Document:

Confidential
		treatment has been requested for portions of this exhibit. The copy filed
		herewith omits the information subject to the confidentiality request.
		Omissions are designated as [*]. A complete version of this exhibit has been
		filed separately with the Securities and Exchange Commission.

	  

	 Exhibit
		10.14

	  

	 EXECUTION
		COPY

	  

	 AGREEMENT
		

	  

	 

	 FOR

	  

	 

	 ENGINEERING,
		PROCUREMENT

	 AND
		CONSTRUCTION

	  

	 

	 BETWEEN

	 

	 BUFFALO
		LAKE ENERGY, LLC

	 

	 AND

	 

	 TIC -
		THE INDUSTRIAL COMPANY WYOMING, INC.

	 

	 

	  

	 
 
	  

	 Table
		of Contents

	  

	 
			 	 	
				Page

				
	 	 	 
	
				ARTICLE
				  1
 	
				Definitions
				  and Interpretation
 	
				1

				
	
				1.1

					
				Definitions

					
				1

				
	
				1.2

					
				Interpretation

					
				8

				
	 	 	 
	
				ARTICLE
				  2
 	
				Contractor’s
				  Work and Other Obligations
 	
				8

				
	
				2.1

					
				Work to
				  be Performed
 	
				8

				
	
				2.2

					
				Commencement
				  of the Work
 	
				12

				
	
				2.3

					
				Compliance
				  with Applicable Laws
 	
				13

				
	
				2.4

					
				Safety

					
				13

				
	
				2.5

					
				Quality
				  Control
 	
				13

				
	
				2.6

					
				Contractor’s
				  Representative
 	
				13

				
	 	 	 
	
				ARTICLE
				  3
 	
				Subcontracts

					
				13

				
	
				3.1

					
				Major
				  Specialty Consultants, Subcontractors and Equipment Suppliers

					
				13

				
	
				3.2

					
				Payments
				  to Subcontractors
 	
				14

				
	
				3.3

					
				Major
				  Subcontractors
 	
				14

				
	
				3.4

					
				Subcontract
				  Provisions
 	
				14

				
	
				3.5

					
				Subcontractor
				  Insurance
 	
				14

				
	
				3.6

					
				No
				  Privity with Subcontractors
 	
				14

				
	 	 	 
	
				ARTICLE
				  4
 	
				Price
				  and Payment
 	
				15

				
	
				4.1

					
				Contract
				  Price
 	
				15

				
	
				4.2

					
				Taxes

					
				15

				
	
				4.3

					
				Payment
				  Schedule
 	
				16

				
	
				4.4

					
				Payment
				  Upon Termination
 	
				17

				
	
				4.5

					
				Performance
				  Security
 	
				18

				
	 	 	 
	
				ARTICLE
				  5
 	
				Client
				  Services
 	
				18

				
	
				5.1

					
				Client’s
				  Representative
 	
				18

				
	
				5.2

					
				Facility
				  Site
 	
				18

				
	
				5.3

					
				Permits

					
				18

				
	
				5.4

					
				Operating
				  Personnel
 	
				18

				
	
				5.5

					
				Consumables
				  and Spare Parts
 	
				19

				
	
				5.6

					
				Client’s
				  Scope
 	
				19

				
	
				5.7

					
				Other
				  Client Scope
 	
				19

				
	 	 	 
	
				ARTICLE
				  6
 	
				Completion
				  and Acceptance of Project
 	
				20

				
	
				6.1

					
				Mechanical
				  Completion
 	
				20

				
	
				6.2

					
				Startup

					
				21

				
	
				6.3

					
				Testing

					
				21

				
	
				6.4

					
				Report

					
				22

				
	
				6.5

					
				Provisional
				  Acceptance
 	
				22

				

 

	  

	 i

	  

	 
 
	  

	 Table
		of Contents

	 (continued)

	  

	 
			 	 	
				Page

				
	 	 	 
	
				6.6

					
				Substantial
				  Completion
 	
				24

				
	
				6.7

					
				Project
				  Completion
 	
				25

				
	 	 	 
	
				ARTICLE
				  7
 	
				Completion
				  Dates
 	
				26

				
	
				7.1

					
				Guaranteed
				  Completion Dates
 	
				26

				
	
				7.2

					
				Late
				  Completion Payments
 	
				27

				
	
				7.3

					
				Early
				  Completion Bonus
 	
				28

				
	 	 	 
	
				ARTICLE
				  8
 	
				Project
				  Guarantees and Remedies
 	
				28

				
	
				8.1

					
				Performance
				  Guarantees
 	
				28

				
	
				8.2

					
				Payments
				  Reasonable
 	
				28

				
	
				8.3

					
				Payment

					
				29

				
	
				8.4

					
				Exclusive
				  Remedy
 	
				29

				
	 	 	 
	
				ARTICLE
				  9
 	
				Liability
				  and Damages
 	
				29

				
	
				9.1

					
				Limitation
				  of Liability for Articles 7 and 8 Payments
 	
				29

				
	
				9.2

					
				Consequential
				  Damages
 	
				29

				
	
				9.3

					
				Aggregate
				  Liability of Contractor
 	
				29

				
	
				9.4

					
				Applicability
				  of Disclaimers
 	
				30

				
	
				9.5

					
				Precedence
				  and Survival
 	
				30

				
	
				9.6

					
				Survival

					
				30

				
	 	 	 
	
				ARTICLE
				  10
 	
				Warranties
				  and Guarantees of Contractor
 	
				30

				
	
				10.1

					
				Warranties
				  and Guarantees
 	
				30

				
	
				10.2

					
				Standard
				  of Performance
 	
				32

				
	
				10.3

					
				No Liens
				  or Encumbrances
 	
				32

				
	
				10.4

					
				Limitation
				  of Warranties
 	
				32

				
	 	 	 
	
				ARTICLE
				  11
 	
				Force
				  Majeure
 	
				32

				
	
				11.1

					
				Force
				  Majeure Event
 	
				32

				
	
				11.2

					
				Excused
				  Performance
 	
				33

				
	 	 	 
	
				ARTICLE
				  12
 	
				Scope
				  Changes
 	
				34

				
	
				12.1

					
				Scope
				  Changes
 	
				34

				
	
				12.2

					
				Procedure
				  for Scope Changes
 	
				34

				
	
				12.3

					
				Scope
				  Changes Due to Contractor Error
 	
				35

				
	
				12.4

					
				Scope
				  Changes Due to Changes in Law
 	
				35

				
	
				12.5

					
				Effect
				  of Force Majeure Event
 	
				35

				
	
				12.6

					
				Client-Caused
				  Changes
 	
				35

				
	
				12.7

					
				Effectiveness;
				  Continued Performance Pending Resolution of Disputes
 	
				36

				
	
				12.8

					
				Documentation

					
				36

				
	
				12.9

					
				Scope
				  Change Order Constitutes Complete Relief
 	
				36

				

 

	  

	 ii

	  

	 
 
	  

	 Table
		of Contents

	 (continued)

	 

	 
			 	 	
				Page

				
	 	 	 
	
				ARTICLE
				  13
 	
				Indemnification

					
				36

				
	
				13.1

					
				General
				  Indemnification
 	
				36

				
	
				13.2

					
				Intellectual
				  Property Infringement
 	
				38

				
	
				13.3

					
				Liens

					
				39

				
	
				13.4

					
				Notice
				  and Legal Defense
 	
				39

				
	
				13.5

					
				Settlement
				  of Claims
 	
				39

				
	 	 	 
	
				ARTICLE
				  14
 	
				Insurance

					
				39

				
	
				14.1

					
				Not
				  Used
 	
				40

				
	
				14.2

					
				Insurance
				  Obtained by Contractor
 	
				40

				
	 	 	 
	
				ARTICLE
				  15
 	
				Termination

					
				43

				
	
				15.1

					
				Termination
				  for Client’s Convenience
 	
				43

				
	
				15.2

					
				Termination
				  upon Client’s Default
 	
				44

				
	
				15.3

					
				Termination
				  upon Contractor’s Default
 	
				45

				
	
				15.4

					
				Consequences
				  of Termination
 	
				46

				
	
				15.5

					
				Surviving
				  Obligations
 	
				46

				
	 	 	 
	
				ARTICLE
				  16
 	
				Assignments

					
				46

				
	
				16.1

					
				Consent
				  Required
 	
				46

				
	
				16.2

					
				Contractor’s
				  Right to Assign to Affiliates
 	
				47

				
	
				16.3

					
				Successors
				  and Assigns
 	
				47

				
	 	 	 
	
				ARTICLE
				  17
 	
				Design
				  Documents
 	
				47

				
	
				17.1

					
				Client
				  Review
 	
				47

				
	
				17.2

					
				Review
				  Not Release of Obligations
 	
				47

				
	
				17.3

					
				Final
				  Documents
 	
				47

				
	
				17.4

					
				Ownership

					
				47

				
	 	 	 
	
				ARTICLE
				  18
 	
				Confidential
				  Information
 	
				48

				
	
				18.1

					
				Confidentiality

					
				48

				
	 	 	 
	
				ARTICLE
				  19
 	
				Differing
				  Site Conditions
 	
				48

				
	
				19.1

					
				Differing
				  Site Conditions
 	
				48

				
	 	 	 
	
				ARTICLE
				  20
 	
				Dispute
				  Resolution
 	
				49

				
	
				20.1

					
				Applicability
				  of Resolution Procedures
 	
				49

				
	
				20.2

					
				Management
				  Discussions
 	
				49

				
	
				20.3

					
				Arbitration

					
				49

				
	
				20.4

					
				Obligations
				  Continue
 	
				49

				

 

	 
 

	 iii

	  

	 
 
	  

	 Table
		of Contents

	 (continued)

	  

	 
			 	 	
				Page

				
	 	 	 
	
				ARTICLE
				  21
 	
				[Intentionally
				  Left Blank]
 	
				50

				
	 	 	 
	
				ARTICLE
				  22
 	
				Independent
				  Contractor
 	
				50

				
	
				22.1

					
				Contractor
				  as Independent Contractor
 	
				50

				
	 	 	 
	
				ARTICLE
				  23
 	
				Representations

					
				50

				
	
				23.1

					
				Representations

					
				50

				
	 	 	 
	
				ARTICLE
				  24
 	
				Miscellaneous

					
				51

				
	
				24.1

					
				Past Due
				  Amounts
 	
				51

				
	
				24.2

					
				Delay
				  not Waiver
 	
				51

				
	
				24.3

					
				Choice
				  of Law
 	
				51

				
	
				24.4

					
				Severability

					
				52

				
	
				24.5

					
				Notice

					
				52

				
	
				24.6

					
				Section
				  Headings
 	
				53

				
	
				24.7

					
				Amendments

					
				53

				
	
				24.8

					
				Not
				  Used
 	
				53

				
	
				24.9

					
				No Third
				  Party Rights
 	
				53

				
	
				24.10

					
				Survival
				  of Provisions
 	
				53

				
	
				24.11

					
				Title to
				  the Project
 	
				53

				
	
				24.12

					
				Counterparts

					
				53

				
	
				24.13

					
				Entire
				  Agreement
 	
				53

				

 

	  

	 iv
 

	  

	 
 
	  

	 APPENDICES

	 

	 
			
				Appendix
				  A
 	
				Scope of
				  Work
 
	 	 
	
				Appendix
				  A-1
 	
				Performance
				  Test Protocols
 
	 	 
	
				Appendix
				  A-2
 	
				Performance
				  Guarantees and Liquidated Damages
 
	 	 
	
				Appendix
				  B-1
 	
				Preliminary
				  Schedule of Values
 
	 	 
	
				Appendix
				  B-2
 	
				Form of
				  Progress Invoice
 
	 	 
	
				Appendix
				  C
 	
				Project
				  Schedule Summary
 
	 	 
	
				Appendix
				  D
 	
				Delta-T
				  License Agreement
 
	 	 
	
				Appendix
				  E-1
 	
				Form of
				  Notice to Proceed
 
	 	 
	
				Appendix
				  E-2 
 	
				Form of
				  Limited Notice to Proceed
 
	 	 
	
				Appendix
				  F
 	
				Certificate
				  of Financing
 
	 	 
	
				Appendix
				  G-1
 	
				Contractor
				  Final Lien
				  Waiver and Release Form
 
	 	 
	
				Appendix
				  G-2
 	
				Contractor
				  Conditional Lien Waiver and Release Form
 
	 	 
	
				Appendix
				  G-3
 	
				Subcontractor’s
				  Final Lien Waiver and Release Form
 
	 	 
	
				Appendix
				  H
 	
				Major
				  Subcontractors
 
	 	 
	
				Appendix
				  I
 	
				Not
				  Used
 
	 	 
	
				Appendix
				  J
 	
				Not
				  Used
 
	 	 
	
				Appendix
				  K
 	
				Unit
				  Rates for Labor and Construction Equipment
 
	 	 
	
				Appendix
				  L
 	
				Air
				  Permit
 
	 	 
	
				Appendix
				  M-1
 	
				Form of
				  Guarantee
 
	 	 
	
				Appendix
				  M-2
 	
				Form of
				  Performance Bond
 

 

	 
 

	 v
 

	 

	 
 
	  

	 
		ENGINEERING,
		  PROCUREMENT & CONSTRUCTION AGREEMENT

		 

		THIS
		  ENGINEERING, PROCUREMENT & CONSTRUCTION AGREEMENT (“Agreement”)
		  is made as of June 9, 2006 (“Effective
		  Date”),
		  by and between Buffalo Lake Energy, LLC, a limited liability company organized
		  and existing under the laws of the state of Delaware (“Client”)
		  and TIC - The Industrial Company Wyoming, Inc., a corporation organized and
		  existing under the laws of the state of Wyoming (“Contractor”).

		 

		RECITALS

		 

		A. Client
		  desires that Contractor design, engineer, procure, construct, Startup, and test
		  the Facility (as hereinafter defined), other than as provided in this Agreement
		  for items within Client’s Scope (as hereinafter defined), as set forth in
		  this Agreement.

		 

		B. Contractor
		  desires to furnish the Work (as hereinafter defined) on a fixed price, turnkey
		  basis with a guaranteed completion date and in accordance with the terms and
		  conditions specified in this Agreement.

		 

		NOW,
		  THEREFORE, in consideration of the premises and the mutual covenants setout in
		  this Agreement, the Parties (as hereinafter defined), intending to be legally
		  bound, agree as follows:

		 

		ARTICLE
		  1

		 

		Definitions
		  and Interpretation

		 

		1.1 Definitions. As
		  used in the Agreement, the following terms shall have the following
		  meanings:

		 

		“Advance
		  Payments”
		  has the meaning set forth in Section
		  2.2(b).

		 

		“Agreement”
		  means this document consisting of Articles 1 through
		  24 and the
		  Appendices
		  A through
		  M-2.

		 

		“Air
		  Permit”
		  means the Project’s air permit, substantially in the form attached as
		  Appendix
		  L
		  hereto.

		 

		“Applicable
		  Laws”
		  means laws, ordinances, judgments, decrees, injunctions, writs, rules,
		  regulations, orders and interpretations of any Governmental Authority,
		  including Applicable Permits, as may be in effect at the time of
		  Contractor’s performance under this Agreement.

		 

		“Applicable
		  Permits”
		  means all permits, approvals and authorizations required to be obtained or
		  maintained in connection with construction of the Facility on the Facility Site
		  and performance of the Work, including the Client Permits and the Contractor
		  Permits. 

		 

		“Client”
		  means Buffalo Lake Energy, LLC a limited liability company organized and
		  existing under the laws of the State of Delaware, and its successors and
		  permitted assigns.

		 

		1

		 

		
 
		 

		 

		“Client
		  Indemnified Parties”
		  shall have the meaning set forth in Section 13.1.1.

		 

		“Client
		  Permits”
		  shall have the meaning set forth in Section 5.3.

		 

		“Client’s
		  Representative”
		  shall have the meaning set forth in Section 5.1.

		 

		“Client’s
		  Scope”
		  shall have the meaning set forth in Section 5.6.

		 

		“Commencement
		  Date”
		  means the date on which Contractor is to commence performance of the Work
		  (other than as specified by the Limited Notice to Proceed), as specified in the
		  Notice to Proceed delivered to Contractor by Client pursuant to Section 2.2(a).

		 

		“Consumption
		  Guarantees”
		  means the natural gas and electricity consumption guarantees set forth in
		  Section 1.2.2 of Appendix
		  A-2.

		 

		“Contract
		  Documents”
		  means the Agreement, the executed Limited Notice to Proceed, the executed
		  Notice to Proceed and all Scope Change Orders, in each case, as they may be
		  amended, modified or supplemented from time to time, and which by this
		  reference are incorporated.

		 

		“Contract
		  Price”
		  shall have the meaning set forth in Section 4.1.

		 

		“Contractor”
		  means TIC - The Industrial Company Wyoming, Inc. (“TIC”),
		  a corporation organized and existing under the laws of the state of Wyoming,
		  and its successors and permitted assigns.

		 

		“Contractor
		  Indemnified Parties”
		  shall have the meaning set forth in Section 13.1.2.

		 

		“Contractor
		  Permits”
		  shall have the meaning set forth in Section 2.1.5.1.

		 

		“Contractor
		  Taxes”
		  shall have the meaning in Section
		  4.2.

		 

		“Contractor
		  Technology”
		  means all confidential information included in the process information,
		  designs, software and other documents delivered by Contractor to Client under
		  this Agreement or embodied in the Facility or Contractor’s
		  Equipment.

		 

		“Contractor’s
		  Equipment”
		  means materials, equipment, tools, appliances and items of whatsoever nature
		  required by Contractor for the purposes of Contractor’s furnishing of the
		  Work, but not including materials, equipment, appliances or items intended to
		  form, or forming, part of the Facility.

		 

		“Contractor’s
		  Representative”
		  shall have the meaning set forth in Section 2.6.

		 

		“Corrective
		  Action”
		  has the meaning set forth in Section 6.3.1(b).

		 

		“Corrective
		  Action Plan”
		  shall be any plan by Contractor to take action required pursuant to
		  Section 6.3.1(b).

		 

		“DDGS”
		  means distiller’s dried grains and solubles.

		 

		2

		 

		
 
		 

		“Delta-T
		  License Agreement”
		  shall have the meaning set forth in Section 17.4.

		 

		“Design
		  Documents”
		  shall have the meaning set forth in Section 2.1.2.

		 

		“Dispute”
		  shall have the meaning set forth in Section 20.1.

		 

		“Early
		  Completion Payments”
		  shall have the meaning set forth in Section 7.3.

		 

		“Extended
		  Warranty Period”
		  shall have the meaning set forth in Section 10.1.4.

		 

		“Facility” means
		  the ethanol plant and related facilities to be located in Fairmont, Minnesota,
		  as more fully described in Appendix
		  A.

		 

		“Facility
		  Site” means
		  the parcel of land in Fairmont, Minnesota, on which the Facility will be
		  located, as more particularly described in Appendix A.

		 

		“Financing
		  Parties”
		  means (i) any and all lenders providing the construction, interim or long-term
		  financing (including a synthetic lease) or any other refinancing thereof for
		  the Project, and any trustee or agent acting on their behalf, and (ii) any and
		  all equity investors providing financing or refinancing for the Project, and
		  any trustee or agent acting on their behalf.

		 

		“Force
		  Majeure Event”
		  shall have the meaning set forth in Section 11.1.

		 

		“Good
		  Practices”
		  means those practices, methods, acts, techniques, and standards as may be
		  followed or employed at the time of performance of the Work, and which (i) are
		  generally accepted for use in the ethanol production industry, in connection
		  with project management, design, engineering and construction of an ethanol
		  production facility of the same or similar size and type as the Facility in the
		  region in which the Facility is located, (ii) are commonly used in ethanol
		  plant design engineering, construction, project management and operations for
		  projects of a similar size, type and complexity as the Facility, and (iii)
		  would be expected if the Work is performed in a manner consistent with
		  Applicable Laws and the objectives of reliability, safety, environmental
		  protection, economy and expediency.

		 

		“Governmental
		  Authority”
		  means any federal, state, local, municipal or other governmental body or agency
		  or subdivision thereof, including any legislative or judicial body, having or
		  asserting jurisdiction over Client or Contractor, and their respective agents
		  and parent corporations or over any part or all of the construction of the
		  Facility on the Facility Site, the performance of the Work or the ownership or
		  operation of the Facility.

		 

		“Guaranteed
		  Completion Dates”
		  means each of the Guaranteed Provisional Acceptance Date, the Guaranteed
		  Substantial Completion Date and the Guaranteed Project Completion
		  Date.

		 

		“Guaranteed
		  Performance Conditions”
		  means all conditions upon which the Performance Guarantees are contingent, as
		  defined in Appendix A.

		 

		“Guaranteed
		  Project Completion Date”
		  means the date that is [*] days after the Guaranteed Provisional Acceptance
		  Date.

		 

		3

		 

		

		*
		  Certain confidential information on this page has been omitted and filed
		  separately with the Securities and Exchange Commission.

		 

		“Guaranteed
		  Provisional Acceptance Date”
		  means the date that is [*] days after the date that Client delivers to
		  Contractor the Notice to Proceed.

		 

		“Guaranteed
		  Substantial Completion Date”
		  means the date that is the earlier to occur of (i) [*] days after the Project
		  maximum capacity has been achieved or (ii) [*] days after start-up of the
		  Plant, as determined in accordance with the Air Permit.

		 

		“Guarantor”
		  means TIC Holdings, Inc.

		 

		“Hazardous
		  Materials”
		  means: (i) petroleum or any of its fractions, flammable substances,
		  explosives, radioactive materials, hazardous wastes or substances, toxic wastes
		  or substances or any other similar materials or pollutants which pose a hazard
		  to the Facility Site, or to persons on or about same, or cause the Facility
		  Site to be in violation of any law or local approval, or are defined as or
		  included in the definition of “hazardous substances”, “hazardous
		  wastes”, “hazardous materials”, or “toxic”, or words
		  of similar import under any Applicable Law, including, but not limited to:
		  (A) the Comprehensive Environmental Response, Compensation and Liability
		  Act of 1980, as amended, 42 U.S.C. § 9601, et seq.; (B) the Hazardous
		  Materials Transportation Act, as amended, 49 U.S.C. § 1801, et seq.;
		  (C) the Resource Conservation and Recovery Act, as amended, 42 U.S.C.
		  § 6901, et seq.; and (D) regulations adopted and publications
		  promulgated pursuant to the aforesaid laws; (ii) asbestos in any form
		  which is or could become friable, urea formaldehyde foam insulation,
		  transformers or other equipment which contain dielectric fluid containing
		  levels of polychlorinated biphenyls in excess of 50 parts per million; and
		  (iii) any other chemical, material or substance exposure to which is
		  prohibited, limited or regulated by any Governmental Authority under any
		  environmental laws.

		 

		“Indemnified
		  Parties”
		  means the Client or Client Indemnified Parties or Contractor or Contractor
		  Indemnified Parties or other persons or entities or any combination thereof, as
		  the context or the usage of such term may require.

		 

		“Late
		  Completion Payments”
		  shall have the meaning set forth in Section 7.2.1.

		 

		“Liens”
		  shall have the meaning set forth in Section 13.3.

		 

		“Limited
		  Notice to Proceed”
		  shall have the meaning set forth in Section 2.2(b).

		 

		“Major
		  Subcontract”
		  means
		  any subcontract of Contractor for the provision of equipment, the value of
		  which subcontract exceeds $1,000,000.00 in the aggregate.

		 

		“Major
		  Subcontractor”
		  means any Subcontractor party to a Major Subcontract.

		 

		“Mechanical
		  Completion”
		  means that the following has occurred: (i) all equipment, components, and
		  systems of the Facility necessary for operation of the Facility to produce
		  ethanol, including items within Client’s Scope, have been physically
		  constructed and installed in accordance with this Agreement; (ii) the
		  Contractor has completed the checkout, including, but not limited to, equipment
		  alignment, rotation, and lubrication and hydrostatic testing, ground fault
		  tests, calibration, and continuity checks, and has developed turnover packages,
		  including providing records of inspection and testing, in accordance with the
		  applicable start-up procedures 

		 

		4

		 

		 

		  *
			 Certain confidential information on this page has been omitted and filed
			 separately with the Securities and Exchange Commission.

		  

		 

		required
		  prior to Startup; (iii)
		  the Facility is ready for commencement of Startup (i.e. including, but not
		  limited to, loop checks, relay checks, and functional checkout completed to
		  support commencement of Startup); (iv) the first draft of the Operating Manuals
		  shall have been transferred from Contractor to Client; and (v) the relevant
		  portion of Contractor’s training program for Client’s operation and
		  maintenance personnel has been completed. Mechanical Completion does not
		  require completion of insulation, painting, architectural work/finishes, final
		  grading and any other portion of the Work not necessary to satisfy the
		  foregoing requirements and not affecting the operability, safety, or mechanical
		  integrity of the Facility.

		 

		“Monthly
		  Progress Report”
		  means a written report issued monthly by Contractor containing the following
		  information: (i) a description of the status of Contractor’s
		  activities and engineering, manufacturing and construction progress as compared
		  with the Project Schedule (as updated from time to time), including a
		  completion percentage chart which outlines, month by month, completion progress
		  of the Work, (ii) an identification and evaluation of problems and
		  deficiencies in the Work (including an evaluation of any factors which are
		  anticipated to have a material effect on the Project Schedule), (iii) a
		  detailed description of the portions of the Schedule of Values achieved and the
		  Work performed prior to the last date covered by the Monthly Progress Report
		  and the extent to which Progress Payments therefore have been received,
		  (iv) the status of material and equipment deliveries, (v) safety
		  statistics required under Applicable Laws, and (vi) such other information
		  as may be requested by Client and agreed to by Contractor, which agreement
		  shall not be unreasonably withheld. 

		 

		“Notice
		  of Mechanical Completion”
		  shall have the meaning set forth in Section 6.1(a).

		 

		“Notice
		  of Project Completion”
		  shall have the meaning set forth in Section 6.7.2.

		 

		“Notice
		  of Provisional Acceptance”
		  shall have the meaning set forth in Section 6.5.2.

		 

		“Notice
		  of Substantial Completion”
		  shall have the meaning set forth in Section 6.6.2.

		 

		“Notice
		  to Proceed”
		  shall have the meaning set forth in Section 2.2(a).

		 

		“Operating
		  Manuals”
		  shall mean the information manuals concerning training of Client’s
		  operators and operation and maintenance procedures as prepared in accordance
		  with and pursuant to the procedures set forth in Article 17 and
		  Appendix A.

		 

		“Party”
		  or “Parties”
		  means either Client or Contractor or both, as the context or the usage of such
		  term may require.

		 

		“Parent
		  Guarantee”
		  means a payment and performance guaranty from Guarantor in the form attached as
		  Appendix
		  M-1, which
		  may be required to be provided by Contractor in accordance with Section
		  4.5.

		 

		“Performance
		  Bond”
		  shall mean a performance bond, in the
		  amount of 100% of the Contract Price, in the form attached as Appendix
		  M-2, which
		  may be required to be provided by Contractor in accordance with Section
		  4.5.

		 

		“Performance
		  Guaranty Payments”
		  shall have the meaning set forth in Section
		  8.1.1.

		 

		5

		 

		 

		   

		 

		“Performance
		  Guarantees”
		  shall have the
		  meaning set forth in Section
		  8.1.1.

		 

		“Performance
		  Security”
		  shall mean the Parent Guarantee or the Performance Bond, as
		  applicable.

		 

		“Performance
		  Tests”
		  shall mean the tests
		  set forth under Appendix
		  A-1 and A-2. 

		 

		“Permit”
		  means any valid waiver, exemption, variance, franchise, permit, authorization,
		  license or similar order of or from any Governmental Authority.

		 

		“Person”
		  means any individual, corporation, partnership, limited liability company,
		  association, joint stock company, trust, unincorporated organization, joint
		  venture, government or political subdivision or agency thereof.

		 

		“Preliminary
		  Schedule of Values”
		  means the document set forth as Appendix B-1.

		 

		“Production
		  Guarantee”
		  means the ethanol production guarantee set forth in Section1.2.1 of
		  Appendix
		  A-2,

		 

		“Progress
		  Invoice”
		  mean an invoice to be provided in accordance with Section
		  4.3.1(a), in the
		  form set forth in Appendix B-2.

		 

		“Progress
		  Payments”
		  shall have the meaning set forth in Section 4.3.1(a).

		 

		“Project”
		  means the Work, including all equipment, labor, and materials to be furnished
		  to Client by Contractor under this Agreement, all as described in greater
		  detail in Appendix A, and
		  which shall be performed in accordance with the provisions of the Contract
		  Documents, all Applicable Laws, governmental authorizations, Good Practices and
		  recommended equipment supplier guidelines.

		 

		“Project
		  Completion”
		  means the actual acceptance by Client of the completed Facility in accordance
		  with the provisions of Section 6.7.

		 

		“Project
		  Guarantees”
		  means the Performance Guarantees, and the guarantees and warranties set forth
		  in Article 8
		  and
		  Article 10.

		 

		“Project
		  Schedule”
		  shall have the meaning set forth in Section 2.1.14.

		 

		“Project
		  Schedule Summary”
		  shall have the meaning set forth in
		  Section 2.1.14.

