Mortgagor agrees to indemnify and save harmless the Lender and Mortgagee
against any liability or damages which the Lender or Mortgagee may incur or sustain in the exercise and performance of its rightful
powers and duties hereunder, including any liability or damages arising from the Mortgagor's failure to comply with any Environmental
Law or the like applicable to the Mortgaged Property. For such indemnity, the Lender and Mortgagee shall be secured under this
Mortgage in the same manner as the Obligations and all amounts payable under this Section shall be paid to the Mortgagee with interest
at the rate specified in Section 3.09. The Mortgagor’s obligations under this Section shall survive the exercise by the Lender
and Mortgagee of their rights and remedies hereunder, any foreclosure on all or any part of the Mortgaged Property and the cancellation
or satisfaction of this Mortgage.

 

Section 6.08.Loan
Advances of a Revolving Credit Arrangement.  This Mortgage is given for the purpose of securing loan advances which Lender
may make to or for Mortgagor pursuant to the Credit Agreements. The parties hereby intend that, in addition to any other debt or
obligation secured hereby, this Mortgage shall secure unpaid balances of loan advances made after this Mortgage is delivered to
the Recorder of Deeds, Tazewell County, Illinois, whether made pursuant to an obligation of Lender or otherwise, provided that
such advances are within twenty (20) years from the date hereof, and, in such event, such advances shall be secured to the same
extent as if such future advances were made on the date hereof, although there may be no indebtedness at the time such advance
is made.

 

 

[Signatures follow on next page.]

 

 

 

 

 

 

 

 

 

 

    	 	13	 

     

    

 

IN WITNESS WHEREOF,
Illinois Corn Processing, LLC, as Mortgagor, has caused this Illinois Future Advance Real Estate Mortgage to be signed in its name,
all as of the day and year first above written.

 

	 	Illinois Corn Processing, LLC,
Mortgagor
	 	 
	 	 
	 	 
	 	By: /S/ BRYON T.
    MCGREGOR
	 	Printed Name:  Bryon T. McGregor
	 
	Title:                 Chief Financial Officer

 

 

	A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

 

	State of ILLINOIS	)
	County of Tazewell                          	)

 

On September 12, 2017 before me, Stephanie
Altpeter                                                           ,
Notary Public, personally appeared Bryon T. McGregor, who proved to me on the basis of satisfactory evidence to be the person(s)
whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument.

 

I certify under PENALTY OF PERJURY under the laws of the State
of Illinois that the foregoing paragraph is true and correct.

 

WITNESS my hand and official seal.

 

 

 

	
        Signature: /S/ STEPHANIE ALTPETER                
	(seal)

 

 

 

 

 

 

 

    	 	14	 

     

    

 

	 	CoBank, ACB, as agent for and on behalf of Compeer Financial, PCA, Mortgagee

                                                   

                                                   

	 	By:/S/ CHABLEE RIVERA
	 	Printed Name: 	Chablee Rivera
	 	Title: 	Assistant Corporate Secretary

 

 

 

	STATE OF COLORADO	)
	 	)
	COUNTY OF ARAPAHOE	)

 

The foregoing instrument
was acknowledged before me this 12th day of September, 2017, by Chablee Rivera, as Assistant Corporate Secretary of CoBank, ACB,
a federally-chartered instrumentality of the United States.

 

Witness my hand and
official seal.

 

(SEAL)

 

	 	By: /S/ WILLIAM LEBLANC III               
	 	Notary Public:William LeBlanc III
	 	 
	 	My commission expires: May 2, 2020               

 

 

 

 

 

 

[Mortgage Signature Page]

 

    	 	 	 

     

    

 

EXHIBIT A -- REAL PROPERTY

 

		1.	Legal descriptions of real property in which the Mortgagor has a fee estate:

 

TRACT I

 

A PART OF THE NORTHEAST QUARTER OF FRACTIONAL
SECTION 9, AND A PART OF LOTS 6 AND

 

8 IN THE SOUTHEAST QUARTER OF FRACTIONAL
SECTION 4, SAID LOTS 6 AND 8 BEING SHOWN ON PLAT RECORDED ON PAGE 57 OF PLAT BOOK "B", IN THE RECORDER'S OFFICE OF TAZEWELL
COUNTY, ILLINOIS, ALL BEING IN TOWNSHIP 24 NORTH, RANGE 5 WEST OF THE THIRD PRINCIPAL MERIDIAN, TAZEWELL COUNTY, ILLINOIS, AND
MORE PARTICULARLY DESCRIBED AS FOLLOWS:

 

