Document:

exv4w3

 

Exhibit 4.3

ESCROW AGREEMENT

     THIS ESCROW AGREEMENT (this “Agreement”) is made this 30th day of July,
2007, by and between Natural Innovative Renewable Energy, L.L.C., an Iowa limited liability
company, with its principal offices in Akron, Iowa, (“NIRE”), Security National Bank, Sioux City,
Iowa, as escrow agent (the “Escrow Agent”) and 1st National Bank of Akron, Iowa (“First
National Bank”).

RECITALS

     WHEREAS, NIRE intends to offer at least 45,000 of its Membership Units (the “Units”), with a
required minimum investment of twenty (20) Units per investor at the price of $1,000 per Unit in an
offering in the States of Colorado, Iowa, Nebraska and South Dakota, and possibly other states,
made pursuant to a federal registration under the provisions of the Securities Act of 1933, as
amended (the “Offering”);

     WHEREAS, NIRE will allow investors in the Offering (the “Subscribers”) to deliver the purchase
price of the subscribed Units in ten percent (10%) and ninety percent (90%) installments; and

     WHEREAS, NIRE desires to comply with the requirements of the Securities Act of 1933, the Iowa
Securities Act and the various federal and state regulatory statutes and regulations, and desires
to protect the Subscribers by providing, under the terms and conditions herein set forth, for the
return to Subscribers of the money which they may pay on account of purchases of Units in the
Offering if the Minimum Escrow Deposit (hereinafter defined) is not deposited with the Escrow
Agent.

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

1. ACCEPTANCE OF APPOINTMENT: Escrow Agent hereby agrees to act as escrow agent under this
Agreement. The Escrow Agent shall have no duty to enforce any provision hereof requiring
performance by any other party hereunder.

2. ESTABLISHMENT OF ESCROW ACCOUNT: An escrow account (the “Escrow Account”) is hereby
established with the Escrow Agent for the benefit of the investors in the Offering. Except as
specifically provided in this Agreement, the Escrow Account shall be created and maintained subject
to the customary rules and regulations of the Escrow Agent pertaining to such accounts.

3. OWNERSHIP OF ESCROW ACCOUNT: Until such time as the funds deposited in the Escrow
Account (the “Deposited Funds”) shall equal the Minimum Escrow Deposit (as hereinafter defined),
all funds deposited in the Escrow Account by NIRE shall not become the property of NIRE

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or be
subject to the debts of NIRE or any other person but shall be held by the Escrow Agent solely for
the benefit of the investors who have purchased Units in the Offering.

4. ESCROW FEES: NIRE hereby agrees to pay to the Escrow Agent an annualized fee of 0.1%
from the monthly fund yield, which fees shall be paid exclusively from the interest on the Escrow
Account and not from principal.

5. DEPOSIT OF PROCEEDS: All proceeds from sales of Units in the Offering shall be
delivered by NIRE to First National Bank within forty-eight hours of the receipt thereof from
investors, endorsed (if appropriate) to the order of the Escrow Agent, together with an appropriate
written statement setting forth the name, address and social security number/taxpayer
identification number of each person or entity purchasing Units, the number of Units purchased, and
the amount paid by each such purchaser. First National Bank shall deposit all funds into an account
established by Escrow Agent at First National Bank. Any such proceeds deposited with First
National Bank in the form of uncollected checks shall be promptly presented by First National Bank
for collection through customary banking and clearing house facilities. The funds in the account
maintained at First National Bank shall be swept daily into the Escrow Account which will be
established pursuant to paragraph 2 herein. As the proceeds of each sale are deposited with the
Escrow Agent, NIRE shall reserve the number of Units confirmed to the purchaser thereof in
connection with such sale. All such deposited proceeds are referred to herein as the “Escrow
Funds.”

6. INVESTMENT OF ESCROW FUNDS: The Escrow Funds shall be credited by Escrow Agent and
recorded in the Escrow Account. The Escrow Agent shall be permitted, and is hereby authorized to
deposit, transfer, hold and invest all funds received under this Agreement, including principal and
interest, in the Goldman Sachs Financial Square Government Fund (CUSIP #38141W273) (the “Fund).

Any interest received by Escrow Agent with respect to the Escrow Funds shall be paid pursuant to
the terms of this Agreement.

7. TERMINATION OF ESCROW: This Agreement and the Escrow created hereunder shall be
terminated as provided in paragraph 8 hereof or as of the date in calendar year 2008 (the
“Termination Date”) one year and one day following the date in calendar year 2007 upon which the
Securities and Exchange Commission authorizes the Offering (the “Offering’s Effective Date”),
provided; however, that if prior to Termination Date, NIRE has sold membership units equal to the
minimum offering amount and NIRE has advised the purchasers of those membership units to remit to
the Escrow Agent the balance of the purchase price, then the Escrow may continue beyond the
Termination Date until all Funds have been paid and the conditions for releasing the Funds have
been satisfied. In no event shall this date be later than three (3) months following the
Termination Date. NIRE shall notify Escrow Agent of the Offering’s Effective Date within thirty
(30) days of the receipt of notice of the Offering’s Effective Date from the Securities and
Exchange Commission.