		 

		“Project
		  Taxes”
		  shall have the meaning in Section
		  4.2.

		 

		“Provisional
		  Acceptance”
		  shall occur when Contractor satisfies the requirements specified in
		  Section
		  6.5.

		 

		“Punch
		  List”
		  means the list which sets forth those items of Work pertaining to the
		  performance or documentation of the Project that remain to be completed for the
		  Project to comply with the standards and requirements set forth in this
		  Agreement. As of the date of 

		 

		6

		 

		 

		   

		 

		Mechanical
		  Completion, Contractor shall list those items of Work that remain to be
		  performed with respect to the construction, erection, and installation of the
		  Work; provided, however, such list shall include only those items of Work (i)
		  that do not preclude the Facility or a system of the Facility from commencing
		  with the conduct of Startup, (ii) the absence of which does not create any
		  occupational hazard or hazard to the Work, and (iii) the completion of which is
		  not expected to affect or unreasonably interrupt or interfere with the
		  operability, safety, or mechanical integrity of the Facility in accordance with
		  Good Practices. As of the date of Provisional Acceptance, the Punch List shall
		  not include any items of Work, alone or in the aggregate, the non-completion of
		  which (i) prevents the Facility from being used for the production of ethanol
		  or in accordance with Applicable Laws, or (ii) prevents the Facility from being
		  legally, safely and reliably placed in operation, or (iii) in the exercise of
		  reasonable engineering judgment and Good Practices could have a material
		  adverse effect on the operation or efficiency of the Facility.

		 

		“Retainage”
		  shall have the meaning set forth in Section 4.3.1(a).

		 

		“Schedule
		  of Values”
		  shall have the meaning set forth in Section 4.3.1(a).

		 

		“Scope
		  Change”
		  means any addition to, deletion from, suspension of or other modification of
		  this Agreement approved by Client or Client’s Representative, which
		  necessitates a change in one or more of the Contract Price, the Guaranteed
		  Completion Dates, the Payment Schedule, the Project Schedule or the Project
		  Guarantees or any other condition of this Agreement in accordance with the
		  terms of Article 12.

		 

		“Scope
		  Change Order”
		  means a written order to Contractor issued and signed by Client or
		  Client’s Representative authorizing a Scope Change.

		 

		“Scope
		  Change Order Notice”
		  means a written notice issued by Contractor or Contractor’s Representative
		  requesting a Scope Change, submitted to Client or Client’s Representative
		  pursuant to the terms of Section 12.2.1.

		 

		“Scope
		  Change Order Request”
		  means a written notice issued by Client or Client’s Representative to
		  Contractor or Contractor’s Representative pursuant to terms of
		  Section 12.2.2.

		 

		“Scope
		  of Work”
		  shall mean the Work described in Appendix
		  A.

		 

		“Startup”
		  means the process, after Mechanical Completion, of starting and completing
		  initial operation of the systems, sub-systems, and components of the
		  Facility.

		 

		“Subcontractors”
		  shall have the meaning set forth in Section 3.1.

		 

		“Substantial
		  Completion”
		  shall occur when Contractor satisfies the requirements specified in
		  Section
		  6.6.
		  

		 

		“Termination
		  Payment”
		  shall have the meaning set forth in Section 4.4.

		 

		“Warranty
		  Period”
		  shall have the meaning set forth in Section 10.1.4.

		 

		“Work”
		  shall have the meaning set forth in Section 2.1.

		 

		7

		 

		 

		   

		 

		“Yield
		  Guarantee”
		  means the ethanol yield guarantee set forth in Section
		  1.2.1 of
		  Appendix
		  A-2.

		 

		1.2 Interpretation.

		 

		(a) Rules
		  of Usage. In
		  this Agreement, unless the context otherwise requires, the singular shall
		  include the plural and vice versa. The terms “include,”
		  “includes” and “including” when used in the Contract
		  Document shall be deemed to be followed by the words “without
		  limitation.” References to a Section or Appendix shall be a reference to a
		  Section of or Appendix to this Agreement. Time periods expressed as a number of
		  days shall mean calendar days, unless otherwise noted. Reference to a given
		  agreement or instrument shall be a reference to that agreement or instrument as
		  modified, amended, supplemented and restated through the date as of which such
		  reference is made.

		 

		(b) Conflicting
		  Provisions. Either
		  Party shall promptly notify the other in writing of any apparent ambiguity,
		  conflict or inconsistency among any parts of this Agreement. The Parties will
		  then meet to resolve such conflict, ambiguity or inconsistency. If the Parties
		  are unable to resolve such conflict, ambiguity or inconsistency, it shall be
		  resolved in accordance with Article 20. Unless
		  expressly stated otherwise in this Agreement, in case of conflict between
		  provisions of this Agreement, the order of precedence for conflict resolution
		  in descending order shall be as follows: (i) the Contract Documents,
		  (ii) Appendices A,
		  A-1 and A-2,
		  (iii) Appendix C,
		  (iv) Appendix B-1, and
		  (v) the remaining Appendices in alphabetical order.

		 

		ARTICLE
		  2

		 

		Contractor’s
		  Work and Other Obligations

		 

		2.1 Work
		  to be Performed. Except
		  as otherwise expressly set forth in Article 5,
		  Contractor
		  shall perform or cause to be performed all work and services required in
		  connection with the design, engineering, procurement, construction,
		  construction management, testing and Startup of the Facility so it conforms to
		  and performs in accordance with the terms of the Contract Documents, all
		  Applicable Laws, Governmental Authorizations, Good Practices and recommended
		  equipment supplier guidelines (the “Work”).

		 

		2.1.1 Engineering,
		  Design, Construction and Construction Management.

		 

		2.1.1.1 Engineering
		  and Design.
		  Without limiting the generality of Section 2.1,
		  Contractor shall provide engineering and design services necessary for
		  completion of the Facility so that it conforms to and performs in accordance
		  with the Contract Documents, all Applicable Laws, Governmental Authorizations,
		  Good Practices and recommended equipment supplier guidelines, including (a)
		  preparation of (i) conceptual design and (ii) the engineering and detailed
		  design necessary to describe the Work, (b) provision of specifications and
		  criteria for the detailed design by suppliers of equipment, materials and
		  systems for incorporation into the Work, and (c) preparation of drawings,
		  plans, bills of material, schedules and estimates.

		 

		8

		 

		 

		   

		 

		2.1.1.2 Construction
		  and Construction Management.
		  Without limiting the generality of Section 2.1,
		  Contractor shall develop a construction plan for the Work and oversee and
		  coordinate the construction of the Project so that it shall conform to and
		  perform in accordance with the terms of this Agreement. Contractor shall
		  require the Subcontractors to perform the Subcontracts in accordance with the
		  relevant requirements of this Agreement. Contractor shall establish and
		  maintain management control systems for the Work and provide construction
		  management services so that the Work conforms to and performs in accordance
		  with the terms of this Agreement. Contractor shall pay the prevailing wage in
		  accordance with the laws of Minnesota.

		 

		2.1.2 Documentation
		  and Manuals.
		  Subject to Article 17,
		  Contractor shall submit to Client as they become available from time to time
		  during their preparation, copies of the Operating Manuals and the other
		  documents and manuals listed in Appendix A
		  (collectively, the “Design
		  Documents”).
		  Except for those Design Documents in Appendix A, all
		  submittals shall be for information purposes only.

		 

		2.1.3 Procurement.
		  Without limiting the generality of Section 2.1,
		  Contractor shall procure and pay for, in Contractor’s name as an
		  independent contractor and not as agent for Client, labor, materials, equipment
		  (which shall be new, unused and shall meet Good Practices), supplies,
		  manufacturing and related services (whether on or off the Facility Site) which
		  are required for completion of the Work in accordance with the Contract
		  Documents and which are not explicitly specified as items within Client’s
		  Scope.

		 

		2.1.4 Labor
		  and Personnel.
		  Contractor shall provide, or shall cause the Subcontractors to provide,
		  adequate labor and personnel required to complete the Work and achieve
		  Mechanical Completion, and to achieve Provisional Acceptance, Substantial
		  Completion and Project Completion on or before the respective Guaranteed
		  Completion Dates, including without limitation: (a) professional engineers
		  legally qualified to perform engineering services in the applicable
		  jurisdiction; (b) a project manager or other representative who shall be fully
		  acquainted with the Project and shall have the authority to administer the
		  Agreement on behalf of Contractor. Client
		  acknowledges that Contractor is not a licensed or authorized architect or
		  engineer in the State of Minnesota and that Contractor will furnish all design
		  and engineering services required under the Contract Documents by way of
		  subcontract or other agreement with qualified, licensed and authorized design
		  and engineering professionals. Client agrees to not assert Contractor’s
		  lack of registration or licensing in the State of Minnesota as a designer,
		  engineer or architect as a defense to any action by the
		  Contractor.

		 

		2.1.5 Permitting.

		 

		2.1.5.1 Contractor
		  Permits.
		  Contractor
		  shall obtain and maintain in effect (i) Permits pertaining to Contractor’s
		  performance of its obligations under the Contract Documents (collectively,
		  “Contractor
		  Permits”).

		 

		2.1.5.2 Client
		  Permits. The
		  permits which shall be provided by Client to support Contractor’s
		  performances and construction are the Client Permits. All other construction
		  permits shall be Contractor’s responsibility.

		 

		9

		 

		 

		   

		 

		2.1.5.3 Permitting
		  Support.
		  Contractor and Client shall timely provide requested necessary information and
		  documents to assist each other in obtaining Applicable Permits. Unless
		  Contractor shall have failed to comply with the immediately preceding sentence,
		  Contractor shall not be responsible for any delay in achieving the Guaranteed
		  Completion Dates due to any failure to obtain Client Permits.

		 

		2.1.6 Inspection
		  and Expediting.
		  Contractor shall perform the inspection, expediting, quality surveillance and
		  traffic services for performance of the Work.

		 

		2.1.6.1 Transportation. Except
		  for items within Client’s Scope, Contractor shall be responsible for the
		  transportation, shipping, and receiving of materials, equipment, supplies and
		  all other items required for the Work (including materials, supplies and
		  equipment required for construction activities). Except for items within
		  Client’s Scope, Contractor shall provide for the security of all such
		  items while in transport to the Facility Site, and for all such items
		  (including items within Client’s Scope) while in storage off or on the
		  Facility Site.

		 

		2.1.7 Storage
		  and Related Matters.
		  Contractor shall warehouse or otherwise store (in accordance with
		  manufacturers’ recommendations and Applicable Laws) materials, supplies
		  and equipment required for permanent and temporary construction. 

		 

		2.1.8 Utilities,
		  Chemicals and Spare Parts.

		 

		During
		  construction of the Facility, Contractor shall provide the temporary
		  distribution systems within the Facility Site for construction power, water,
		  sewage and waste disposal services and for the disposal of sewage and
		  Contractor-generated and Subcontractor-generated wastes in accordance with
		  Applicable Laws, as necessary to enable Contractor to perform the Work. The
		  Contract Price shall include, and Contractor shall provide, (i) initial
		  charge of desiccants, lubricants and hydraulic fluids, (ii) all consumables,
		  other than consumables to be provided by Client pursuant to Section 5.5, as
		  necessary to perform the Work and (iii) all
		  spare parts required for the Startup and Commissioning of the Facility in
		  accordance with Good Practices. Contractor shall replenish any such consumables
		  until Provisional Acceptance.

		 

		2.1.9 Testing.
		  Contractor shall perform, and to the extent necessary due to a deficiency in
		  the Work, re-perform the Performance Tests in accordance with the provisions of
		  this Agreement until each such test has been successfully completed and has
		  demonstrated it has met the requirements for Substantial
		  Completion.

		 

		2.1.10 Startup
		  and Initial Operation. The
		  Work shall include the start-up of components, calibration of controls and
		  equipment, tuning, initial operation of the Facility and each portion thereof,
		  function and verification tests, and other Startup and initial operation
		  functions pertaining to the Facility. 

		 

		2.1.11 Personnel
		  Training. Client
		  will provide an adequate number of qualified personnel required to operate the
		  Facility during Startup, as further detailed in Appendix A
		  and
		  Appendix C. If, in
		  the reasonable opinion of Contractor, the Client provided personnel are not
		  qualified, Contractor has the right to reject such personnel and Client shall
		  replace such rejected personnel with qualified replacements. Prior to Startup,
		  Contractor shall provide training to 

		 

		10

		 

		 

		   

		 

		Client’s
		  or its designee’s personnel in the operation of the Facility, including
		  on-the-job and safety training, all as more fully described in Appendix A. Such
		  training shall be designed to offer instruction and training to experienced
		  personnel and shall be of such quality so as to provide personnel of Client or
		  its designee with a comprehensive coverage of the operational aspects of the
		  Facility. Training shall include instruction from the Subcontractors, as
		  appropriate. Contractor will provide appropriate manuals and other written
		  materials as part of the training program. In addition, Contractor’s
		  training of Client’s personnel shall include coordination of Subcontractor
		  training sessions and the
		  training sessions, if any, of Supplier in a manner sufficient to provide such
		  personnel with an adequate understanding of the operation aspects of each
		  dimension of the Facility as an integrated whole, all as more fully described
		  in Appendix A.

		 

		2.1.12 Facility
		  Site Access.
		  Contractor shall provide Client and its designees with access to the Facility
		  Site to monitor progress of the Work and arrange for Client’s (and its
		  designees’) access (at reasonable times and upon reasonable notice) to the
		  engineering, manufacturing and fabricating premises of Contractor and
		  Subcontractors sufficient to permit Client (or its designees) to inspect Work
		  being performed and monitor compliance by Contractor and the Subcontractors
		  with the terms of the Contract Documents. All such access shall be subject to
		  reasonable restrictions as Contractor may impose to ensure safety, security and
		  conduct of the Work.

		 

		2.1.13 Clean-Up
		  and Waste Disposal.
		  Contractor shall at all times keep the Facility Site in safe condition and
		  shall remove waste materials, rubbish and other debris resulting from the
		  performance of the Work at reasonable intervals. Contractor shall, in
		  compliance with Applicable Laws, remove, transport and dispose of any Hazardous
		  Material transported onto the Facility Site by or on behalf of Contractor or
		  any Subcontractor, or created, used or handled as part of the Work at the
		  Facility Site. Contractor shall notify Client immediately upon the discovery of
		  the presence of any Hazardous Material on, or the release of Hazardous Material
		  on or from, the Facility Site and following such discovery shall take no action
		  to disturb or move such Hazardous Material without the written approval of
		  Client. Notwithstanding anything to the contrary in this Agreement, Contractor
		  shall not be responsible for the transportation, handling, storage or removal
		  of any Hazardous Materials which existed at, on or in the Facility Site prior
		  to commencement by Contractor of the Work.

		 

		2.1.14 Project
		  Schedule and Progress Reports.
		  Attached as Appendix C, is a
		  preliminary summary schedule, indicating the proposed dates for completion of
		  the individual features of the Work (the “Project
		  Schedule Summary”).
		  Within thirty (30) days following the Commencement Date, Contractor shall
		  prepare and submit to Client an electronic P3 file and hardcopy of the detailed
		  baseline schedule, consistent with the Project Schedule Summary, covering dates
		  for items and services to be furnished such that the Facility will achieve
		  Provisional Acceptance, Substantial Completion and Project Completion by the
		  applicable Guaranteed Completion Dates (the “Project
		  Schedule”).
		  Contractor shall keep and furnish to Client updated monthly schedules of the
		  Work to be performed, including a critical path schedule, as specified in the
		  Project Schedule, and Monthly Progress Reports. Such updated monthly schedules
		  shall include a comparison against the baseline schedule. Contractor shall be
		  responsible for ensuring that performance of the Work proceeds generally in
		  accordance with the 

		
		   

		  11

		   

		   

		  
  

		 

		Project
		  Schedule (as updated from time to time) and for coordinating the schedules of
		  Subcontractors.

		 

		2.2 Commencement
		  of the Work.

		 

		(a) Except
		  as specified in Section 2.2(b),
		  Contractor shall commence performance of the Work on the date (the
		  “Commencement
		  Date”)
		  a written notice is delivered to Contractor in substantially the form set forth
		  as Appendix E-1 (the
		  “Notice
		  to Proceed”).
		  Client shall not deliver the Notice to Proceed and Contractor shall not be
		  obligated to commence the Work unless and until funds are available for
		  disbursement in an amount adequate to provide payments to Contractor of the
		  Contract Price, Scope Change Orders and cancellation costs as and when due
		  under this Agreement (less any amounts previously paid to Contractor on or
		  before the Commencement Date) and at closing of construction financing, if any,
		  Client has provided evidence of such financing by providing: a) the Certificate
		  of Financing from the Financing Parties (in the form of Appendix F) and b)
		  copies of the executed signature pages of the Financing Parties. Except as
		  agreed in connection with the Limited Notice to Proceed, any Work undertaken by
		  Contractor prior to the Commencement Date shall be at Contractor’s sole
		  risk and cost and Client shall have no obligation to compensate Contractor for
		  Work performed under this Agreement or related to the Facility prior to the
		  Commencement Date, unless this Agreement or a separate agreement in writing
		  between the Parties specifies otherwise. 

		 

		(b) At least
		  sixty (60) days prior to the Commencement Date, Client shall deliver to the
		  Contractor a limited notice to proceed in substantially the form set forth as
		  Appendix E-2 (the
		  “Limited
		  Notice to Proceed”).
		  The Limited Notice to Proceed shall be accompanied by a payment in the amount
		  of [*] (such payment, together with any payment made in accordance with clause
		  (i) or (ii) of this Section
		  2.2(b), the
		  “Advance
		  Payments”).
		  After the Limited Notice to Proceed is given, and unless the Client has
		  provided the Notice to Proceed prior to the dates specified below, Client shall
		  make the following additional payments to Contractor: 

		 

		(i)
		  Client shall pay Contractor the sum of $[*] on or before July 6,
		  2006.

		

		(ii)
		  Client shall pay Contractor the sum of $[*] on or before August 6, 2006.
		  

		

		No
		  Retainage shall be withheld from Advance Payments. 

		 

		Provided
		  that the Contractor has timely received the Advance Payments, Contractor shall
		  commence and complete such items of Work described in Exhibit A to the Limited
		  Notice to Proceed, which the Parties agree are necessary and, provided that the
		  Notice to Proceed is given on or before September 1, 2006 (but no earlier than
		  the date that is sixty (60) days after the Limited Notice to Proceed is
		  executed and received by Contractor), sufficient to support achievement of
		  Provisional Acceptance, Substantial Completion and Project Completion by the
		  respective Guaranteed Completion Dates. Upon Client’s payment of the
		  Advance Payment due on August 6, 2006, Client shall make the Facility
		  

		 

		12

		 

		

		*
		  Certain confidential information on this page has been omitted and filed
		  separately with the Securities and Exchange Commission.

		 

		Site
		  available for Contractor to commence dirt work. In the event that Client does
		  not timely make an Advance Payment when due in accordance with this
		  Section
		  2.2(b),
		  Contractor may immediately suspend its performance of the Work and Contractor
		  shall be entitled to a Scope Change Order to equitably adjust the Guaranteed
		  Completion Dates and Contract Price in accordance with Article
		  12. If
		  such failure to make an Advance Payment when due continues for ten (10) days,
		  Contractor may terminate this Agreement with two business days’ prior
		  written notice to Client (during which two business day period, Client may cure
		  such default). 

		 

		2.3 Compliance
		  with Applicable Laws.
		  Contractor shall comply with and shall cause the Project and all components
		  thereof (other than items within Client’s Scope) (including, without
		  limitation, the design, engineering and construction of the Project) to comply
		  with, and shall cause the Project to be capable of operation in accordance
		  with, Applicable Laws. Without limiting the foregoing, the effect of any change
		  in Applicable Laws enacted after the date of execution of the Agreement shall
		  be determined under Article 12.

		 

		2.4 Safety.
		  Contractor shall be responsible for initiating, maintaining and supervising
		  typical safety precautions and programs in connection with the Work, in each
		  case conforming with Applicable Laws. Within thirty (30) days after the Notice
		  to Proceed Date, Contractor shall submit a proposed safety plan for
		  Client’s review and comment. Client may submit comments on such proposed
		  plan within fourteen (14) days of receipt. Contractor shall consider and
		  address any comments submitted by Client on such plan. Contractor shall provide
		  a copy of the final safety plan to Client and Contractor shall perform the Work
		  in accordance with such safety plan. 

		 

		2.5 Quality
		  Control.
		  Contractor shall be responsible for initiating, maintaining and supervising a
		  typical quality control program in connection with the Work. Within thirty (30)
		  days after the Notice to Proceed Date, Contractor shall submit a proposed
		  quality control plan for Client’s review and comment. Client may submit
		  comments on such proposed plan within fourteen (14) days of receipt. Contractor
		  shall consider and address any comments submitted by Client on such plan.
		  Contractor shall provide a copy of the final quality control plan to Client and
		  Contractor shall perform the Work in accordance with such quality control
		  plan.

		 

		2.6 Contractor’s
		  Representative.
		  Contractor shall designate a representative (“Contractor’s
		  Representative”)
		  who shall be acquainted with the Project and shall have the authority to
		  administer the Agreement on behalf of Contractor, agree upon procedures for
		  coordinating with Client and furnish information, when appropriate, to
		  Client.

		 

		ARTICLE
		  3

		 

		Subcontracts

		 

		3.1 Major
		  Specialty Consultants, Subcontractors and Equipment Suppliers. All
		  vendors, suppliers, materialmen, consultants and subcontractors providing
		  equipment, materials or services to Contractor in connection with the Project
		  are referred to as “Subcontractors.”

		 

		13

		 

		 

		   

		 

		3.2 Payments
		  to Subcontractors.
		  Contractor shall be solely responsible for paying each Subcontractor and any
		  other Person to whom any amount is due from Contractor for services, equipment,
		  materials or supplies in connection with the Work. 

		 

		3.3 Major
		  Subcontractors.
		  Contractor may, without the prior consent of Client, enter into Major
		  Subcontracts with those Major Subcontractors listed in Appendix
		  H with
		  respect to the Work identified in Appendix
		  H. Not
		  less than ten (10) business days prior to the execution of any Major
		  Subcontract with a Major Subcontractor not listed in Appendix
		  H,
		  Contractor shall request Client’s consent to such proposed Major
		  Subcontractor. Client’s consent shall not be unreasonably withheld,
		  conditioned or delayed. If, at the end of such notice period, Client has either
		  not responded to the notice or consented to the proposed Major Subcontractor,
		  then Contractor or a Major Subcontractor shall have the right to execute such
		  Major Subcontract with the proposed Major Subcontractor. If Client has
		  responded to such notice in writing the reason that it does not consent to the
		  proposed Major Subcontractor, then neither Contractor nor a Major Subcontractor
		  shall enter into a Major Subcontract with such proposed Major
		  Subcontractor.  

		 

		3.4 Subcontract
		  Provisions.
		  Contractor shall use
		  commercially reasonable efforts to ensure
		  that the rights including all guarantees or warranties, and obligations of each
		  Subcontractor under each subcontract are assignable to Client, and its
		  successors and assigns upon Client’s written request, without further
		  consent of the Subcontractor. Contractor shall use
		  commercially reasonable efforts to ensure
		  that each subcontract includes warranties at least as favorable to Client as
		  those in Article 10. Each
		  subcontract shall also: (a) include an indemnification provision at last
		  as favorable to Client as to that in Article 13;
		  (b) require that Work be performed in accordance with Good Practice and
		  Applicable Law; (c) require the Subcontractor to submit certificates and
		  waivers of Liens for Work completed by it and by its sub-subcontractors as a
		  condition to the disbursement of the Progress Payment next due and owing; and
		  (d) require the Subcontractor to continue to perform under its subcontract
		  in the event this Agreement is terminated and Client (or its assignee) takes
		  assignment of said subcontract and requests such Subcontractor to continue such
		  performance, conditioned upon adequate assurance of payment and cure of any
		  payment default. Upon the expiration or termination of any of the guarantees or
		  warranties provided by
		  Contractor pursuant to
		  Article 10 or elsewhere
		  in the Agreement, Contractor shall assign, and hereby assigns, effective as of
		  such date, to Client (or Client’s designee) all of Contractor’s
		  rights under the unexpired portion of any Subcontractor guarantees or
		  warranties and shall deliver to Client unpriced copies of contracts providing
		  for such guarantees and warranties. After the assignment of rights pursuant to
		  the preceding sentence, Client (or Client’s designee) shall be entitled to
		  receive all proceeds (including damages and rebates) paid by any Subcontractor
		  pursuant to any Subcontractor guarantee or warranty with respect to such
		  assigned rights. Nothing in this Section 3.4 shall
		  derogate from the obligations of Contractor to provide the warranties described
		  in, and to comply with the provisions of, Article 10.

		 

		3.5 Subcontractor
		  Insurance.
		  Contractor shall require Subcontractors performing labor at the Facility Site
		  to provide insurance consistent with Contractor’s policies for
		  Subcontractor insurance.

		 

		3.6 No
		  Privity with Subcontractors. Client
		  shall not be deemed by virtue of this Agreement to have any contractual
		  obligation to or relationship with any Subcontractor. Contractor shall be
		  

		 

		14

		 

		 

		   

		 

		(and
		  Contractor agrees that it shall be) fully responsible to Client for the acts
		  and omissions of Subcontractors and of persons directly or indirectly employed
		  by them, as it is for the acts and omissions of Contractor and its
		  employees.

		 

		ARTICLE
		  4

		 

		Price
		  and Payment

		 

		4.1 Contract
		  Price.
		  Provided that (i) the Limited Notice to Proceed is executed and received by
		  Contractor no later than June 9, 2006, and (ii) the Notice to Proceed is
		  executed and received by Contractor on or before September 1, 2006 (but no
		  earlier than the date that is sixty (60) days after the Limited Notice to
		  Proceed is executed and received by Contractor), as full consideration to
		  Contractor for the full and complete performance of the Work and
		  Contractor’s other obligations under this Agreement and all costs incurred
		  in connection therewith, Client shall pay, and Contractor shall accept, the
		  firm fixed sum of $[*] as such sum may be adjusted pursuant to Article 12, (the
		  “Contract
		  Price”).
		  The Contract Price shall not be subject to escalation provisions. For avoidance
		  of doubt, the Contract Price includes the license fee to be paid to Delta-T
		  Corporation pursuant to the Delta-T License Agreement, which Contractor shall
		  pay on behalf of Client. 

		 

		4.2 Taxes.
		  Contractor shall pay all payroll and other related employment compensation
		  taxes for Contractor’s employees, federal, state and other taxes which may
		  be assessed on Contractor’s income from the Work, engineering and business
		  license costs (collectively, the “Contractor
		  Taxes”).
		  Contractor shall administer and pay all sales, use, gross receipts and excise
		  taxes (collectively, the “Project
		  Taxes”).
		  The Contract Price includes Contractor Taxes and excludes all Project Taxes.
		  Client shall directly reimburse Contractor, in addition to the Contract Price,
		  for any and all Project Taxes incurred and actually paid by Contractor while
		  doing the Work and for the actual cost incurred to post any necessary tax bond.
		  Where applicable, Client shall furnish to Contractor, within thirty (30) days
		  of the Commencement Date, a certificate complying with state and local
		  governmental laws, regulations and ordinances identifying any components of the
		  Work to be considered exempt from the Project Taxes. Contractor shall cooperate
		  with Client to establish appropriate procedures and minimize the amount of such
		  taxes to the extent reasonable and practical. Contractor is responsible for all
		  property taxes on the Contractor’s Equipment; Client is responsible for
		  property taxes on all other items incorporated into the Work. Client shall
		  defend and indemnify Contractor from and against any and all claims for, and
		  resulting liability for Project Taxes and related penalties and interest, and
		  any reasonable dispute resolution costs and reasonable attorneys’ fees
		  (including costs of enforcement of this provision) that may be asserted on all
		  items which Contractor purchased under exemption certificates provided by
		  Client and for which taxes are later assessed. At Client’s expense and
		  only with Contractor’s consent, Client will have the right to direct the
		  basis on which any tax assessment will be paid or contested and to control any
		  contest leading to the settlement of assessed taxes. Client retains the right
		  to choose the attorneys who will represent Contractor and/or Client’s
		  interest regarding any tax assessments and/or litigation.

		 

		If a
		  Scope Change Order results in an increase or decrease in the Contract Price,
		  the revised Contract Price (reflecting the increase or decrease as a result of
		  the Scope Change Order) shall 

		
		   

		  15

		   

		  

		  *
			 Certain confidential information on this page has been omitted and filed
			 separately with the Securities and Exchange Commission.

		  

		 

		exclude
		  all applicable taxes. Client shall reimburse Contractor for all applicable
		  taxes paid by Contractor in accordance with the provisions of this Section 4.2.

		 

		4.3 Payment
		  Schedule. Client
		  shall make payments to Contractor in installments, as set forth
		  below.

		 

		4.3.1 Appendix B-1
		  sets
		  forth the Preliminary Schedule of Values for the Project. Within thirty (30)
		  days after the date hereof, Contractor shall submit for Client’s review
		  and approval a detailed schedule of values (“Schedule
		  of Values”)
		  (which shall be consistent with the Preliminary Schedule of Values). Payments
		  shall be made pursuant to the provisions set forth below.