COMMENCING AT THE NORTHEAST CORNER OF SAID
NORTHEAST QUARTER OF FRACTIONAL SECTION 9; THENCE SOUTH 89 DEGREES 29 MINUTES 14 SECONDS WEST, ALONG THE NORTH LINE OF SAID FRACTIONAL
SECTION 9, A DISTANCE OF 1,629.48 FEET TO THE PLACE OF BEGINNING; THENCE FROM SAID PLACE OF BEGINNING SOUTH 20 DEGREES 05 MINUTES
14 SECONDS WEST A DISTANCE OF 13.41 FEET; THENCE SOUTH 86 DEGREES 48 MINUTES 22 SECONDS EAST A DISTANCE OF 267.42 FEET; THENCE
SOUTH 00 DEGREES 56 MINUTES 03 SECONDS WEST A DISTANCE OF 159.82 FEET TO THE NORTH LINE OF THE QUAKER OATS COMPANY BY DEED RECORDED
IN BOOK 2045, PAGE 72, OF THE TAZEWELL COUNTY RECORDER'S OFFICE; THENCE SOUTH 89 DEGREES 27 MINUTES 16 SECONDS WEST ALONG SAID
NORTH LINE A DISTANCE OF 104.33 FEET; THENCE SOUTH 00 DEGREES 56 MINUTES 03 SECONDS WEST ALONG THE WEST LINE OF THE QUAKER OATS
COMPANY PROPERTY AS DESCRIBED IN AFOREMENTIONED DEED, A DISTANCE OF 253.00 FEET TO THE SOUTH LINE OF THE AMERICAN DISTILLING COMPANY
PROPERTY; THENCE SOUTH 89 DEGREES 27 MINUTES 16 SECONDS WEST ALONG THE SOUTH LINE OF THE AMERICAN DISTILLING PROPERTY, A DISTANCE
OF 850.76 FEET TO THE SOUTHEAST CORNER OF A PARCEL CONVEYED BY THE AMERICAN DISTILLING COMPANY TO PEKIN RIVER AND WAREHOUSE TERMINAL,
INC. BY DEED RECORDED IN BOOK 2351, PAGE 208, OF THE TAZEWELL COUNTY RECORDER'S OFFICE; THENCE NORTH 25 DEGREES 40 MINUTES 22 SECONDS
WEST ALONG EASTERLY LINE OF SAID PARCEL, A DISTANCE OF 371.70 FEET, THENCE NORTH 00 DEGREES 02 MINUTES 54 SECONDS WEST ALONG EASTERLY
LINE OF SAID PARCEL, A DISTANCE OF 106.63 FEET TO THE SOUTH LINE OF SAID FRACTIONAL SECTION 9; THENCE CONTINUING NORTH 00 DEGREES
02 MINUTES 54 SECONDS ALONG EASTERLY LINE OF SAID PARCEL 77.64 FEET TO THE NORTHERLY CORNER OF PEKIN RIVER AND WAREHOUSE TERMINAL
INC. PROPERTY, AND ALSO BEING A POINT ON THE NORTHWESTERLY LINE OF LOT 8 AS RECORDED IN PLAT BOOK "B", PAGE 57, OF THE
TAZEWELL COUNTY RECORDER'S OFFICE; THENCE NORTH 46 DEGREES 59 MINUTES 11 SECONDS EAST ALONG THE NORTHWESTERLY LINE, OF SAID LOT
8 A DISTANCE OF 1,110.92 FEET; THENCE SOUTH 43 DEGREES 00 MINUTES 54 SECONDS EAST A DISTANCE OF 280.47 FEET; THENCE SOUTH 42 DEGREES
00 MINUTES 08 SECONDS WEST, A DISTANCE OF 188.94 FEET; THENCE SOUTH 19 DEGREES 51 MINUTES 12 SECONDS WEST, A DISTANCE OF 276.07
FEET; THENCE SOUTH 69 DEGREES 54 MINUTES 46 SECONDS EAST, A DISTANCE OF 148.90 FEET; THENCE SOUTH 20 DEGREES 05 MINUTES 14 SECONDS
WEST, A DISTANCE OF 182.59 FEET TO THE PLACE OF BEGINNING; SITUATE, LYING AND BEING IN THE COUNTY OF TAZEWELL AND STATE OF ILLINOIS.

 

 

 

    	 	16	 

     

    

 

TRACT II:

 

A PART OF THE NORTHEAST QUARTER OF FRACTIONAL
SECTION 9, AND A PART OF LOTS 6 AND 8 IN THE SOUTHEAST QUARTER OF FRACTIONAL SECTION 4, SAID LOTS 6 AND 8 BEING SHOWN ON PLAT RECORDED
IN PAGE 57 OF PLAT BOOK "B" IN THE RECORDER'S OFFICE OF TAZEWELL COUNTY, ILLINOIS, ALL BEING IN TOWNSHIP 24 NORTH, RANGE
5 WEST OF THE THIRD PRINCIPAL MERIDIAN, TAZEWELL COUNTY, ILLINOIS AND MORE PARTICULARLY DESCRIBED AS FOLLOWS:

 

COMMENCING AT THE SOUTHEAST CORNER OF THE
SOUTHEAST QUARTER OF SAID FRACTIONAL SECTION 4; THENCE SOUTH 89 DEGREES 29 MINUTES 14 SECONDS WEST, ALONG THE SOUTH LINE OF THE
SOUTHEAST QUARTER OF SAID FRACTIONAL SECTION 4, A DISTANCE OF 1,020.92 FEET TO A CONCRETE MONUMENT BEING THE PLACE OF BEGINNING
FOR THE TRACT HEREIN BEING DESCRIBED; THENCE NORTH 37 DEGREES 03 MINUTES 04 SECONDS EAST A DISTANCE OF 1013.11 FEET; THENCE NORTH
57 DEGREES 55 MINUTES WEST A DISTANCE OF 292.65 FEET TO THE NORTHWESTERLY RIGHT-OF-WAY LINE OF SOUTH FRONT STREET; THENCE NORTH
29 DEGREES 56 MINUTES 48 SECONDS EAST, ALONG THE NORTHEASTERLY RIGHT-OF-WAY LINE OF SOUTH FRONT STREET, A DISTANCE OF 481.39 FEET
TO A CONCRETE MONUMENT; THENCE NORTH 46 DEGREES 54 MINUTES 36 SECONDS WEST A DISTANCE OF 263.31 FEET TO A POINT ON THE NORTHEASTERLY
LINE OF LOT 6 AS RECORDED IN PLAT BOOK "B", PAGE 57, OF THE TAZEWELL COUNTY RECORDER'S OFFICE; THENCE NORTH 24 DEGREES
46 MINUTES 48 SECONDS WEST, ALONG THE NORTHEASTERLY LINE OF SAID LOT 6 A DISTANCE OF 35.6 FEET; THENCE NORTH 87 DEGREES 04 MINUTES
48 SECONDS WEST A DISTANCE OF 214.55 FEET TO A POINT ON THE NORTHWESTERLY LINE OF SAID LOT 6; SAID POINT BEING 200 FEET FROM THE
NORTHERLY CORNER OF SAID LOT 6; THENCE SOUTH 46 DEGREES 59 MINUTES 11 SECONDS WEST, ALONG THE NORTHWESTERLY LINE OF SAID LOT 6
AND LOT 8 AS RECORDED IN PLAT BOOK "B", PAGE 57 OF THE TAZEWELL COUNTY RECORDER'S OFFICE, A DISTANCE OF 1,146.23 FEET
TO THE NORTHERLY CORNER OF TRACT I PREVIOUSLY DESCRIBED; THENCE SOUTH 43 DEGREES 00 MINUTES 54 SECONDS EAST, ALONG SAID TRACT I,
A DISTANCE OF 280.47 FEET; THENCE SOUTH 42 DEGREES 00 MINUTES 08 SECONDS WEST, A DISTANCE OF 188.94 FEET; THENCE SOUTH 19 DEGREES
51 MINUTES 12 SECONDS WEST, ALONG SAID TRACT I, A DISTANCE OF 276.07 FEET; THENCE SOUTH 69 DEGREES 54 MINUTES 46 SECONDS EAST,
ALONG SAID TRACT I, A DISTANCE OF 148.90 FEET; THENCE SOUTH 20 DEGREES 05 MINUTES 14 SECONDS WEST, ALONG SAID TRACT I, A DISTANCE
OF 196.00 FEET; THENCE SOUTH 86 DEGREES 48 MINUTES 22 SECONDS EAST, ALONG SAID TRACT I, A DISTANCE OF 267.42 FEET; THENCE SOUTH
00 DEGREES 56 MINUTES 03 SECONDS WEST, ALONG SAID TRACT I, A DISTANCE OF 159.82 FEET TO THE PROPERTY LINE OF QUAKER OATS COMPANY;
THENCE NORTH 89 DEGREES 27 MINUTES 16 SECONDS EAST, ALONG SAID PROPERTY LINE A DISTANCE OF 345.67 FEET; THENCE NORTH 00 DEGREES
56 MINUTES 03 SECONDS EAST, ALONG SAID PROPERTY LINE, A DISTANCE OF 189.47 FEET TO THE PLACE OF BEGINNING, SITUATE, LYING AND BEING
IN THE COUNTY OF TAZEWELL AND STATE OF ILLINOIS.