8. DISPOSITION OF ESCROW FUNDS: The Escrow Agent shall have the following duties and
obligations under this Agreement:

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     A. The Escrow Agent shall send a written notice acknowledging the receipt of the Deposited
Funds every seven days to NIRE.

     B. The Escrow Agent shall give NIRE prompt written notice when the Deposited Funds equal
$4,500,000 (exclusive of interest). Following receipt of such notice, NIRE will advise the
purchasers of Units to remit to the Escrow Agent the balance of the purchase price within twenty
(20) days. Thereafter, Escrow Agent shall give NIRE written notice acknowledging the receipt of
the Deposited Funds every seven days. The Escrow Agent shall give NIRE prompt written notice when
the Deposited Funds total $45,000,000 (exclusive of interest).

     C. At the time (and in the event) that: (a) the Deposited Funds shall, during the term of this
Agreement, equal $45,000,000 in subscription proceeds (exclusive of interest) (the “Minimum Escrow
Deposit”); (b) the Escrow Agent shall have received written confirmation from NIRE that NIRE has
obtained a written debt financing commitment for debt financing ranging from a minimum of
$38,688,750 to a maximum of $53,688,750; (c) NIRE has affirmatively elected in writing to terminate
this Agreement; and (d) the Escrow Agent shall have provided NIRE an affidavit that NIRE may file
with the Iowa, Colorado, Nebraska and South Dakota Securities Bureaus stating that the foregoing
requirements (a), (b) and (c) of this subsection 8C have been satisfied, then this Agreement shall
terminate, and the Escrow Agent shall promptly disburse the funds on deposit, including interest,
to NIRE to be used in accordance with the provisions set out in the Prospectus. NIRE will deliver
a copy of the Prospectus to the Escrow Agent upon execution of this Agreement. The Escrow Agent
will have no responsibility to examine the Prospectus with regard to the Escrow Account or
otherwise, nor shall Escrow Agent have any duty to ensure that Company complies with the
Prospectus. Upon the making of such disbursement, the Escrow Agent shall be completely discharged
and released of any and all further responsibilities hereunder.

     D. In the event the Deposited Funds do not equal or exceed the Minimum Escrow Deposit on or
before the Termination Date or if NIRE has not received a written debt financing commitment as
described herein on or before the Termination Date, the Escrow Agent shall return to each of the
purchasers of the Units in the Offering, as promptly as possible after such Termination Date and on
the basis of its records pertaining to the Escrow Account: (a) the sum which each purchaser
initially paid in on account of purchases of the Units in the Offering and (b) each purchaser’s
portion of the total interest earned on the Escrow Account as of the Termination Date, (c) reduced
by the transaction fees provided in paragraph 10 hereof. Computation of any purchaser’s share of
the net interest earned will be a weighted average based on the proportion of such purchaser’s
deposit in the Escrow Account from the Offering to all such purchasers’ deposits held by the Escrow
Agent and upon the length of time in days such deposit was held in the Escrow Account as compared
to all such deposits. All computations with respect to each purchaser’s allocable share of net
interest shall be made by the Escrow Agent, which determinations shall be final and conclusive.
Any amount paid or payable to a purchaser pursuant to this paragraph shall be deemed to be the
property of such purchaser, free and clear of any and all claims of NIRE or its agents or
creditors; and the respective purchases of the Units made and entered into in the Offering shall
thereupon be deemed, ipso facto, to be cancelled without any further liability of the purchasers or
any of them to pay for the Units purchased. At such time as the Escrow Agent shall have made all

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the payments called for in this paragraph, the Escrow
Agent shall be completely discharged and released of any and all further responsibilities
hereunder, and the Units reserved (as provided in paragraph 5) shall be released from such
reservation, except that Escrow Agent shall be required to prepare and issue a single IRS Form 1099
to each investor in the event that funds are returned to investors.

9. LIABILITY OF ESCROW AGENT AND FIRST NATIONAL BANK: In performing any duties under the
Escrow Agreement, neither the Escrow Agent nor First National Bank shall be liable to NIRE, any
subscriber/purchaser or any Party for damages, losses, or expenses, except for gross negligence or
willful misconduct on the part of the Escrow Agent or First National Bank. Neither the Escrow
Agent nor First National Bank shall incur any such liability for (I) any act or failure to act made
or omitted in good faith, or (II) any action taken or omitted in reliance upon any instrument,
including any written statement or affidavit provided for in this Agreement that the Escrow Agent
shall in good faith believe to be genuine, nor will the Escrow Agent be liable or responsible for
forgeries, fraud, impersonations, or determining the scope of any representative’s authority. In
addition, the Escrow Agent and First National Bank may consult with legal counsel in connection
with First National Bank and the Escrow Agent’s duties under this Agreement and shall be fully
protected in any action taken, suffered, or permitted by it in good faith in accordance with the
advice of counsel. The Escrow Agent and First National Bank are not responsible for determining
and verifying the authority of any person acting or purporting to act on behalf of any party to
this Agreement.