		 

		(a) On or
		  before the tenth (10th) day of
		  each month
		  following the month in which the Commencement Date occurs,
		  Contractor shall deliver to Client a Progress Invoice, for the period ended on
		  the last day of the previous month, together with supporting documentation
		  (including the relevant Monthly Progress Report and the value of Work completed
		  since the prior invoice, based on the Schedule of Values) consistent with
		  Contractor’s invoicing practices and
		  waivers and releases of Liens in substantially the forms set forth in
		  Appendix
		  G-1, Appendix G-2 and
		  Appendix
		  G-3, duly
		  executed and acknowledged by Contractor and
		  each Subcontractor that has provided equipment or services to the Contractor
		  having a
		  value in excess of $100,000 through the date of the invoice. Client
		  shall pay Contractor, or cause Contractor to be paid by Financing Parties,
		  ninety-five percent
		  (95%)
		  of the
		  approved amount due on or before the date which is twenty
		  (20)
		  days
		  following the date Client receives such Progress Invoice (each
		  such payment, a “Progress
		  Payment”). The
		  five percent
		  (5%) of
		  approved amounts not paid to Contractor is referred to as “Retainage”.
		  Notwithstanding
		  the foregoing in this Section
		  4.3.1, with
		  respect to (i) the payment made to Contractor on the date that the Notice to
		  Proceed, if any, is given and (ii) each payment made with respect to the first
		  five Progress Invoices, the Retainage shall be five percent (5%) plus an amount
		  equal to (1/6) x (.05) x the total of Advance Payments made by Client. The
		  accumulated Retainage less one
		  two hundred
		  percent
		  (200%) of the
		  value of the Punch List, less
		  the reasonably estimated value of any Contractor Liens or other Liens or
		  charges that have been filed against all or any part of the Facility or the
		  Facility Site in connection with this Agreement and
		  less liquidated damages payable by Contractor pursuant to Articles
		  7 and
		  potentially payable by Contractor pursuant to Article
		  8, if
		  any, shall be paid to Contractor upon achievement of Substantial Completion.
		  Payment
		  Progress Payments shall
		  be made by wire transfer to an account or accounts designated in the
		  Progress
		  applicable Progress
		  Invoice. Late
		  payments will bear interest at the
		  Wall
		  Street Journal prime rate plus five percent (5%).

		 

		(b) If there
		  is any dispute about any amount invoiced by Contractor, the amount not in
		  dispute shall be promptly paid as described above, and any disputed amount
		  which is ultimately determined to have been due shall be paid with interest
		  from the date of withholding to the date of payment as set forth in
		  Section 24.1.
		  Client
		  will provide a notice to Contractor within ten (10) days after receipt of
		  Contractor’s invoice concerning any invoiced amounts disputed by
		  Client.

		 

		16

		 

		 

		   

		 

		(c) In lieu
		  of all or a portion of any Retainage to be withheld by Client under this
		  Section 4.3.1,
		  Contractor may provide to Client, at any time, one or more irrevocable letters
		  of credit for Client’s benefit (which shall be transferable to the
		  Financing Parties) in an aggregate stated amount of up to the full amount of
		  Retainage withheld to date. Such letter(s) of credit shall secure
		  Contractor’s obligations under this Agreement and shall be drawable from
		  time to time in whole or in part (for an amount necessary to satisfy
		  Contractor’s obligations up to the amount of Retainage required from
		  Contractor at the time of such draw) on demand by Client upon any failure of
		  Contractor to complete Punch List items, or pay liquidated damages when due in
		  accordance with this Agreement, or otherwise comply with its material
		  obligations hereunder. The issuer and terms of the letter(s) of credit shall be
		  reasonably acceptable to Client and Financing Parties, and the letter(s) of
		  credit shall continue in effect until thirty (30) days following Project
		  Completion. Within ten (10) days following the delivery to Client of any such
		  letter(s) of credit, Client shall release and pay to Contractor Retainage (to
		  the extent then withheld from Progress Payments theretofore made by Client),
		  and thereafter, unless the letter(s) of credit is terminated or has expired,
		  Client shall not withhold Retainage from future payments to Contractor until
		  such time as the total Retainage that would otherwise be withheld by Client is
		  equal to or in excess of the aggregate amount available to be drawn under such
		  letter(s) of credit.

		 

		4.3.2 Upon
		  Project Completion, pursuant to Section 6.7,
		  Contractor
		  shall submit a statement summarizing and reconciling all previous invoices,
		  payments and Change Orders. Except as provided elsewhere in this Agreement,
		  within twenty-five (25) days of
		  the receipt of such statement, Client shall pay Contractor, or cause Contractor
		  to be paid by Financing Parties, all remaining amounts due. 

		 

		4.4 Payment
		  Upon Termination. 

		 

		4.4.1 Upon
		  termination of all or part of the Work pursuant to Section 15.1
		  or
		  15.2
		  (and
		  subject to Section
		  4.4.2),
		  Contractor
		  shall be entitled, subject to the provisions of Section 4.4.3, to a
		  payment (the “Termination
		  Payment”)
		  consisting of the total of (i) Contractor’s costs incurred in connection
		  with performance by Contractor of Work prior to the date of termination which
		  have not been previously paid by Client, (ii) all documented costs reasonably
		  incurred by Contractor to implement the termination, preserving or protecting
		  the Work, including demobilization and travel costs, (iii) Subcontractors’
		  termination charges, if any, reasonably incurred as a direct result of the
		  termination and which cannot be reasonably avoided and (iv) a fee equal to
		  fifteen percent (15%) of the total amounts described in (i), (ii) and (iii)
		  above. 

		 

		4.4.2 Notwithstanding
		  Section
		  4.4.1, in the
		  event that Client terminates the Work prior to the date that Notice to Proceed
		  has been given by Client, Contractor shall be entitled to retain payments for
		  Work rendered prior to such termination, based on the rates set forth in
		  Exhibit C to the Limited Notice to Proceed. Contractor shall return or refund
		  the portion of payments made to Contractor which are in excess of the value of
		  the Work provided prior to termination, less any cancellation charges owed by
		  Contractor to Subcontractors, vendors, and equipment suppliers. Contractor
		  shall take reasonable steps to cancel all existing subcontracts and purchase
		  orders upon any notice of termination and to mitigate the costs associated with
		  

		 

		17

		 

		 

		   

		 

		such
		  cancellation. In no event upon termination under this Section
		  4.4.2, shall
		  Contractor be entitled to additional payment from Client. Client shall be
		  entitled to possession and ownership of any Work product produced by
		  Contractor. 

		 

		4.4.3 Payment
		  of the Termination Payment. Client
		  shall pay the Termination Payment to Contractor within thirty (30) days of
		  receipt by Client of the items and documentation required under Section 4.4.1
		  or
		  Section
		  4.4.2.

		 

		4.5 Performance
		  Security. At
		  Client’s election, which (if made) shall be made in writing no later than
		  the date that is seven (7) days before the Notice to Proceed is given,
		  Contractor shall deliver to Client the Performance Security, in the form of
		  Appendix M-1
		  or
		  Appendix
		  M-2, as
		  applicable. In the event that the Client elects to have Contractor deliver a
		  Parent Guarantee in the form of Appendix
		  M-1, the
		  Contract Price shall be increased by $575,000 as a deemed Scope Change Order.
		  In the event that the Client elects to have Contractor deliver a Performance
		  Bond in the form of Appendix
		  M-2, the
		  Contract Price shall be increased by $1,661,000 as a deemed Scope Change Order.
		  On or before the Commencement Date, Contractor shall deliver to Client any
		  Performance Security required hereunder. Contractor shall cause the Performance
		  Security to remain in force through the Warranty Period (or Extended Warranty
		  Period, if applicable).

		 

		ARTICLE
		  5

		 

		Client
		  Services

		 

		5.1 Client’s
		  Representative. Client
		  shall designate a representative (the “Client’s
		  Representative”)
		  who shall be available on site for the Project duration. The Client’s
		  Representative shall be acquainted with the Project and shall have authority to
		  administer the Contract Documents on behalf of Client, agree upon procedures
		  for coordinating Client’s efforts with those of Contractor and furnish
		  information, when appropriate, to Contractor.

		 

		5.2 Facility
		  Site. Client
		  shall furnish the Facility Site (including all such easements and access rights
		  as necessary to permit Contractor to conduct the Work), which shall be free
		  from Hazardous Materials, and shall make the Facility Site continuously
		  available to Contractor in connection with Contractor’s performance of the
		  Work. Client shall be responsible for obtaining all necessary real property
		  rights for performance of the Work, whether on or off the Facility
		  Site.

		 

		5.3 Permits. Client
		  shall secure and maintain, at its expense, the Air Permit for the Facility and
		  all other Applicable Permits necessary for development or operation of the
		  Facility listed in Exhibit 1 of the Scope of Work (the “Client
		  Permits”)
		  as the Client’s responsibility. Client shall cooperate with Contractor to
		  the extent necessary in connection with Contractor’s efforts to obtain the
		  Contractor Permits.

		 

		5.4 Operating
		  Personnel. Client
		  or its designee shall provide an adequate number of qualified operators and
		  maintenance personnel to operate the Facility during Startup. Personnel shall
		  be provided on the dates indicated in Appendix A and
		  Appendix C, or on
		  any other date specified by the Contractor and agreed to by Client, provided at
		  least two (2) months’ advance 

		 

		18

		 

		 

		   

		 

		notice
		  is given by Contractor and such date is no earlier than four (4) months before
		  the scheduled commencement of Startup of the Facility. Such personnel shall
		  have sufficient experience as is appropriate for the normal, day-to-day,
		  in-service operation and maintenance of ethanol production facilities, but not
		  necessarily facilities similar to the Facility. Such personnel shall be
		  licensed by Client or its designee, as may be necessary in accordance with
		  state and local regulations prior to being provided to the Contractor. Such
		  personnel shall be trained by Contractor in accordance with this Agreement and
		  will assist Contractor by performing normal operating and maintenance duties in
		  connection with the Startup of the Facility and the successful completion of
		  the Performance Tests and all other tests specified in this Agreement. Client
		  shall provide suitable training facilities if such facilities are not available
		  at the Facility Site. Said personnel will be available to Contractor, as
		  needed, until Project Completion. Contractor shall be responsible for the
		  technical direction and management, with respect to
		  performance testing, of such operating and maintenance personnel prior to
		  Project Completion of the Facility (provided that the personnel are acting
		  under Contractor’s direction). Contractor
		  shall be responsible for Client’s operators and maintenance personnel
		  prior to Provisional Acceptance and otherwise under its direction, other than
		  for the reckless acts and omissions and willful misconduct of such operating
		  and maintenance personnel. Contractor shall only direct Client’s operators
		  and maintenance personnel to take actions that are consistent with the
		  Operating Manuals. The provision of personnel by Client or its designee
		  pursuant to this Section 5.4 shall
		  not relieve Contractor of any of its obligations or liabilities under the
		  Agreement.

		 

		5.5 Consumables
		  and Spare Parts. Client
		  shall arrange and pay for the electricity delivered through the permanent and
		  temporary plant electrical system, natural gas fuel, raw water, resins,
		  chemicals, enzymes, yeast and feed stock specified in Appendix A, to be
		  delivered to the Facility in order to enable Contractor to perform the Work in
		  accordance with the terms of this Agreement. Client shall provide at its own
		  expense, after initial charge by Contractor, desiccants, lubricants, and
		  hydraulic fluids as necessary for Contractor to perform the Work. Client shall
		  supply all operating spare parts in accordance with a list supplied by
		  Contractor. (Contractor shall have the right to use Client’s operating
		  spares provided
		  that Contractor shall timely replace any such operating spare parts used to
		  repair or replace failed equipment). 

		 

		5.6 Client’s
		  Scope. The
		  Client shall be responsible for providing those items specified in Section 16.0
		  of the Scope of Work (“Client’s
		  Scope”), at
		  the time specified in the Project Schedule, which items shall be free from
		  defects or deficiencies which would materially hinder erection or Startup of
		  the Facility or materially adversely impact Contractor’s cost or time
		  required to perform the Work.

		 

		5.7 Other
		  Client Scope.

		 

		5.7.1 Prior to
		  initiation of the Work, Client shall provide evidence of funds being available
		  for paying the costs of this Project as further described in Section 2.2(a). In
		  addition, Client shall have the affirmative obligation to pay all amounts due
		  and owing to Contractor, in accord with these Contract Documents. Failure of
		  Client to fund the Project or make payments as provided in this Agreement,
		  shall be a material breach and entitle Contractor to stop Work and/or terminate
		  as provided in this Agreement.

		 

		19

		 

		 

		   

		 

		5.7.2 Client
		  shall also provide the office furniture and office equipment for the services
		  building, and lab and maintenance offices, tools and shop equipment (except any
		  special tools required for equipment provided by Contractor), lab equipment and
		  rolling stock.

		 

		ARTICLE
		  6

		 

		Completion
		  and Acceptance of Project

		 

		6.1 Mechanical
		  Completion. When
		  Contractor determines that all of the requirements for Mechanical Completion
		  have been completed, Contractor and Client shall proceed as
		  follows:

		 

		(a) Contractor
		  shall provide written notice to Client that the requirements of Mechanical
		  Completion have been satisfactorily achieved, (the “Notice
		  of Mechanical Completion”).

		 

		(b) Within
		  five (5) business days following receipt by Client of such Notice of Mechanical
		  Completion, Client shall notify Contractor in writing whether Contractor has
		  satisfactorily achieved Mechanical Completion.

		 

		(c) If
		  Contractor has not satisfactorily achieved the requirements for Mechanical
		  Completion, Client shall specify in such notice to Contractor, in reasonable
		  detail, the reasons for Client’s determination that the requirements for
		  Mechanical Completion have not been satisfactorily achieved. Contractor shall
		  promptly act to correct such deficiencies so as to achieve Mechanical
		  Completion in accordance with the Project Schedule.

		 

		(d) If
		  Client fails to respond to Contractor’s Notice of Mechanical Completion
		  within the five (5) day period set forth in Section 6.1(b) above,
		  Mechanical Completion shall be deemed to have been achieved on the date Client
		  received such Notice from Contractor.

		 

		(e) Following
		  any such remedial action, Contractor shall deliver to Client a second Notice of
		  Mechanical Completion and the provisions of this Section 6.1
		  shall
		  apply with respect to such new notice in the same manner as they applied to the
		  original notice.

		 

		The
		  foregoing procedure shall be repeated until Mechanical Completion has been
		  satisfactorily achieved as indicated in a written notice from
		  Client.

		 

		6.1.1 Punch
		  List. Upon
		  achievement of Mechanical Completion of the Facility, Contractor shall provide
		  the Punch List to Client together with a value for and a schedule for
		  completion of each Punch List item. Client shall, within ten (10) business days
		  of receipt of the Punch List, notify Contractor that it accepts such Punch List
		  or shall otherwise state its reasons for disagreement therewith in reasonable
		  detail; provided, however, that acceptance or rejection thereof shall not
		  relieve Contractor of its liability to complete or correct the Punch List
		  items. Upon Contractor’s completion or correction of each item on the
		  Punch List, Client shall indicate 

		 

		20

		 

		 

		   

		 

		acceptance
		  of such item and make payment to Contractor of the funds held with respect to
		  such item.

		 

		6.2 Startup.
		  Contractor shall pursue Startup of the Facility in accordance with Good
		  Practices. Contractor shall, in consultation with Client and its operating
		  personnel, direct the operation of the Facility during Startup in a manner
		  consistent with Good Practices and all Applicable Laws. 

		 

		6.3 Testing.

		 

		6.3.1 Performance
		  Tests.

		 

		(a) After
		  Mechanical Completion has been achieved and when the Facility is sufficiently
		  complete so that all systems are capable of safe operation in accordance with
		  Applicable Laws, Good Practices and the Operating Manuals, Contractor shall
		  test the Facility in accordance with Appendix
		  A-1.
		  Contractor shall give Client at least seven (7) days’ (but not more than
		  10 days’) prior written notice of the date on which Contractor intends to
		  commence the initial Performance Test.  Contractor
		  shall perform and re-perform additional Performance Tests until Substantial
		  Completion is successfully achieved. After Provisional Acceptance is achieved,
		  subject to Section 6.3.1(b) below
		  and Section
		  6.5.4,
		  Contractor may, without any increase to the Contract Price, take Corrective
		  Action to the Facility and re-perform the Performance Tests for a period of up
		  to one hundred eighty (180) days in order to improve the performance results up
		  to the Performance Guarantees and to reduce Contractor’s liability for
		  amounts payable as Performance Guarantee Payments. An extension of such period
		  may be granted at the Client’s discretion if Client believes that the
		  Contractor is making a good faith effort and demonstrating tangible progress
		  toward achieving the Performance Guarantees. Contractor shall keep the
		  Client’s Representative continuously apprised of the specific schedule,
		  and changes therein, for the commencement and re-performance of Performance
		  Tests. Contractor, at its reasonable discretion, may abort any attempted
		  Performance Test.

		 

		(b) “Corrective
		  Action”
		  shall mean materials, tasks and Work necessary or appropriate to make the
		  Facility meet each Performance Guarantee and to achieve Project Completion,
		  including providing assistance to, and coordinating efforts of items within
		  Client’s Scope be the reason, in whole or in part, for not meeting any
		  Performance Guarantee. Corrective Action Work performed by Contractor to the
		  extent required by underperformance of items within Client’s Scope shall
		  be subject to Scope Change pursuant to Article 12.

		 

		6.3.2 Disposition
		  of Output. At all
		  times when Contractor desires to conduct Startup, testing, Performance Tests or
		  other operations of the Project or Project systems in furtherance of
		  Performance Tests or repair and maintenance, Client shall, at no expense to
		  Contractor, arrange for the disposition of the Facility’s output of
		  ethanol, wet cake, DDGS and all other outputs in such manner that does not
		  hinder or disrupt Contractor’s Work. Any output of the Facility of
		  ethanol, wetcake, DDGS, and any other outputs and all net proceeds from the
		  sale thereof, shall be the property of Client; provided that
		  such proceeds with respect to any 

		 

		21

		 

		 

		   

		 

		period
		  during which Late Completion Payments are accruing shall offset any Late
		  Completion Payments with respect such period on a dollar-for-dollar basis and
		  the amount of any such Late Completion Payments so offset shall not be
		  considered to be a Late Completion Payment for the purposes of
		  Contractor’s liability limitations pursuant to Section
		  9.1.

		 

		6.4 Report.
		  Contractor’s declaration and report of completion of the Performance Test
		  shall be provided to Client, promptly following completion of each Performance
		  Test. 

		 

		6.5 Provisional
		  Acceptance. 

		 

		6.5.1 Requirements.
		  Provisional Acceptance shall be achieved if and only if:

		 

		(a) Mechanical
		  Completion of the Facility has been successfully achieved as evidenced by
		  Client’s written notification thereof;

		 

		(b) the
		  Facility can be used for the production of ethanol in accordance with all
		  Applicable Laws and all portions of the Facility necessary for the production
		  of ethanol can safely and reliably be placed into operation;

		 

		(c) a
		  Performance Test has demonstrated that the Facility has achieved (i) at least
		  [*]% of the Production Guarantee, and (ii) no greater than [*]% of the
		  Consumption Guarantees;

		 

		(d) Operating
		  Manuals shall have been provided by Contractor to Client, in final or draft
		  form such that Client can safely operate the Facility in accordance with Good
		  Practices; and 

		 

		(e) Contractor
		  has paid all accrued Late Completion Payments, subject to Section
		  7.2.1.

		 

		6.5.2 Notice
		  and Report of Provisional Acceptance. When
		  Contractor believes that it has achieved Provisional Acceptance, it shall
		  deliver to Client a notice thereof (the “Notice
		  of Provisional Acceptance”).
		  The Notice of Provisional Acceptance shall contain (i) a report, of the
		  successfully completed Performance Test, in a form with sufficient detail to
		  enable Client to determine whether Provisional Acceptance has been achieved and
		  (ii) the Punch List including a complete description and an estimate of the
		  cost to complete and/or correct each Punch List item.

		 

		6.5.3 Achievement
		  of Provisional Acceptance. Client
		  shall, promptly upon receipt of the Notice of Provisional Acceptance, inspect
		  the Facility and all Work completed by Contractor and review the results of the
		  completed Performance Test and report submitted by Contractor. Within five
		  (5) business
		  days of Client’s receipt of the Notice of Provisional Acceptance, Client
		  shall notify Contractor that either:

		 

		(a) The
		  requirements under clauses (a) through (e) of Section 6.5.1 have
		  been satisfied and that Provisional Acceptance has been achieved, in which case
		  the date of achievement of Provisional Acceptance shall be the date on which
		  the notice of Provisional Acceptance was provided to Client; or

		 

		22

		 

		 

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		(b) Provisional
		  Acceptance has not been achieved, and stating the reasons therefore, in which
		  case Contractor shall promptly take such action as will achieve Provisional
		  Acceptance. In the event Client fails to provide Contractor notice that it
		  disagrees Provisional Acceptance has occurred within the five (5) business
		  day period provided as above, the Contractor shall be entitled to an extension
		  of the Guaranteed Completion Dates on a day-for-day basis; and 

		 

		(c) The
		  Punch List is accepted or Client shall advise revisions specifically required
		  to finalize the Punch List. 

		 

		Following
		  any action taken by Contractor after notice from Client that Contractor failed
		  to successfully achieve Provisional Acceptance, Contractor shall deliver to
		  Client a new Notice of Provisional Acceptance and the provisions of this
		  Section 6.5 shall
		  apply with respect to the new notice in the same manner as they applied to the
		  original notice. Such procedure shall be repeated as necessary until
		  Provisional Acceptance has been successfully achieved.

		 

		6.5.4 Risk
		  of Loss.
		  Contractor, at all times prior to Provisional Acceptance, shall bear the risk
		  of physical loss or damage to the Facility, including all materials, equipment
		  and supplies (including temporary materials, equipment and supplies),
		  regardless of whether Client has title thereto. Except as provided in
		  Section
		  5.4,
		  Contractor is not responsible for loss or damage to the extent caused by the
		  negligent acts or omissions, willful misconduct of Client, its agents and other
		  Subcontractors, or to the extent such loss or damage is directly caused by
		  items within Client’s Scope. Client shall be responsible for such loss or
		  damage including the deductible portion of such loss under Client’s
		  Builder’s Risk insurance, unless such loss is due to Contractors gross
		  negligence in which case Contractor shall be responsible for deductibles up to
		  $100,000.  Upon
		  Provisional Acceptance, Client shall take care, custody and control of the
		  Facility and shall thereafter be solely responsible for operation, maintenance
		  and risk of loss thereof; provided that such transfer shall not limit
		  Contractor’s obligations hereunder (including under Section 6.5.5).

		 

		6.5.5 Access
		  Following Provisional Acceptance. After
		  Provisional Acceptance, Contractor shall promptly complete the remaining Work,
		  including Punch List items and modification and (if the Performance Guarantees
		  were not met) retesting of the Work. Contractor shall have reasonable access to
		  the Project and the reasonable cooperation of Client so as to complete the Work
		  and to perform its obligations hereunder. Contractor’s completion of the
		  Work and performance of its obligations shall be accomplished without
		  unreasonably interfering with the operations of the Facility. Any damage to the
		  Facility caused by the Contractor during the conduct of such Work shall be the
		  responsibility of Contractor. With respect to access following Provisional
		  Acceptance, the Parties agree that:

		 

		(a) Prior to
		  Substantial Completion, it shall be unreasonable for Client to withhold access
		  to the Project or to otherwise prevent Contractor from performing Work pursuant
		  to this Section
		  6.5.5,
		  provided that Contractor has given Client at least three (3) days’ prior
		  written notice of the proposed Work, including a description of the Work to be
		  undertaken and any impact such Work is anticipated to have on Client’s
		  ability to operate the Facility during the period of such Work. In performing
		  such Work, Contractor shall 

		 

		23

		 

		
 
		 

		use all
		  commercially reasonable efforts to minimize interference with Client’s
		  operation of the Facility. 

		 

		(b) Following
		  Substantial Completion and before Final Completion, it shall not be
		  unreasonable for Client to withhold access to the Project or to otherwise
		  prevent Contractor from performing Work pursuant to this Section
		  6.5.5, if (i)
		  Contractor has not given Client at least seven (7) day’s prior written
		  notice of the proposed Work, including a description of the Work to be
		  undertaken and any impact such Work is anticipated to have on Client’s
		  ability to operate the Facility during the period of such Work, and (ii) the
		  Work will not, in the aggregate with any other Work previously conducted
		  pursuant to this Section
		  6.5.5(b), result
		  in the Facility being shut down (or otherwise result in the Facility’s
		  ability to produce ethanol be reduced by more than 50%) for more than fifteen
		  (15) days. In the event that Client breaches its obligations under this
		  Section
		  6.5.5(b) by not
		  permitting Contractor to have access to the Site as required pursuant to this
		  Section
		  6.5.5(b), the
		  Performance Guarantees shall be deemed satisfied. This Section
		  6.5.5 shall
		  not be applicable with respect to any Work to be provided under
		  Article 10.

		 

		6.6 Substantial
		  Completion. 

		 

		6.6.1 Requirements.
		  Substantial Completion shall be achieved if and only if:

		 

		(a) the
		  Facility can be used for the production of ethanol in accordance with all
		  Applicable Laws and all portions of the Facility necessary for the production
		  of ethanol can safely and reliably be placed into operation;

		 

		(b) a
		  Performance Test has demonstrated that the Facility, has achieved (i) at least
		  [*]% of the Production Guarantee, (ii) at least [*]% of the Yield Guarantee,
		  and (iii) no greater than [*]% of the Consumption Guarantees;

		 

		(c) Contractor
		  has demonstrated (pursuant to an air emissions test performed by an independent
		  air emissions tester in compliance with the air emissions test protocol set
		  forth in Appendix
		  A-1, that
		  the Project can operate within the current air emissions limits described in
		  the Air Permit while demonstrating achievement of the requirements stated in
		  Section
		  6.6.1(b) above;
		  and

		 

		(d) Contractor
		  has paid all accrued Late Completion Payments, subject to Section
		  7.2.2.

		 

		6.6.2 Notice
		  and Report of Substantial Completion. When
		  Contractor believes that it has achieved Substantial Completion, it shall
		  deliver to Client a notice thereof (the “Notice
		  of Substantial Completion”).
		  The Notice of Substantial Completion shall contain (i) a report, including the
		  results of the completed Performance Test, in a form with sufficient detail to
		  enable Client to determine whether Substantial Completion has been achieved and
		  (ii) the updated Punch List including a complete description and an estimate of
		  the cost to complete and/or correct each remaining Punch List
		  item.

		 

		24

		 

		 

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		6.6.3  Achievement
		  of Substantial Acceptance. Client
		  shall, promptly upon receipt of the Notice of Substantial Completion, inspect
		  the Facility and all Work completed by Contractor and review the results of the
		  completed Performance Test and report submitted by Contractor. Within five
		  (5) business
		  days of Client’s receipt of the Notice of Substantial Completion, Client
		  shall notify Contractor that either:

		 

		(a) the
		  requirements under clauses (a) through (d) of Section 6.6.1 have
		  been satisfied and that Substantial Completion has been achieved, in which case
		  the date of achievement of Substantial Completion shall be the date on which
		  the notice of Substantial Completion was provided to Client; or

		 

		(b) Substantial
		  Completion has not been achieved, and stating the reasons therefore, in which
		  case Contractor shall promptly take such action as will achieve Substantial
		  Completion. In the event Client fails to provide Contractor notice that it
		  disagrees Substantial Completion has occurred within the five (5) business
		  day period provided as above, the Contractor shall be entitled to an extension
		  of the Guaranteed Completion Dates (other than the Guaranteed Provisional
		  Acceptance Date) on a day-for-day basis and an equitable adjustment to the
		  Contract Price in accordance with Article
		  12; and
		  

		 

		(c) the
		  Punch List is accepted or Client shall advise revisions specifically required
		  to update the Punch List. 

		 

		Following
		  any action taken by Contractor after notice from Client that Contractor failed
		  to successfully achieve Substantial Completion, Contractor shall deliver to
		  Client a new Notice of Substantial Completion and the provisions of this
		  Section 6.6 shall
		  apply with respect to the new notice in the same manner as they applied to the
		  original notice. Such procedure shall be repeated as necessary until
		  Substantial Completion has been successfully achieved.

		 

		6.7 Project
		  Completion.

		 

		6.7.1 Requirements.
		  Project Completion shall be achieved if and only if:

		 

		(a) Substantial
		  Completion has been achieved and continues to be achieved;

		 

		(b) a
		  Performance Test has demonstrated that the Facility, has achieved (i) at least
		  [*]% of the Production Guarantee, (ii) at least [*]% of the Yield Guarantee,
		  and (iii) no more than [*]% of the Consumption Guarantees, or has made
		  Performance Guaranty Payments, as calculated in accordance with Appendix
		  A-2;

		 

		(c) Contractor
		  has demonstrated (pursuant to an air emissions test performed by an independent
		  air emissions tester in compliance with the air emissions test protocol set
		  forth in Appendix
		  A-1, that
		  the Project can operate within the current air emissions limits described in
		  the Air Permit while demonstrating achievement of the requirements stated in
		  Section
		  6.7.1(b) above;
		  and

		 

		(d) all
		  Punch List items have been completed; and

		 

		25

		 

		 

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		(e) Contractor
		  has delivered as-built drawings and all final documents other than those that
		  are to be delivered within sixty (60) days of Project Completion in accordance
		  with Section 17.3;

		 

		(f) Contractor
		  has provided the final waivers and releases of Liens in substantially the forms
		  set forth in Appendices G-1 and
		  G-3 (as
		  applicable), duly executed and acknowledged by Contractor and each
		  Subcontractor.