 

BEING THE SAME TRACT OF LAND DESCRIBED
IN A TITLE REPORT PREPARED BY COMMONWEALTH LAND TITLE INSURANCE COMPANY, COMMITMENT NO. C25653421 DATED August 21, 2017.

 

B.       Legal
descriptions of real property in which the Mortgagor has a leasehold estate:

 

           None.

 

 

 

 

    	 	17	 

     

    

 

C.       Permitted
Encumbrances:

 

		1.	THAT PART OF TRACT 2 FALLING IN SOUTH FRONT STREET AS REFLECTED ON THE TAZEWELL COUNTY GIS MAP
(WHICH MAY BE SOUTH FRONT STREET AS SHOWN ON PLAT RECORDED ON PAGE 57 OF PLAT BOOK "B") IS NOT ASSESSED FOR REAL ESTATE
TAXES AND WE NOTE THE POSSIBLE LIEN OF BACK TAXES WHICH MAY BE LEVIED THEREON.

 

	 	 	NOTE: PURSUANT TO 35 ILCS 200/9-260
THE LIEN OF SUCH BACK TAXES WOULD BE LIMITED TO THE YEAR IN WHICH NOTICE THEREOF IS GIVEN BY THE COUNTY ASSESSOR AND NOT MORE THAN
3 YEARS PRIOR TO SUCH YEAR.
	 	 	 
	 	 	EXCEPT
AS TO SAID SOUTH FRONT STREET, THE LAND DESCRIBED IN THE LEGAL DESCRIPTION IN SCHEDULE A IS ASSESSED UNDER THE FOLLOWING TAX PARCEL
NUMBERS, AND NO OTHERS:

	 	 	 
	 	 	04-10-04-400-002 (AFFECTS PART
OF TRACT 1 AND OTHER PROPERTY, PART OF TRACT 2 AND OTHER PROPERTY)
	 	 	 
	 	 	10-10-09-200-001 (AFFECTS REMAINDER
OF TRACT 1, AND OTHER PROPERTY)
	 	 	 
	 	 	10-10-09-200-010
(AFFECTS REMAINDER OF TRACT 2)

 

	 	2.	TAXES
FOR THE YEAR 2017.
	 	 	 
	 	 	2017 TAXES
NOT YET DUE AND PAYABLE.
	 	 	 
	 	 	PERMANENT
INDEX NUMBER(S): 04-10-04-400-002
	 	 	 
	 	 	NOTE: 2016 FIRST INSTALLMENT IN
THE AMOUNT OF $50,019.59 IS PAID.
	 	 	 
	 	 	NOTE: 2016 FINAL INSTALLMENT IN
THE AMOUNT OF $50.019.59 IS PAID.

 

	 	3.	TAXES
FOR THE YEAR 2017.
	 	 	 
	 	 	2017 TAXES
NOT YET DUE AND PAYABLE.
	 	 	 
	 	 	PERMANENT
INDEX NUMBER(S): 10-10-09-200-001
	 	 	 
	 	 	NOTE: 2016 FIRST INSTALLMENT IN
THE AMOUNT OF $1,470.68 IS PAID.
	 	 	 
	 	 	NOTE: 2016 FINAL INSTALLMENT IN
THE AMOUNT OF $1,470.68 IS PAID.

 

	 	4.	TAXES
FOR THE YEAR 2017.
	 	 	 
	 	 	2017 TAXES
NOT YET DUE AND PAYABLE.
	 	 	 
	 	 	PERMANENT
INDEX NUMBER(S): 10-10-09-200-010
	 	 	 
	 	 	NOTE: 2016
FIRST INSTALLMENT IN THE AMOUNT OF $344.16 IS PAID.

 

 

    	 	18	 

     

    

 

 

	 	 	NOTE: 2016
FINAL INSTALLMENT IN THE AMOUNT OF $344.16 IS PAID.