10. FEES AND EXPENSES: In the event the Deposited Funds do not equal or exceed the Minimum
Escrow Deposit before the Termination Date or NIRE does not receive a written debt financing
commitment as described herein before the Termination Date, the Escrow Agent shall be entitled to a
fee of $10 per purchaser, which fees shall be paid from the interest on the Escrow Account only and
not from principal. In the event the Escrow Agent renders any service not provided for in this
Agreement, or if NIRE requests a substantial modification of its terms, or if any controversy
arises, or if the Escrow Agent is made a party to, or intervenes in, any litigation pertaining to
this escrow or its subject matter, the Escrow Agent shall be reasonably compensated for such
extraordinary services and reimbursed for all costs, attorney’s fees, including allocated costs of
in-house counsel, and expenses occasioned by such default, delay, controversy or litigation and the
Escrow Agent shall have the right to retain all documents and/or other things of value at any time
held by the Escrow Agent in this escrow until such compensation, fees, costs and expenses are paid.
NIRE promises to pay these sums upon demand. Unless otherwise provided, NIRE will pay all of the
Escrow Agent’s usual charges and the Escrow Agent may deduct such sums from the interest on the
Escrow Account only and not from principal deposited to the Escrow Account.

11. CONTROVERSIES: If any controversy arises between the Parties to this Agreement, or
with any other Party, concerning the subject matter of this Agreement, its terms or conditions, the
Escrow Agent will not be required to determine the controversy or to take any action regarding it.
The Escrow Agent may hold all documents and funds and may wait for settlement of any such
controversy by final appropriate legal proceedings or other means as, in the Escrow Agent’s
discretion, the Escrow Agent may require, despite what may be set forth elsewhere in

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this
Agreement. In such event, the Escrow Agent will not be liable for interest or damage.
Furthermore, the Escrow Agent may at its option file an action of interpleader requiring the
Parties to answer and litigate any claims and rights among themselves. The Escrow Agent is
authorized to deposit with the clerk of the court all documents and funds held in escrow, except
all costs, expenses, charges and reasonable attorney fees incurred by the Escrow Agent due to the
interpleader action and which NIRE agrees to pay. Upon initiating such action, the Escrow Agent
shall be fully released and discharged of and from all obligations and liability imposed by the
terms of this Agreement.

12. INDEMNIFICATION OF ESCROW AGENT: NIRE and its successors and assigns agree jointly and
severally to indemnify and hold the Escrow Agent harmless against any and all losses, claims,
damages, liabilities, and expenses, including reasonable costs of investigation, counsel fees,
including allocated costs of in-house counsel and disbursements that may be imposed on the Escrow
Agent or incurred by the Escrow Agent in connection with the performance of its duties under this
Agreement, including but not limited to any litigation arising from this Agreement or involving its
subject matter. The Escrow Agent shall have a first lien on the property and papers held under
this Agreement for such compensation and expenses.

13. RESIGNATION OF ESCROW AGENT: The Escrow Agent may resign at any time upon giving at
least (30) days written notice to NIRE provided, however, that no such resignation shall become
effective until the appointment of a successor escrow agent which shall be accomplished as follows:
NIRE shall use its best efforts to obtain a successor escrow agent within thirty (30) days after
receiving such notice. If NIRE fails to agree upon a successor escrow agent within such time, the
Escrow Agent shall have the right to appoint a successor escrow agent authorized to do business in
the state of Iowa. The successor escrow agent shall execute and deliver an instrument accepting
such appointment and it shall without further acts, be vested with all the estates, properties,
rights, powers, and duties of the predecessor escrow agent as if originally named as escrow agent.
The Escrow Agent shall thereupon be discharged from any further duties and liability under this
Agreement.

14. AUTOMATIC SUCCESSION: Any company into which the Escrow Agent may be merged or with
which it may be consolidated, or any company to whom the Escrow Agent may transfer a substantial
amount of its global escrow business, shall be the Successor to the Agent without the execution or
filing of any paper or any further act on the part of any of the Parties, anything herein to the
contrary notwithstanding.

15. MISCELLANEOUS:

     (a) GOVERNING LAWS: This Agreement is to be construed and interpreted according to
Iowa law.

     (b) COUNTERPART: This Agreement may be executed in two or more counterparts, each of
which shall be deemed an original, but all of which together shall constitute one and the same
instrument. The exchange of copies of this Agreement and of signature pages by facsimile
transmission shall constitute effective execution and delivery of this Agreement as to the parties

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and may be used in lieu of the original Agreement for all purposes. Signatures of the parties
transmitted by facsimile shall be deemed to be their original signatures for all purposes.

     (c) NOTICES: All instructions, notices and demands herein provided for shall be in
writing and shall be deemed to have been duly given (a) on the date of service if served personally
on the party to whom notice is to be given; (b) on the day of transmission if sent by facsimile
transmission to the facsimile number given below and telephonic confirmation of receipt is promptly
obtained after completion of transmission; (c) on the next day on which such deliveries are made in
Akron, Iowa, when delivery is to Federal Express or similar overnight courier or the Express Mail
service maintained by the United States Postal Service; or (d) on the fifth day after mailing if
mailed to the party to whom notice is to be given, by first class mail, registered or certified,
postage prepaid and properly addressed, return receipt requested, to the party as follows:

	 	 	 
	If to NIRE:

	 	If to Escrow Agent:
	 
	 	 
	Natural Innovative Renewable Energy, LLC

	 	Security National Bank
	Attn: John Lucken, Chairman

	 	Attn: Joe Twidwell
	121 S. 2nd Street

	 	601 Pierce St.
	P.O. Box 366

	 	P.O. Box 147
	Akron, Iowa 51001

	 	Sioux City, Iowa 51102
	Fax: (712) 568-3738

	 	Fax: (712) 277-6713
	 
	 	 
	with a required copy to:

	 	If to First National Bank
	 
	 	 
	Brown, Winick, Graves, Gross, Baskerville

	 	First National Bank of Akron
	& Schoenebaum, P.L.C.