		 

		6.7.2 Notice
		  and Report of Project Completion. When
		  Contractor believes that it has achieved Project Completion, it shall deliver
		  to Client a notice thereof (the “Notice
		  of Project Completion”).
		  The Notice of Project Completion shall contain a report, including the results
		  of the completed Performance Test and with sufficient detail to enable Client
		  to determine whether Project Completion has been achieved.

		 

		6.7.3 Achievement
		  of Project Completion. Client
		  shall, within ten (10)
		  business days following receipt of the Notice of Project Completion, inspect
		  the Facility and all Work and either:

		 

		(a) Deliver
		  to Contractor a notification that the requirements under clauses (a) through
		  (f) of Section 6.7.1 have
		  been satisfied and that Project Completion has been achieved, in which case the
		  date of achievement of Project Completion shall be the date on which Contractor
		  provides the Notice of Project Completion to Client; or

		 

		(b) Notify
		  Contractor that Project Completion has not been achieved, stating the reasons
		  therefore, in which case Contractor shall promptly take such action as will
		  achieve Project Completion.

		 

		Such
		  procedure shall be repeated as necessary until Project Completion has been
		  achieved.

		 

		 

		ARTICLE
		  7

		 

		Completion
		  Dates

		 

		7.1 Guaranteed
		  Completion Dates.
		  Provided the Notice to Proceed is executed and received by Contractor on or
		  before September 1, 2006 (but no earlier than the date that is sixty (60) days
		  after the Limited Notice to Proceed is executed and received by Contractor),
		  Contractor guarantees that (i) Provisional Acceptance will be achieved on or
		  before the Guaranteed Provisional Acceptance Date, and (ii) Substantial
		  Completion will be achieved on or before the Guaranteed Substantial Completion
		  Date, (iii) Project Completion will be achieved on or before the Guaranteed
		  Project Completion Date. In the event Notice to Proceed is received after
		  September 1, 2006, but on or before November 1, 2006, the Guaranteed Completion
		  Date and Contract Price shall be equitably adjusted in accordance with
		  Section
		  12. In the
		  event that Notice to Proceed is not issued on or before November 1, 2006, then
		  Contractor may terminate this Agreement and Client shall pay Contractor such
		  amount as is provided by the terms of Section 4.4. 

		 

		26

		 

		 

		   

		 

		7.2 Late
		  Completion Payments. 

		 

		7.2.1 Late
		  Provisional Acceptance. If
		  Provisional Acceptance does not occur on or before the Guaranteed Provisional
		  Acceptance Date, Contractor shall pay to Client, as liquidated damages and not
		  as a penalty, an amount of $[*] per calendar day or part thereof (such payment,
		  together with the payments described in Section
		  7.2.2, the
		  “Late
		  Completion Payments”),
		  for each calendar day by which Provisional Acceptance is later than the
		  Guaranteed Provisional Acceptance Date, subject to the limitation set forth in
		  Section 9.1.
		  Provisional
		  Acceptance shall not be withheld because of disputed Late Completion Payments
		  provided that Contractor agrees to supply a letter of credit in the amount of
		  such disputed Late Completion Payments in a form and from a financial
		  institutional reasonably acceptable to Client.

		 

		7.2.2 Late
		  Substantial Completion. If
		  Substantial Completion does not occur on or before the Guaranteed Substantial
		  Completion Date, Contractor shall pay to Client, as liquidated damages and not
		  as a penalty, Late Completion Payments in an amount of $[*] per calendar day or
		  part thereof, for each calendar day by which Substantial Completion is later
		  than the Guaranteed Substantial Completion Date, subject to the limitation set
		  forth in Section 9.1;
		  provided,
		  however, that
		  Late Completion Payments pursuant to this Section
		  7.2.2 shall
		  not accrue during any period during which both (x) the Project has achieved at
		  least [*]% of each of the Production Guarantee and Yield Guarantee and no more
		  than [*]% of the Consumption Guarantees and (y) the state permits Client to
		  operate the Facility on an unrestricted basis. Substantial
		  Acceptance shall not be withheld because of disputed Late Completion Payments
		  provided that Contractor agrees to supply a Letter of Credit in the amount of
		  such disputed Late Completion Payments and in a form and from a financial
		  institutional reasonably acceptable to Client.

		 

		7.2.3 Payments
		  Reasonable. Client
		  and Contractor hereby acknowledge and agree that the terms, conditions and
		  amounts fixed pursuant to Section 7.2 for
		  Late Completion Payments are reasonable, considering the reduction in value of
		  the Project to Client and the actual costs that Client will incur and other
		  losses that Client will sustain in the event of Contractor’s failure to
		  achieve Provisional Acceptance by the Guaranteed Completion Dates. The amounts
		  of these payments are agreed upon and fixed by the Parties as liquidated
		  damages because of the difficulty of ascertaining the exact amount of reduction
		  in value, costs and other losses that will be actually incurred by Client in
		  such event, and the Parties hereby agree that the payment amounts specified
		  herein are not penalties and shall be applicable regardless of the amount of
		  such reduction in value, costs and other losses actually incurred by Client.
		  The payment of any Late Completion Payments shall not affect Client’s
		  rights to (i) terminate the Agreement pursuant to Article 15 or
		  (ii) receive liquidated damages pursuant to Article 8.

		 

		7.2.4 Payment.
		  Contractor shall pay the amounts required under this Section 7.2
		  on or
		  before the fifth (5th) day of each month for amounts due with respect to delays
		  that occurred during the preceding calendar month. As set forth in Section 6.3.2, any
		  net revenues received by Client prior to Provisional Acceptance or between
		  Provisional Acceptance and prior to Substantial Completion shall be applied
		  against and shall reduce the amount of any Late Completion
		  Payments.

		 

		27

		 

		 

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		7.2.5 Exclusive
		  Remedy.
		  Payment of the Late Completion Payments shall constitute the sole and exclusive
		  remedy of Client and Financing Parties, and the sole and exclusive liability of
		  Contractor, for failure of Contractor to timely meet its guarantee set forth in
		  Section 7.1, except
		  as provided in Section
		  8.1 and the
		  remedies available to Client following termination of this Agreement pursuant
		  to Section
		  15.3(b)(vii).
		  

		 

		7.3 Early
		  Completion Bonus. If
		  Substantial Completion occurs on or before the date that is sixty (60) days
		  after the Guaranteed Provisional Acceptance Date, Client shall pay to
		  Contractor, as an Early Completion Bonus, an amount of $[*] per
		  calendar day (the “Early
		  Completion Payments”);
		  provided that in no event shall the bonus exceed $[*]. Notwithstanding the
		  foregoing, (a) it shall be a condition to the payment of any such Early
		  Completion Payments that Project Completion shall have been achieved, and (b)
		  Contractor acknowledges and agrees that the Early Completion Payments shall be
		  subject and subordinate to Client’s debt payments to any Financing
		  Parties. If
		  Client does not pay the Early Completion Bonus within thirty (30) days of
		  Project Completion, late payments shall accrue at the rate of the Wall Street
		  Journal prime rate plus five percent (5%). To the
		  extent earned and subject to the immediately preceding sentence, payment of any
		  Early Completion Payments shall be made within ten (10) days following the date
		  of Project Completion.

		 

		ARTICLE
		  8

		 

		Project
		  Guarantees and Remedies

		 

		8.1 Performance
		  Guarantees.

		 

		8.1.1 General.
		  Contractor guarantees that the Project will successfully achieve all the
		  Performance Guarantees referred to in Appendix
		  A-2 (the
		  “Performance
		  Guarantees”).
		  If the Project fails to achieve the Performance Guarantees, and to the extent
		  such failure is not caused by defect or deficiency items within Client’s
		  Scope, Contractor shall pay Client as liquidated damages, and not as penalties,
		  the amounts calculated in accordance with the terms set forth in this
		  Article 8 (the
		  “Performance
		  Guarantee Payments”).
		  Provided that Substantial Completion has been achieved by the Guaranteed
		  Project Completion Date, Contractor’s sole and exclusive liability to
		  Client and Financing Parties for, and Client’s and Financing Parties’
		  sole and exclusive remedy with respect to, failure of the Facility to achieve
		  the Performance Guarantees shall be limited to the payment of the Performance
		  Guarantee Payments described in Appendix A-2,
		  subject to the limitation set forth in Section 9.1;
		  provided
		  that payment of such amounts shall not limit Contractor’s other
		  obligations under the Agreement.

		 

		8.2 Payments
		  Reasonable. Client
		  and Contractor hereby acknowledge and agree that the terms, conditions and
		  amounts fixed pursuant to this Article 8 are
		  reasonable, considering the actual reduction in the value of the Facility,
		  increased costs, reduced revenues and other losses that Client may sustain in
		  the event of Contractor’s failure to achieve the Performance Guarantees.
		  The amounts of these payments are agreed upon and fixed by the Parties as
		  liquidated damages because of the difficulty of ascertaining the exact amount
		  of such reduction in value, increased costs, reduced revenues and other losses
		  that will actually be sustained by Client in the event of any such failure by
		  Contractor, and the Parties hereby agree that the payment amounts specified
		  herein are not penalties and shall be applicable regardless of the
		  

		 

		28

		 

		 

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		amount
		  of such reduction in value, increased costs, reduced revenues and other losses
		  actually sustained by Client. The payment of any Performance Guarantee Payments
		  shall not affect Client’s rights to (i) terminate the Agreement
		  pursuant to Article 15 or
		  (ii) receive damages pursuant to Section 7.2.

		 

		8.3 Payment.
		  Contractor shall pay to Client all amounts required under this Article 8 within
		  thirty (30) days of the expiration of the period agreed for Corrective Action
		  pursuant to Section 6.3.1. 

		 

		8.4 Exclusive
		  Remedy.
		  Provided that Substantial Completion has been achieved, payment of Performance
		  Guarantee Payments and fulfillment of the other remedies specified in this
		  Article 8 shall
		  constitute the sole and exclusive remedy of Client and Financing Parties and
		  the sole and exclusive liability of Contractor, for failure of Contractor to
		  meet the Performance Guarantees set forth in this Article 8.

		 

		ARTICLE
		  9

		 

		Liability
		  and Damages

		 

		9.1 Limitation
		  of Liability for Articles 7 and 8 Payments. In no
		  event shall Contractor’s liability to Client and Financing Parties under
		  the Contract Documents for (a) Late Completion Payments exceed in the
		  aggregate [*]% of the Contract Price, or (b) Performance Guarantee
		  Payments exceed in the aggregate [*]% of the Contract Price. Contractor’s
		  total aggregate liability for Late Completion Payments and Performance
		  Guarantee Payments shall not exceed [*]% of the Contract Price. 

		 

		9.2 Consequential
		  Damages. Except
		  to the extent the liquidated damages provided for in Article 7 or
		  Article 8 for
		  Late Completion Payments or Performance Guarantee Payments may be construed to
		  cover such damages, in no event shall Client, Financing Parties, or Contractor,
		  or any of their contractors, subcontractors, or agents be liable for loss of
		  anticipated profit or revenue; loss of profits or revenue; loss of use; loss of
		  opportunity; loss of goodwill; cost of substitute facilities, goods, or
		  services; cost of capital; governmental and regulatory penalties or sanctions
		  imposed due to circumstances beyond the reasonable control of the entity that
		  causes such penalty or sanction; and claims of customers; or for any special,
		  indirect, exemplary, incidental, punitive, or consequential loss or damage,
		  whether in contract, tort (including negligence), warranty, strict liability or
		  any other legal theory. Notwithstanding the prior sentence, neither the costs
		  incurred by Contractor to complete the Work nor the profit and overhead on such
		  costs shall be considered consequential. 

		 

		9.3 Aggregate
		  Liability of Contractor.

		 

		(a) Notwithstanding
		  anything to the contrary contained in the Contract Documents, Contractor’s
		  total aggregate liability under or in connection with this Agreement, the
		  performance of the Work or breach of this Agreement shall not (i) prior to
		  Provisional Acceptance exceed 100% of the Contract Price, and (ii) subsequent
		  to Provisional Acceptance exceed 30% of the Contract Price. This limitation
		  shall apply 

		 

		29

		 

		

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		regardless
		  of the theory of recovery and regardless of whether liability arises in tort or
		  contract, at law or in equity.

		 

		(b) The
		  foregoing limitations of liability shall not apply to liability for
		  (i) breach of Contractor’s obligations to ensure no Liens,
		  (ii) Contractor’s indemnities for Hazardous Substances brought to the
		  Facility Site by Contractor or its Subcontractors or other workers under their
		  control, (iii) fraud or willful misconduct by Contractor or its
		  Subcontractors or other workers under their control,
		  (iv) Contractor’s indemnities for death, bodily injury and third
		  party property damages or (v) breach of Contractor’s obligations
		  under Section 2.3, and in
		  each such case the aggregate liability limit shall be 100% of the Contract
		  Price. The foregoing limitations of liability shall in no way limit (vi) any
		  right to insurance proceeds Client may have as a result of its status as
		  “additional insured” on any policy of insurance supplied by
		  Contractor pursuant to this Agreement, or (vii) Contractor’s obligations
		  under Article
		  10.

		 

		9.4 Applicability
		  of Disclaimers. Except
		  to the extent prohibited by law, the waivers and disclaimers of liability,
		  releases from liability, limitations on liability, indemnities, and exclusive
		  remedy provisions set forth in this Agreement shall apply and shall be valid
		  and enforceable even in the event of the fault, tort (including negligence,
		  whether in whole or in part), breach of contract, breach of warranty,
		  indemnity, strict liability, or any other basis of liability of the party for
		  whose benefit such provisions operate and shall extend to the officers,
		  directors, shareholders, employees, affiliates, licensors, agents,
		  Subcontractors, and vendors of such party.

		 

		9.5 Precedence
		  and Survival. The
		  rights and remedies expressly provided in this Agreement are the sole and
		  exclusive rights and remedies of the Parties to this Agreement for the
		  liabilities of such Parties arising out of or in connection with the Work or
		  this Agreement, notwithstanding any remedy otherwise available at law or in
		  equity.

		 

		9.6 Survival. The
		  provisions of this Article 9
		  shall
		  prevail over any conflicting or inconsistent provisions set forth elsewhere in
		  this Agreement and shall survive the expiration or termination of this
		  Agreement.

		 

		ARTICLE
		  10

		 

		Warranties
		  and Guarantees of Contractor

		 

		10.1 Warranties
		  and Guarantees. The
		  warranties and guarantees in this Article 10
		  are in
		  addition to the guarantees of Contractor set forth in Article 7
		  (Completion Date) and Article 8
		  (Project
		  Guarantees and Remedies).

		 

		10.1.1 Materials.
		  Contractor warrants and guarantees that all machinery, equipment, materials,
		  systems, supplies and other items comprising the Work will be new and free from
		  defective design, workmanship and materials and will meet all requirements of
		  the Contract Documents and all Applicable Laws and Governmental Authorizations
		  in effect at Project Completion; provided, that Contractor does not warrant and
		  expressly disclaims all warranties, express or implied for items within
		  Client’s Scope.

		 

		30

		 

		 

		   

		 

		10.1.2 Engineering
		  and Construction.
		  Contractor warrants and guarantees that it will perform all of its design,
		  engineering and construction Work in a good and workmanlike manner and in
		  accordance with the provisions of the Contract Documents and all Applicable
		  Laws and Governmental Authorizations in effect at Project
		  Completion.

		 

		10.1.3 Qualifications.
		  Contractor represents and warrants that it and its Subcontractors are, and
		  shall be at all times, fully qualified and capable of performing the Work and
		  completing the Project in accordance with the terms of the
		  Agreement.

		 

		10.1.4 Corrections. If,
		  during the one (1) year period following Provisional Acceptance (the
		  “Warranty
		  Period”),
		  Client promptly notifies Contractor of any defects or deficiencies in the Work
		  as warranted by the terms of this Article 10
		  and if
		  Client promptly provides Contractor access to the site to inspect, repair and
		  replace such defect or deficiency, Contractor shall (a) re-perform any of such
		  defective Work, at no additional cost to Client, to correct any such errors,
		  omissions, defects or deficiencies and (b) in the case of any defective
		  machinery, equipment, materials, systems, supplies or other items, shall repair
		  or replace the same at Contractor’s option. Client’s notice of any
		  such defect or deficiency shall be delivered to Contractor as soon as
		  practicable following Client’s discovery thereof. Contractor’s
		  obligations under this Section 10.1.4 shall
		  include removal, repair and replacement of non-conforming portions of the Work,
		  machinery, equipment, materials, systems, supplies or other items, as well as
		  uncovering, removal, recovering and replacement of other portions of the Work,
		  machinery, equipment, materials, systems, supplies or other items as may be
		  necessary to gain access to the non-conforming Work, machinery, equipment,
		  materials, systems, supplies or other items. If any defective machinery,
		  equipment, materials, systems, supplies or other items are repaired or replaced
		  during the Warranty Period, the warranty for such replaced equipment or
		  materials shall be extended until the date which is one (1) year after the date
		  of repair or replacement but not to exceed two (2) years after Provisional
		  Acceptance (the “Extended
		  Warranty Period”).
		  The duties, liabilities and obligations of Contractor under this Section 10.1
		  do not
		  extend to any repairs, adjustments, alterations, replacements or maintenance of
		  materials as a result of (i) the failure of Client to operate and maintain
		  the Facility in accordance with the Operating Manuals, Supplier instructions or
		  Good Practice, (ii) material alteration or modification performed without
		  Contractor’s consent or (iii) which are required as a result of
		  normal wear and tear in the operation of the Facility.

		 

		10.1.4.1 Client,
		  without cost to Contractor, shall provide working access to the Facility,
		  including disassembling, removing, replacing and reinstalling any equipment,
		  materials or structures not furnished by Contractor to the extent necessary for
		  Contractor to perform its warranty obligations. Client shall, at Client’s
		  expense, furnish at the request of the Contractor, personnel (to the extent
		  available and not inconsistent with job classifications) and, facilities, to
		  the extent available at the Facility Site, to assist Contractor in any repair
		  or replacement pursuant to its warranty obligations. Subject to Client’s
		  security requirements and during normal business hours, Client shall allow
		  Contractor the opportunity to review operating and maintenance records relating
		  to the Facility and shall provide Contractor’s representatives reasonable
		  access to the Facility Site for the purpose of observing the equipment and the
		  operation and maintenance thereof.

		 

		31

		 

		 

		   

		 

		10.1.4.2 If,
		  after notification of any such defect or deficiency, Contractor shall delay or
		  fail to commence, continue or complete the correction of such defect or
		  deficiency in accordance with the agreed schedule (which shall be appropriate
		  given the nature of the defect or deficiency), then Client may correct such
		  defect and Contractor shall be liable for all costs, charges and expenses
		  incurred by Client in connection with such repair or replacement and shall
		  immediately pay to Client an amount equal to such costs, charges and expenses,
		  together with any other amounts owing to Client hereunder, upon receipt of
		  invoices from Client, and the Warranty Period shall be extended with respect to
		  such items as though Contractor had made such repair pursuant to Section 10.1.4.

		 

		10.2 Standard
		  of Performance.
		  Without limiting any other provision of the Agreement, (a) Contractor
		  shall perform the Work in accordance with and consistent with Good Practices
		  and Applicable Laws, and
		  (b) the Facility shall be constructed and erected (i) in a good
		  workmanlike manner, and (ii) using principles, criteria and standards
		  generally accepted for use by an experienced contractor in the region in which
		  the Facility is located and in connection with ethanol production facilities of
		  the same or similar size, type, and complexity as the Facility (when operated
		  and maintained in accordance with the Operating Manuals and manufacturers’
		  instructions and Good Practices).

		 

		10.3 No
		  Liens or Encumbrances. To the
		  extent Contractor has been paid in accordance with this Agreement, Contractor
		  warrants and guarantees that title to the Facility and the Work, materials,
		  machinery, systems, supplies and equipment provided in connection with the
		  Project (except for items within Client’s Scope) shall pass to Client free
		  and clear of all Liens, claims, security interests and other encumbrances; and
		  that none of such Work, materials, machinery, systems, supplies or equipment
		  shall be acquired by Contractor subject to any agreement under which a security
		  interest or other lien or encumbrance is retained by any Person.

		 

		10.4 Limitation
		  of Warranties. EXCEPT
		  AS EXPRESSLY PROVIDED IN SECTION 10.1, THERE
		  ARE NO WARRANTIES OR GUARANTEES EXPRESS OR IMPLIED RELATING TO THE WORK,
		  MACHINERY, EQUIPMENT, MATERIALS, SYSTEMS, SUPPLIES OR OTHER ITEMS AND
		  CONTRACTOR DISCLAIMS ANY IMPLIED WARRANTIES OR WARRANTIES IMPOSED BY LAW
		  (INCLUDING WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE),
		  OTHER THAN WARRANTIES OF TITLE. EXCEPT AS PROVIDED IN SECTION 10.1.4.2,
		  PERFORMANCE BY CONTRACTOR OF ITS OBLIGATIONS UNDER SECTION 10.1.4
		  SHALL BE
		  CLIENT’S EXCLUSIVE REMEDY AND CONTRACTOR’S SOLE LIABILITY FOR ANY
		  DEFECTS OR DEFICIENCIES IN THE WORK, MACHINERY, EQUIPMENT, MATERIALS SYSTEMS,
		  SUPPLIES OR OTHER ITEMS.

		 

		ARTICLE
		  11

		 

		Force
		  Majeure

		 

		11.1 Force
		  Majeure Event. As
		  used in this Agreement, a “Force
		  Majeure Event”
		  shall mean any act or event that prevents the affected Party from performing
		  its obligations under this Agreement if such act or event is beyond the
		  reasonable control of and not the fault of the affected Party. A Force Majeure
		  Event shall include, but not be limited to, the following events: 

		 

		32

		 

		 

		   

		 

		 

		war,
		  lightning, earthquake, fire, volcanic eruption, landslide, typhoon, hurricane,
		  flood, tornado, other unusually severe weather, explosion, strikes or labor
		  disputes (but expressly excluding any strikes or labor disputes involving only
		  employees or other direct labor of Contractor or its Subcontractors at the
		  Facility Site), civil disturbance, act of God or the public enemy, or action of
		  a court or public authority (provided that if a claim of Force Majeure event
		  asserts an unreasonable delay or inaction of a public authority, such delay,
		  action or inaction shall only be a Force Majeure event, if proper and timely
		  application therefore was made, taking into account all facts and circumstances
		  after due investigation into the time required for such requested action,
		  payments of all necessary fees and charges was made, and diligent and customary
		  pursuit of the application was made). The following events are explicitly
		  excluded from Force Majeure Events and are solely the responsibility of the
		  affected Party: (a) late delivery of equipment or materials (unless caused
		  by a Force Majeure Event), (b) economic hardship, or
		  (c) nonperformance or delay by Subcontractors (unless caused by a Force
		  Majeure Event).

		 

		11.2 Excused
		  Performance. Except
		  for payment obligations accruing in accordance with this Agreement for Work
		  that is not affected by a Force Majeure Event, if either Party is rendered
		  wholly or partially unable to perform its obligations under the Agreement
		  because of a Force Majeure Event, that Party will be excused from whatever
		  performance is affected by the Force Majeure Event to the extent so affected;
		  provided that:

		 

		(a) The
		  affected Party, within five (5) business
		  days after becoming aware of the occurrence of a Force Majeure Event, gives the
		  other Party written notice describing the particulars of the occurrence,
		  including an estimation of its expected duration and probable impact on the
		  performance of such Party’s obligations, and thereafter continues to
		  furnish timely regular reports with respect thereto during the continuation of
		  the Force Majeure Event and the effects thereof;

		 

		(b) The
		  suspension of performance shall be of no greater scope and of no longer
		  duration than is reasonably required by the Force Majeure Event;

		 

		(c) No
		  liability of either Party for an event which arose before the occurrence of the
		  Force Majeure Event shall be excused as a result of the occurrence, except that
		  the obligation for any on-going Late Completion Payments shall cease during the
		  delay caused by the Force Majeure Event; and

		 

		(d) The
		  affected Party shall exercise all reasonable efforts to mitigate or limit
		  damages to the other Party; provided, however, notwithstanding anything in this
		  Agreement to the contrary, the affected Party shall not be obligated to
		  accelerate its Work or otherwise incur costs which would not normally be
		  incurred in performance of the Work in order to overcome any delay due to a
		  Force Majeure Event, unless such Party is compensated for the costs resulting
		  from such acceleration in accordance with Article 12.

		 

		The
		  Parties shall execute a Change Order pursuant to Article 12 to
		  equitably adjust the Contract Price and Project Schedule as a result of each
		  Force Majeure Event.

		 

		33

		 

		 

		  
		   
 

		ARTICLE
		  12

		 

		Scope
		  Changes

		 

		12.1 Scope
		  Changes.
		  Client, without invalidating this Agreement, may order Scope Changes to the
		  Work, where one or more of the Contract Price, the Guaranteed Completion Dates,
		  the Payment Schedule, the Project Schedule or the Project Guarantees and other
		  such parts of this Agreement as may be affected by such Scope Change shall be
		  adjusted as necessary. If Client decides not to issue a Scope Change after
		  having requested one, unless such Scope Change Request is issued in response to
		  a Contractor Scope Change Order Notice as set forth in Section 12.2.2 below,
		  Contractor shall be entitled to reasonable compensation for providing any
		  engineering services in responding to Client’s Scope Change Request. Such
		  reasonable compensation shall be determined in accordance with Appendix
		  K. 

		 

		12.2 Procedure
		  for Scope Changes.

		 

		12.2.1 As soon
		  as reasonably possible, but in no event later than fifteen (15) days after
		  Contractor becomes aware of any circumstances which Contractor has reason to
		  believe may constitute a Scope Change, Contractor shall issue to Client a Scope
		  Change Order Notice at Contractor’s expense. All Scope Change Order
		  Notices shall include preliminary documentation sufficient to enable Client to
		  determine (i) the factors necessitating the possibility of a Scope Change;
		  (ii) the impact which the Scope Change is likely to have on the Contract
		  Price; (iii) the impact which the Scope Change is likely to have on
		  scheduling and the Guaranteed Completion Dates; and (iv) any other
		  adjustments to this Agreement which Contractor believes should be made as a
		  result of the Scope Change.

		 

		12.2.2 If
		  Client desires to make a Scope Change in response to a Scope Change Order
		  Notice or otherwise, it shall submit a Scope Change Order Request to
		  Contractor. Contractor shall promptly review the Scope Change Order Request and
		  notify Client promptly in writing of the options for implementing the proposed
		  Scope Change (including, if possible, any option that does not involve an
		  extension of time) and the effect, if any, each such option would have on the
		  Contract Price, the Guaranteed Completion Dates, the Payment Schedule, the
		  Project Schedule, or the Project Guarantees, or any other such part of this
		  Agreement as may be affected. The preparation and provision of information to
		  Client in response to Scope Change Order Request shall be at Contractor’s
		  expense if such Scope Change Order Request is issued in response to a Scope
		  Change Order Notice issued by Contractor.

		 

		12.2.3 If a
		  Scope Change is in order, Client shall issue a Scope Change Order, in which
		  event the Contractor’s response to a Scope Change Order Request pursuant
		  to Section 12.2.2 shall
		  be binding on Contractor. In the event Client disagrees with Contractor’s
		  statement of the effect of such Scope Change on any one or more of the Contract
		  Price, the Guaranteed Completion Dates, the Payment Schedule, the Project
		  Schedule, the Project Guarantees, or any other such part of this Agreement as
		  may be affected, Client may proceed to issue the Scope Change Order in
		  accordance with Section 12.7.

		 

		12.2.4 Client
		  shall issue a Scope Change Order for each Scope Change.

		 

		34

		 

		 

		   

		 

		12.3 Scope
		  Changes Due to Contractor Error. Except
		  as provided in Sections 12.4,
		  12.5,
		  12.6
		  or
		  12.7, no
		  Scope Change Order shall be issued and no adjustment of any one or more of the
		  Contract Price, the Guaranteed Completion Dates, the Payment Schedule, the
		  Project Schedule or the Project Guarantees shall be made in connection with any
		  delay, failure of performance, correction of errors, omissions, deficiencies or
		  improper or defective Work, machinery, equipment, materials, systems, supplies
		  or other items on the part of Contractor or any Subcontractor in the
		  performance of the Work or provisions of, or delay in provisions of machinery,
		  equipment, materials, systems, supplies or other items by Contractor or any
		  Subcontractor, or any failure of Contractor or any Subcontractor to comply with
		  the Agreement.