 

		5.	EASEMENT IN FAVOR OF CENTRAL ILLINOIS LIGHT COMPANY, AND ITS/THEIR RESPECTIVE SUCCESSORS AND ASSIGNS,
TO INSTALL, OPERATE AND MAINTAIN ALL EQUIPMENT NECESSARY FOR THE PURPOSE OF SERVING THE LAND AND OTHER PROPERTY, TOGETHER WITH
THE RIGHT OF ACCESS TO SAID EQUIPMENT, AND THE PROVISIONS RELATING THERETO CONTAINED IN THE GRANT RECORDED/FILED MARCH 5, 1964
IN VOLUME 700, PAGE 383.

 

(SEE DOCUMENT
FOR EXACT LOCATION)

 

		6.	EASEMENT IN FAVOR OF CENTRAL ILLINOIS LIGHT COMPANY, AND ITS/THEIR RESPECTIVE SUCCESSORS AND ASSIGNS,
TO INSTALL, OPERATE AND MAINTAIN ALL EQUIPMENT NECESSARY FOR THE PURPOSE OF SERVING THE LAND AND OTHER PROPERTY, TOGETHER WITH
THE RIGHT OF ACCESS TO SAID EQUIPMENT, AND THE PROVISIONS RELATING THERETO CONTAINED IN THE GRANT RECORDED/FILED MARCH 10, 1964
IN VOLUME 700, PAGE 619.

 

(SEE DOCUMENT
FOR EXACT LOCATION)

 

		7.	EASEMENT IN FAVOR OF THE PEORIA AND EASTERN RAILWAY COMPANY FOR THE PURPOSE OF CONSTRUCTION, MAINTENANCE,
REPAIR, RENEWAL, OPERATION AND USE OF A RAILWAY TRACK OR TRACKS RECORDED/FILED SEPTEMBER 2, 1964 IN VOLUME 711, PAGE 241, AND THE
TERMS AND PROVISIONS CONTAINED THEREIN.

 

(SEE DOCUMENT
FOR EXACT LOCATION)

 

		8.	EASEMENT IN FAVOR OF CENTRAL ILLINOIS LIGHT COMPANY, AND ITS/THEIR RESPECTIVE SUCCESSORS AND ASSIGNS,
TO INSTALL, OPERATE AND MAINTAIN ALL EQUIPMENT NECESSARY FOR THE PURPOSE OF SERVING THE LAND AND OTHER PROPERTY, TOGETHER WITH
THE RIGHT OF ACCESS TO SAID EQUIPMENT, AND THE PROVISIONS RELATING THERETO CONTAINED IN THE GRANT RECORDED/FILED DECEMBER 2, 1970
IN BOOK 853, PAGE 474.

 

(SEE DOCUMENT
FOR EXACT LOCATION)

 

		9.	EASEMENT IN FAVOR OF CENTRAL ILLINOIS LIGHT COMPANY, AND ITS/THEIR RESPECTIVE SUCCESSORS AND ASSIGNS,
TO INSTALL, OPERATE AND MAINTAIN ALL EQUIPMENT NECESSARY FOR THE PURPOSE OF SERVING THE LAND AND OTHER PROPERTY, TOGETHER WITH
THE RIGHT OF ACCESS TO SAID EQUIPMENT, AND THE PROVISIONS RELATING THERETO CONTAINED IN THE GRANT RECORDED/FILED DECEMBER 12, 1986
IN BOOK 2901, PAGE 109.

 

(SEE DOCUMENT
FOR EXACT LOCATION)

 

 

 

    	 	19	 

     

    

 

		10.	EASEMENT IN FAVOR OF CENTRAL ILLINOIS LIGHT COMPANY, AND ITS/THEIR RESPECTIVE SUCCESSORS AND ASSIGNS,
TO INSTALL, OPERATE AND MAINTAIN ALL EQUIPMENT NECESSARY FOR THE PURPOSE OF SERVING THE LAND AND OTHER PROPERTY, TOGETHER WITH
THE RIGHT OF ACCESS TO SAID EQUIPMENT, AND THE PROVISIONS RELATING THERETO CONTAINED IN THE GRANT RECORDED/FILED AUGUST 7, 1996
AS DOCUMENT NO. 9615914.

 

(SEE DOCUMENT
FOR EXACT LOCATION)

 

		11.	RIGHTS OF WAY FOR RAILROADS, SWITCH TRACKS OR SPUR TRACKS, IF ANY, AND RIGHT OF THE RAILROAD COMPANY
TO THE USE, OPERATION, MAINTENANCE AND REPAIR OF SAME.

 

		12.	RIGHT OF THE UNITED STATES OF AMERICA, THE STATE OF ILLINOIS, THE MUNICIPALITY AND THE PUBLIC IN
AND TO THAT PART OF THE LAND, IF ANY, FALLING WITHIN THE BED OF THE ILLINOIS RIVER; ALSO, RIGHTS OF PROPERTY OWNERS IN AND TO THE
FREE AND UNOBSTRUCTED FLOW OF THE WATERS OF SAID RIVER.

 

		13.	ENCROACHMENTS AS DISCLOSED BY PLAT OF SURVEY OF THE LAND DATED JULY 17, 2017, LAST REVISED SEPTEMBER
13, 2017 (FIELD WORK JUNE 13, 2017) PERFORMED BY XCEL CONSULTANTS, INC. (MKA ASSOCIATES, INC. PROJECT NO. 6064-17-4573):

 

		(a)	FENCE ENCROACHES UP TO 53.0 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(b)	FENCE ENCROACHES UP TO 13.6 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(c)	STORAGE STRUCTURE ENCROACHES UP TO 16.6 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(d)	CONCRETE ENCROACHES UP TO 21.4 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(e)	STORAGE STRUCTURE ENCROACHES UP TO 14.9 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(f)	CONCRETE ENCROACHES UP TO 17.9 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(g)	WALL ENCROACHES UP TO 23.4 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(h)	CONCRETE ENCROACHES UP TO 27.2 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

 

 

    	 	20	 

     

    

 

		(i)	WALL ENCROACHES UP TO 44.0 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(j)	FENCE ENCROACHES UP TO 9.4 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(k)	FENCE ENCROACHES UP TO 25.6 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(l)	DOCK ENCROACHES UP TO 271.0 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(m)	CONCRETE ENCROACHES UP TO 9.6 FEET WESTERLY OF THE SUBJECT PROPERTY.