	 	Attn: Kevin Eekhoff
	Attn: Sean Moore 2

	 	251 Reed Street
	666 Grand Avenue, Suite 2000

	 	Akron, IA 51001
	Des Moines, IA 50309

	 	Fax: (712) 568-2113
	Fax: (515) 323-8550
	 	 

     (d) AMENDMENTS: This Agreement may be amended or modified and any of the terms,
covenants, representations, warranties or conditions hereof may be waived, only by a written
instrument executed by the parties hereto, or in the case of a waiver, by the party waiving
compliance. Any waiver by any party of any condition or of the breach of any provision, term,
covenant, representation or warranty contained in the Agreement, in any one or more instances,
shall not be deemed to be nor construed as further or continuing waiver of any such conditions or
of the breach of any other provision, term, covenant, representation or warranty of this Agreement.

     (e) ENTIRE AGREEMENT: This Agreement contains the entire understanding among the
parties hereto with respect to the escrow contemplated hereby and supersedes and
replaces all prior and contemporaneous agreements and understandings, oral or written, with regard
to such escrow.

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     (f) NON-ENDORSEMENT: NIRE represents and agrees that it has not made nor will it in
the future make any representation that states or implies that the Escrow Agent has endorsed,
recommended or guaranteed the purchase, value, or repayment of the Securities offered for sale by
NIRE. NIRE further agrees that it will insert in any prospectus, offering circular, advertisement,
subscription agreement or other document made available to prospective purchasers of the Securities
the following statement in bold face type: “Security National Bank is acting only as an escrow
agent in connection with the Offering described herein, and has not endorsed, recommended or
guaranteed the purchase, value or repayment of such Securities,” and will furnish to the Escrow
Agent a copy of each such prospectus, offering circular, advertisement, subscription agreement or
other document at least 5 business days prior to its distribution to prospective Subscribers.

The undersigned acknowledges that the Security National Bank is acting only as an escrow agent in
connection with the offering of the Securities described herein, and has not endorsed, recommended
or guaranteed the purchase, value or repayment of such Securities.

     IN WITNESS WHEREOF, the parties hereto have hereunto affixed their signatures as of the day
and year first above written.

	 	 	 	 	 
	NIRE:	 	ESCROW AGENT:
	 
	 	 	 	 
	NATURAL INNOVATIVE RENEWABLE ENERGY, LLC	 	SECURITY NATIONAL BANK
	 
	 	 	 	 
	/s/ John E. Lucken	 	/s/ Joseph E. Twidwell
	 	 	 
	John Lucken, Chairman

	 	By:
	 	Joseph E. Twidwell
	 

	 	 	 	 
	 

	 	Its:
	 	SVP
	 

	 	 	 	 

	 	 	 	 	 
	FIRST NATIONAL BANK:	 	 
	 
	 	 	 	 
	FIRST NATIONAL BANK OF AKRON	 	 
	 
	 	 	 	 
	By:

	 	/s/ Kevin R Eekhoff	 	 
	 

	 	 

President & CEO
	 	 

7exv10w11

 

Exhibit 10.11

[ECS Logo]

Engineering & Construction Services

600 Fourth Street

Suite 305 Terra Centre

Sioux City, IA 51101

Phone: (712) 234-3033 s Fax (712) 277-7386

Agreement for Consulting Services

Project: Biofuels Plant Construction – Akron, Iowa

Client:

This agreement for consulting services is entered into on the 9th day of April,
2007 between Northwest Iowa Renewable Energy, L.L.C., (hereinafter called “Client”) and
Engineering and Construction Services, Inc., an Iowa Corporation (hereinafter called “ECS”). The
Client and ECS, in consideration of the mutual promises and covenants herein contained, agree to
the following:

	1.	 	SCOPE OF WORK

	 	 	 	ECS will perform business consulting services for the Client including the items shown below
for the biofuels plant to be constructed in or near Akron, Iowa:

	 	1.	 	Provide Services of Scott Flynn, ECS Principal, for Negotiation of a
Design-Build Agreement with the General Contractor Selected at the Sole Discretion of
the Client
	 
	 	2.	 	Provide Project Management for Plant Construction & Start Up including the
Services of a company Principal and Project Manager as Needed up to about 60 Man-Hours
per Week, Readily Available, Working from Either our Sioux City Office or On Site as
Needed
	 