		 

		12.3.1 To the
		  extent any delay or failure of performance was concurrently caused by Client
		  and Contractor, Contractor shall be entitled to an adjustment of the Contract
		  Price, the Project Schedule and Guaranteed Completion Dates for only that
		  portion of the critical path delay that was due to Client, provided that
		  Contractor submits a proper Scope Change Order Notice in accordance with
		  Section 12.2.1.
		  

		 

		12.4 Scope
		  Changes Due to Changes in Law. Any
		  changes in Applicable Laws enacted after the Effective Date of this Agreement
		  which Contractor believes may constitute a Scope Change, shall entitle
		  Contractor to request equitable adjustments to the Contract Price, Project
		  Schedule and other obligations under this Agreement by issuance of a Scope
		  Change under Section 12.2.

		 

		12.5 Effect
		  of Force Majeure Event.
		  Subject to the final sentence of Section 11.2, in the
		  event and to the extent that a Force Majeure Event affects Contractor’s
		  ability to meet the Guaranteed Completion Dates, the Payment Schedule or the
		  Project Schedule, an equitable adjustment in one or more of the Guaranteed
		  Completion Dates, the Payment Schedule and the Project Schedule shall be made.
		  Subject to the final sentence of Section 11.2, in the
		  extent a Force Majeure Event adversely impacts Contractor’s cost of
		  performance of the Work, such event shall be treated as a Scope Change and an
		  equitable adjustment in one or more of the Guaranteed Completion Dates, the
		  Payment Schedule, the Project Schedule and the Contract Price shall be made. To
		  the extent Contractor cannot reasonably redeploy labor or equipment, reasonable
		  standby and mobilization/remobilization costs incurred by Contractor resulting
		  from any such delay shall be reimbursed to Contractor monthly as such costs are
		  incurred.

		 

		12.6 Client-Caused
		  Changes. In the
		  event and to the extent (a) a failure of Client to perform, or cause
		  performance of, its obligations in accordance with this Agreement (including
		  any defects or deficiencies in items within Client’s Scope or interference
		  by Client or others for whom Client is responsible) or (b) damage to or
		  destruction of any Work caused by Client, causes a material delay in
		  Contractor’s performance of the Work which impairs Contractor’s
		  ability to meet the Guaranteed Completion Dates or the Project Guarantees, or
		  materially and adversely impacts Contractor’s cost of performance of the
		  Work, an equitable adjustment in one or more of the Guaranteed Completion
		  Dates, the Payment Schedule, the Project Schedule, or the Contract Price and/or
		  any other such part of this Agreement as may be affected shall be made pursuant
		  to this Article 12. To the
		  extent Contractor cannot reasonably redeploy labor or equipment, reasonable
		  standby and mobilization/remobilization costs incurred by Contractor resulting
		  from any such delay shall be reimbursed to Contractor monthly as such costs are
		  incurred.

		 

		35

		 

		 

		   

		 

		12.7 Effectiveness;
		  Continued Performance Pending Resolution of Disputes. If a
		  Scope Change is initiated under this Article 12, then
		  the Scope Change and the modifications made pursuant to such Scope Change shall
		  be effective upon issuance by Client of a Scope Change Order with respect
		  thereto. Notwithstanding a Dispute regarding any proposed or requested Scope
		  Change, or any adjustment of one or more of the Contract Price, the Guaranteed
		  Completion Dates, the Project Schedule, the Project Guarantees, or any other
		  such part of this Agreement as may be affected with respect to a Scope Change,
		  pending final resolution of such Dispute (including pursuant to Article 20),
		  Contractor shall proceed with the performance of such Scope Change promptly
		  following Client’s execution of the corresponding Scope Change
		  Order.

		 

		12.8 Documentation. All
		  claims by Contractor for adjustments pursuant to a Scope Change to one or more
		  of the Contract Price, the Guaranteed Completion Dates, the Payment Schedule,
		  the Project Schedule, the Project Guarantees, or any other such part of this
		  Agreement as may be affected as a result of Scope Changes under this
		  Article 12 shall
		  be supported by such documentation as is reasonably sufficient for Client to
		  determine the accuracy thereof.

		 

		12.9 Scope
		  Change Order Constitutes Complete Relief. Except
		  for aggregate impacts which are either unknown, or despite the exercise of
		  reasonable diligence would not be known at the time of execution of a Scope
		  Change Order, any Scope Change Order agreed to between the Parties shall
		  constitute full compensation to Contractor for all claims for cost for direct,
		  indirect, labor, temporary construction failures, job site, or home office
		  overhead, stacking of trades, inefficiencies, impacts or any other cost of any
		  kind or nature; and in the event the Scope Change Order adjusts the Guaranteed
		  Completion Dates, the executed Scope Change Order constitutes complete relief
		  to Contractor for schedule impacts for all events giving rise to the Scope
		  Change Order.

		 

		ARTICLE
		  13

		 

		Indemnification

		 

		13.1 General
		  Indemnification.

		 

		13.1.1 Contractor’s
		  General Indemnification Obligation.
		  Contractor shall defend, indemnify and hold harmless Client, Lenders and their
		  subsidiaries and affiliates and the directors, officers, employees, agents,
		  successors, and permitted assigns of each of them (the “Client
		  Indemnified Parties”)
		  from and against all liabilities, claims, damages, losses and expenses,
		  including reasonable attorneys’ fees directly related thereto (for
		  purposes of this Article 13,
		  the
		  “Claims”) for (i) bodily injury to or death of any person,
		  including Contractor’s and Subcontractor’s employees, and
		  (ii) for loss or damage to the property of third parties, but only to the
		  extent caused by the negligence or willful misconduct of Contractor or its
		  Subcontractors, or anyone for whose acts they are liable in connection with
		  activities under this Agreement. For purposes of this Section 13.1.1,
		  the
		  Work, Facility, and
		  Project, as defined in this Agreement, shall not be construed as third party
		  property.

		 

		13.1.2 Client’s
		  General Indemnification Obligation. Client
		  shall defend, indemnify and hold harmless Contractor and its subsidiaries and
		  affiliates and the directors, officers,

		 

		36

		 

		 

		   

		 

		 employees,
		  agents, successors, and permitted assigns of each of them (the
		  “Contractor
		  Indemnified Parties”)
		  from and against all Claims for (i) bodily injury to or death of any person,
		  including Client’s employees, and (ii) for loss or damage to the property
		  of third parties, but only to the extent caused by the negligence or willful
		  misconduct of Client or anyone for whose acts they are liable in connection
		  with activities under this Agreement.

		 

		13.1.3 Applicable
		  Laws and Taxes.

		 

		13.1.3.1 Client
		  shall defend, indemnify and hold harmless Contractor from and against all
		  Claims to the extent caused by (a) Client’s failure to comply with
		  Applicable Laws or (b) Client’s failure to pay taxes arising out of
		  this Agreement

		 

		13.1.3.2 Contractor
		  shall defend, indemnify and hold harmless Client Indemnified Parties from and
		  against all Claims to the extent caused by (a) Contractor’s failure to
		  comply with Applicable Laws or (b) Contractor’s failure to pay taxes
		  relating to Contractor’s income or other taxes required to be paid by
		  Contractor without reimbursement under this Agreement arising out of or in
		  connection with this Agreement or performance by Contractor or any of its
		  Subcontractors of the Work under this Agreement.

		 

		13.1.4 Hazardous
		  Materials.

		 

		13.1.4.1 Client
		  Indemnification. Client
		  shall defend, indemnify and hold harmless the Contractor Indemnified Parties
		  and each
		  Subcontractor, and the affiliates, subsidiaries, and subcontractors of each of
		  them, and the directors, officers, employees, successors and permitted assigns
		  of each of them from and
		  against all Claims, resulting from (a) the presence of any Hazardous
		  Material on, or the release of any Hazardous Material on or from, the Facility
		  Site prior to the commencement by Contractor of performance of the Work,
		  (b) the introduction of any Hazardous Material (other than pursuant to
		  this Agreement) at, on or into the Facility Site after the commencement of the
		  Work other than to the extent Contractor would be required to indemnify Client
		  Indemnified Parties pursuant to Section 13.1.4.2 below,
		  and (c) after Provisional Acceptance, Hazardous Materials which are
		  by-products of the normal operation of the Facility; provided, that Client
		  shall not be obligated to provide such to the extent that the damages
		  are a result
		  of Contractor’s or a Subcontractor’s failure to comply with
		  Applicable Laws.

		 

		13.1.4.2 Contractor
		  Indemnification.
		  Contractor shall defend, indemnify and hold harmless Client Indemnified Parties
		  from and against all Claims resulting from (a) any Hazardous Material that has
		  been brought onto the Facility Site by Contractor or any Subcontractor or any
		  person acting on behalf of, or under the direction or supervision of,
		  Contractor or Subcontractor for the purpose of performing the Work, (b)
		  Contractor’s or a Subcontractor’s failure to comply with Applicable
		  Laws.

		 

		If
		  Contractor encounters any pre-existing Hazardous Materials at the Facility Site
		  of the type described in Section 13.1.4.1(a) above,
		  and knows or reasonably should have known that such materials are Hazardous
		  Materials, Contractor shall immediately stop Work in the affected area and
		  notify Client. If under such circumstances, Contractor fails to stop Work and
		  notify Client or takes any affirmative action which results in the additional
		  release of such Hazardous 

		 

		37

		 

		 

		   

		 

		Materials
		  Contractor shall be responsible and liable for and shall indemnify Client
		  Indemnified Parties against all Claims resulting from such failure or
		  affirmative action.

		 

		13.1.5 No
		  Indemnity of Party at Fault.
		  Nothing contained herein shall obligate any party specified in this
		  Article 13 to
		  indemnify or hold harmless any other party, its assigns or any of their
		  respective directors, officers, or employees from any Claim to the extent such
		  Claim is caused by the negligence or willful misconduct of the party seeking
		  indemnification.

		 

		13.1.6 Conditions. Each
		  party’s obligations with respect to Claims and suits covered by this
		  Section 13.1 are
		  subject to the conditions that (a) the indemnitee gives the indemnitor
		  reasonably prompt written notice of any such claim or suit, (b) the indemnitee
		  cooperates in the defense of any such claim or suit, and (c) the indemnitor has
		  sole control of the defense and settlement to the extent of the
		  indemnitor’s liability for any such claim or suit; provided, that the
		  indemnitor shall not settle any suit for which it is providing an indemnity
		  under this Article
		  13 without
		  the prior consent of the indemnitee, such consent not to be unreasonably
		  withheld so long as such settlement completely discharges or releases the
		  indemnifiable claims against the indemnitee and, if Client is the indemnitee,
		  does not impose by way of consent decree, injunction or otherwise any restraint
		  or limitation on operation or use of the Facility.

		 

		13.2 Intellectual
		  Property Infringement.

		 

		13.2.1 Patent
		  and Copyright Indemnification.
		  Contractor shall defend, indemnify and hold harmless Client Indemnified Parties
		  from and against all Claims, arising from any claim or legal action for
		  unauthorized disclosure or use of any trade secrets, or of patent, copyright or
		  trademark infringement arising from Contractor’s performance, or that of
		  its Subcontractors, of the Work, that either (a) concerns any equipment,
		  materials, supplies, or other items furnished by Contractor or any
		  Subcontractor under this Agreement, or (b) is based upon or arises out of the
		  design or construction and use of any item specified by Contractor under this
		  Agreement.

		 

		13.2.2 Contractor’s
		  Responsibility for Litigation. If
		  such claim or legal action for such infringement results in a suit against any
		  of the Client Indemnified Parties, Contractor shall, at its election and in the
		  absence of waiver of this indemnity by the affected Client Indemnified Parties,
		  have sole charge and direction of such suit in said Client Indemnified
		  Parties’ behalf and Contractor shall diligently defend said
		  suit.

		 

		13.2.3 Assistance
		  by Client. If
		  Contractor has charge of any suit brought against Client Indemnified Parties,
		  Client Indemnified Parties shall render such assistance as Contractor may
		  reasonably require in the defense of such suit except Client Indemnified
		  Parties shall have the right to be represented therein by legal counsel of
		  their own choice and at their own expense.

		 

		13.2.4 Limitations
		  and Conditions. In the
		  event of any claim or legal action for infringement, Contractor shall have the
		  right, at its option, and at its expense subject to the limitations of
		  Contractor’s liability set forth in this Agreement, either to procure for
		  Client the rights alleged to have been infringed or to modify the infringing
		  item in a way so that it becomes non-infringing.

		 

		38

		 

		 

		   

		 

		13.3 Liens.
		  Contractor shall keep the Facility Site, the Facility and the Work free from
		  all liens, charges, claims and judgments, security interests or encumbrances
		  (“Liens”)
		  arising out of the performance of the Work under this Agreement or pursuant to
		  any Subcontract and shall defend, indemnify and hold harmless Client from and
		  against all costs, charges and expenses, including reasonable attorneys’
		  fees directly related thereto, that Client may incur resulting from or arising
		  out of such Liens, unless a payment default has occurred and is continuing
		  under this Agreement and then the Contractor may create a Lien only to the
		  extent of Work to which the payment default relates. Contractor’s
		  indemnification obligations with respect to Liens covered by this Section 13.3
		  are
		  subject to the following conditions that: (a) Client
		  gives Contractor prompt written notice of any such Lien of which it has
		  knowledge, (b) Client cooperates in the defense of any such Lien, and
		  (c) Contractor has sole control of Contractor’s defense and
		  settlement, to the extent of Contractor’s liability, for any such Lien;
		  provided, that Contractor shall promptly confirm in writing its obligation to
		  indemnify Client with respect to all costs and expenses with respect to such
		  Lien or claim. Contractor shall take prompt steps to discharge any such Lien
		  filed against the Facility Site, the Facility and the Work or upon any
		  Contractor furnished equipment or structures encompassed therein, or upon the
		  premises upon which they are located by any Subcontractor based on a claim for
		  payment in connection with the Work. If Contractor fails to promptly discharge,
		  bond or otherwise assure the payment of any such Lien, Client shall promptly
		  notify Contractor in writing and ten (10) business days after such notice,
		  shall be entitled to take any reasonable action to satisfy, defend, settle or
		  otherwise remove such Lien at Contractor’s expense. Client shall have the
		  right to deduct any such expenses from any payment due, or which may become
		  due, to Contractor. Contractor shall have the right to contest any such Lien
		  provided it first provides to Client a bond or other assurances of payment
		  reasonably satisfactory to Client in the amount of such Lien in form and
		  substance satisfactory to Client.

		 

		13.4 Notice
		  and Legal Defense. Except
		  to the extent expressly provided otherwise in this Agreement, promptly after
		  receipt by an indemnitee of any claim or notice of the commencement of any
		  action, administrative or legal proceeding, or investigation as to which any
		  indemnity provided for in Article 13
		  applies, the indemnitee shall notify the indemnitor of such fact. The
		  indemnitor shall assume on behalf of the indemnitee and conduct with due
		  diligence and in good faith the defense thereof with legal counsel reasonably
		  satisfactory to the indemnitee; provided, the indemnitee shall have the right
		  to be represented therein by advisory legal counsel of its own selection and at
		  its own expense.

		 

		13.5 Settlement
		  of Claims. An
		  indemnitee may elect to settle a claim against it, notwithstanding the
		  indemnitor’s willingness to assume the defense thereof, in which case the
		  indemnitee shall not be reimbursed for its costs and expenses (including, but
		  not limited to, the amount of the settlement agreement) in connection with any
		  settlement paid without the indemnitor’s prior consent. An indemnitor may
		  elect to settle any claims as to which it has assumed the defense; provided
		  that Contractor shall waive the aggregate liability caps set forth in
		  Section 9.3 prior
		  to agreeing to any such settlement which would cause Contractor’s
		  aggregate liability to be in excess of such liability caps.

		 

		ARTICLE
		  14

		 

		39

		 

		 

		   

		 

		Insurance

		 

		14.1 Not
		  Used.

		 

		14.2 Insurance
		  Obtained by Contractor.
		  Contractor shall, at its expense, obtain and maintain in effect for the period
		  beginning on the date that is ten (10) days after the hereof and for so long
		  after Project Completion that Contractor has any repair or warranty obligations
		  under this Agreement those insurance coverages specified in this Section 14.2. All
		  such insurance obtained by Contractor shall be in compliance with all sums,
		  deductibles, requirements and/or conditions specified in this Article 14.

		 

		14.2.1 Insurance
		  Firm Qualification.
		  Contractor, at its sole expense, shall procure or cause to be procured and
		  maintain in full force and effect for the period beginning on the Commencement
		  Date through the Warranty Period (or Extended Warranty Period, as applicable),
		  insurance policies with insurance companies authorized to transact business in
		  the jurisdiction in which the Project is located with (i) a Best Insurance
		  Reports rating of “A-” or better and a financial size category of
		  “X” or higher, (ii) or a Standard & Poor’s financial
		  strength rating of “A-” or higher, (iii) or other companies
		  acceptable to Client and Contractor, with limits and coverage as set forth
		  below. Said types of coverage and limits of liability may be satisfied by any
		  combination of primary or excess insurance as determined in Contractor’s
		  sole discretion.

		 

		14.2.2 Insurance
		  of Project. On or
		  before the Commencement Date, the Client shall procure property damage
		  (“Builder’s
		  Risk”)
		  insurance for the Project with limits, deductibles, terms and conditions in
		  accordance with industry practice, acceptable to its Lenders and the
		  Contractor. The insurance shall provided coverage for full replacement value on
		  an “all-risk” basis, except for the perils normally sub limited on an
		  aggregate basis including Flood, Earthquake and Pollution/Hazardous Material
		  Clean Up. The Builder’s Risk insurance shall include as additional
		  insureds the interest of Client, Financing Parties, Financing Parties’
		  agents, Contractor, design consultants, Subcontractors and suppliers of every
		  tier, and Contractor Indemnified Parties, each of whom is deemed to have an
		  insurable interest. Such insurance shall be written on a Builder’s Risk
		  “all-risk” or open peril or special causes of loss policy form that
		  shall at least include insurance for physical loss or damage to the Work,
		  temporary buildings, Work in transit including inland transit, and Work in
		  storage at the Facility Site or at another location acceptable to Client and
		  Contractor, and shall insure against at least the following perils: fire,
		  lightning, extended coverage, theft, vandalism and malicious mischief,
		  earthquake, collapse, debris removal, demolition occasioned by enforcement of
		  Applicable Laws, water damage, flood, and damage caused by frost and freezing.
		  Such insurance shall remain in effect until Client takes possession and control
		  of the Facility pursuant to Section 6.5.4 of the
		  Agreement. Contractor shall not be required to cover any loss over and above
		  the recoverable insurance, unless loss is caused by the Contractors gross
		  negligence. 

		 

		(a) The
		  Builder’s Risk insurance shall (i) insure one hundred percent (100%) of
		  the value of the Project, and (ii) insure loss or damage from earth movement
		  and flood with a sub-limit of 25% of the value of the Project (subject to
		  availability on commercially reasonable terms and conditions). The Builders
		  Risk Policy shall also 

		 

		40

		 

		
 
		 

		respond
		  to Delay in Start Up insurance in an amount sufficient to meet the requirements
		  of Client’s Financing Party requirements.

		 

		(b) The
		  Builders Risk and Delay in Start Up policy shall also respond to transit,
		  boiler and machinery insurance that will include the interest of the Client,
		  Financing Parties, Financing Parties’ agents, Contractor, design
		  consultants, Subcontractors and suppliers of every tier, and Contractor
		  Indemnified Parties. In the event that any deductible, retention or
		  retrospective premium applies, Client shall be responsible for paying such
		  deductible, retention or retrospective premium, unless the loss was as a result
		  of the Contractors gross negligence in which case deductibles and underinsured
		  perils shall be the responsibility of the Contractor up to an amount of
		  $100,000. 

		 

		14.2.3 Cargo
		  Insurance. Should
		  any of the Work be shipped to the Facility Site by ocean going vessels or
		  aircraft, Client shall procure or may request the Contractor procure cargo
		  insurance insuring the Client and endorsing the Financing Parties, Financing
		  Parties’ agents, Contractor, Subcontractors and suppliers of every tier,
		  and Contractor Indemnified Parties, as Additional Insureds as their interests
		  may appear, on a “warehouse to warehouse” basis including land, air
		  and marine transit insuring “all risks” of loss or damage on a
		  replacement cost basis plus freight and insurance from the time the goods are
		  in the process of being loaded for transit until they are finally delivered to
		  the Facility Site including shipment deviation, delay, forced discharge,
		  re-shipment and transshipment. Such insurance shall (i) include coverage
		  for war, strikes, theft, pilferage, non-delivery, charges of general average
		  sacrifice or contribution, salvage expenses, temporary storage in route,
		  consolidation, repackaging, refused and returned shipments, debris removal,
		  (ii) contain a replacement by air extension clause, a 50/50 clause, a
		  difference in conditions for C.I.F. shipments, an errors and omissions clause,
		  an import duty clause, and a non vitiation clause, (iii) contain no
		  exclusion for inadequate packing, and (iv) insure for the replacement
		  value of the largest single shipment plus freight and insurance.

		 

		14.2.4 Commercial
		  General Liability Insurance.
		  Contractor, with Client, Financing Parties, and Client Indemnified Parties as
		  additional insureds, shall maintain Commercial General Liability insurance.
		  Said insurance shall be in an amount of fifteen million dollars ($15,000,000)
		  and shall cover Contractor’s legal liability to others for damage or death
		  or personal injury occurring before expiration of the Warranty Period described
		  in Section 10.1
		  in the
		  Agreement to any Person (including any employee of Client) or to any property
		  (other than property forming part of the Project) due to or arising out of the
		  performance of the Work at the Facility Site by Contractor or Sub-contractors.
		  Said insurance shall be on an occurrence form. Contractor’s primary
		  Commercial General Liability insurance policy(ies) shall be endorsed to provide
		  separate General Aggregate limits on a per project basis per ISO endorsement CG
		  25 03 or the equivalent. Said insurance will be endorsed or amended as to be
		  considered primary, and any other similar casualty insurance maintained by
		  Client is excess and not contributory with this insurance.

		 

		14.2.5 Professional
		  Errors and Omissions Insurance.
		  Contractor shall maintain Professional Errors and Omissions Insurance. Said
		  insurance shall be in an amount of two million dollars ($2,000,000) (and
		  Contractor shall require that its subcontractors have such 

		 

		41

		 

		 

		   

		 

		insurance
		  in an amount of five million dollars ($5,000,000)), and the coverage shall
		  remain in effect for at least 2 years following completion.

		 

		14.2.6 Sudden
		  and Accidental Pollution.
		  Contractor, with Client, Financing Parties, and Client Indemnified Parties as
		  additional insureds, shall maintain Sudden and Accidental Pollution insurance.
		  Said insurance shall be in an amount of five million dollars ($5,000,000).
		  

		 

		14.2.7 Excess
		  Third Party Insurance.
		  Contractor, with the Client, Financing Parties, Financing Parties’ Agents
		  and Indemnified Parties as additional insureds, shall insure in an amount of
		  ten million dollars ($10,000,000), such insurance being considered excess of
		  third party insurance required pursuant to Section 14.2.4,
		  against liability for damage or death or personal injury occurring before
		  expiration of the Warranty Period described in Section 10.1 in the
		  Agreement to any Person (including any employee of Client) or to any property
		  (other than property forming part of the Project) due to or arising out of the
		  performance of the Work by Contractor or Subcontractors.

		 

		14.2.8 Insurance
		  against Accident, etc., to Workmen.
		  Contractor shall insure and shall maintain Worker’s Compensation insurance
		  in accordance with Applicable Laws, and Employers’ Liability insurance
		  with coverage limits of one million dollars ($1,000,000) per accident, for all
		  actions, suits, claims, demands, costs, charges and expenses arising in
		  connection with the death of or injury to any person employed by
		  Contractor.

		 

		14.2.9 Automobile
		  Liability Insurance.
		  Contractor, with the Client Indemnified Parties as additional insureds, shall
		  maintain automobile liability insurance covering Contractor’s legal
		  liability for vehicles owned, hired, or non-owned utilized by Contractor in
		  connection with the Work. Such insurance shall have the limits required by
		  Applicable Laws in all relevant jurisdictions, but in any event not less than
		  one million dollars ($1,000,000) per occurrence and in the aggregate for bodily
		  injury (including death) and property damage where applicable (unless Client
		  shall agree that another limit may be obtained in a particular
		  jurisdiction).

		 

		14.2.10 General
		  Insurance Requirements.
		  Contractor shall furnish to Client and Client shall furnish to Contractor, by
		  such date as the Parties agree, certificates of insurance from each insurance
		  carrier showing that the above required insurance is in force, the amount of
		  the carrier’s liability thereunder, and further providing that the
		  insurance will not be canceled, not renewed or limits reduced by endorsement
		  until the expiration of at least thirty (30) days (to the extent obtainable
		  under commercially reasonable terms) (or ten (10) days in the case of
		  cancellation due to non-payment of premiums) after written notice of such
		  cancellation, non-renewal, or reduction in limits has been received by
		  Client.

		 

		14.2.11 Remedy
		  on Failure to Insure. If
		  Contractor shall fail to effect and keep in force the insurances for which it
		  is responsible, Client may, upon the expiration of at least thirty (30) days
		  after written notice of such failure has been received by Contractor, effect
		  and keep in force any such insurance, and pay such premiums as may be necessary
		  for that purpose, and from time to time deduct the amount so paid by Client
		  from any amounts due or which may become due to Contractor under the
		  Agreement.

		 

		42

		 

		 

		   

		 

		14.2.12 Waiver
		  of Subrogation. All
		  insurance policies provided by Contractor or Client pursuant to this Agreement
		  shall include a waiver of any right of subrogation of the insurers thereunder
		  of any right of the insurers to any set-off or counterclaim or any other
		  deduction, whether by attachment or otherwise, in respect of any liability of
		  any such person insured under any such policy. Contractor and Client shall
		  waive all rights and shall require their insurers to waive subrogation rights
		  against each other and their affiliates and subcontractors and the directors,
		  officers, partners, commissioners, officials, agents, subcontractors and
		  employees of each of them for damages covered by property insurance during and
		  after the completion of the Work.

		 

		14.2.13 Loss
		  Payee. Any
		  loss covered under Client’s Builder’s Risk insurance shall be
		  adjusted with Client and Contractor and made payable to both of them as
		  trustees for the insureds as their interests may appear, subject to any
		  applicable Financing clause. All insurance proceeds received as a result of any
		  loss will be placed in a separate account and distributed in accordance with
		  such agreement as the interested parties may reach. Any disagreement concerning
		  the distribution of any proceeds will be resolved in accordance with Article
		  20.

		 

		14.2.14 Subcontractor
		  Insurance.
		  Contractor shall require all those Subcontractors providing on site labor
		  directly to Contractor or the Project to obtain, maintain and keep in force
		  during the time in which they are involved in the performance of the Work on
		  site primary third party liability insurance, automobile liability insurance
		  and workers’ compensation and employers’ liability insurance
		  coverages. Contractor shall require limits of insurance to be maintained by
		  such Subcontractors which Contractor deems, in its sole discretion, to be
		  adequate and/or appropriate in connection with the performances of Work to be
		  provided by such Subcontractor. Contractor shall require material
		  subcontractors to add Contractor, Client and Financing Parties as Additional
		  Insureds where contractually able.

		 

		ARTICLE
		  15

		 

		Termination

		 

		15.1 Termination
		  for Client’s Convenience. Client
		  may for its convenience and without cause terminate all remaining Work at any
		  time by delivering notice to Contractor specifying the effective date of
		  termination. Immediately upon receipt of such notice, Contractor shall stop
		  performance of the Work, immediately order and commence preservation or
		  protection of the Work as instructed and demobilization with regard to the
		  Work, assign all title to all Work not already owned, all Subcontracts as
		  designated by Client and all applicable Governmental Approvals to Client,
		  terminate all other Subcontracts, and remove from the Facility Site all tools,
		  Contractor’s Equipment and rubbish. In the event of termination by Client
		  under this Section 15.1,
		  Client
		  shall pay to Contractor such amount as is required pursuant to Section 4.4 and
		  such amount shall constitute Contractor’s sole remedy on account of such
		  termination.

		 

		15.1.1 Client’s
		  Right to Suspend Performance of the Work. Client
		  may elect to suspend performance of all of the Work upon such prior notice as
		  circumstances permit, indicating (a) the portion of the Work the
		  performance of which Client has elected to suspend; 

		 

		43

		 

		 

		   

		 

		(b) Client’s
		  estimate of the duration of such suspension; and (c) the effective date of
		  such suspension of the Work. Upon the effective date of such notice, Contractor
		  shall stop performance of the Work that Client has elected to suspend and
		  preserve or protect such Work as instructed and shall continue to complete
		  performance of the balance of the Work. In the event of a suspension of the
		  Work pursuant to this Section 15.1.1, Client
		  will authorize a Scope Change Order making equitable adjustments to one or more
		  of the Contract Price, the Guaranteed Completion Dates, the Payment Schedule,
		  the Project Schedule, or the Project Guarantees. This Section 15.1.1 shall
		  not apply to any suspension of all or any part of the Work requested or
		  directed by Client as a result of Contractor’s or any Subcontractor’s
		  failure to comply with the Agreement. In the event suspension in the aggregate
		  exceeds one hundred eighty (180) days, either Party may terminate this
		  Agreement and such termination shall be deemed a termination for Client’s
		  convenience under Section 15.1. Any
		  costs to preserve or protect the Work, standby costs, and
		  demobilization/remobilization costs incurred by Contractor resulting from a
		  suspension of Work under this Section 15.1.1 shall
		  be reimbursed to Contractor monthly as such costs are incurred.