 

		(n)	WALL ENCROACHES UP TO 67.3 FEET NORTHWEST OF THE SUBJECT PROPERTY.

 

		(o)	FENCE ENCROACHES UP TO 24.5 FEET SOUTH, FOR A DISTANCE OF 299.5 FEET, OF THE SUBJECT PROPERTY.

 

SEE SAID
PLAT OF SURVEY FOR DETAILS.

 

		14.	UNRECORDED TRACK LEASE DATED APRIL 1, 2008 BY AND BETWEEN TAZEWELL & PEORIA RAILROAD, INC.,
AS LESSOR, AND MGP INGREDIENTS, INC., AS LESSEE, AS DISCLOSED BY DEED FROM MGP INGREDIENTS, INC. TO ILLINOIS CORN PROCESSING, LLC,
RECORDED DECEMBER 4, 2009 AS DOCUMENT NO. 200900028004.

 

		15.	RIGHTS OF THE PUBLIC, THE STATE OF ILLINOIS, THE MUNICIPALITY, AND PUBLIC AND QUASI-PUBLIC UTILITIES
IN AND TO THAT PART OF TRACT II FALLING IN DISTILLERY ROAD AND THE INTERSECTION OF DISTILLERY ROAD AND SOUTH FRONT STREET, AS SHOWN
ON PLAT OF SURVEY OF THE LAND DATED JULY 17, 2017, LAST REVISED SEPTEMBER 13, 2017 (FIELD WORK JUNE 13, 2017) PERFORMED BY XCEL
CONSULTANTS, INC. (MKA ASSOCIATES, INC. PROJECT NO. 6064-17-4573).

 

		16.	RIGHTS OF THE PUBLIC, THE STATE OF ILLINOIS, THE MUNICIPALITY, AND PUBLIC AND QUASI-PUBLIC UTILITIES
IN AND TO THAT PART OF TRACT II FALLING IN SOUTH FRONT STREET, SHOWN AS A PUBLIC WAY AS REFLECTED ON THE TAZEWELL COUNTY GIS MAP
(WHICH MAY BE SOUTH FRONT STREET AS SHOWN ON PLAT RECORDED ON PAGE 57 OF PLAT BOOK "B").

 

Property Address:

 

1301 South Front Street

Pekin, Illinois 61555

 

Tax parcel numbers:

04-10-04-400-002

10-10-09-200-001

10-10-09-200-010

 

 

    	 	21	 

     

    

EXHIBIT B

 

1.                 
The “Obligations” as described in the Definitions section above include without limitation the following promissory
note(s):

 

	Note Date	 	Principal Amount	 	Maturity Date
	September 15, 2017	 	$24,000,000	 	September 20, 2021
	September 15, 2017	 	$18,000,000	 	September 1, 2022

 

 

 

 

 

 

 

 

 

 

 

    	 	22Exhibit 10.5

 

CoBANK,
ACB

SECURITY
AGREEMENT

 

THIS
SECURITY AGREEMENT (the “Security Agreement”) is dated as of September 15, 2017, and is executed and
delivered by ILLINOIS CORN PROCESSING, LLC (the “Debtor”), a
Delaware limited liability company, having its place of business (or chief executive office if more than one place of business)
located at 400 Capital Mall, Suite 2060, Sacramento, California 95814 to COBANK, ACB (the “Secured Party”),
a federally chartered instrumentality of the United States, whose mailing address is P.O. Box 5110, Denver, Colorado 80217, as
agent for COMPEER FINANCIAL, PCA (“Lender”), a federally chartered
instrumentality of the United States, and COBank,
ACB. Capitalized terms not otherwise defined in this Security Agreement shall have the respective meanings ascribed to them
by that certain Credit Agreement dated as of even date herewith between the Lender, the Secured Party and the Debtor, including
Annex A thereto (the “Credit Agreement”).

 

SECTION 1.GRANT
OF SECURITY INTEREST. For valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Debtor
hereby grants to the Secured Party a security interest in all of the personal property of the Debtor, wherever located, together
with all accessions and additions thereto, and all products and proceeds thereof, including:

 

accounts; inventory (including without
limitation, returned or repossessed goods); goods; as-extracted collateral; chattel paper; electronic chattel paper; instruments;
investment property (including, without limitation, certificated and uncertificated securities, security entitlements, securities
accounts, commodity contracts, and commodity accounts); letters of credit; letter-of-credit rights; documents; equipment; farm
products; fixtures; general intangibles (including, without limitation, payment intangibles, choses or things in action, litigation
rights and resulting judgments, goodwill, patents, trademarks and other intellectual property, tax refunds, miscellaneous rights
to payment, investments and other interests in entities not included in the definition of investment property (including, without
limitation, all equities and patronage rights in all cooperatives and all interests in partnerships and joint ventures), margin
accounts, computer programs, software, invoices, books, records and other information relating to or arising out of the Debtor's
business); and, to the extent not covered by the above, all other personal property of the Debtor of every type and description,
including without limitation, supporting obligations, interests or claims in or under any policy of insurance, commercial tort
claims, deposit accounts, money, and judgments (the “Collateral”).

 

Where applicable, all terms used herein
shall have the same meaning as presently and as hereafter defined in the Uniform Commercial Code (the “UCC”).

 

SECTION 2.THE
OBLIGATIONS. The security interest granted hereunder shall secure the payment of all indebtedness and the performance of all
obligations of the Debtor to the Lending Parties of every type and description, whether now existing or hereafter arising, fixed
or contingent, as primary obligor or as guarantor or surety, acquired directly or by assignment or otherwise, liquidated or unliquidated,
regardless of how they arise or by what agreement or instrument they may be evidenced, including without limitation all loans,
advances and other extensions of credit and all covenants, agreements, and provisions contained in all loan and other agreements
between the parties (the “Obligations”).