	 	3.	 	Provide Clerical and Administrative Support Services as Needed for Contract
Negotiations and Project Management
	 
	 	4.	 	Provide Travel & Subsistence for ECS Staff for Necessary Travel between Sioux
City and Akron, Iowa
	 
	 	5.	 	Participate in Negotiations of Agreements with Contractors as Needed
	 
	 	6.	 	Perform Value Engineering with the Design Team to Help Reduce Costs
	 
	 	7.	 	Perform Value Engineering with the Construction Team to Help Reduce Costs
	 
	 	8.	 	Assist with Environmental and Regulatory Permitting
	 
	 	9.	 	Assist with Zoning Regulatory Issues
	 
	 	10.	 	Review General, Mechanical & Electrical Construction Scope of Work
	 
	 	11.	 	Review Bid Submittals & Make Recommendations for Contractor Selection
	 
	 	12.	 	Assess Bidding Contractor Qualifications
	 
	 	13.	 	Solicit Additional Bids from Qualified Contractors
	 
	 	14.	 	Provide an ECS Jobsite Office Trailer (Also Available for Your Staff Use As
Needed)
	 
	 	15.	 	Monitor Process Design progress including Process & Instrumentation Diagrams
(P&ID’s), Process Flow Diagrams (PFD’s), Equipment Layout Drawings, and Equipment
Specifications
	 
	 	16.	 	Participate in Weekly Process Design Team Meetings to Monitor Progress and
Resolve Design Issues
	 
	 	17.	 	Provide Process Design Team Meeting Minutes as Needed
	 
	 	18.	 	Generate Process Design Team Meeting Agendas as Needed
	 
	 	19.	 	Coordinate Design and Installation of Gas Supply to the Site
	 
	 	20.	 	Coordinate Design and Installation of Electrical Power to the Site
	 
	 	21.	 	Coordinate Design and Installation of Rail Service to the Site
	 
	 	22.	 	Coordinate Design and Installation of Well Water Supply

JEL      SRF

					
	 	 	 	 	 
	 
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[ECS Logo]

Engineering & Construction Services

600 Fourth Street

Suite 305 Terra Centre

Sioux City, IA 51101

Phone: (712) 234-3033 s Fax (712) 277-7386

	23.	 	Coordinate Design and Installation of Water Treatment Systems
	 
	24.	 	Participate in Weekly Construction Team Meetings at the Jobsite to Monitor
Progress and Resolve Construction Issues
	 
	25.	 	Provide Construction Team Meeting Minutes as Needed
	 
	26.	 	Generate Construction Team Meeting Agendas as Needed
	 
	27.	 	Monitor Construction Progress and Schedule
	 
	28.	 	Provide Ongoing Construction Progress Reports
	 
	29.	 	Perform Ongoing Construction Site Inspections
	 
	30.	 	Monitor the Construction Budget
	 
	31.	 	Review Monthly Progress Billings from Contractors and Make Recommendations to
Client
	 
	32.	 	Review Project Scope Changes and Change Order Requests
	 
	33.	 	Perform Final Site Inspection for Project Completion
	 
	34.	 	Monitor Completion of “As-Built” Facility Drawings, Operation & Maintenance
Manuals, and Warranty Documentation
	 
	35.	 	Monitor Submission of Critical Spare Parts Lists for Machinery
	 
	36.	 	Assist with Plant Start Up as Needed
	 
	37.	 	Provide a Jobsite Construction Monitoring System with a Weatherproof Camera To
Take Digital Images Every 15 Minutes, Transfer Images via a Verizon Wireless Network,
Integrate Images Into a Website Accessible to Stockholders and Provide a Historical
Archive Accessible 24 hours a Day

Items specifically excluded from this Scope of Work: 

	i.	 	Travel expenses, subsistence and lodging to and from locations other than
Akron, Iowa.

	ii.	 	Delivery, installation, connection and pick up costs for Jobsite trailer.
	 
	iii.	 	Monthly costs for power, phone, fax and internet services for Jobsite trailer.
	 
	iv.	 	Installation, connection, removal and monthly costs for the Jobsite camera system.

	v.	 	Costs for other necessary architectural, engineering, or contractor
services.

ECS hereby offers these professional services to Northwest Iowa Renewable Energy on an
hourly basis plus reimbursable expenses as per the accompanying Attachment #1 dated April 9,
2007 until the earliest “Commencement Date” of either of the two pending Design-Build
Agreements with the General Contractors plus a retainer/mobilization fee of $15,000.

Upon the aforementioned Commencement Date, ECS hereby offers these professional services
until the latest “Substantial Completion Date” of either of the two pending Design-Build
Agreements with the General Contractors for a lump sum fee equal to $15,000 per month over
the term of the Design-Build Agreement.

In addition, ECS is entitled to receive a percentage of any cost savings proposed over
the term of this agreement, clearly documented and implemented at the discretion of the
Northwest Iowa Renewable Energy according to the Compensation Paragraph 3 to follow.

JEL      SRF

					
	 	 	 	 	 
	 
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[ECS Logo]

Engineering & Construction Services

600 Fourth Street

Suite 305 Terra Centre

Sioux City, IA 51101

Phone: (712) 234-3033 s Fax (712) 277-7386

2. TERM

	 	 	 	Work for ECS shall commence on April 16, 2007 and shall proceed until the latest
“Substantial Completion Date” of either of the two pending Design-Build Agreements with the
General Contractors.

3. COMPENSATION

	 	 	 	Client agrees to compensate ECS according to the Rate Structure dated April 9, 2007 shown in
accompanying Attachment #1 until the earliest “Commencement Date” of either of the two
pending Design-Build Agreements with the General Contractors plus a retainer/mobilization
fee of Fifteen Thousand Dollars ($15,000) payable upon authorization of this
agreement.
	 