		 

		15.2 Termination
		  upon Client’s Default. If
		  Client fails to pay to Contractor any payment as required to be made under this
		  Agreement and such failure continues uncured for fifteen (15) days after notice
		  thereof has been given to Client by Contractor, then, upon the giving of prior
		  written notice by the Contractor, Contractor may suspend its performance of the
		  Work (such suspension to be deemed a suspension under Section 15.1.1). Contractor
		  may thereafter elect to terminate this Agreement if such failure continues for
		  thirty (30) days after such prior written notice to Client. In the event of
		  such a termination by Contractor, Client shall pay to Contractor such amount as
		  is required pursuant to Section 4.4. Client
		  shall not be deemed to be in breach of this Agreement, nor shall Contractor be
		  entitled to terminate this Agreement, by reason of the withholding of any
		  payment which is the subject of a bona fide Dispute. 

		 

		(a) In the
		  event (i) Client is adjudged bankrupt or insolvent, or (ii) Client
		  makes a general assignment for the benefit of its creditors, or (iii) a
		  trustee or receiver is appointed for Client or for any of its property, or
		  (iv) Client files a petition to take advantage of any debtor’s act,
		  or to reorganize under the bankruptcy or similar laws, Contractor may at its
		  option, without prejudice to any other right or remedy Contractor may have
		  under this Agreement, at any time terminate this Agreement immediately upon
		  written notice to Client.

		 

		(b) In the
		  event (i) Client abandons the Project or ceases or suspends performance of
		  all or a material portion of the Work (other than as provided in Section 15.1
		  or
		  pursuant to a Scope Change Order), or (ii) any of Client’s
		  representations and warranties set forth in Section 23.1 are
		  untrue in any material respect, or (iii) Client commits any other material
		  breach of any of the terms of the Agreement, and in each of (i) through (iii),
		  such condition remains un-remedied for thirty (30) days after written notice
		  thereof by Contractor (or for such longer period, not to exceed forty-five (45)
		  days, during which Client diligently pursues the cure of such condition, if
		  such condition is susceptible to cure), Contractor may at its option, without
		  prejudice to any other right or remedy Contractor may have under this
		  Agreement, at any time terminate this Agreement immediately upon written notice
		  to Client. Notwithstanding the foregoing, Contractor may terminate this
		  Agreement upon thirty (30) days’ notice to Client if Client disregards
		  

		 

		44

		 

		
 
		 

		any
		  material provision of any Applicable Law, provided any such failure is not
		  remedied within such thirty (30) day period.

		 

		15.3 Termination
		  upon Contractor’s Default.

		 

		(a) In the
		  event (i) Contractor or Guarantor (if any) is adjudged bankrupt or
		  insolvent, or (ii) Contractor or Guarantor (if any) makes a general
		  assignment for the benefit of its creditors, or (iii) a trustee or
		  receiver is appointed for Contractor or Guarantor (if any) or for any of their
		  property, or (iv) Contractor or Guarantor (if any) files a petition to
		  take advantage of any debtor’s act, or to reorganize under the bankruptcy
		  or similar laws, Client may at its option, without prejudice to any other right
		  or remedy Client may have under the Agreement, at any time terminate the
		  Agreement immediately upon written notice to Contractor and Guarantor (if
		  any).

		 

		(b) In the
		  event (i) Contractor fails to supply sufficient skilled workers or
		  suitable materials or equipment, or (ii) Contractor fails to make prompt
		  payments when due to Subcontractors or for labor, materials or equipment, or
		  (iii) Contractor abandons the Project or ceases or suspends performance of
		  all or a material portion of the Work (other than as provided in Section 15.1
		  or
		  pursuant to a Scope Change Order), or (iv) any of Contractor’s
		  representations and warranties set forth in Section 23.1 is
		  untrue in any material respect, or (v) Contractor commits any other
		  material breach of any of the terms of the Agreement, or (vi) any
		  Performance Security is terminated or ceases to be valid and enforceable or
		  there is a default thereunder, or (vii) Contractor fails to achieve
		  Substantial Completion by the Guaranteed Project Completion Date, or
		  (viii) Contractor fails to maintain the insurance as required hereunder,
		  in each of (vi), (vii), or (viii), Client may at its option, without prejudice
		  to any other right or remedy Client may have under the Agreement, at any time
		  terminate the Agreement immediately upon written notice to Contractor, and in
		  each case of (i) through (v), such condition remains un-remedied for thirty
		  (30) days after written notice thereof by Client (or for such longer period,
		  not to exceed forty-five (45) days, during which Contractor diligently pursues
		  the cure of such condition, if such condition is susceptible to cure), Client
		  may at its option, without prejudice to any other right or remedy Client may
		  have under the Agreement, at any time terminate the Agreement immediately upon
		  written notice to Contractor. Notwithstanding the foregoing, Client may
		  terminate the Agreement upon thirty (30) days’ notice to Contractor if
		  Contractor disregards any material provision of any Applicable Law, provided
		  any such failure is not remedied within such thirty (30) day
		  period.

		 

		(c) In the
		  event that a Parent Guarantee is provided in accordance with Section
		  4.5 and (i)
		  Guarantor takes any action that results in the termination of the Parent
		  Guarantee prior to the date on which Contractor has no further obligations to
		  Client under the Agreement or (ii) Guarantor fails to perform any duty,
		  obligation, warranty, or responsibility imposed upon Guarantor under the Parent
		  Guarantee or this Agreement, Client may at its option, without prejudice to any
		  other right or remedy Client may have under the Agreement, at any time
		  terminate this Agreement immediately upon written notice to
		  Contractor.

		 

		45

		 

		 

		   

		 

		15.4 Consequences
		  of Termination. Upon
		  any termination pursuant to Section 15.3,
		  Client
		  may at its option elect to (a) take possession of the Project and any or
		  all Work, materials or equipment located at the Facility Site and intended to
		  be incorporated into the Facility and all drawings, design and related
		  documents (wherever located), and (b) subject to the third sentence of
		  this Section 15.4,
		  succeed automatically, without the necessity of any further action by
		  Contractor, to the interests of Contractor in any or all Subcontracts entered
		  into by Contractor with respect to the Project provided Contractor shall retain
		  all of its rights against such Subcontractors for any claims of Client for
		  which Contractor is responsible, and Client shall be required to compensate
		  such Subcontractors only for compensation becoming due and payable to such
		  parties under the terms of their Subcontracts with Contractor from and after
		  the date Client elects to succeed to the interests of Contractor in such
		  Subcontracts. All sums claimed by such Subcontractors to be due and owing for
		  Work performed prior to such date shall constitute debts between Contractor and
		  the affected Subcontractors, and Client shall in no way be liable for such
		  sums; provided, however, that Client may, at its election, pay any sums owed to
		  such Subcontractors and Contractor shall reimburse Client for such sums upon
		  demand. In the event of any termination of this Agreement pursuant to
		  Section 15.3,
		  Client
		  may, without prejudice to any other right or remedy it may have, at its option,
		  finish the Work by whatever method Client may deem expedient (subject to
		  Client’s legal obligation to mitigate its costs). To the extent the costs
		  of completing the Work after a termination pursuant to Section 15.3,
		  including compensation for additional professional services, exceed those
		  amounts that would have been payable to Contractor under the Agreement to
		  complete the Work if the Agreement had been fully performed, Contractor shall
		  pay the difference to Client upon demand. In addition, except for those
		  remedies specified elsewhere in this Agreement as being exclusive, Client shall
		  be entitled to exercise any rights or remedies available to Client under this
		  Agreement.

		 

		15.5 Surviving
		  Obligations.
		  Termination of this Agreement (a) shall not relieve Contractor or Client
		  of their obligations with respect to confidentiality as set forth in
		  Article 18,
		  and
		  (b) shall not relieve Contractor or Client of any obligation under this
		  Agreement which expressly survives termination of this Agreement, and
		  (c) except as otherwise provided in any provision of this Agreement
		  expressly limiting the liability of either Party, shall not relieve either
		  Party of any obligations or liabilities for loss or damage to the other Party
		  arising out of or caused by acts or omissions of such Party prior to the
		  effectiveness of such termination or arising out of such termination, and
		  (d) shall not relieve Contractor of its obligations as to portions of the
		  Work already performed or of obligations assumed by Contractor prior to the
		  date of termination, except as otherwise agreed by Client in
		  writing.

		 

		ARTICLE
		  16

		 

		Assignments 

		 

		16.1 Consent
		  Required. It is
		  expressly understood and agreed that this Agreement is personal to Contractor
		  and Client, and that Contractor and Client shall have no right, power or
		  authority to assign or delegate any of their respective rights or obligations
		  under this Agreement or any portion thereof, either voluntarily or
		  involuntarily, or by operation of law. Any attempted assignment without the
		  prior written consent of the other Party shall be void. Notwithstanding the
		  foregoing, Client may assign its rights and obligations hereunder as collateral
		  security in connection with obtaining financing for the Project.

		 

		46

		 

		 

		   

		 

		16.2 Contractor’s
		  Right to Assign to Affiliates.
		  Contractor may, subject to the prior written approval of the Client, assign any
		  or all of its rights and delegate any or all of its obligations under this
		  Agreement to any affiliated entity of Contractor provided such affiliated
		  entity agrees to assume all of Contractor’s obligations under the
		  Agreement and cure any defaults at the time such assignment is
		  accepted.

		 

		16.3 Successors
		  and Assigns. All of
		  the rights, benefits, duties, liabilities and obligations of the Parties shall
		  inure to the benefit of and be binding upon their respective successors and
		  permitted assigns.

		 

		ARTICLE
		  17

		 

		Design
		  Documents

		 

		17.1 Client
		  Review.
		  Contractor shall submit to Client for its review and comment each Design
		  Document designated for Client’s review as set forth in Appendix A. Client
		  shall have the right to review each such Design Document and to provide its
		  written comments on any material aspect of such document, if any, as soon as
		  reasonably possible but in no event later than ten (10) calendar days after
		  receipt thereof. Contractor shall diligently amend such Design Documents or
		  otherwise respond to Client’s comments and resubmit such Design Documents
		  for Client’s review and such review cycle shall be repeated until each
		  Party is reasonably satisfied. Contractor
		  shall have no obligation to accept recommended changes provided that Contractor
		  is acting in a manner consistent with the Scope.

		 

		17.2 Review
		  Not Release of Obligations. Review
		  and comment by Client, its Representative or its designees with respect to any
		  Design Documents or other information pursuant to Section 17.1
		  shall
		  not relieve or release Contractor from any of its duties, obligations or
		  liabilities under the Agreement.

		 

		17.3 Final
		  Documents. Other
		  than to the extent previously delivered pursuant to Sections 6.5.1(e) or
		  6.6.1(d), within
		  sixty (60) days after Project Completion occurs, Contractor shall furnish
		  Client with “Conformed to Construction Record” Design Documents
		  listed in Appendix A
		  reflecting the Facility as actually constructed.

		 

		17.4 Ownership. All
		  designs, drawings, specifications, documents, models, photographs (including
		  negatives) electronic data and other work products of the Contractor, including
		  those prepared by the Contractor’s consultants and subcontractors, are
		  instruments of service for this Project, whether or not the Project is
		  completed, and are the property of the Contractor (or its respective
		  consultants and subcontractors, as the case may be) along with all copyrights
		  therein. The Contractor, however, grants, or shall cause to be granted, to
		  Client an irrevocable, perpetual and royalty free license (assignable only to
		  Client’s successors in, and permitted assigns of, title to the Project) to
		  retain, use, and modify the drawings, documents and other data prepared in
		  performing the Work for any purpose in connection with the operation,
		  maintenance and alteration of the Project. The Contractor shall make all
		  necessary arrangements in any contracts it has with the Contractor’s
		  consultants and subcontractors or others to provide for such rights of the
		  Client. Reuse by the Client of any of such instruments of service on extensions
		  of this Project or on any other project without the written permission of the
		  Contractor shall be at the 

		 

		47

		 

		 

		   

		 

		Client’s
		  sole risk and without liability or legal expense to the Contractor. Client
		  shall enter into a license agreement in the form of Appendix D
		  to this
		  Agreement with Delta-T Corporation (the “Delta-T
		  License Agreement”)
		  and which shall govern the supply and use of certain designs provided to
		  Client.

		 

		Notwithstanding
		  any provision to the contrary contained in the Contract Documents, Client
		  acknowledges that title to, ownership of, and Client’s right to use of the
		  Delta-T Technology shall be as set forth and agreed to in the Delta-T License
		  Agreement and that no license or rights of any kind otherwise granted by the
		  Contract Documents shall apply to any of the Delta-T Technology.

		 

		ARTICLE
		  18

		 

		Confidential
		  Information

		 

		18.1 Confidentiality. Each
		  Party agrees to hold in confidence for a period commencing with the date hereof
		  and ending three (3) years following the date of Project Completion any
		  information supplied to it by the other Party and designated in writing as
		  confidential. The provisions of this Article 18 shall
		  not apply to information within any one of the following categories:
		  (i) information which was in the public domain prior to a Party’s
		  receipt thereof or which subsequently becomes part of the public domain by
		  publication or otherwise except by the receiving Party’s wrongful act;
		  (ii) information which the receiving Party can show was in the receiving
		  Party’s possession prior to its receipt thereof through no breach of any
		  confidentiality obligation; or (iii) information received by a Party from
		  a third party which did not have a confidentiality obligation with respect
		  thereto. The Parties acknowledge and agree that confidential information is
		  valuable and unique and that disclosure by a receiving party in breach of this
		  Agreement may result in irreparable injury to the disclosing party. The Parties
		  further acknowledge and agree that in the event of a breach or a threatened
		  breach of this Article 18,
		  the
		  party not breaching or threatening a breach shall be entitled to seek an
		  injunction prohibiting any such breach and whatever remedies are available at
		  law or in equity. Other than as may be required by a Governmental Authority,
		  and then only to the extent required, neither Party shall publish the terms and
		  conditions of this Agreement or Project technical information, unless the other
		  Party provides its express prior written consent. Client shall be permitted to
		  disclose such terms and provisions to the Financing Parties and prospective
		  Financing Parties or other parties in connection with efforts to obtain
		  financing for the Project upon execution by such Parties of a confidentiality
		  agreement in a form reasonable acceptable to Contractor. No Person shall be
		  permitted access to the Facility or the Facility Site, except as provided in
		  the Agreement or as otherwise agreed by the Parties.

		 

		ARTICLE
		  19

		 

		Differing
		  Site Conditions 

		 

		19.1 Differing
		  Site Conditions. If,
		  during performance of the Work, Contractor encounters conditions which are (1)
		  subsurface or otherwise concealed physical conditions which differ materially
		  from those indicated in the geotechnical investigation report dated March 24,
		  2006 provided to Client by Contractor; or (2) unknown physical conditions of an
		  unusual or 

		 

		48

		 

		 

		   

		 

		undetectable
		  nature, which differ materially from those ordinarily found to exist and
		  generally recognized as inherent in construction activities of the character
		  provided for in this Agreement, then notice by the observing Party shall be
		  given to the other Party promptly before conditions are disturbed and if such
		  conditions cause an increase in the cost of and/or time required for
		  performance of the Work, a Scope Change shall be issued by the Client to adjust
		  the Contract Price and/or Project Schedule (including, without limitation, the
		  Guaranteed Completion Dates).

		 

		ARTICLE
		  20

		 

		Dispute
		  Resolution

		 

		20.1 Applicability
		  of Resolution Procedures. Except
		  for matters requiring immediate injunctive relief, all claims, disputes or
		  other matters in question between the Parties arising out of or relating in any
		  way to this Agreement (“Disputes”)
		  will be resolved pursuant to this Article 20.

		 

		20.2 Management
		  Discussions. The
		  Parties agree to make a diligent, good faith attempt to resolve all Disputes.
		  If the Authorized Representatives of the Parties are unable to resolve a
		  Dispute arising under this Agreement within ten (10) calendar days after notice
		  from one Party to the other, such Dispute will be submitted promptly to the
		  senior executive officers of the Parties, who will meet, in person or by
		  telephone, not later than ten (10) calendar days after the date such Dispute
		  was submitted to them. In the event that the officers cannot resolve the
		  Dispute within five (5) business days after the matter is submitted to them,
		  then, unless otherwise agreed, either Party may by written notice to the other
		  Party refer such Dispute to arbitration under Section 20.3.

		 

		20.3 Arbitration.
		  Provided that the Parties have been unable to resolve a Dispute pursuant to the
		  procedures set forth in Section 20.2, then
		  either Party, in its sole discretion, may invoke binding arbitration by the
		  American Arbitration Association for arbitration in Denver, Colorado, in
		  accordance with the Construction Industry Arbitration Rules then in effect;
		  provided that failure to invoke arbitration shall not be a waiver of any such
		  Dispute except as otherwise provided in this Agreement. If the aggregate amount
		  of the Dispute(s) is less than $1,000,000, then the Parties shall mutually
		  agree on one (1) arbitrator. If the Parties cannot agree on one (1) arbitrator
		  or if the aggregate amount of the Dispute(s) is equal to or greater than
		  $1,000,000, then there shall be three (3) arbitrators, with each Party
		  selecting one; the third arbitrator, who shall be the chairman of the panel,
		  shall be selected by the two (2) party-appointed arbitrators. The American
		  Arbitration Association shall be empowered to appoint any arbitrator not named
		  in accordance with the procedure set forth herein. The one (1) arbitrator shall
		  or the three (3) arbitrators shall by majority vote resolve any Dispute as
		  promptly as practicable. The arbitrators’ decision shall be in writing,
		  but shall be as brief as possible. The arbitrators shall not assign the reasons
		  for their decision. The decision of the arbitrators shall be final and binding
		  upon the Parties without the right of appeal to the courts. Each Party shall
		  bear their own costs in such Dispute resolution, including without limitation,
		  reasonable attorneys fees.

		 

		20.4 Obligations
		  Continue.
		  Notwithstanding the existence of a Dispute, the Parties will continue to
		  perform their respective obligations under this Agreement unless the Parties
		  

		 

		49

		 

		 

		   

		 

		otherwise
		  mutually agree in writing; provided, that Contractor is being paid in
		  accordance with this Agreement (other than with respect to any amount in
		  Dispute).

		 

		ARTICLE
		  21

		 

		[Intentionally
		  Left Blank]

		 

		ARTICLE
		  22

		 

		Independent
		  Contractor

		 

		22.1 Contractor
		  as Independent Contractor.
		  Contractor shall be an independent contractor with respect to the Project, each
		  part thereof, and the Work, and neither Contractor nor its Subcontractors nor
		  the employees of either shall be deemed to be agents, representatives,
		  employees or servants of Client in the performance of the Work, or any part
		  thereof, or in any manner dealt with in this Agreement. Client shall not have
		  the right to control nor any actual, potential or other control over the
		  methods and means by which Contractor or any of its agents, representatives,
		  Subcontractors or employees conducts its independent business
		  operations.

		 

		ARTICLE
		  23

		 

		Representations

		 

		23.1 Representations. Each
		  Party represents and warrants to the other Party that:

		 

		23.1.1 Organization
		  and qualification. It is
		  a corporation or a limited liability company, as applicable, duly organized,
		  validly existing and in good standing under the laws of the State of its
		  incorporation, has the lawful power to engage in the business it presently
		  conducts and contemplates conducting, and is duly licensed or qualified and in
		  good standing as a foreign corporation or company, as applicable, in each
		  jurisdiction wherein the nature of the business transacted by it, including in
		  case of Contractor performance of the Work, makes such licensing or
		  qualification necessary.

		 

		23.1.2 Power
		  and Authority. It has
		  the power to make and carry out this Agreement and to perform its obligations
		  under this Agreement and all such actions have been duly authorized by all
		  necessary corporate or company, as applicable, proceedings on its
		  part.

		 

		23.1.3 No
		  Conflict. The
		  execution, delivery and performance of this Agreement will not conflict with,
		  result in the breach of, constitute a default under or accelerate performance
		  required by any of the terms of its certificate of incorporation or by-laws or
		  other applicable organizational documents or any Applicable Laws or any
		  covenant, agreement, understanding, decree or order to which it is a party or
		  by which it or any of its properties or assets is bound or
		  affected.

		 

		23.1.4 Validity
		  and Binding Effect. This
		  Agreement has been duly and validly executed and delivered by such Party. This
		  Agreement constitutes a legal, valid and binding obligation of such Party,
		  enforceable in accordance with its terms, except to the extent that its
		  

		 

		50

		 

		 

		   

		 

		enforceability
		  may be limited by bankruptcy, insolvency, reorganization, moratorium or other
		  similar laws affecting the rights of creditors generally or by general
		  principles of equity. No material authorization, approval, exemption or consent
		  by any governmental or public body or authority (other than the Client Permits
		  and Contractor Permits as such Party’s responsibilities) is required to be
		  obtained by such Party in connection with the authorization, execution,
		  delivery and carrying out of the terms of this Agreement.

		 

		23.1.5 Litigation. There
		  are no actions, suits, proceedings or investigations pending or, to its
		  knowledge, threatened against it at law or in equity before any court or before
		  any governmental department, commission, board, agency or instrumentality or
		  any arbitration panel whether or not covered by insurance which individually or
		  collectively may result in any materially adverse effect on its business,
		  properties or assets or its condition, financial or otherwise, or in any
		  impairment of its ability to perform its obligations under this Agreement. Such
		  Party has no knowledge of any violation or default with respect to any order,
		  writ, injunction or any decree of any court or any governmental department,
		  commission, board, agency or instrumentality or any arbitration panel which may
		  result in any such materially adverse effect or such impairment.

		 

		23.1.6 Compliance
		  with Laws. Such
		  Party has complied with Applicable Laws such that it has not been subject to
		  any fines, penalties, injunctive relief or criminal liabilities which in the
		  aggregate have materially affected or may materially affect its business
		  operations or financial condition or its ability to comply with the terms of
		  this Agreement.

		 

		23.1.7 Disclosure. No
		  representation or warranty by such Party contained in the Agreement contains or
		  will contain any untrue statement of material fact or omits or will omit to
		  state a material fact necessary to make such representation or warranty not
		  misleading in light of the circumstances under which it was made.

		 

		ARTICLE
		  24

		 

		Miscellaneous

		 

		24.1 Past
		  Due Amounts. Any
		  amount owed to either Party under this Agreement which is not paid by the owing
		  Party when due under this Agreement shall accrue interest each day such amount
		  is not paid commencing on the due date and continuing until paid at the lesser
		  of (a) an annual rate equal to six (6) percentage points above the rate
		  quoted from time to time by the Wall Street Journal, U.S. edition, as the prime
		  rate, or (b) the maximum rate permitted by Applicable Laws.

		 

		24.2 Delay
		  not Waiver. It is
		  understood and agreed that any delay, waiver or omission by Client or
		  Contractor to exercise any right or power arising from any breach or default by
		  Contractor or Client in any of the terms, provisions or covenants of the
		  Agreement shall not be construed to be a waiver by Client or Contractor of any
		  subsequent breach or default of the same or other terms,
		  provisions or covenants on the part of Contractor or Client.

		 

		24.3 Choice
		  of Law.
		  Governing law is the law of the State of Minnesota, excluding its choice of law
		  rules.

		 

		51

		 

		 

		   

		 

		 

		24.4 Severability. In the
		  event that any of the provisions, or portions or applications thereof, of this
		  Agreement are held to be unenforceable or invalid by any court of competent
		  jurisdiction, Client and Contractor shall negotiate an equitable adjustment in
		  the provisions of this Agreement with a view toward effecting the purpose of
		  this Agreement, and the validity and enforceability of the remaining
		  provisions, or portions or applications thereof, shall not be affected
		  thereby.

		 

		24.5 Notice. Any
		  notice required or permitted to be given by Client to Contractor relating to
		  the Agreement shall be in writing and shall be addressed to:

		 

		TIC – The
		  Industrial Company Wyoming, Inc.

		1474
		  Willer Drive

		Casper,
		  WY 82604

		Attention:
		  Legal Counsel

		

		With a
		  copy to:

		

		TIC -
		  The Industrial Company

		2211 Elk
		  River Rd.

		Steamboat
		  Springs, Colorado 80477

		Attention:
		  General Counsel

		

		and any
		  notice required or permitted to be given by Contractor to Client relating to
		  the Agreement shall be in writing and shall be addressed to:

		 

		Bio Fuel
		  Energy, LLC

		337
		  McLaws Circle, Suite Two

		Williamsburg,
		  VA 23185

		Attention:
		  Dan Simon

		

		With a
		  copy to:

		

		Chadbourne
		  and Parke LLP

		1100
		  Louisiana Street, Suite, 3500

		Houston,
		  TX 77002

		Attention:
		  Todd E. Alexander

		

		24.5.1 Delivery. All
		  notices and other communications required or permitted by this Agreement to be
		  given to a Party by the other Party shall be in writing signed by the Party
		  giving such notice and shall be deemed duly served, given and received
		  (i) when actually received by the Party to whom it is sent, if served
		  personally or if delivered by telegram or courier service to the Party to whom
		  notice is to be given, (ii) on the first (1st) day
		  following the day transmitted (with confirmation of receipt) if delivered by
		  telex or facsimile, or (iii) on the third (3rd)
		  business day after mailing, if mailed by first class registered or certified
		  mail, return receipt requested, postage prepaid, addressed to the appropriate
		  Party, at the address and/or facsimile numbers of such Party set forth above
		  (or such other address as such Party may designated by written notice to the
		  other Party in accordance with this section).

		 

		52

		 

		 

		   

		 

		24.6 Section
		  Headings. The
		  Article and Section headings in the Agreement have been inserted for
		  convenience of reference only and shall not in any manner affect the
		  construction, meaning or effect of anything contained in the Agreement nor
		  govern the rights and liabilities of the Parties.

		 

		24.7 Amendments. No
		  amendments or modifications of the Agreement shall be valid unless in writing
		  and signed by a duly authorized representative of each Party.

		 

		24.8 Not
		  Used.

		 

		24.9 No
		  Third Party Rights. The
		  Agreement and all rights under the Agreement are intended for the sole benefit
		  of the Parties and, to the extent expressly provided, for the benefit of the
		  Financing Parties and the other Indemnified Parties, and shall not imply or
		  create any rights on the part of, or obligations to, any other Person except
		  as, and then only to the extent, expressly provided elsewhere in this
		  Agreement.

		 

		24.10 Survival
		  of Provisions. All
		  provisions of this Agreement, including Articles 9,
		  10, 13, 18 and
		  20 and
		  Sections 1.2(b),
		  15.5,
		  17.4, and
		  23.1, which
		  are expressly or by implication to come into or continue in force and effect
		  after the expiration or termination of this Agreement shall remain in effect
		  and be enforceable following such expiration or termination.

		 

		24.11 Title
		  to the Project. Title
		  to all materials, supplies, equipment and machinery supplied by Contractor in
		  connection with the Agreement and which become a permanent part of the Project
		  shall vest in the Client upon the earlier of payment therefore by Client to
		  Contractor or delivery of such items to the Facility Site. Title to
		  Contractor’s Equipment shall remain with Contractor at all
		  times.

		 

		24.12 Counterparts. This
		  Agreement may be executed in any number of counterparts, including by
		  facsimile, each of which will be deemed an original but all of which together
		  shall constitute one and the same instrument.

		 

		24.13 Entire
		  Agreement. This
		  Agreement contains the entire agreement between the Parties with respect to the
		  Work, and merges and supersedes all prior and contemporaneous agreements,
		  commitments, representations, writings and discussions between
		  them.

		 

		53

		 

		 

		   

		

		IN
		  WITNESS WHEREOF, the Parties, intending to be legally bound, have caused this
		  Agreement to be executed by their duly authorized officers as of the date
		  indicated below and to be effective as of the day and year first above
		  written.

		 

		

		  
			 	
					 Client:

					 Buffalo
						Lake Energy, LLC
 	 	
					 Contractor:

					 TIC
						– The
						Industrial Company

					 Wyoming,
						Inc.
 
	 	 	 
	
					  By:

					 	  /s/
					 Daniel J. Simon	 	
					  By:

					 	  /s/
					 Donald S. Brust
	
					  Name:

					 	 Daniel
					 J. Simon	 	
					  Name:

					 	  Donald
					 S. Brust
	
					  Title:

					 	 COO	 	
					  Title:

					 	  Vice
					 President
	
					  Date:

					 	  June
					 9, 2006	 	
					  Date:

					 	  June
					 9, 2006Exhibit 10.15
	 

	 
		EXECUTION COPY
	 

	 
		MASTER AGREEMENT
	 

	 
		This Master Agreement (the “Master
		Agreement”) is made effective this 25th day of September, 2006
		(the “Effective Date”) by and among Cargill, Incorporated, a Delaware
		corporation (“Cargill, Incorporated”), Cargill Commodity Services,
		Inc., a Delaware corporation (“CCSI”) (Cargill, Incorporated and CCSI
		are referred to collectively as “Cargill”), and Buffalo Lake Energy,
		LLC, a Delaware limited liability company (“Producer”), collectively
		referred to hereinafter as “Parties” or individually as a
		“Party.”
	 