 

SECTION 3.REPRESENTATIONS,
WARRANTIES AND COVENANTS. The Debtor represents, warrants and covenants as follows:

 

A.       Title
to Collateral. Except as expressly permitted under the Credit Agreement or by any other written agreement between the parties,
and except for any security interest in favor of the Secured Party, the Debtor has clear title to all Collateral free of all adverse
claims, interests, liens, or encumbrances. Without the prior written consent of the Secured Party, the Debtor shall not create
or permit the existence of any adverse claims, interests, liens, or other encumbrances against any of the Collateral. The Debtor
shall provide prompt written notice to the Secured Party of any future adverse claims, interests, liens, or encumbrances against
all Collateral, and shall defend diligently the Debtor's and the Secured Party's interests in all Collateral.

 

 

 

 

    	 	1	 

     

    

 

B.       Validity
of Security Agreement; Authority.  This Security Agreement is the valid and binding obligation of the Debtor, enforceable in
accordance with its terms. The Debtor is duly formed, validly existing and in good standing under the laws of its jurisdiction
of formation. The Debtor has the full power to execute, deliver and carry out the terms and provisions of this Security Agreement
and all related documents and to grant to the Secured Party a security interest in, and a lien on, the Collateral, has taken all
necessary action to authorize the execution, delivery and performance of this Security Agreement and all related documents, and
such execution, delivery and performance do not and will not (i) violate any of the terms or provisions of the organizational documents
of the Debtor or any provision of any law, order, writ, judgment, injunction, decree, determination or award presently in effect
having applicability to the Debtor, (ii) result in a breach of, or constitute a default under, any indenture or loan or credit
agreement or any other agreement, document or instrument to which the Debtor is a party or by which the Debtor or any of the Debtor’s
property may be bound or affected or (iii) result in or require the creation or imposition of any lien or other encumbrance of
any nature upon or with respect to any of the property of the Debtor (except for any security interest in favor of the Secured
Party).

 

C.       Location
of the Debtor. The Debtor’s place of business (or chief executive office if more than one place of business) is located
at the address shown above. The Debtor’s state of incorporation or formation is as shown above.

 

D.       Location
of Fixtures. All fixtures are now at the location or locations specified on Schedule A attached hereto and made a part
hereof.

 

E.        Name,
Identity, and Corporate Structure. The Debtor’s exact legal name is as set forth above. Except as set forth on Schedule
B, the Debtor has not within the past one year changed its name, identity or corporate structure through incorporation, merger,
consolidation, joint venture or otherwise.

 

F.        Change
in Name, State of Debtor’s Location, Location of Collateral, Etc. Without giving at least thirty days' prior written
notice to the Secured Party, the Debtor shall not change its name, identity or organizational structure, the location of its place
of business (or chief executive office if more than one place of business), its state of incorporation or formation, or the location
of the Collateral.

 

G.       Further
Assurances. Upon the reasonable request of the Secured Party, the Debtor shall do all acts and things as the Secured Party
may from time to time reasonably deem necessary or advisable to enable it to perfect, maintain, and continue the perfection and
priority of the security interest of the Secured Party in the Collateral, or to facilitate the exercise by the Secured Party of
any rights or remedies granted to the Secured Party hereunder or provided by law. Without limiting the foregoing, the Debtor agrees
to execute, in form and substance reasonably satisfactory to the Secured Party, such financing statements, amendments thereto,
supplemental agreements, assignments, notices of assignments, and other instruments and documents as the Secured Party may from
time to time reasonably request. In addition, in the event the Collateral or any part thereof consists of instruments, documents,
chattel paper, or money (whether or not proceeds of the Collateral), the Debtor shall, upon the request of the Secured Party, deliver
possession thereof to the Secured Party (or to an agent of the Secured Party retained for that purpose), together with any appropriate
endorsements and/or assignments. Where Collateral is in the possession of a third party, the Debtor will join with the Secured
Party in notifying the third party of the Secured Party’s security interest and obtaining an acknowledgment from the third
party that it is holding the Collateral for the benefit of the Secured Party. The Debtor will cooperate with the Secured Party
in obtaining control with respect to Collateral consisting of deposit accounts (that are not held by the Secured Party as depositary
institution), investment property, letter-of-credit rights and electronic chattel paper. The Secured Party shall use reasonable
care in the custody and preservation of such Collateral in its possession, but shall not be required to take any steps necessary
to preserve rights against prior parties. All costs and expenses incurred by the Secured Party to establish, perfect, maintain,
determine the priority of, or release the security interest granted hereunder (including the cost of all filings, recordings, and
taxes thereon and the fees and expenses of any agent retained by Secured Party) shall become part of the Obligations secured hereby
and be paid by the Debtor on demand.

 

 

 

    	 	2	 

     

    

 

H.       Insurance.
The Debtor shall maintain such property and casualty insurance as required under the Credit Agreement. All such policies shall
provide for loss payable clauses or endorsements and other terms and conditions in form and content acceptable to the Secured Party.
Upon the request of the Secured Party, all policies (or such other proof of compliance with this Section as may be satisfactory
to the Secured Party) shall be delivered to the Secured Party. The Debtor shall pay all insurance premiums when due. In the event
of loss, damage, or injury to any insured Collateral, the Secured Party shall have full power to collect any and all insurance
proceeds due under any of such policies (and the Debtor hereby agrees, upon request by the Secured Party, to promptly forward to
the Secured Party all such insurance proceeds received directly by the Debtor), and may, at its option, apply such proceeds to
the payment of any of the Obligations secured hereby, or may apply such proceeds to the repair or replacement of such Collateral.

 

I.        Taxes,
Levies, Etc. The Debtor has paid and shall continue to pay when due all taxes, levies, assessments, or other charges which
may become an enforceable lien against the Collateral.