	 	 	 	Upon the aforementioned earliest Commencement Date, Client agrees to compensate ECS a lump
sum fee equal to Fifteen Thousand Dollars ($15,000) per month multiplied by the
number of months from the earliest Commencement Date until the latest “Substantial
Completion Date” of either of the two pending Design-Build Agreements with the General
Contractors.
	 
	 	 	 	In addition, Client agrees to compensate ECS for those cost savings proposed by ECS or
generated by ECS activities that are implemented on the project. For those items under the
General Contractors’ Design-Build Scope of Work, Client agrees to pay ECS an amount equal to
25% of the total project net savings proposed by ECS or generated by ECS activities
that are implemented on the project. In addition, for items excluded from the General
Contractors’ Design-Build Scope of Work, Client agrees to pay ECS an amount equal to
25% of each cost savings proposed by ECS or generated by ECS activities that are
implemented on the project.
	 
	 	 	 	Cost savings identified under the General Contractors’ Scope of Work in the previous
paragraph are predicated on the Client entering a Guaranteed Maximum Price contract with the
General Contractors that provides incentive for the General Contractors to save money on the
project. If another form of agreement is entered with the General Contractors, Client
agrees to increase ECS’s lump sum compensation by Ten Thousand Dollars ($10,000) per
month over the term of this agreement in lieu of total project net savings for the
General Contractors’ portion of the work.
	 
	 	 	 	Cost savings for total project net savings are payable upon the Substantial Completion Date
of the General Contractors’ contract. All other cost savings are payable upon
implementation of each cost saving recommendation. For any cost savings compensation paid
to ECS in excess of $250,000, Client agrees to pay ECS a reduced amount equal to 15%
of savings as described above instead of 25%.
	 
	 	 	 	For any additional work requested of ECS by the Client beyond the Scope of Work shown in
Section 1, Client agrees to compensate ECS according to the Rate
Structure dated April 9, 2007 shown in the accompanying Attachment #1.
	 
	 	 	 	ECS will be entitled to reimbursement of all reasonable, ordinary and necessary expenses
incurred by ECS in the performance of duties hereunder provided, however, that any expense
in excess of Five Hundred Dollars ($500), or any weekly expense in excess of One Thousand
Dollars ($1,000) shall be subject to prior approval by Client. ECS shall provide to Client
within Ten (10) days of the end of each calendar month an itemized listing of any
reimbursable
expenses incurred on behalf of the Client and receipts therefore, and such expenses shall be
reimbursed to ECS within Ten (10) days of the Client’s receipt of such materials.

JEL      SRF

					
	 	 	 	 	 
	 
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[ECS Logo]

Engineering & Construction Services

600 Fourth Street

Suite 305 Terra Centre

Sioux City, IA 51101

Phone: (712) 234-3033 s Fax (712) 277-7386

4. INDEPENDENT CONTRACTOR STATUS

	 	 	 	ECS shall be an independent contractor for all purposes under this Agreement. ECS shall
control its own work and its own employees and shall provide all instrumentalities of work.
ECS shall control its hours of work.
	 
	 	 	 	The parties acknowledge and agree that, under no circumstances, will ECS have the right or
authority, express or implied, to assume or create any duty, responsibility, obligation or
liability, contractual or otherwise, for, on behalf of, or in the name of the Client, or to
otherwise bind the Client in any respect, nor shall ECS have any right or authority to
solicit or accept an offer to buy or sell any securities of or on behalf of Client.

5. SERVICES WARRANTY

	 	 	 	ECS will perform services consistent with that degree of skill, care and learning ordinarily
possessed and exercised by members of its profession in good standing in similar
circumstances. No other standard of performance is warranted or promised by ECS. No duties
or responsibilities are assumed by ECS other than those specifically set forth in this
agreement. No other warranties, either expressed or implied, are extended by ECS to the
Client other than those specifically set forth in this agreement.
	 
	 	 	 	Each party hereto shall defend, indemnify and hold harmless the other party and such other
party’s affiliates’ officers, directors, shareholders, employees and agents from and against
any and all claims, suits, demands, losses, liabilities, costs, damages and expenses,
including attorney’s fees and court costs, suffered or incurred by any such party arising
from or relating to: (i) the material breach of any warranty, representation, term, covenant
or condition by the indemnifying party under this Agreement; and (ii) the indemnifying
party’s fraud, gross negligence, willful misconduct, or knowing violation of the law in the
performance of its obligations under this Agreement. This section shall survive the
termination or expiration of this agreement for a period of one year.

6. LIABILITY

	 	 	 	Services provided by ECS are recommendations made in the best interest of the Client. The
use of recommendations made by ECS is at the sole discretion of the Client without liability
or legal exposure to ECS or ECS’s associates except in the event of fraud, gross negligence,
willful misconduct or knowing violation of the law. The project contractors shall be
responsible for the means, manner, methods, techniques, sequences and procedures of the
construction design and work and for the safety of the job site and ECS shall not be held
liable for these responsibilities.

7. ACCESSIBILITY

	 	 	 	The Client shall provide for right-of-entry to the job site for ECS personnel and equipment
necessary to complete the services.

8. PROJECT DELAYS, SUSPENSIONS AND TERMINATIONS

	 	 	 	Client shall indemnify and hold harmless ECS for all losses incurred due to injuries
sustained by third parties, such as contractors or suppliers, because of delays, suspensions
or terminations that are not the fault of ECS.

