THIS AGREEMENT made this _____ day of ____________, 20 __, by and between Lesterville Feed & Grain, Inc. a South Dakota corporation, (“LF&G”) and _____________________________________ (“Producer”):

WITNESSETH:

WHEREAS, the Producer has expressed a desire to store grain at facilities owned by LF&G; and

WHEREAS, LF&G presently has storage space for the storage of grain owned by the Producer, and others, provided the Producer pays for the right to store such grain upon the execution of this Storage Lease Agreement.

NOW, THEREFORE, pursuant to the mutual promises and agreements made in this Agreement, the parties agree as follows:

1. Storage and Delivery of Grain. By signing this Agreement the Producer has leased ________________ bushels of storage space at LF&G during the term of this Agreement. LF&G, in consideration of the execution of this Storage Lease Agreement, agrees to have storage space available for the Producer’s use in the amounts set forth hereafter. Producer shall deliver grain to the LF&G facility pursuant to the terms of this Storage Lease Agreement at such times as are agreed to by LF&G.

2. Storage Term. The term of this Storage Lease Agreement shall be for a period of twenty (20) years commencing on July 1, 2010.

3. Fee and Rents. Upon signing this Storage Lease Agreement, Producer shall be responsible for payment of the following fees and rents:

(a) a sum equal to $1.60 for each bushel of leased storage space. This amount will constitute the rental charge for the full twenty (20) year term of the lease and will be due upon execution of the Storage Lease Agreement.

(b) a handling charge of $0.15 per bushel per year, payable on or before July 1 of each year, for grain stored at the LF&G facility that has not been sold to LF&G. For grain sold to LF&G, the $0.15 per bushel handling charge will be deducted from the amount to be paid to Producer from the sale.

In the event Producer fails to pay the above rental or fees prior to July 1 of any year, as required above, the right to store grain in the leased storage space for the following twelve (12) month period (until September 1 of the following year) shall be forfeited and the Producer hereby authorizes and directs LF&G to immediately sell any grain then in storage, deducting from the sale proceeds such amounts as allowed by law, and paying to Producer the balance of the price received by LF&G for the grain sold.

4. Relinquishment of Lease Space. The Producer’s rights and obligations under this Storage Lease Agreement may not be assigned to any other person or entity. The Producer may relinquish some or all of the leased storage space secured hereunder after five years of this Storage Lease Agreement have elapsed. In order to relinquish leased storage space, the Producer must advise LF&G, in writing, of the Producer’s desire to relinquish leased storage space, including the number of bushels of leased storage space to be relinquished, on or before July 1 of each year of this Storage Lease Agreement. LF&G shall reimburse the Producer for relinquished leased storage space for the balance of term remaining at the following rates per bushel relinquished:        

                             (years)                         Remaining Term Rate     

5. Quality and Nature of Grain. LF&G will accept only the following commodities for storage under the term of this Agreement, corn and soybeans. LF&G will not accept, and reserves the right to refuse storage of, any grain which does not meet the minimum quality standards adopted by LF&G. Producer understands that grain delivered to LF&G under the terms of this Agreement may be commingled with other grain in LF&G’s possession of similar kind and quality.

6. Scale Ticket. Upon delivery of part or all of the bushels of grain stated herein, LF&G shall issue a scale ticket evidencing the receipt of grain delivered by the Producer. Grain delivered by the Producer for storage in the leased space shall be held by LF&G in a storage position on LF&G’s books. No warehouse receipts will be issued for grain stored under this Storage Lease Agreement. Producer agrees to sign delayed pricing agreements for all grain stored under this Storage Lease Agreement.

7. Insurance. LF&G shall insure the grain delivered by the Producer for storage in the leased storage space against loss or damage by fire, lightening, tornado, wind storm, cyclone and inherent explosion for full market value at the time of the loss.

8. Nature of Right Created Hereunder. This Storage Lease Agreement creates only a contractual right for the Producer to demand upon, deliver to and receive from LF&G, at any one time, the total bushels of leased space for grain set out in Paragraph 1, above. This Storage Lease Agreement does not convey any right to possess, occupy or use any of LF&G’s property.

9. LF&G Obligation to Repurchase in Event of Sale. In the event LF&G sells its assets at any time during the term of this agreement, and the Buyer does not agree to assume Producer’s storage rights. The amount paid to Producer shall be one hundred percent (100%) of the amount paid by Producer pursuant to Paragraph 3(a) of this Storage Lease Agreement during the first four years of the agreement. Thereafter, repurchase shall be at the same rate as provided in Paragraph 4 of this Storage Lease Agreement.

IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have duly executed and delivered this Agreement the day and year first above written.

LESTERVILLE FEED & GRAIN, INC PRODUCER

By: ___________________________ By: ________________________

Its: _____________________________ Its: __________________________

_____________________________

_____________________________

(Address)