 

J.       Disposition
and Use of Collateral by the Debtor. Except as expressly permitted under the Credit Agreement, without the prior written consent
of the Secured Party, the Debtor shall not at any time sell, transfer, lease, abandon, or otherwise dispose of any Collateral,
except that, so long as the Debtor is not in default hereunder, the Debtor may sell, transfer, lease, abandon, or otherwise dispose
of any Collateral in the ordinary course of Debtor’s business. The Debtor shall not use any of the Collateral in any manner
which violates any statute, regulation, ordinance, rule, decree, order, or insurance policy.

 

K.       Receivables.
The Debtor shall preserve, enforce, and collect all accounts, chattel paper, electronic chattel paper, instruments, documents
and general intangibles, whether now owned or hereafter acquired or arising (the “Receivables”), in a diligent
fashion and, upon the request of the Secured Party, the Debtor shall execute an agreement in form and substance satisfactory to
the Secured Party by which the Debtor shall direct all account debtors and obligors on Receivables to make payment to a lock box
deposit account under the exclusive control of the Secured Party.

 

L.       Condition
of Collateral. All tangible Collateral is now in good repair and condition (ordinary wear and tear excepted) and except as
expressly permitted under the Credit Agreement, the Debtor shall at all times hereafter, at its own expense, maintain all such
Collateral in good repair and condition (ordinary wear and tear excepted).

 

M.       Condition
of Books and Records. The Debtor has maintained and shall maintain complete, accurate and up-to-date books, records, accounts,
and other information relating to all Collateral in such form and in such detail as may be satisfactory to the Secured Party, and
shall allow the Secured Party or its representatives at any reasonable time to examine and copy such books, records, accounts,
and other information.

 

N.       Right
of Inspection. At all reasonable times upon the request of the Secured Party, the Debtor shall allow the Secured Party or its
representatives to visit any of the Debtor’s properties or locations so that the Secured Party or its representatives may
confirm, inspect and appraise any of the Collateral.

 

SECTION 4.RIGHTS
AND REMEDIES. If an Event of Default as defined under the Credit Agreement (an “Event of Default”) shall
have occurred and be continuing, the Secured Party may exercise any and all rights and remedies of the Lending Parties and Secured
Party in the enforcement of its security interest under the UCC, this Security Agreement, or any other applicable law. Without
limiting the foregoing:

 

A.       Disposition
of Collateral. Upon and during the existence of an Event of Default, the Secured Party may sell, lease, or otherwise dispose
of all or any part of the Collateral, in its then present condition or following any commercially reasonable preparation or processing
thereof, whether by public or private sale or at any brokers' board, in lots or in bulk, for cash, on credit or otherwise, with
or without representations or warranties, and upon such other terms as may be acceptable to the Secured Party, and the Secured
Party may purchase at any public sale. At any time when advance notice of sale is required, the Debtor agrees that ten days' prior
written notice shall be reasonable. In connection with the foregoing, the Secured Party may:

 

 

 

    	 	3	 

     

    

 

1.       
require the Debtor to assemble the Collateral and all records pertaining thereto and make such Collateral and records available
to the Secured Party at a place to be designated by the Secured Party which is reasonably convenient to both parties;

 

2.       
enter the premises of the Debtor or premises under the Debtor's control and take possession of the Collateral;

 

3.        without
charge, use or occupy the premises of the Debtor or premises under the Debtor's control, including without limitation, warehouse
and other storage facilities;

 

4.        without
charge, use any patent, trademark, tradename, or other intellectual property or technical process used by the Debtor in connection
with any of the Collateral; and

 

5.        rely
conclusively upon the advice or instructions of any one or more brokers or other experts selected by the Secured Party to determine
the method or manner of disposition of any of the Collateral and, in such event, any disposition of the Collateral by the Secured
Party in accordance with such advice or instructions shall be deemed to be commercially reasonable.

 

B.       Collection
of Receivables. Upon and during the existence of an Event of Default, the Secured Party may, but shall not be obligated to,
take all actions reasonable or necessary to preserve, enforce or collect the Receivables, including without limitation, the right
to notify account debtors and obligors on Receivables to make direct payment to the Secured Party, to permit any extension, compromise,
or settlement of any of the Receivables for less than face value, or to sue on any Receivable, all without prior notice to the
Debtor.

 

C.       Proceeds.
Upon and during the existence of an Event of Default, the Secured Party may collect and apply all proceeds of the Collateral,
and may endorse the name of the Debtor in favor of the Secured Party on any and all checks, drafts, money orders, notes, acceptances,
or other instruments of the same or a different nature, constituting, evidencing, or relating to the Collateral. The Secured Party
may receive and open all mail addressed to the Debtor and remove therefrom any cash or non-cash items of payment constituting proceeds
of the Collateral.

 

D.       Insurance
Adjustments. Upon and during the existence of an Event of Default, the Secured Party may adjust, settle, and cancel any and
all insurance covering any Collateral, endorse the name of the Debtor on any and all checks or drafts drawn by any insurer, whether
representing payment for a loss or a return of unearned premium, and execute any and all proofs of claim and other documents or
instruments of every kind required by any insurer in connection with any payment by such insurer.

 

The net proceeds of any disposition of
the Collateral may be applied by the Secured Party, after deducting its reasonable expenses incurred in such disposition, to the
payment in whole or in part of the Obligations in such order as the Secured Party may elect. The enumeration of the foregoing rights
and remedies is not intended to be exhaustive, and the exercise of any right and/or remedy shall not preclude the exercise of any
other rights or remedies, all of which are cumulative and non-exclusive.

 

SECTION 5.OTHER
PROVISIONS.

 

A.       Amendment,
Modification, and Waiver. Without the prior written consent of the Secured Party, no amendment, modification, or waiver of,
or consent to any departure by the Debtor from, any provision hereunder shall be effective. Any such amendment, modification, waiver,
or consent shall be effective only in the specific instance and for the specific purpose for which given. No delay or failure by
the Secured Party to exercise any remedy hereunder shall be deemed a waiver thereof or of any other remedy hereunder. A waiver
on any one occasion shall not be construed as a bar to or waiver of any remedy on any subsequent occasion.