9. PAYMENT

	 	 	 	ECS will submit invoices to the Client within Ten (10) days of the end of each calendar
month Invoices will show charges based on the fees agreed to herein. The Client will pay
the balance stated on the invoice unless Client notifies ECS in writing of any alleged
incorrect billing item
within 7 days from the invoice date. Payment is due upon receipt of the invoice and is past
due 30 days from the invoice date. On past due accounts, the Client will pay a finance
charge of 1.5% per month. Failure to pay within 30 days of the invoice date may be
considered by ECS as a breach of this agreement and all duties of ECS under this agreement
may be terminated at ECS’s option.

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[ECS Logo]

Engineering & Construction Services

600 Fourth Street

Suite 305 Terra Centre

Sioux City, IA 51101

Phone: (712) 234-3033 s Fax (712) 277-7386

10. CONTRACT TERMINATION

	 	 	 	If commencement of General Contractors’ work does not occur because the project has been
cancelled, either party may terminate this agreement with or without cause upon 10 days
prior written notice. Thereafter, only if there is a substantial failure by the other party
to perform may this agreement be terminated by either party upon 7 days written notice. Any
termination due to substantial failure will not be effective if the substantial failure is
remedied before expiration of 15 days. Upon termination, ECS will be paid for services
rendered prior to the date of termination.

11. ASSIGNMENT

	 	 	 	Neither party may assign duties or interest in this agreement without the written consent of
the other party.

12. SERVICES BY OTHERS

	 	 	 	ECS will not be responsible for the acts or omissions of any consultant, contractor,
subcontractor, agent or employee (except ECS and its employees) or any other person
performing work on behalf of the Client whether or not associated with the work identified
in Paragraph 1 of this Agreement. Persons or entities other than ECS that are hired to
perform work for the Client shall be deemed the Client’s respective contractors,
subcontractors, consultants, agents, or employees, and not those of ECS.
	 
	 	 	 	The Client agrees to indemnify and hold harmless ECS and its employees, agents,
representatives and associates from any claims regarding losses, costs and damages in
connection with the existence of any environmental hazard or pollutant on the project site,
the testing or abatement of any such hazard, or any environmental or safety hazards at the
facility.
	 
	 	 	 	The Client may make or retain copies of documents for Client’s use on this project.
However, such documents are not intended to be suitable for reuse by the Client or others on
any subsequent project. Any reuse of documents without written verification by ECS will be
at the Client’s sole risk and with out liability and legal exposure to ECS and its
employees, agents representatives and associates and the Client shall defend, indemnify and
hold harmless ECS and its employees, agents, representatives and associates from all claims,
damages, losses, costs and expenses including attorneys fees resulting therefrom.

13. PROPOSAL DATE

	 	 	 	This proposal will be valid for 30 days from the date shown on this agreement.

14. GENERAL PROVISIONS

	 	 	 	This Agreement shall be construed pursuant to the laws of the State of Iowa. This Agreement
shall be binding upon and ensure the benefit of the successors in interest of the parties
hereto.

15. CONFIDENTIALITY

	 	 	 	The parties hereto may, in the course of performing their obligations hereunder, be provided
with or otherwise receive or have access to certain “Confidential Information” (as hereafter
defined) of or relating to the other party hereto. Both parties acknowledge and agree that
such Confidential Information of the other party is sensitive and proprietary in nature, and
its disclosure would cause irreparable harm to the other party. Consequently, the parties
shall utilize such Confidential Information solely for the purpose of their duties and
obligations hereunder. Additionally, the parties covenant and agree at all times, during
the term of this Agreement and for a period of Three (3) years thereafter, to treat such
Confidential Information of the other party as strictly confidential and sensitive
proprietary business information, and to maintain policies and
procedures designed to ensure the confidentiality and safekeeping thereof. The parties
shall not, unless compelled by legal process, except with the other parties prior written
consent, disclose or permit the disclosure of any Confidential Information of such other
party to any person or entity other than their respective employees responsible for
performing their obligations hereunder, each of which will be bound by the confidentially
provisions of this Section. The parties further

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[ECS Logo]

Engineering & Construction Services

600 Fourth Street

Suite 305 Terra Centre

Sioux City, IA 51101

Phone: (712) 234-3033 s Fax (712) 277-7386

	 	 	 	acknowledge and agree that any breach or
repudiation by either party of the confidentiality requirements set forth in this Section
would produce irreparable harm and injury to the other party and, therefore, specific
performance and/or injunctive relief, in addition to any other remedies available under this
Agreement, at law or in equity, shall be remedies available to prevent the breach, attempted
breach or repudiation of this Section.
	 
	 	 	 	For purposes of this Agreement, the term “Confidential Information” shall mean any
information provided by either party hereto to the other party for any reason whatsoever,
including, without limitation, conceptions, innovations, trade secrets, inventions, designs,
product ideas, production processes and methods, software, ideas, data, production schedules
and/or quantities, pricing information, customer information, financial information, product
specifications, and other technology, whether or not patentable, copyrightable, or
susceptible to any other form of protection. Notwithstanding the foregoing, however, the
following types of information shall not be deemed to be “Confidential Information “ within
the meaning hereof: (i) information which was rightfully in the receiving party’s possession
prior to disclosure; (ii) information which was in the public domain prior to disclosure, or
which becomes part of the public domain by any means other than an unauthorized act or
omission by a party hereto; or (iii) information supplied to the receiving party without
restriction by a third party under no obligation to maintain such information in confidence.

