Common use of Exclusive Supplier Clause in Contracts

Exclusive Supplier. Producer will purchase exclusively from Cargill, and Cargill will sell and deliver to Producer, all of Producer’s Corn requirements for ethanol production at the Ethanol Facility, including any Corn requirements that result from the future expansion of the Ethanol Facility so long as such expansion does not increase the Corn requirements to volumes in excess of 44.2 million bushels per year, subject to and in accordance with the terms and conditions of this Agreement. It is anticipated that Producer’s Corn requirements at the Ethanol Facility will be approximately 40.7 million bushels per year. Cargill will have absolute discretion to manage all logistics, accounting and related operations in connection with the origination, handling, and delivery of Corn to Producer except as otherwise provided in this Agreement. Notwithstanding the foregoing, Producer shall have the right to purchase Corn from third parties if Cargill fails to make any delivery evidenced by a Sales Confirmation but only to the extent of such failure.