 

B.       Costs
and Attorneys’ Fees. Except as prohibited by law, if at any time the Secured Party employs counsel in connection with
the creation, perfection, preservation, or release of the Secured Party's security interest in the Collateral or the enforcement
of any of the Secured Party's rights or remedies hereunder, all of the Secured Party's reasonable attorneys’ fees arising
from such services and all expenses, costs, or charges relating thereto shall become part of the Obligations secured hereby and
be paid by the Debtor on demand.

 

 

 

    	 	4	 

     

    

 

C.       No
Obligation to Make Loans. Nothing contained herein or in any financing statement or other document executed or filed in connection
herewith (other than the Credit Agreement and the Notes, to the extent obligations arise thereunder) shall be construed to obligate
the Secured Party to make any loans or advances to the Debtor, whether pursuant to a commitment or otherwise.

 

D.       Revival
of Obligations. To the extent the Debtor or any third party makes a payment or payments to the Secured Party or the Secured
Party enforces its security interest or exercises any right of setoff, and such payment or payments or the proceeds thereof are
subsequently invalidated, declared to be fraudulent or preferential, set aside, and/or required to be repaid to a trustee, receiver,
or any other party under any bankruptcy, insolvency or other law or in equity, then, to the extent of such recovery, the Obligations
or any part thereof originally intended to be satisfied shall be revived and continued in full force and effect as if such payment
or payments had not been made, or such enforcement or setoff had not occurred.

 

E.        Performance
by the Secured Party. In the event the Debtor shall at any time fail to pay or perform punctually any of its duties hereunder,
the Secured Party may, at its option and without notice to or demand upon the Debtor, without obligation and without waiving or
diminishing any of its other rights or remedies hereunder, fully perform or discharge any of such duties. All costs and expenses
incurred by the Secured Party in connection therewith, together with interest thereon at the Secured Party's “CoBank Base
Rate” plus four percent per annum, shall become part of the Obligations secured hereby and be paid by the Debtor upon demand.
For purposes hereof, the CoBank Base Rate shall mean the rate of interest established by Secured Party from time to time as its
CoBank Base Rate, which rate is intended by the Secured Party to be a reference rate and not its lowest rate.

 

F.        Indemnification,
Etc. The Debtor hereby expressly indemnifies and holds the Lending Parties and Secured Party harmless from any and all claims,
causes of action, or other proceedings, and from any and all liability, loss, damage, and expense of every nature, arising by reason
of the Secured Party's enforcement of its rights and remedies hereunder, or by reason of the Debtor's failure to comply with any
environmental or other law or regulation. As to any action taken by the Secured Party hereunder, the Secured Party shall not be
liable for any error of judgment or mistake of fact or law, absent gross negligence or willful misconduct on its part.

 

G.       Power
of Attorney. The Debtor hereby appoints the Secured Party or the Secured Party's designee as its attorney-in-fact, which appointment
is irrevocable, durable, and coupled with an interest, with full power of substitution, in the name of the Debtor or in the name
of the Secured Party, upon and during the existence of an Event of Default, to take any action which the Debtor is obligated to
perform hereunder or which the Secured Party may deem necessary or advisable to accomplish the purposes of this Security Agreement.
In taking any action in accordance with this Section, the Secured Party shall not be deemed to be the agent of the Debtor. The
powers conferred upon the Secured Party in this Section are solely to protect its interest in the Collateral and shall not impose
any duty upon the Secured Party to exercise any such powers.

 

H.       Continuing
Effect. This Security Agreement, the Secured Party's security interest in the Collateral, and all other documents or instruments
contemplated hereby shall continue in full force and effect until all of the Obligations have been satisfied in full, the Secured
Party has no commitment to make any further advances to the Debtor, and the Debtor has sent a valid written demand to the Secured
Party for termination of this Security Agreement.

 

I.         Binding
Effect. This Security Agreement shall be binding upon and inure to the benefit of the Debtor and the Secured Party and their
respective successors and assigns.

 

J.        Security
Agreement as Financing Statement and Authorization to File. A photographic copy or other reproduction of this Security Agreement
may be used as a financing statement. In addition, the Debtor authorizes the Secured Party to prepare and file financing statements
describing the Collateral, amendments thereto, and continuation statements and file any financing statement, amendment thereto
or continuation statement electronically. In addition, the Debtor authorizes the Secured Party to file financing statements describing
any agricultural liens or other statutory liens held by the Secured Party.

 

 

 

 

    	 	5	 

     

    

 

K.       Governing
Law. Subject to any applicable federal law, this Security Agreement shall be construed in accordance with and governed by the
laws of the State of Colorado, except to the extent that the UCC provides for the application of the law of another state.

 

L.       Notices.
All notices, requests, demands, or other communications required or permitted hereunder shall be given as provided in Section
11.4 of the Credit Agreement.

 

M.       Severability.
The determination that any term or provision of this Security Agreement is unenforceable or invalid shall not affect the enforceability
or validity of any other term or provision hereof.

 

IN WITNESS WHEREOF,
the Debtor has executed this Security Agreement by its duly authorized officer as of the day and year first set forth above.

 

	 	 	 	Debtor:	ILLINOIS CORN PROCESSING, llc, a Delaware limited liability company, 
	 	 	 
	 	By:	/S/ BRYON T. MCGREGOR
	 	 	Name:Bryon T. McGregor
	 	 	Title:Chief Financial Officer

 

 

 

 

 

 

 

    	 	6	 

     

    

 

SCHEDULE A

 

To Security Agreement Dated September 15,
2017

 

Executed By: ILLINOIS
CORN PROCESSING, LLC 

 

Set forth below are the present locations (by county and state)
of the Debtor’s fixtures.

 

 

 

 

	County:	Tazewell	State:	Illinois

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	7	 

     

    

 

SCHEDULE B

 

To Security Agreement Dated September 15,
2017

 

Executed By: ILLINOIS
CORN PROCESSING, LLC

 

 

Set forth below is an explanation of any
changes within the past one (1) year to the Debtor’s name, identity or corporate structure through incorporation, merger,
consolidation, joint venture or otherwise.

 

None.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	8

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