16. ASSIGNMENT OF INVENTIONS

	 	 	 	ECS acknowledges and agrees that any and all inventions, improvements, discoveries,
formulas, and processes, and any and all patents, copyrights and other rights relating
thereto, relating to the business of the Client which have been or may be invented,
discovered or learned by ECS as a result of ECS’s performance hereunder will be at once
fully disclosed by ECS to the Client and will be the sole and absolute property of the
Client. ECS hereby irrevocably assigns to the Client any and all rights that ECS might have
therein but for this Agreement and agrees to execute such documents as are necessary to
assign any and all such rights to the Client.

17. NON-SOLICITATION

	 	 	 	During the term of this Agreement and for a period of Two (2) years thereafter, neither
party shall: (i) contact or solicit the other party’s current and prospective employees,
except in the furtherance of the party’s business; or (ii) interfere with, or counsel or
direct others to interfere with, the other party or its affiliates or with their business
relationships, or disparage in any way the good name or reputation of each party or their
affiliates or their officers, directors, employees, agents or representatives.

18. ARBITRATION

	 	 	 	Any controversy or claims arising out of or related to this Agreement or the performance
thereof shall be submitted to binding arbitration before a single arbitrator in Sioux City,
Woodbury County, Iowa, pursuant to Chapter 679A, Iowa Code. Either party may file an action
to compel binding arbitration in the Iowa District Court for Woodbury County and the Court
shall appoint an arbitrator in the absence of an agreement between the parties. The
decision of the single arbitrator shall be final and binding on both parties, and shall be
enforceable in all Courts of general jurisdiction.

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[ECS Logo]

Engineering & Construction Services

600 Fourth Street

Suite 305 Terra Centre

Sioux City, IA 51101

Phone: (712) 234-3033 s Fax (712) 277-7386

19. INSURANCE

	 	 	 	ECS will, during the performance of the work described above, purchase and maintain
Liability Insurance in the amounts listed below:

	 	a.	 	Automobile Liability policy with a combined single limit for bodily injury and
property damage of not less than $1,000,000 for each accident.
	 
	 	b.	 	ECS shall maintain Professional Liability Insurance that shall include coverage
for errors and omissions in the performance of consulting services required under this
agreement. The Professional Liability policy shall have a limit of not less than
$1,000,000 for each claim subject to a $1,000,000 annual aggregate.
	 
	 	c.	 	ECS shall maintain Commercial Umbrella Liability Insurance that shall have a
limit of not less than $1,000,000 for each claim subject to a
$1,000,000 annual aggregate.
	 
	 	d.	 	ECS shall maintain Worker’s Compensation Insurance.

20. ENTIRE AGREEMENT

	 	 	 	This contract represents the entire agreement between the parties and supersedes all prior
representations or agreements. By signing below, Client acknowledges that he or she is an
Officer of the company or authorized by the Client to enter into this agreement with ECS.

SIGNATURES

	 	 	 
	Engineering & Construction Services, Inc.:

	 	Client:
	 
	 	 
	Name: Scott Flynn

	 	Name: John E. Lucken
	 

	 	 
	 
	 	 
	Signature:/s/ Scott Flynn

	 	Signature:/s/ John E. Lucken
	 

	 	 
	 
	 	 
	Title: President

	 	Title: Chairman
	 

	 	 
	 
	 	 
	Date: 4/9/07

	 	Date: 4-17-07
	 

	 	 

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[ECS Logo]

Engineering & Construction Services

600 Fourth Street

Suite 305 Terra Centre

Sioux City, IA 51101

Phone: (712) 234-3033 s Fax (712) 277-7386

Attachment #1

Rate Structure

Northwest Iowa Renewable Energy, L.L.C.

Project Management: Biofuels Plant Construction – Akron, Iowa

April 9, 2007

HOURLY COMPENSATION RATES

	 	 	 	 	 
	Principal
	 	$125/hour
	Project Manager
	 	$110/hour
	Project Engineer
	 	$100/hour
	Field Technician
	 	$70/hour
	CAD Technician
	 	$60/hour
	Administrative
	 	$40/hour

REIMBURSABLE EXPENSES

	 	 	 	 	 
	Mileage
	 	$0.485/mile
	Prints, Photocopies & Plots
	 	Cost +10%
	Postage, Shipping & Mail
	 	Cost +10%
	Long Distance Phone Calls
	 	Cost +10%
	Travel, Subsistence & Lodging
	 	Cost +10%
	Other Professional Services
	 	Cost +10%

SIGNATURES

	 	 	 
	Engineering & Construction Services, Inc.:

	 	Client:
	 
	 	 
	Name: Scott Flynn

	 	Name: /s/ John E. Lucken
	 

	 	 
	 
	 	 
	Signature:/s/ Scott Flynn

	 	Signature:John E. Lucken
	 

	 	 
	 
	 	 
	Title: President

	 	Title: Chairman
	 

	 	 
	 
	 	 
	Date: 4/9/07

	 	Date: 4-17-07
	 

	 	 

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