	 
		RECITALS
	 

	 
		1. Producer intends to construct, own and
		operate a commercial ethanol facility at Fairmont, Minnesota, that will produce
		denatured fuel-grade ethanol (“Ethanol Facility”), which Ethanol
		Facility is anticipated to produce approximately 115 million gallons per
		year of denatured fuel grade ethanol.
	 

	 
		2. Producer and Cargill have executed that
		certain Grain Facility Lease under which Producer will lease from Cargill the
		Grain Facility for the purpose of receiving, storing and handling Corn (as
		defined in the Corn Supply Agreement).
	 

	 
		3. Producer desires and intends to procure
		certain goods and services from Cargill in connection with its ownership and
		operation of the Ethanol Facility.
	 

	 
		4. Cargill agrees to provide Producer with
		such goods and services, in accordance with the terms and conditions of this
		Master Agreement and certain Goods and Services Agreements.
	 

	 
		5. In consideration of the foregoing, the
		mutual promises herein contained and other good and valuable consideration, the
		receipt and sufficiency of which is hereby acknowledged, the Parties agree as
		follows.
	 

	 
		AGREEMENT
	 

	 
		1. Ancillary Agreements. 
	 

	 
		(a) The Parties have entered into or will
		enter into the following ancillary agreements (the “Goods and Services
		Agreements”): 
	 

	 
			
				
				   
				

			 	
				
				  (A)
				

			 	
				
				  Ethanol Marketing Agreement (the
				  “Ethanol Agreement”);
				

			 

 

	 
			
				
				   
				

			 	
				
				  (B)
				

			 	
				
				  Corn Supply Agreement (the
				  “Corn Supply Agreement”);
				

			 

 

	 
			
				
				   
				

			 	
				
				  (C)
				

			 	
				
				  Corn Futures Advisory Agreement (the
				  “Corn Advisory Agreement”);
				

			 

 

	 
			
				
				   
				

			 	
				
				  (D)
				

			 	
				
				  Distillers Grains Marketing
				  Agreement (the “DG Agreement”);
				

			 

 

	 
			
				
				   
				

			 	
				
				  (E)
				

			 	
				
				  NAESB Base Agreement for the
				  Purchase and Supply of Natural Gas (the “NAESB Agreement”);
				

			 

 

	 
		 
	 

	 
		 
	 

	 
 

	 
			
				
				   
				

			 	
				
				  (F)
				

			 	
				
				  Gas Supply Representation and
				  Management Agreement (the “Gas Supply Agreement”); and 
				

			 

 

	 
			
				
				   
				

			 	
				
				  (G)
				

			 	
				
				  Risk Management Advisory Agreement
				  (the “Risk Advisory Agreement”). 
				

			 

 

	 
		(b) Confidentiality Agreement. The Parties have also entered into that certain
		Confidentiality Agreement, in substantially the form of Exhibit A, of even date
		herewith.
	 

	 
		(c) Exclusivity.
		Goods and services to be provided under the Goods and Services Agreements shall
		be referred to hereinafter as “Goods” or “Services.” The
		Parties agree that Cargill shall have the exclusive right to provide Goods and
		Services at the Ethanol Facility, including any expansion or increase in
		capacity at the Ethanol Facility, subject to the terms and conditions of the
		Goods and Services Agreements. The Parties further acknowledge and agree that
		CCSI is the sole and exclusive service provider under the Corn Advisory
		Agreement and the Risk Advisory Agreement.
	 

	 
		(d) Additional Ethanol Facilities. The Parties agree that Cargill will have a right of
		first negotiation (but not the obligation) to provide the aggregate commercial
		arrangements similar to the Goods and Services provided in connection with the
		Ethanol Facility to any subsequently constructed ethanol plant owned or
		operated by Producer or any Affiliate of Producer. 
	 

	 
		(e) Term of Master Agreement. This Master Agreement shall become effective on the
		date hereof and shall remain in effect for so long as any of the Goods and
		Services Agreements remains in effect.
	 

	 
		2. Termination.
		
	 

	 
		Cargill may terminate this Master Agreement,
		together with all (but not less than all) the Goods and Services Agreements, if
		Producer fails to cause the Provisional Acceptance date, as defined in the EPC
		Contract, to occur on or before December 31, 2009. If an Event of Default
		occurs under any Principal Document, then the non-defaulting Party may, upon
		written notice to the defaulting Party, terminate only such Principal Document
		under which such Event of Default occurred. Termination under any Goods and
		Services Agreement other than a Principal Document shall be governed by the
		terms and conditions set forth in the applicable Goods and Services Agreement.
		
	 

	 
		3. Force Majeure.
		
	 

	 
		(a) Each Party shall be excused from a
		failure to perform or a delay in performance under each of the Goods and
		Services Agreements (other than its payment obligations for Goods or Services
		previously delivered) to the extent caused by events beyond its reasonable
		control including, but not limited to, acts of God, war, riots, insurrections,
		laws, proclamations, regulations, strikes of a regional or national nature,
		acts of terrorism, sabotage, floods, fires, explosions, acts of any government
		body, and other events beyond the reasonable control and without the fault of
		such Party (“Force Majeure”).
	 

	 
		(b) The Party claiming Force Majeure shall
		use its commercially reasonable efforts to remove the cause of its inability to
		perform or its delay in performance. The Party claiming Force Majeure shall
		give prompt written notice to the other Party of such event, specifying
		its
	 

	 
		 
	 

	 
		2
	 

	 
		 
	 

	 
 

	 
		nature and anticipated duration. The
		inability of a Party to perform its obligations under this Master Agreement or
		the Goods and Services Agreements shall be deemed to have been subject to an
		event of Force Majeure to the extent that Party’s ability to so perform
		has been directly inhibited or precluded because an event of Force Majeure had
		inhibited or precluded any other Party from performing any material action on
		which the performance of such Party’s obligations was dependent.
	 

	 
		(c) If a Force Majeure event prevents any
		Party from performing under a Principal Document for three hundred sixty-five
		(365) consecutive calendar days, the non-claiming Party shall have the right to
		terminate such Principal Document upon thirty (30) calendar days’ written
		notice to the Party claiming Force Majeure. Producer will maintain business
		interruption insurance in accordance with Section 9. 
	 

	 
		(d) If an event of Force Majeure prevents
		any Party from performing under any of the Goods and Services Agreements other
		than the Principal Documents for one hundred eighty (180) consecutive calendar
		days, the non-claiming Party shall have the right to terminate such Goods and
		Services Agreement (other than the Principal Documents) upon thirty (30)
		calendar days’ written notice to the Party claiming Force Majeure.
	 

	 
		4. No
		Default if Failure to Perform Results from Other Party’s
		Default. 
	 

	 
		(a) Notwithstanding anything to the contrary
		in any of the Goods and Services Agreements, Producer shall not be in default
		under this Master Agreement or any of the Goods and Services Agreements to the
		extent that a breach by Cargill of any term or covenant
		contained in this Master Agreement, any of the Goods and Services Agreements,
		the Grain Facility Lease, the Access Agreement, Rail Exchange Agreement or
		Pre-Commercial Corn Agreement is the proximate cause of its failure to perform
		under this Master Agreement or any of the Goods and Services Agreement.
	 

	 
		(b) Notwithstanding anything to the contrary
		in any of the Goods and Services Agreements, Cargill shall not be in default
		under this Master Agreement or any of the Goods and Services Agreements to the
		extent that a breach by Producer of any term or covenant contained
		in this Master Agreement, any of the Goods and Services Agreements, the Grain
		Facility Lease, the Access Agreement, Rail Exchange Agreement or Pre-Commercial
		Corn Agreement is the proximate cause of its failure to perform under
		this Master Agreement or any of the Goods and Services Agreement.
	 

	 
		5. Setoff Rights; Aggregate Exposure of
		Cargill.
	 

	 
		(a) Ordinary Course.
		Each Party is hereby irrevocably authorized at any time and from time to time
		without advance notice (so long as written notice is provided to the other
		party reasonably promptly thereafter) to set off and apply any and all amounts
		due and owing for the physical delivery or sale of goods from such Party to the
		other Party under any and all of the Goods and Services Agreements and the
		Related Goods and Services Agreements against any amounts due and owing for the
		physical delivery or sale of goods from such Party to the other Party or the
		Related Producer Entity, provided, however, no such set off rights shall be
		exercised unless the amounts due and owing are capable of being objectively
		determined and not subject to good faith dispute. In the event a Party disputes
		in good faith whether an amount is due and owing to the other Party, the other
		Party may set off against such amount only if the amount in dispute is placed
		into a mutually agreeable escrow account pending resolution of such dispute in
		accordance with Section 6. Any invoices presented by one Party to the other
		Party under any 
	 

	 
		 
	 

	 
		3
	 

	 
		 
	 

	 
 

	 
		Goods and Services Agreement
		or the Related Goods and Services Agreement for which such set off is being
		made shall clearly identify the amount of the set off.
	 

	 
		(b) Setoff in Producer Default Situation. Cargill is hereby irrevocably authorized at any time and
		from time to time during which a Producer default or Event of Default has
		occurred under any of the Goods and Services Agreements and has not been cured
		by Producer within five (5) Business Days of receipt of notice from Cargill of
		such Producer Event of Default, to set off and apply any and all amounts owing
		from Cargill to Producer under any of the Goods and Services Agreements or the
		Related Goods and Services Agreements, against the Aggregate Exposure of
		Cargill. Promptly upon any such set-off, Cargill will provide written notice to
		Producer setting forth the amount, source and application of such
		set-off.
		The rights of Cargill under this
		Section are in addition to other rights and remedies that Cargill has under
		this Agreement and applicable law. In the event a Party disputes in good faith
		whether an amount is due and owing to the other Party, the other Party may set
		off against such amount only if the amount in dispute is placed into a mutually
		agreeable escrow account pending resolution of such dispute in accordance with
		Section 6.
	 

	 
		(c) Setoff in Cargill Default Situation. Producer is hereby irrevocably authorized at any time
		and from time to time during which a Cargill default or Event of Default has
		occurred under any of the Goods and Services Agreements and has not been cured
		by Cargill within five (5) Business Days of receipt of notice from Producer of
		such Cargill Event of Default, to set off and apply any and all amounts owing
		from Producer to Cargill under any of the Goods and Services Agreements or the
		Related Goods and Services Agreements, against all amounts due and owing by
		Cargill to Producer and the Related Producer Entity. Promptly upon any such
		set-off, Producer will provide written notice to Cargill setting forth the
		amount, source and application of such set-off. The rights of Producer under this Section are in
		addition to other rights and remedies that Producer has under this Agreement
		and applicable law. In the event a Party disputes in good faith whether an
		amount is due and owing to the other Party, the other Party may set off against
		such amount only if the amount in dispute is placed into a mutually agreeable
		escrow account pending resolution of such dispute in accordance with Section
		6.
	 

	 
		(d) Aggregate Exposure of Cargill. It is the Parties’ intent that at no time during
		the term of this Master Agreement will the Aggregate Exposure of Cargill exceed
		the amount owed by Cargill to Producer. However, if the Aggregate Exposure of
		Cargill should at any time exceed the amount owed by Cargill to Producer, then
		Cargill shall be entitled, in its sole discretion, to (i) withhold payments to
		Producer in an amount equal to the difference between the Aggregate Exposure of
		Cargill and the amount owed by Cargill to Producer; and/or (ii) unwind hedge
		positions, if any, consistent with the terms of the Risk Advisory Agreement
		and/or the Corn Advisory Agreement in an amount equal to the difference between
		the Aggregate Exposure of Cargill and the amount owed by Cargill to Producer.
		
	 

	 
		6. Dispute Resolution.
	 

	 
		In the event a dispute arises under this
		Master Agreement, any Goods and Services Agreement or the Confidentiality
		Agreement that cannot be resolved by those with direct responsibility for the
		matter in dispute, such dispute shall be resolved by way of the following
		process:
	 

	 
		(a) Senior management from Producer and from
		Cargill shall meet to discuss the basis for the dispute and shall use their
		best efforts to reach a reasonable resolution to the dispute. 
	 

	 
		 
	 

	 
		4
	 

	 
		 
	 

	 
 

	 
		(b) If negotiations pursuant to Section 6(a)
		are unsuccessful, unless otherwise specified in the Goods and Services
		Agreement applicable to the dispute, the matter will promptly be submitted by
		either Party to arbitration in accordance with the Commercial Arbitration
		Rules, then in effect, of the American Arbitration Association
		(“AAA”), except to the extent modified herein. The arbitration shall
		be held in the State of New York, unless otherwise agreed by the Parties.
		Judgment on the award rendered may be entered in any court having jurisdiction
		thereof.
	 

	 
		(c) Cargill and Producer shall, within
		thirty (30) days of receipt of notice that the matter has been referred to
		arbitration, appoint one arbitrator each and, within thirty (30) days of the
		appointment of the last of such two arbitrators the two arbitrators shall
		appoint a third arbitrator. If either Party or the two arbitrators fail to
		timely appoint an arbitrator, AAA shall appoint the said arbitrator. 
	 

	 
		(d) The Parties shall bear their respective
		costs incurred in connection with the procedures described in this Section
		6.
	 

	 
		(e) Notwithstanding any other provision of
		this Master Agreement, each Party shall be entitled to access the courts to
		obtain appropriate injunctive relief to preserve their rights during the
		pendency of the resolution process of paragraphs (a) through (d) of this
		Section, to preserve the status quo, or to prevent irreparable harm.
	 

	 
		(f) All negotiations and written statements
		conducted or made pursuant to this Section 6 are confidential and shall be
		treated as compromise and settlement negotiations for purposes of Federal and
		State Rules of Evidence. If the Parties reach agreement pertaining to any
		dispute pursuant to the procedures set forth in this Section 6, such agreement
		will be reduced to writing, signed by authorized representatives of each Party,
		and will be final and binding upon the Parties.
	 

	 
		7. Controlling Agreement.
	 

	 
		To the extent any provision of this Master
		Agreement conflicts with a provision of any Goods and Services Agreement or the
		Confidentiality Agreement, the provision of the Goods and Services Agreement or
		the Confidentiality Agreement will control. 
	 

	 
		8. Indemnification; Limitation of Liability. 
	 

	 
		(a) Producer agrees to indemnify, defend and
		hold harmless Cargill, its Affiliates and their respective officers, directors,
		employees, agents, shareholders and representatives, from and against any and
		all Damages to the extent arising out of (i) any fraud, negligence or willful
		misconduct of Producer or any of its officers, directors, employees, agents,
		representatives and contractors, or (ii) any breach of this Master Agreement or
		any of the Goods and Services Agreements by Producer. Cargill shall promptly
		notify Producer of any suit, proceeding, action or claim for which Producer may
		have liability pursuant to this Section 8(a).
	 

	 
		(b) Cargill, Incorporated agrees to
		indemnify, defend and hold harmless Producer, its Affiliates and their
		respective officers, directors, employees, agents, shareholders and
		representatives from and against any and all Damages to the extent arising out
		of (i) any fraud, negligence or willful misconduct of Cargill, Incorporated or
		any of its officers, directors, employees, agents, representatives and
		contractors; or (ii) any breach of this Master Agreement or any of the Goods
		and Services Agreements by Cargill, Incorporated. CCSI agrees to indemnify,
		defend and hold harmless Producer, its Affiliates and their respective
		officers, directors, employees, agents, shareholders and representatives from
		and against any and all Damages to the 
	 

	 
		 
	 

	 
		5
	 

	 
		 
	 

	 
 

	 
		extent arising out of (i) any fraud,
		negligence or willful misconduct of CCSI or any of its officers, directors,
		employees, agents, representatives and contractors; or (ii) any breach of this
		Master Agreement or any of the Goods and Services Agreements by CCSI. Producer
		shall promptly notify Cargill, Incorporated of any suit, proceeding, action or
		claim for which Cargill, Incorporated or CCSI may have liability pursuant to
		this Section 8(b). 
	 

	 
		(c) Neither Party makes any guarantee,
		warranty or representation, express or implied, with respect to any profit, or
		of any particular economic results from transactions hereunder. In no event
		shall either Party be liable to the other Party for punitive or exemplary
		damages or for indirect, special or consequential damages, including without
		limitation actual or alleged loss of profits, lost sales, loss of value of
		brands, tradenames, trademarks, service names or service marks. Furthermore,
		under no circumstances shall Cargill be liable for repayment of any debt of
		Producer (including without limitation any bank financing, tax-exempt bonds or
		trade debt incurred by Producer), or any failure by Producer to make any
		payment of principal, interest or premium on any such debt. 
	 

	 
		(d) Producer understands and agrees that
		Cargill makes no warranty respecting legal or regulatory requirements or risks.
		Producer shall obtain such legal and regulatory advice from third parties as it
		may deem necessary respecting the applicability of legal and regulatory
		requirements applicable to Producer’s business.
	 

	 
		9. Insurance.
		
	 

	 
		(a) During the term of this Master
		Agreement, Producer shall, at its own expense, carry in full force and effect
		those insurance policies more fully described herein:
	 

	 
		(i) Commercial general liability insurance,
		written on “occurrence” policy forms, including coverage for
		premises/operations, products/completed operations, property damage, blanket
		contractual liability, sudden and accidental pollution for the premises and
		personal injury, with no exclusions for explosion, collapse and underground
		perils, subject to Section 9(c), no less than $20,000,000 for each occurrence
		and in the aggregate, except that the sudden and accidental pollution for the
		premises shall be subject to a sublimit of $1,000,000 either through this
		policy or by separate cover noted below. The commercial general liability
		policy shall also include a severability of interest clause and a cross
		liability clause in the event more than one entity is “named insured”
		under the liability policy. During construction, the limit may be met through a
		combination of the Owners and/or EPC Contractors coverage if the EPC Contractor
		adds Cargill as an addition insured on its insurance program.
	 

	 
		(ii) Pollution liability insurance,
		including coverage for off-site clean-up, bodily injury and property damage,
		written on an occurrence or on a “claims made” form, with limits of
		no less than $1,000,000.
	 

	 
		(iii) Automobile liability insurance,
		including coverage for owned, non-owned and hired automobiles for both bodily
		injury and property damage in accordance with statutory legal requirements,
		with combined single limits of, subject to Section 9(f), no less than
		$20,000,000 per accident with respect to bodily injury, property damage or
		death. 
	 

	 
		(iv) Workers compensation insurance to
		statutory limits and employer’s liability with a limit of, subject to
		Section 9(c), not less than $20,000,000 and such other
	 

	 
		 
	 

	 
		6
	 

	 
		 
	 

	 
 

	 
		forms of insurance which is required by law
		to provide for the project, providing statutory benefits and covering loss
		resulting from injury, sickness, disability or death of the employees of the
		Producer. To the extent applicable, insurance shall cover Jones Act, Longshore
		and Harbor Workers Act and Continental Shelf Land Act.
	 

	 
		(v) “All risk” property insurance
		(including Builder’s Risk coverage during the course of construction of
		the Ethanol Facility), as such term is used in the insurance industry, insuring
		all real and personal property of the Ethanol Facility or Grain Facility as
		applicable, for an amount of not less than full replacement cost of the
		completed Ethanol Facility or the Grain Facility, as applicable. Such insurance
		shall include coverage for the following: flood, earthquake, comprehensive
		boiler and machinery coverage, business interruption and delay of opening
		during the course of construction, extra expense, expediting expense, debris
		removal, and demolition and increased cost of construction, as applicable.
		Sublimits are permitted as respects to the following: (i) debris removal,
		25% of loss, (ii) expediting expense, $2,000,000, (iii) increased costs due to
		orders by law and demolition costs of undamaged portion due to enforcement of
		by law, $2,000,000 and (iv) such other coverages customarily sub-limited in
		reasonable amounts consistent with current industry practice with respect to
		similar risks and acceptable to the Cargill.
	 

	 
		In the event all risk property coverage and
		the boiler and machinery coverage is not written in the same policy, each
		policy shall contain a joint loss agreement.
	 

	 
		All such policies will have deductibles
		commensurate with industry practice.
	 

	 
		(b) During the term of this Master
		Agreement, Cargill shall, at its own expense, carry in full force and effect
		those insurance policies more fully described herein:
	 

	 
		(i) Commercial general liability insurance,
		written on “occurrence” policy forms, including coverage for
		premises/operations, products/completed operations, property damage, blanket
		contractual liability, sudden and accidental pollution for the premises and
		personal injury, with no exclusions for explosion, collapse and underground
		perils, subject to Section 9(c), no less than $20,000,000 for each occurrence
		and in the aggregate, except that the sudden and accidental pollution for the
		premises shall be subject to a sublimit of $1,000,000 either through this
		policy or by separate cover noted below. The commercial general liability
		policy shall also include a severability of interest clause and a cross
		liability clause in the event more than one entity is “named insured”
		under the liability policy. 
	 

	 
		(ii) Automobile liability insurance,
		including coverage for owned, non-owned and hired automobiles for both bodily
		injury and property damage in accordance with statutory legal requirements,
		with combined single limits of, subject to Section 9(c), no less than
		$20,000,000 per accident with respect to bodily injury, property damage or
		death. 
	 

	 
		(iii) Workers compensation insurance to
		statutory limits and employer’s liability with a limit of, subject to
		Section 9(c), not less than $20,000,000 and such other forms of insurance which
		is required by law to provide for the project, providing statutory benefits and
		covering loss resulting from injury, sickness, disability or death of the
		employees of the Cargill. 
	 

	 
		 
	 

	 
		7
	 

	 
		 
	 

	 
 

	 
		(c) Umbrella or excess liability insurance
		may be purchased in order to satisfy the limit requirements described in
		Sections 9(a)(i), 9(b)(i), 9(a)(iii), 9(b)(iii) and, with respect to
		employer’s liability, 9(a)(iv) and 9(b)(iv). If the policy or policies
		provided under this Section 9(c) contain(s) aggregate limits applying to other
		operations other than the Ethanol Facility or Grain Facility, as applicable,
		and such limits are diminished below $20,000,000 by any incident, occurrence,
		claim, settlement or judgment against such insurance which has caused the
		insurer to establish a reserve, Producer, after obtaining knowledge of such
		event shall inform Cargill, and within thirty (30) business days purchase an
		additional umbrella/excess liability insurance policy, or obtain a
		reinstatement of limits, to satisfy the requirements of Section 9(a)(i),
		9(a)(iii) or 9(a)(iv).
	 

	 
		(d) The insured shall provide the other
		Party with certificates of insurance evidencing the above coverages not later
		than thirty (30) days after the Effective Date. All policies shall contain a
		provision that will provide thirty (30) days’ prior written notice of
		cancellation or material reduction in coverage to the other Party. Except with
		respect to the All Risk Property insurance as it relates to the Grain Facility,
		each party and the Financing Parties will be added as an Additional Insured,
		the insurance will be primary on their favor and insurers will permit a waiver
		of subrogation against the other Party with respect to the policies in this
		Section 9, where legally allowed.
	 

	 
		(e) Cargill shall have the right to (i) self
		insure with respect to any of the required insurance policies or coverages in
		such amounts as it deems appropriate, or (ii) use Cargill, Incorporated’s
		wholly-owned captive insurance company to insure part or all of the coverage
		required by this Section 9, subject to if, in the event self insurance or
		a captive is used, that Cargill will indemnify the Producer for any losses that
		would have been otherwise covered by the insurance.
	 

	 
		10. Miscellaneous.
	 

	 
		(a) Successors and Assigns.
	 

	 
		All of the terms, covenants, and conditions
		of this Master Agreement shall be binding upon, and inure to the benefit of and
		be enforceable by the Parties and their respective successors, heirs, executors
		and permitted assigns. Except as provided herein, neither Party may assign its
		rights, duties or obligations under this Master Agreement or any one or more of
		the Goods and Services Agreements, to any other person or entity without the
		prior written consent of the other Party. Notwithstanding the
		foregoing, (i)
		upon written notice by Cargill,
		Cargill, Incorporated may assign its rights, duties and obligations under the
		Ethanol Agreement and/or the DG Agreement one or more of its Affiliates,
		provided that no such assignment will relieve Cargill, Incorporated of primary
		responsibility thereunder
		and (ii) provided that no default on
		the part of Producer hereunder is then existing, Producer may without
		Cargill’s consent (but upon prior written notice to Cargill), assign,
		pledge or otherwise encumber this Agreement, any other Goods and Services
		Agreement, the Access Agreement, the Rail Exchange Agreement or the
		Pre-Commercial Corn Agreement to any Financing Party as collateral security for
		the financing of the Ethanol Facility; provided however, no such assignment,
		pledge or encumbrance shall release Producer from its obligations hereunder,
		grant any additional notice or cure rights to any party, or otherwise affect
		Cargill’s rights and remedies hereunder. For the avoidance of doubt,
		Cargill consents to the Producer’s entering into the Consent, dated the
		date hereof, by and among Cargill, Producer and Deutsche Bank Trust Company
		Americas with respect to this Agreement and any other Goods 
	 

	 
		 
	 

	 
		8
	 

	 
		 
	 

	 
 

	 
		and Services Agreements, the Access
		Agreement, the Rail Exchange Agreement and the Pre-Commercial Corn Agreement.
		
	 

	 
		(b) Notices. All
		notices, requests, demands or other communications required or permitted to be
		given or made under this Master Agreement, the Goods and Services Agreement and
		the Confidentiality Agreement shall be in writing and delivered personally or
		sent by prepaid, first class, certified or registered air mail, return receipt
		requested, or by facsimile transmission with confirmation receipt to the
		intended recipient thereof at the address or facsimile number set forth below.
		Any such notice, demand, request or communication shall be deemed to have been
		duly given immediately if delivered personally or made by a confirmed
		facsimile, or five (5) days after mailing, and in proving the same it shall be
		sufficient to show that the envelope containing the notice, demand, request or
		communication was duly addressed, stamped and posted or that receipt of a
		facsimile was confirmed by the recipient. The addressees and facsimile numbers
		of the Parties:
	 

	 
		 
	 

	 
			
				
				  To Cargill:
				

			 	
				
				   
				

			 	
				
				  Cargill, Incorporated
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Commercial Manager for Ethanol /
				  62
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  15407 McGinty Road West
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Wayzata, MN 55391-2399
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Fax: (952) 742-7440
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  With Copy to:
				

			 	
				
				   
				

			 	
				
				  Cargill, Incorporated
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  AgHorizons Commercial Leader /
				  19
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  15407 McGinty Road West
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Wayzata, MN 55391-2399
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Fax: (952) 742-7313
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  With Copy to:
				

			 	
				
				   
				

			 	
				
				  Cargill, Incorporated
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Horizon Milling DG Marketing /
				  121
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  15407 McGinty Road West
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Wayzata, MN 55391-2399
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Fax: (952) 742-6999
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  With Copy to:
				

			 	
				
				   
				

			 	
				
				  Cargill Direct
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  c/o Cargill, Incorporated –
				  Attn: Clayton Weiby
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  15407 McGinty Road West, MS
				  #20
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Wayzata, MN 55391-2399
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Fax: (952) 742-7242
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  With Copy to:
				

			 	
				
				   
				

			 	
				
				  Cargill, Incorporated
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Attn: Kathy Gerken, Contract
				  Admin.
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  12700 Whitewater Dr.,
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Minnetonka, MN 55343
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Fax: (952) 984-3627
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  With Copy to:
				

			 	
				
				   
				

			 	
				
				  Cargill, Incorporated
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Law Department / 24
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  15407 McGinty Road West
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Wayzata, MN 55391-2399
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Attn: Sweeteners NA BU
				  Attorney
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Fax: (952) 742-6349
				

			 

 

	 
		 
	 

	 
		9
	 

	 
		 
	 

	 
 

	 
		 
	 

	 
			
				
				  To Producer:
				

			 	
				
				   
				

			 	
				
				  Buffalo Lake Energy, LLC
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  1625 Broadway, Suite 2400
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Denver, CO 80202
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Attn: Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Fax: (303) 626-8251
				

			 

 

	 
		Either Party may, from time to time,
		furnish, in writing, to the other Party, notice of a change in the address
		and/or fax number(s) to which notices are to be given hereunder.
	 

	 
		(c) Applicable Law.
		This Master Agreement, the Goods and Services Agreements and the
		Confidentiality Agreement shall be governed in all respects by the laws of the
		State of New York, except with respect to its choice of law provisions. In the
		performance of their respective duties and obligations under this Master
		Agreement and each of the Goods and Services Agreements, the Parties agree to
		comply with all applicable laws, regulations, orders, permits and
		licenses.
	 

	 
		(d) Cover and Mitigation. Each Party shall have the obligation to use
		commercially reasonable efforts to mitigate damages associated with the default
		by any Party under this Master Agreement or any of the Goods and Services
		Agreements.
	 

	 
		(e) Headings. The
		headings as to contents of particular sections of this Master Agreement, the
		Goods and Services Agreements and the Confidentiality Agreement are inserted
		for convenience and shall not be construed as part of this Master Agreement,
		the Goods and Services Agreements or the Confidentiality Agreement or as a
		limitation on the scope of any terms or provisions of this Master Agreement,
		the Goods and Services Agreements or the Confidentiality Agreement.
	 

	 
		(f) Severability. In
		the event that any provision of this Master Agreement, the Goods and Services
		Agreements or the Confidentiality Agreement becomes or is declared by a court
		of competent jurisdiction to be illegal, unenforceable or void, either in whole
		or in part, this Master Agreement and the Goods and Services Agreements, as
		applicable, shall continue in full force and effect without said provision;
		provided that no such severability shall be effective if it
		materially changes the economic benefit of this Master Agreement or applicable
		Goods and Services Agreement to either Party.
	 

	 
		(g) No Third Party Beneficiaries. No provision of this Master Agreement, the Goods and
		Services Agreements or the Confidentiality Agreement is intended, or shall be
		construed, to be for the benefit of any third party.
	 

	 
		(h) Entire Agreement; Amendment. This Master Agreement, the Goods and Services
		Agreements, and the Confidentiality Agreement, including all written appendices
		and/or amendments to such agreements, constitute the entire understanding and
		agreement between the Parties with respect to the subject matter hereof, and
		supersede all prior and contemporaneous understandings and/or agreements,
		written or oral, regarding the subject matter of this Master Agreement, the
		Goods and Services Agreements and the Confidentiality Agreement. No course of
		prior dealings between the Parties and no usage of trade, except where
		expressly incorporated by reference, shall be relevant or admissible to
		supplement, explain, or vary any of the terms of this Master Agreement, the
		Goods and Services Agreements or the Confidentiality Agreement. Acceptance of,
		or acquiescence in, a course of performance rendered under this or any prior
		agreement shall not be relevant or admissible to determine the meaning of this
		Master 
	 

	 
		 
	 

	 
		10
	 

	 
		 
	 

	 
 

	 
		Agreement, the Goods and Services Agreements
		or the Confidentiality Agreement even though the accepting or acquiescing Party
		has knowledge of the nature of the performance and an opportunity to object. No
		appendices, amendments, modifications, additions, or writings of any kind
		relating to this Master Agreement, the Goods and Services Agreements, or the
		Confidentiality Agreement will be binding unless in writing and signed by a
		duly authorized officer of both Parties. 
	 

	 
		(i) Counterparts.
		This Master Agreement, each of the Goods and Services Agreements, and the
		Confidentiality Agreement may be executed in counterparts, each of which may be
		deemed an original but together shall constitute but one and the same
		instrument.
	 

	 
		(j) Waiver. No
		failure on the part of any Party hereto to exercise, and no delay in exercising
		any right, power, or remedy under this Master Agreement, any Goods and Services
		Agreement, or the Confidentiality Agreement shall operate as a waiver thereof,
		nor shall any single or partial exercise of any right, power or remedy by any
		such Party preclude any other or further exercise thereof or the exercise of
		any other right, power or remedy. No express waiver or assent by any Party
		hereto to any breach of or default in any term or condition of this Master
		Agreement or of any Goods and Services Agreement or the Confidentiality
		Agreement shall constitute a waiver of or an assent to any succeeding breach of
		or default in the same or any other term or condition hereof.
	 

	 
		(k) Interpretation.
		The Parties acknowledge and agree that (a) each Party and its counsel have
		reviewed the terms and conditions of this Master Agreement, the Goods and
		Services Agreements and the Confidentiality Agreement and have contributed to
		the revision of same, (b) the normal rule of construction which holds that any
		ambiguities are resolved against the drafting party, shall not be employed in
		the interpretation of this Master Agreement, the Goods and Services Agreements,
		and the Confidentiality Agreement and (c) the
		terms and provisions of this Master Agreement, the Goods and Services
		Agreements and the Confidentiality Agreement shall be constructed fairly as to
		all Parties hereto and not in favor of or against any Party, regardless of
		which Party was generally responsible for the preparation of this Master
		Agreement, the Goods and Services Agreements or the Confidentiality
		Agreement.
	 

	 
		Unless otherwise required by the context in
		which any term appears, in this Master Agreement and in each of the Goods and
		Services Agreements: (i) capitalized terms used shall have the meanings
		specified in Section 11; (ii) the singular shall include the plural and vice
		versa; (iii) references to “Sections,” “Schedules,”
		“Annexes,” “Appendices” or “Exhibits” (if any)
		shall be to sections, schedules, annexes, appendices or exhibits hereof, unless
		otherwise specified; (iv) all references to a particular Person in any capacity
		shall be deemed to refer also to such Person’s authorized agents,
		successors and permitted assigns in such capacity; (v) the words
		“herein,” “hereof” and “hereunder” shall refer to
		this Master Agreement as a whole and not to any particular section or
		subsection hereof; (f) the words “include,” “includes” and
		“including” shall be deemed to be followed by the phrase
		“without limitation” and shall not be construed to mean that the
		examples given are an exclusive list of the topics covered; (vi) all accounting
		terms not specifically defined herein shall be construed in accordance with
		generally accepted accounting principles in the United States of America
		consistently applied; (vii) references to this Master Agreement shall include a
		reference to all appendices, annexes, schedules and exhibits hereto, as the
		same may be amended, modified, supplemented or replaced from time to time;
		(viii) references to any agreement, document or instrument shall be construed
		at a particular time to refer to such agreement, document or instrument as the
		same may be amended, modified, supplemented or replaced as of such time; (ix)
		the masculine shall include the feminine and neuter and vice versa; and (x)
		references to an applicable law or to legal requirements in general 
	 

	 
		 
	 

	 
		11
	 

	 
		 
	 

	 
 

	 
		shall mean a reference to such applicable
		law or legal requirement as the same may be amended, modified, supplemented or
		restated and be in effect from time to time.
	 

	 
		(l) Independent Contractors. The Parties to this Master Agreement, the Goods and
		Services Agreements and the Confidentiality Agreement are independent
		contractors. There is no relationship of partnership, joint venture,
		employment, franchise, or agency between the Parties, and neither Party shall
		make any representation to the contrary. Under no circumstances shall Cargill
		be liable for the debts or obligations of Producer (including without
		limitation any bank financing, tax-exempt bonds or trade debt incurred by
		Producer) or for the wages, salaries, or benefits of Producer’s employees,
		and Producer hereby agrees to indemnify, defend, and hold harmless Cargill from
		and against the same. Producer shall not be liable for the debts or obligations
		of Cargill or for the wages, salaries, or benefits of Cargill’s employees,
		and Cargill hereby agrees to indemnify and defend Producer from and against the
		same.
	 

	 
		(m) Confidentiality.
		The terms of this Master Agreement and the Goods and Services Agreement are
		confidential and, except as required by law, shall not be disclosed by either
		Party without the prior written consent of the other Party, which shall not be
		unreasonably withheld; provided,
		however, that either Party may disclose the terms of this
		Master Agreement and the Goods and Services Agreements to its lenders,
		accountants, legal counsel, and/or potential investors (other than
		Cargill’s competitors, including without limitation its competitors in the
		grain origination, ethanol, natural gas, distillers grains and wet corn milling
		businesses) so long as the disclosing Party provides prior written notice to
		the other Party and the receiving Party signs a confidentiality agreement
		prohibiting further disclosure and limiting use of the information disclosed to
		the evaluation of the transaction contemplated in this Master Agreement.
		Further, the Parties are bound by the terms of the Confidentiality Agreement
		between the Parties of even date herewith, a copy of which is attached hereto,
		with respect to Confidential Information as defined therein. 
	 

	 
		(n) Time is of the Essence. Each Party acknowledges that time is of the essence
		and hereby agrees to use commercially reasonable efforts to implement this
		Master Agreement and the transactions contemplated hereby.
	 

	 
		(o) Condition Precedent; No-Recourse. The effectiveness of this Master Agreement and the
		Goods and Services Agreements is conditioned upon the approval by Cargill of a
		“no-recourse” provision which must be included in the Financing
		Documents and the organizational documents (or other documents as reasonably
		determined by Cargill) of Producer and the entities that are related to
		Producer, including without limitation BioFuel Energy, LLC, BFE Operating
		Company, LLC, and Pioneer Trail Energy, LLC (the “Related Producer
		Entity”) (collectively, the “Project Entities”). Such
		no-recourse provision shall be in a form satisfactory to Cargill, shall be
		expressed to be binding upon each of the Financing Parties and the members of
		the Project Entities by such parties’ acceptance of a related note or debt
		instrument or by execution of a Financing Document or by execution of the
		organizational or other documents, as applicable, and shall include a statement
		generally to the effect that none of the Financing Parties and none of the
		members of the Project Entities shall have any recourse against Cargill or any
		of its affiliated companies and their respective officers, directors and
		employees for any act or omission of Producer, its officers or directors,
		including without limitation any failure by Producer to pay any obligation when
		due.
	 

	 
		(p) Survival. The
		provisions of Sections 1(b), 5, 6, 7, 8, 10(b), 10(c), 10(d), 10(g), 10(h),
		10(k), 10(l), 10(m), 10(p) and 11 shall survive the expiration or earlier
		termination of this Master Agreement.
	 

	 
		 
	 

	 
		12
	 

	 
		 
	 

	 
 

	 
		(q) Audit Rights.
		Each Party shall have the right to request, but not more than once per quarter
		during the term of this Master Agreement, an independent certified public
		accountant selected by such Party to inspect and review, at the requesting
		Party’s sole expense, the records, documents and facilities (including, as
		applicable, the Ethanol Facility or Grain Facility) of the other Party that
		directly relate to and directly support this Master Agreement and the Goods and
		Services Agreements, to verify such Party’s compliance with the Master
		Agreement and the Goods and Services Agreements then in effect. Each Party
		shall have the right to request, but not more than once per year during the
		term of this Master Agreement, an independent certified public accountant
		selected by the requesting Party to inspect and audit, at the requesting
		Party’s sole expense, the records, documents and facilities (including the
		Ethanol Facility and Grain Facility) of the other Party that directly relate to
		and directly support the Master Agreement or Goods and Services Agreements to
		verify such Party’s compliance with the Master Agreement and the Goods and
		Services Agreements then in effect. Such inspections (i) shall be subject to
		the confidentiality requirements set forth in the Confidentiality Agreement
		between the Parties of even date herewith, the form of which is attached
		hereto, (ii) shall be conducted during normal business hours and in such a
		manner that does not unreasonably interfere with the relevant Party’s
		business operations, and (iii) shall not be unduly burdensome. The scope of any
		such inspections shall include any reasonable follow-up inspection that may be
		identified in the initial inspection as reasonably necessary to verify
		compliance with the Master Agreement and the Goods and Services Agreements then
		in effect. If any error is discovered during or as a result of such inspections
		in any statement rendered under any Goods and Services Agreement and such error
		is on the part of Cargill and results in a payment that is due to Producer, the
		amount due plus interest on such amount at the Default Rate shall be promptly
		paid to Producer by Cargill (or put in escrow pending resolution of any dispute
		pursuant to Section 6). If any error is discovered during or as a result of
		such inspections in any statement rendered under any Goods and Services
		Agreements and such error is on the part of Producer and results in a payment
		that is due to Cargill, the amount due plus interest on such amount at the
		Default Rate shall be promptly paid to Cargill by Producer (or put in escrow
		pending resolution of any dispute pursuant to Section 6). Producer and Cargill
		each covenant that it will maintain accurate and complete production and
		delivery records relating to the Goods and Services Agreements in a prudent and
		businesslike manner in accordance with sound commercial practices.
	 

	 
		(r) Access Rights.
		Cargill and its independent contractors (and their respective employees and
		agents) shall have the right, but not the obligation, to access the Ethanol
		Facility from time to time during normal working hours, upon reasonable advance
		notice to Producer, and in a manner that does not unreasonably interfere with
		Producer’s business operations, for the purpose of inspecting the Ethanol
		Facility for compliance with Producer’s contractual obligations to
		Cargill, as set forth in this Master Agreement and the Goods and Services
		Agreements, including without limitation Producer’s obligation to produce
		ethanol in accordance with the specifications and other terms set forth in the
		Ethanol Agreement, and to produce Distillers Grains in accordance with the
		Specifications and other terms set forth in the DG Agreement.
	 

	 
		11. Definitions.
	 

	 
		(a) Definitions. As
		used in this Master Agreement and in the Goods and Services Agreements, the
		following capitalized terms have the meanings indicated:
	 

	 
		“Access Agreement” means the agreement between Cargill, Incorporated
		and Producer permitting Producer certain limited rights of access to the Grain
		Facility in connection with the construction of the Ethanol Facility prior to
		Producer taking possession of the Grain Facility 
	 

	 
		 
	 

	 
		13
	 

	 
		 
	 

	 
 

	 
		under the Grain Facility Lease, such
		agreement to be negotiated to the mutual satisfaction of the parties. 
	 

	 
		“Affiliate”
		means with respect to any entity, any other entity that directly or indirectly
		controls, is controlled by, or is under common control with that entity. For
		the purposes of this Master Agreement, “control” means (i) the direct
		or indirect ownership of more than fifty percent (50%) of the total voting
		securities of every class or other evidences of ownership interest of the
		entity, or (ii) the possession, directly or indirectly, of the power to direct
		or cause the direction of the management and policies of an entity.
	 

	 
		“Aggregate Exposure of Cargill” means, on any day of determination, an amount, if
		any, equal to the sum of the amounts which would be payable to Cargill if
		Cargill terminated the Corn Supply Agreement, the Corn Advisory Agreement, the
		NAESB Agreement, the Gas Supply Agreement, and the Risk Management Advisory
		Agreement, less amounts exclusively and irrevocably available to Cargill under
		letters of credit or cash deposits acceptable to Cargill, and plus the Related
		Project Exposure of Cargill. For clarification purposes, in calculating its
		Aggregate Exposure, Cargill may mark to market all open cash and futures
		positions. 
	 

	 
		“Business Day” means every day other than a Saturday, Sunday or
		any other day on which banks in the state of New York are permitted or required
		to remain closed.
	 

	 
		“Confidentiality Agreement” has the meaning specified in Section 1(b).

	 

	 
		“Corn Advisory Agreement” has the meaning specified in Section 1(a).

	 

	 
		“Corn Supply Agreement” has the meaning specified in Section 1(a).

	 

	 
		“Damages”
		means any and all losses, costs, damages, expenses, obligations, injuries,
		liabilities, insurance deductibles and excesses, claims, proceedings, actions,
		causes of action, demands, deficiencies, lawsuits, judgments or awards, fines,
		penalties and interest, including reasonable attorneys’ fees, but
		excluding any punitive, exemplary, indirect, special or consequential
		damages, including without limitation actual or alleged loss of profits, lost
		sales, loss of value of brands, tradenames, trademarks, service names or
		service marks.
	 

	 
		“Default Rate” means an interest rate per annum equal to the
		lesser of (i) the interest rate per annum for large commercial loans as
		published in The Wall Street
		Journal, Midwest edition, as the
		“prime rate” (sometimes referred to as the “base rate”)
		from time to time (or, if more than one rate is published, the arithmetic mean
		of such rates), determined as of the date the obligation to pay interest
		arises, plus two hundred (200) basis points, and (ii) the maximum
		rate permitted by applicable law.
	 

	 
		“DG Agreement” has the meaning specified in Section 1(a).

	 

	 
		“EPC Contract” means the Agreement for Engineering, Procurement
		and Construction, dated as of June 9, 2006, between Producer and TIC - The
		Industrial Company Wyoming, Inc.
	 

	 
		“Ethanol Agreement” has the meaning specified in Section 1(a).

	 

	 
		“Ethanol Facility” has the meaning specified in the Corn Supply
		Agreement.
	 

	 
		 
	 

	 
		14
	 

	 
		 
	 

	 
 

	 
		“Financing Documents” means any and all loan agreements, notes,
		indentures, security agreements, subordination agreements, mortgages, deeds of
		trust, participation agreements and other documents relating to the
		construction, interim, working capital and long-term financing of the Ethanol
		Facility and any refinancing thereof provided by the Financing Parties,
		including any and all modifications, extensions, renewals and replacements of
		any such financing or refinancing.
	 

	 
		“Financing Parties” means any and all lenders, and any trustee or
		agent acting on their behalf, providing senior or subordinated construction,
		interim, working capital or long-term debt financing or refinancing to Producer
		or its Affiliates, the proceeds of which are applied in whole or in part to the
		financing of the Ethanol Facility.
	 

	 
		“Force Majeure” has the meaning specified in Section 3(a).

	 

	 
		“Gas Supply Agreement” has the meaning specified in Section 1(a).

	 

	 
		“Goods and Services Agreements” has the meaning specified in Section 1(a).

	 

	 
		“Goods” or
		“Services” means the goods and services to be provided under
		the Goods and Services Agreements.
	 

	 
		“Grain Facility” has the meaning specified in the Corn Supply
		Agreement.
	 

	 
		“Grain Facility Lease” means that certain Grain Facility Lease dated as
		of the date hereof by and between Cargill and Producer.
	 

	 
		“Lien” means
		any mortgage, deed of trust, pledge, charge, security interest, easement or
		other lien or encumbrance.
	 

	 
		“NAESB Agreement” has the meaning specified in Section 1(a).

	 

	 
		“Person”
		means an individual, partnership, corporation, business trust, joint stock
		company, trust, unincorporated association, joint venture, governmental
		authority, limited liability company or any other entity of whatever
		nature.
	 

	 
		“Pre-Commercial Corn Agreement” means the agreement between Cargill, Incorporated
		and Producer relating to the sale of corn other than Corn (as defined in the
		Corn Supply Agreement) from Cargill to Producer prior to the commencement of
		commercial operations of the Ethanol Facility, such agreement to be negotiated
		to the mutual satisfaction of the parties. 
	 

	 
		“Principal Documents” means, collectively, the Corn Supply Agreement,
		the Ethanol Agreement, and the DG Agreement.
	 

	 
		“Project Entities” has the meaning specified in Section
		10(o).
	 

	 
		“Provisional Acceptance Date” means the date Provisional Acceptance is achieved
		under the EPC Contract.
	 

	 
		“Rail Exchange Agreement” means the agreement between Cargill, Incorporated
		and Producer relating to use and exchange of railcars, such agreement to be
		negotiated to the mutual satisfaction of the parties. 
	 

	 
		 
	 

	 
		15
	 

	 
		 
	 

	 
 

	 
		“Related Goods and Services Agreements” means the Goods and Services Agreements as
		defined in the Wood River Master Agreement.
	 

	 
		“Related Producer Entity” has the meaning specified in Section
		10(o).
	 

	 
		“Related Project Exposure of Cargill” means the Aggregate Exposure of Cargill as
		defined in the Wood River Master Agreement.
	 

	 
		“Risk Advisory Agreement” has the meaning specified in Section 1(a).

	 

	 
		“Wood River Master Agreement” means that certain Master Agreement dated as of
		the Effective Date by and among Cargill, Incorporated, CCSI, and Pioneer Trail
		Energy, LLC.
	 

	 
		 
	 

	 
		 
	 

	 
		 
	 

	 
		 
	 

	 
		[Signature page follows]
	 

	 
		 
	 

	 
		16
	 

	 
		 
	 

	 
 

	 
		IN WITNESS WHEREOF, the Parties have each
		executed this Master Agreement on the date first above written.
	 

	 
		 
	 

	 
		 
	 

	 
			
				
				   
				

			 	
				
				   
				

			 	
				
				  Buffalo Lake Energy, LLC
				

			 
	
				
				   
				

			 
	
				
				

			 	
				
				   
				

			 	
				
				  By:
				

			 	
				
				  /s/ Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Its:
				

			 	
				
				  Authorized
				  Representative
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 

 

	 
		 
	 

	 
		 
	 

	 
			
				
				   
				

			 	
				
				   
				

			 	
				
				  BFE Operating Company, LLC
				

			 
	
				
				

			 	
				
				   
				

			 	
				
				  
 By:
				

			 	
				
				  /s/ Scott H. Pearce
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Its:
				

			 	
				
				  Authorized
				  Representative
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 

 

	 
		 
	 

	 
			
				
				   
				

			 	
				
				   
				

			 	
				
				  Cargill, Incorporated
				

			 
	
				
				

			 	
				
				   
				

			 	
				
				  
 By:
				

			 	
				
				  /s/ Dennis C. Inman
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Its:
				

			 	
				
				  Vice President —
				  Cargill, Inc.
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 

 

	 
		 
	 

	 
		 
	 

	 
			
				
				   
				

			 	
				
				   
				

			 	
				
				  Cargill Commodity Services
				  Inc.
				

			 
	
				
				

			 	
				
				   
				

			 	
				
				  
 By:
				

			 	
				
				  /s/ Dennis C. Inman
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				  Its:
				

			 	
				
				  President — Cargill
				  Commodity Services, Inc.
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 

 

	 
		 
	 

	 
		 
	 

	 
		 
	 

	 
 

	 
		Exhibit A
	 

	 
		Confidentiality
		Agreement
	 

	 
		This Confidentiality Agreement
		(“Agreement”), is made effective this _____ day of _______, 2006 (the
		“Effective Date”) by and between CARGILL, INCORPORATED, a Delaware
		corporation (“Cargill, Incorporated”), CARGILL COMMODITY SERVICES
		INC., a Delaware corporation (“CCSI”) (Cargill, Incorporated and CCSI
		are referred to collectively as “Cargill”), and BIOFUEL ENERGY, LLC,
		a Delaware limited liability company, BFE OPERATING COMPANY, LLC, a Delaware
		limited liability company, and BUFFALO LAKE ENERGY, LLC, a Delaware limited
		liability company (“Producer”), collectively referred to hereinafter
		as “Parties” or individually as a “Party.”
	 

	 
		1. Purpose of this Agreement
	 

	 
		The purpose of this Agreement is for the
		Parties to discuss matters relating to or in connection with the Master
		Agreement, including the Goods and Services Agreements appended thereto (the
		“Master Agreement”) entered into by the Parties dated _________, 2006
		and the respective obligations of the Parties thereunder (“Purpose”),
		and to protect the confidential nature of such discussions. In order to
		facilitate discussions contemplated hereunder, Cargill may receive from, and
		provide to, Producer certain Confidential Information, as defined below. Each
		Party’s information is proprietary, secret, and confidential, and will be
		disclosed by one Party (the “Disclosing Party”) to the other Party
		(the “Receiving Party”) on the following terms and conditions.

	 

	 
		2. Definition of Confidential Information
	 

	 
		“Confidential Information” shall
		mean any and all business, technical, and financial information related to the
		Purpose set forth above and disclosed by one Party to the other Party, either
		directly or indirectly. Confidential Information may include, by way of
		example, but without limitation, products, specifications, formulae, equipment,
		business strategies, customer lists, know-how, drawings, pricing information,
		inventions, ideas, and other information, or its potential use, that is owned
		by or in possession of Producer or Cargill. 
	 

	 
		Confidential Information shall not include
		that which: (a) is in the public domain prior to disclosure by Disclosing
		Party; (b) becomes part of the public domain, by publication or otherwise,
		through no unauthorized act or omission on the part of the Receiving Party; (c)
		is lawfully in the Receiving Party’s possession prior to disclosure by the
		Disclosing Party; or (d) is independently developed by an employee(s) of the
		Receiving Party with no access to the disclosed Confidential
		Information.
	 

	 
		If Confidential Information is legally
		disclosed in confidence to the Receiving Party by a third party, then: (a) the
		Receiving Party shall have the right to use that portion of the above-mentioned
		Confidential Information so disclosed by the third party in connection with
		work done for that third party; and (b) such disclosure by that third party
		shall not place that portion of the above-mentioned Confidential Information in
		the public domain, and shall not relieve the Receiving Party of its obligations
		under this Agreement. 
	 

	 
		3. Obligations of Protection
	 

	 
		Proper and appropriate steps shall be taken
		and maintained by the Receiving Party, at all times, to protect the
		Confidential Information received. Dissemination of Confidential Information
		shall be limited to employees or agents that are directly involved with
		discussions contemplated by this Agreement, and even then only to such extent
		as is necessary and essential. Notwithstanding the foregoing, Cargill may
		disseminate the Master Agreement, the Goods and 
	 

	 
		 
	 

	 
		1
	 

	 
		 
	 

	 
 

	 
		Services Agreements and ancillary
		transactional documents to its Affiliates and each of Cargill’s and its
		Affiliate’s respective employees and consultants who are not directly
		involved with the discussions contemplated by this Agreement. The Parties shall
		inform their employees and agents of the confidential nature of the information
		disclosed hereunder and cause all such employees and agents to abide by the
		terms of this Agreement. 
	 

	 
		In addition, each Party may disclose
		Confidential Information regarding the Ethanol Facility and the performance of
		the Master Agreement and Goods and Services Agreements, including the material
		terms thereof, to (i) financial institutions and other Persons providing or
		expressing bona fide interest in providing debt financing or refinancing, lease
		financing and/or other credit support to Producer in connection with the
		construction and operation of the Ethanol Facility, and to the agent or trustee
		of any of them, (ii) rating agencies, (iii) Persons to which offering
		statements or other disclosure documents associated with the private or public
		offering of debt securities by or on behalf of Producer are provided, (iv)
		Persons that are potential equity transferees or purchasers of the Ethanol
		Facility, and (v) board members and equity owners consistent with its internal
		governance practices; provided, however, that such Persons agree to bound by
		the terms hereof or otherwise agree to maintain the confidential nature of the
		information hereof in a manner reasonably acceptable to the Parties. 
	 

	 
		4. Obligations of Non-disclosure
	 

	 
		The Receiving Party shall not disclose the
		Disclosing Party’s Confidential Information to any unauthorized party
		without prior express written consent of the Disclosing Party or unless
		required by law or court order. If a Party is required by law or court order to
		disclose Confidential Information of the other Party, they shall give the
		Disclosing Party prompt notice of such requirement so that an appropriate
		protective order or other relief may be sought.
	 

	 
		5. Authorized Use and Ownership of Confidential
		Information
	 

	 
		Confidential Information will be used only
		in connection with discussions contemplated by this Agreement; no other use
		will be made of it by the Receiving Party, it being recognized that both
		Parties have reserved all rights to their respective Confidential Information
		not expressly granted herein.
	 

	 
		All documents containing Confidential
		Information and provided by the Disclosing Party shall remain the property of
		the Disclosing Party, and all such documents, and copies thereof, shall be
		returned or destroyed upon the request of the Disclosing Party. Documents
		prepared by the Receiving Party using Confidential Information of the
		Disclosing Party, or derived therefrom, shall be destroyed upon request of the
		Disclosing Party, confirmation of which shall be provided in writing. The
		Receiving Party, however, may keep one copy of any document requested to be
		returned or destroyed in the files of its legal department or outside counsel
		for record purposes only.
	 

	 
		6. Term of Disclosure and Duration of
		Confidentiality
	 

	 
		The period for disclosure of Confidential
		Information between the Parties under this Agreement shall be coterminous with
		the term of the Master Agreement. The obligations imposed by this Agreement,
		including but not limited to non-disclosure and non-use, however, shall endure
		for one (1) year from the expiration or earlier termination of the Master
		Agreement. 
	 

	 
		7. Ownership of Intellectual Property
	 

	 
		This Agreement is not, and is not intended
		to be, for the development of or the conception of inventions. Should the
		Parties hereto choose to pursue such activities, the Parties hereby agree to
		draft a subsequent written agreement for such activities. 
	 

	 
		Except as expressly provided herein, no
		license or right is granted hereby to the 
	 

	 
		 
	 

	 
		2
	 

	 
		 
	 

	 
 

	 
		Receiving Party, by implication or
		otherwise, with respect to or under any patent application, patent, claims of
		patent or proprietary rights of the Disclosing Party. 
	 

	 
		8. General Provisions
	 

	 
		This Agreement shall be governed by and
		construed in accordance with the laws of the State of New York, USA
		(notwithstanding conflict of laws) and the Parties hereby submit to
		non-exclusive jurisdiction and venue in the state and federal courts of New
		York and Minnesota for purposes of interpretation, validity, and enforcement of
		the terms of this Agreement.
	 

	 
		This Agreement shall not be assigned by
		either Party without the prior written consent of the other Party, which
		consent shall not be unreasonably withheld. This Agreement shall be binding
		upon and shall inure to the benefit of the Parties and their permitted
		successors and assigns.           

	 

	 
		Failure to enforce any provisions of this
		Agreement shall not constitute a waiver of any of the terms and conditions
		hereof.
	 

	 
		No amendment, modification, or waiver of the
		terms of this Agreement shall be binding unless placed in writing and duly
		executed by the Parties’ authorized representatives.
	 

	 
		The Parties, through their authorized
		representatives, hereby agree to the terms and conditions of this
		Confidentiality Agreement.
	 

	 
		 
	 

	 
			
				
				  CARGILL, INCORPORATED
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  
 By:
				

			 	
				
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				   
				

			 	
				
				

				
 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  Name:
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				

				
 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
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				  Date:
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				

				
 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 

 

	 
		 
	 

	 
			
				
				  CARGILL COMMODITY SERVICES
				  INC.
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  
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				  BIOFUEL ENERGY, LLC
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  
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		3
	 

	 
		 
	 

	 
 

	 
		 
	 

	 
			
				
				  BFE OPERATING COMPANY, LLC
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  
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				  Date:
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				

				
 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 

 

	 
		 
	 

	 
			
				
				  BUFFALO LAKE ENERGY, LLC
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 
	
				
				  
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		4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00116-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00116-of-00352.parquet"}]]